Before you take your first order, it’s worth knowing which rules apply to your home-based business. The good news: most small home businesses in Singapore don’t need a special licence. But there are conditions you have to follow, and some businesses need to register with ACRA. This guide explains what applies and links to the official sources.
Last checked: November 2026. Rules can change, so always confirm with the official pages linked below. This guide is general information, not legal advice.
The quick answer
- Running a business from home: small-scale home businesses are allowed in HDB flats and private homes without applying for approval, as long as you follow the scheme’s conditions.
- Selling food from home: home-based food businesses currently do not need an SFA licence, but they must follow food laws and some specific restrictions.
- Business registration: you must register with ACRA unless you meet the exemption criteria.
- Tax: your profits are taxable income, and you declare them when you file your income tax.
1. The home business schemes (HDB and URA)
HDB runs the scheme for HDB flats, and URA runs it for private residential properties. URA states that residents may carry out small-scale home-based business activities without requiring its approval. The main conditions include:
- The business can only be run by the owners, registered occupants or tenants (with the owner’s consent). You can’t let a third party run a business from your home.
- No non-resident employees may work in the home.
- No advertisements, signboards or posters may be displayed at the home.
- The home must remain a residence, and the business must not disturb your neighbours.
- No heavy equipment or appliances that aren’t meant for home use, and no large-scale storage, frequent loading and unloading, or use of the home as a distribution centre.
If your business doesn’t meet the conditions, HDB or URA can require you to stop or move to commercial premises. Read the official details on HDB’s Home-Based Business Scheme page and URA’s home-based businesses page.
What about promoting online? The no-advertising rule is about signs and posters at your home. Promoting your business online, for example on Instagram or on a marketplace, is a common way home businesses find customers.
2. Home-based food businesses (SFA)
The Singapore Food Agency says home-based food businesses currently do not require an SFA licence, because of their small scale. You still have to follow these rules:
- Follow food laws: you must comply with prevailing food safety laws and regulations, and make sure your food is safe to eat.
- No catering: home-based food businesses can’t offer catering services, such as buffet lines or packed meals.
- No supplying other food businesses: you can’t sell to licensed food establishments such as restaurants, cafes or hawker stalls.
- No temporary fairs: you can’t sell your home-made food at temporary fairs or to fair stallholders.
- No ready-to-eat raw seafood: for example sashimi, raw oysters or raw marinated seafood.
- Use legally sourced ingredients: buy from licensed suppliers, and don’t use food brought back from overseas trips for sale.
SFA also encourages home food sellers to take the WSQ Food Safety Course Level 1 and follow its food safety tips. See SFA’s requirements for home-based food businesses.
3. Registering your business (ACRA)
According to GoBusiness, you must register your home business with ACRA unless you meet the exemption criteria. One common exemption: you may not need to register if you trade under your own full name (or your and your partner’s full names). Adding descriptive words to the name, such as “Mei Ling’s Bakes”, means you need to register.
Sole proprietorships and partnerships can register online through ACRA’s Bizfile. For the full list of exemptions, see the Business Names Registration Act or the GoBusiness home business guide.
4. Income tax and GST (IRAS)
- Income tax: if you’re a sole proprietor or partner, your profits are taxed as part of your personal income, declared as business income when you file your taxes. IRAS has a checklist for self-employed persons on its website.
- GST: GST registration becomes compulsory only when your taxable turnover exceeds S$1 million a year, so most small home businesses don’t need to register. See IRAS on GST registration.
5. Other licences for specific activities
Some activities need permits from other agencies, whatever the scale. If you’re unsure, use the GoBusiness Licensing portal to check which licences apply to your type of business.
Checklist before you start
- Your business fits the HDB or URA home business conditions
- For food: you follow SFA’s rules, and you’ve considered the WSQ Food Safety Course Level 1
- Registered with ACRA, unless you’re exempt
- A simple record of sales and expenses for your income tax
- Checked GoBusiness for any activity-specific licences
Once the rules are sorted, the next step is getting customers. Our guide on how to start a home-based business in Singapore covers pricing, taking orders and free ways to market your business.
Sell your home bakes and products online
Shiokly gives Singapore home-based businesses a place to be found online, and your first product is free. Read about the free listing.