Resources How much capital do you need for setting up a Clinic or Healthcare Business in 2025? By Medinex Specialist Centre Team April 29, 2025 By Medinex Team Why should you invest in setting up a clinic orhealthcare services business in Singapore? While the current global trade wars are rather unsettling, the outlook for Singapore’s healthcare sector continues to be strong over the next few years due to the following factors: 1Singapore’s rapidly aging population will lead to increase in increased demand for services across primary care, specialist services as well as long-term care. 2Singapore’s National Health Expenditure is projected to increase significantly reflecting the government’s commitment to improving healthcare infrastructure and services. 3Initiatives like HealthierSG indicate a strong government focus on preventive care and strengthening primary healthcare and related services. 4Singapore is a well-established medical hub, attracting more than 500,000 medical tourists annually who account for just under 4% of overall tourism spending ($1.3 billion). What are the key initial set-up costs you should consider? 1 1. Business Registration Costs The cost of business registration in Singapore in 2025 is affordable but varies depending on the type of business structure you choose. For your convenience, here’s a breakdown of the standard government fees associated with two of the main business types. Sole Proprietorship/Partnership Private Limited Company (Pte Ltd) Name Application Fee: S$15 Name Application Fee: S$15 Registration Fee: S$100 for 1 year Registration Fee: S$300 Renewal Fee: S$30 per year(if you choose the 1-year registration initially) Total Initial Government Fees: S$315 Apart from the registration fees charged by the government, there are also other compliance services you need to appoint a professional firm to assist you with. Sole Proprietorship/Partnership Name Application Fee: S$15 Registration Fee: S$100 for 1 year Renewal Fee: S$30 per year(if you choose the 1-year registration initially) Private Limited Company (Pte Ltd) Name Application Fee: S$15 Registration Fee: S$300 Total Initial Government Fees: S$315 Apart from the registration fees charged by the government, there are also other compliance services you need to appoint a professional firm to assist you with. If you need an obligation-free, professional advice on the type of business structure to adopt, fill up this form and we will get in touch with you. Fill up now 2 2. Other Compliance Services Beyond the registration fees, it is important to select a trustworthy company with good experience, and track records working with clients in the healthcare sectors to help you with the incorporation, accounting and auditing if you intend to outsource these services. Company Secretary Typically ranging from S$800 to S$1,200 annually. The appointment of a company secretary is mandatory within 6 months of incorporation. Nominee Director (if required) Between S$3,000 to S$5,000 per year if there isn’t a resident director. Incorporation Services A one-time fee that varies from S$600 for basic registration to S$2,000 for a more comprehensive package. These fees exclude government business registration fees. Accounting and Tax Services Costs depend on the company’s business size, transaction volume, and accounting complexity, ranging from several thousand dollars annually. Audit Fees (if applicable) Starting from around S$4,000 per audit, depending on the complexity of the requirements and scale of business. Small companies meeting certain criteria may be exempt from audit requirements. Opening a Business Bank Account Fees vary between banks; consider account maintenance fees and transaction costs. 3 3. Healthcare Licensing Costs The Healthcare Services Act (HCSA) was put into effect on 6 January 2020 to regulate healthcare services in Singapore. Under HCSA, healthcare providers need to apply for approval to hold licenses for the Licensable Healthcare Services (LHS) they provide as well as the appropriate Mode of Service Delivery (MOSD) applicable for their LHS. License fees are: Based on a standard 2-year Licence Tenure Generally based on a per-service and per-premises/conveyance basis Include standard administrative fees As the license fees vary according to the specific healthcare service and there are various fee bundles available, it is important for you to ascertain the licenses that applicable to your business through this link: https://www.hcsa.gov.sg/about-us/3-overview-of-licensing-fees Get a good sense of your recurring costs. In the following section, we will highlight some of the important recurring costs you need to include in your budgeting. If you are keen to explore to our Medical Clinic Set-up Service, do fill up the form below. 1 1. Office/Clinic Set-up and Rental Cost Whether you are considering renting or leasing a commercial space, it is important for you to consider the security deposits (2 to 3 months’ rent), agent fees, renovation costs, furniture, medical equipment costs, as well as IT equipment, software, Clinic Management System set-up costs, etc. Beyond the clinic set-up costs, one of the large recurring costs is rental and it varies depending on location, type of space (fully fitted or not), size, amenities and market conditions. Based on Listings on property portals in April 2025: General medical spaces can range from S$7 psf to S$18 psf per month. E.g. 1500 sq ft space can range from S$10k per month upwards. Prime Medical Hubs such as Novena Medical Centre and Camden Medical Centre can range around S$16 psf to S$40 psf per month. 2 2. Monthly Operational Costs Your start-up capital should be able to sustain your healthcare business for at least 3 to 6 months. These operational costs include employee remuneration, utilities and maintenance, sales & marketing costs and more. Since the labour costs make up the largest part of the monthly operating costs, we provided estimates for common job functions to help you get a rough sense of the overall costs. It is imperative that you make an accurate analysis based on the specific positions you need for your business.SalariesDo note the following monthly salary estimates do not include CPF contributions, allowances, bonuses, overtime, insurance, employee benefits etc. Clinic Receptionist: S$2300 to S$2800 Entry-level Nurse: S$2600 to S$3300 Entry-level Pharmacist: S$2900 to S$4800 Newly Qualified General Practitioner: S$80 to S$130 per hour (Source: Payscale 2025, Jobstreet (April 2025), Indeed (2024)) 3 3. The Importance of