We assist clients to obtain the VCFM license and the basic requirements are as follows:
VCFM License allows you to manage venture capital funds without minimum base capital requirements or AUM limits, provided you serve only Accredited and Institutional Investors. We assist
Minimum Capital: SGD 0 (must maintain positive level of capital)
Directors: Minimum 2 directors with at least one residing in Singapore full time. 1 CEO of the company (he can also be the Executive Director).
Administrative Office Address: Permanent physical office in Singapore
Base Line Requirements:
- Incorporated in Singapore
- The company, its shareholders, directors, representatives, and employees satisfy MAS’s ‘Fit and Proper’ criteria
- To obtain a VCFM license from MAS
- Professional Indemnity Insurance is not mandatory, but MAS encourages you to take one
- 2 full time professionals and representatives who are resident in Singapore.
Qualifying Investments:
- No more than 20% of each FMC’s capital may be invested in non-qualifying investments
- 80% of the remaining committed capital be invested in specified products directly issued by unlisted business ventures that were incorporated not more than 10 years, before the initial investment
License Fee: SGD 4000 payable to MAS at the time of registration
Fund Structure: Close Ended (not open ended)
Redemption feature: The fund must not be redeemable at the investor’s discretion
Eligible Investors: The fund must be offered only to Accredited Investors and/or Institutional Investors subject to limits and permitted exceptions.
Later listing of portfolios: If securities that were acquired before listing, the fund may continue to hold them after the portfolio company becomes listed.
Annual Compliance: Every VCFM must annually file Form 25A within one month from the end of the Financial Year. VCFM are not mandated to file auditor’s report or Financial Statements to MAS.
Application: Form 1 through MAS Tx-e-licensing has to be filed for requesting the VCFM MAS license requirements