Rikvin Shed’s Some Light on the Sector That was Strongest and Weakest.
Rikvin has recently published the Singapore Company Formation Report (January to May 2014). This report is meant to help entrepreneurs and investors determine which industries are growing and which are not. This information will also help them decide on which industry to enter or invest in.
The data in this report is derived from the latest information on Singapore company registrations shared by the Accounting and Corporate Regulatory Authority and the June 2014 Monthly Digest of Statistics Singapore from the Department of Statistics Singapore. Hence, the focus period is from January to May 2014.
In gist, the data shows that there were a total of 16,886 company formations between January and May 2014. In addition, the average number of company formations has improved year on year. To date, the average number of company formations between January and May 2014 is 3,377 per month. In 2013, the average figure was 3,107 company formations and in 2012, the average was lower, at 2,829 company formations per month.
The five industries that saw the most company incorporations between January and May 2014 are wholesale & retail trade, professional, scientific & technical activities, financial & insurance activities, information & communications and construction.
The bottom 2 industries to date are real estate and “other” sectors. These sectors saw the lowest number of company formations between January and May this year.
“Others”, according to the Singapore Standard Industrial Classification (SSIC) 2010, is an umbrella category that includes 1) professional, trade, religion and cause-based membership organizations, 2) repair of computers, vehicles, personal and household goods, as well as other 3) personal service activities such as hairdressing & beauty, laundry, funeral-related and wedding related services.
Commenting on the report, Mr. Satish Bakhda, Chief Operating Officer at Rikvin said, “Overall, the report shows that the real estate sector has seen the most significant decline in incorporations and that wholesale and retail trading companies have consistently grown year on year. This comes to no surprise, given the outlook in both sectors. The Singapore property market is set to drop again, as articulated by FM Tharman Shanmugaratnam recently. On the other hand, Singapore continues to be a trading hub, in light of programs and incentives offered by IE Singapore as well as the vast network of trade treaties that Singapore has.”