Helmi Talib
Managing Partner, Helmi Talib, Singapore
Managing Partner at Helmi Talib LLP, a top 35 accounting firm in Singapore. Since founding the firm in 1991, he has overseen its growth, providing accounting, auditing, tax planning, and financial consulting services to a diverse range of clients, from local enterprises to multinational subsidiaries. With over 30 years of experience, he has shared his knowledge lecturing for ACCA and MBA programs across Asia and contributing to the development of Islamic finance accounting standards.
The Singapore business environment
July 31, 2024
The Singapore business environment has long been considered a hospitable environment, consistently ranking well in the Ease of Doing Business index, published by the World Bank Group.
Efficient, with a well-regulated environment it is often considered the ideal gateway to the broader Asian The country is frequently perceived as a model of economic stability and innovation, offering a conducive environment for both local and international enterprises to thrive.
We spoke to Helmi Talib, Managing Partner of Helmi Talib in Singapore, a firm that joined the network in late 2023, to understand more about his experience of running a firm that services the mid-market in Singapore and whether that comes at a cost.
The Singapore business environment: Cost-benefit
“While it is true that doing business in Singapore remains high, the costs are offset by the country’s strategic location, robust infrastructure, and business-friendly environment.”
Talib is clear that the challenge of running an accounting firm in Singapore is no different to running any other small to medium enterprise in the country and shares some advice for businesses to improve business resilience,
“Three strategies have helped us thrive. We offshore a portion of our manpower to an overseas representative office, we have digitalised some of our functions, and we are continuously revisiting our work processes to remain adaptive and competitive.
Smart Nation
Moving to digitalisation is almost inevitable as Singapore drives innovation and change with a ”Smart Nation” policy. Touted by officials as a society where technology seamlessly empowers individuals to lead meaningful and fulfilled lives, Smart Nation is changing the business environment. It is designed to create opportunities for all and enhance business productivity, enabling companies to capitalise on the digital economy.
This initiative also emphasises collaboration with international partners to develop digital solutions that benefit people and businesses globally. Talib notes that accounting, closely aligned with the business community, is embracing the initiative.
“Firms have been keeping their competitive edge by investing in technological advancement that both meets clients’ needs and ensures regulatory compliance.”
Singapore recruitment market
As new businesses establish a foothold in the territory, moving key personnel to Singapore is not as easy as it once was, Talib notes.
“On the contrary, hiring foreign workers has become more challenging. Singapore has rolled out an Eligibility for Employment Pass where foreign workers need to pass a point-based COMPASS (Complementarity Assessment Framework). However, while this new framework poses some difficulties for firms especially SMEs to hire more foreign workers, COMPASS enables us to onboard highly skilled talents and maintain a strong local force, which essentially, is the objective of the new system.”
Transparency: The regulatory environment
And Singapore never seems to rest when it comes to enhancing transparency and compliance.
“The Accounting and Corporate Regulatory Authority (ACRA) has introduced stricter guidelines on anti-money laundering (AML) and counter-terrorism financing (CTF).
Additionally, the Amendments to the Accountants Act 2022 were implemented which ensure that accounting firms adhere to stringent guidelines that bolster public trust and uphold the credibility of Singapore’s financial reporting ecosystem.”
In general, Singapore remains consistent in upholding high standards of quality, and compliance through the implementation of rigorous measures governing the overall accounting practice in the country.
The Singapore market
Talib feels the business environment is still attractive despite softening economies globally, and the complexities of regulatory compliance and the need for financial transparency have kept clients coming through the door for both assurance and non-assurance services at a steady pace. Talib warns,
“The main challenge is to find the balance between demand and supply as the industry continues to face talent crunch and high attrition rates, coupled with more stringent rulings. This means assurance services demand remains to be high, as the need for transparency remains.”
It is also worth noting the notable increase in the need for non-assurance services, such as advisory and consultancy services, particularly in the areas of digital transformation and sustainability reporting.
“As businesses navigate the complexities of technological advancements and environmental regulations, they are seeking expert guidance to ensure compliance and strategic growth. Additionally, forensic accounting and risk management services have seen heightened demand due to the rising focus on corporate governance.”
What next for Singaporean businesses?
With “Smart Nation” as a key economic driver, it is no surprise that the tech industry is one to watch.
“Looking ahead, we anticipate continued growth in the adoption of digital technologies within the accounting industry. Firms will increasingly leverage artificial intelligence (AI) and machine learning (ML) to enhance efficiency and deliver more insightful analyses.”
Although technology is a key domestic issue, as a truly international community, Singaporean business advisors like Helmi Talib still have one eye on the environment. With Europe as a significant trading partner, understanding EU ESG regulations is becoming more critical.
“We expect further regulatory updates, particularly in areas related to environmental, social, and governance (ESG) reporting. These developments will present both challenges and opportunities for accounting professionals, underscoring the need for adaptability and continuous learning.”
Singapore: Market demands
Talib feels that the positives of doing business in Singapore, both for his firm and the wider business community, are worth the extra scrutiny and higher costs. Trade from Singapore into the rest of Asia exceeded US $600 billion in 2023.
“While the cost of doing business in Singapore remains high, the strategic advantages and supportive policies create a fertile environment for growth. This sparks a huge, upward demand for accounting services.
Amidst a continuous decline in talent and the more stringent regulatory policies in place, the accounting profession continuously thrives along the market’s demands. The industry keeps on evolving by investing in alternatives and exploring the implementation of technology into traditional workflows to navigate the challenges brought about by the ever-changing times.”
If you would like to speak to an expert in Singapore, please get in touch.
