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Setting up a Travel Agency

Last Updated 8 min read

Companies or individuals in the business of making travel arrangements or conducting tours in or outside of Singapore are required to apply for a Travel Agent’s Licence.

Who Awards the Licence, and Where to Apply

The Singapore Tourism Board (“STB”) licenses travel agents. Applications are made through GoBusiness Licensing, and STB administers licensed agents through its TRUST portal. The former Online Business Licensing System (OBLS) has been retired.

The Two Licence Tiers

STB issues two classes of travel agent licence, and which one you need determines the capital you must have in place before applying:

LicenceMinimum paid-up capital and net worthSuited to
General LicenceS$100,000Agents selling the full range of travel arrangements, including outbound tours and accommodation
Niche LicenceS$50,000Agents restricted to a narrower, specified scope of activity

Choose the tier before you incorporate or capitalise the company. Raising paid-up capital afterwards to meet a threshold is possible but wastes time.

Fees

FeeAmount
Application feeS$200
Licence fee, on approvalS$400

Fees and capital thresholds are set by STB and revised from time to time. Confirm both against STB’s current requirements before budgeting, and note that the application fee is payable whether or not the application succeeds.

Who Needs a Travel Agent Licence

Under Section 4 of the Travel Agents Act 1975, a person carrying out any of the following activities needs to apply for a Travel Agent’s Licence:

  • Sells tickets entitling an individual to travel, or otherwise arranges for a person a right of passage on any conveyance (not being a prescribed conveyance).
  • Sells to, or arranges or makes available for, a person rights of passage to, and hotel or other accommodation at, one or more places (whether within or outside Singapore).
  • Purchases for resale the right of passage on any conveyance (not being a prescribed conveyance).
  • Carries out such other activity as may be prescribed.
  • Holds himself out as, or advertises that he is, willing to carry on any of the activities above.

Operators carrying out the first activity do not require a licence if they use conveyances they own, and operators carrying out the second activity do not require a licence if they own both the conveyance and the place of accommodation.

Engaging in the business of a travel agent without a valid licence is an offence under the Travel Agents Act.

Pre-Conditions Before Applying

  • Register the business with the Accounting and Corporate Regulatory Authority (ACRA) to conduct the travel agent business. Businesses not yet registered with ACRA should approach STB on how to apply for a travel agent licence.
  • The registered business must meet the minimum paid-up capital and net worth for the licence tier you are applying for, as set out above.
  • All applicants must nominate a suitable person as the Key Executive, who is responsible for the day-to-day administration and operations of the travel agency. The Key Executive should preferably be a director of the business (as listed with ACRA) and have managerial experience in the travel business.
  • Set up an email address specifically for the operation of the travel agency business.
  • All directors, executives, and managerial staff of the business must be fit and proper persons of good character and fame.
  • Specify an office to be used for the conduct of the travel agency business.

Documents Required for the Application

  • Completed copy of the Business Activities & Market Specialisation Form.
  • Latest ACRA BizFile.
  • Key Executive’s resume.
  • Key Executive’s NRIC or Employment Pass.
  • Completed copy of the Key Executive Declaration Form.
  • Confirmation of business address: a certificate of Stamp Duty confirming the business address. If using a home office, documents certifying URA/HDB approval under the Home Office Scheme. If sharing premises with another office, additional supporting documents are required — the landlord’s agreement to sharing of premises, the main tenant’s agreement to the sharing in a business letter, a ground plan showing demarcation between the licensee and other occupants, and a photo of proper signage at the main lobby/entrance and within the premises.
  • Director’s resolution on the appointment of the Key Executive, printed on the company’s letterhead and signed by more than 50% of all directors with a valid company stamp.
  • Confirmation of email address, business telephone and fax numbers, and website address.
  • Confirmation of the Key Executive’s mobile and residential number, and all directors’ residential telephone numbers.
  • Proposed first financial year-end of the business (date/month/year) — this determines the deadline for the annual submission of audited accounts, which every travel agent must submit within 6 months of its financial year end, in accordance with the Travel Agents Regulations.

Frequently Asked Questions

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