quick reference guide for travel agents · pdf filequick reference guide for travel agents p g...

QUICK REFERENCE GUIDE FOR TRAVEL AGENTS

Quick Reference Guide for Travel Agents

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TRAVEL AGENT LICENSING AND REGULATORY REVIEW – VER 1.0

Contents

Contents ........................................................................................................................................................ 2

Important information that you need to know ............................................................................................... 2

Section 1 - Submission of Audited Statement of Accounts .............................................................................. 4

Section 2 - Submission of Banker’s Guarantee or increase in paid-up capital .................................................. 5

Section 3 - Submission of Gross Annual Turnover ........................................................................................... 6

Section 4 – Submission of Fidelity Insurance .................................................................................................. 7

Section 5 – How to renew your travel agent licence ....................................................................................... 8

Section 6 – Update Changes in Licensee’s Particulars ..................................................................................... 9

Section 7 – Update Changes in Key Executive’s Particulars ........................................................................... 10

Section 8 – Change in appointment of Key Executive ................................................................................... 11

Section 9 – Guides to apply for a travel agent licence................................................................................... 12


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Important information that you will need to know

Logging into Travel Related Users’ System (TRUST)

All Travel Agents have a Travel Related Users’ System (TRUST) account. (https://trust.yoursingapore.com/)

To verify if you have any outstanding requirements for your licence, please log into the TRUST website with

your User ID and password.

Forgotten/misplaced your TRUST UserID and/or password?

Please utilise the password reset function on the TRUST website to reset your password under the “Forgot

Password” link. Your TRUST password will expire every 90 days for security reasons.

The Password reset will be sent to the Key Executive email registered in TRUST.

The Password reset is only valid for 15 minutes.

Please ensure the Key Executive email registered in TRUST is valid.

Please note that the reset password will be sent to the Key Executive’s email registered in TRUST. This new

password will only be valid for 15 minutes.

For further assistance on password reset

You may contact the TRUST Helpdesk at:

Email: [email protected]

Tel: 6778 1845

The operating hours of the TRUST Helpdesk are Mondays to Fridays, 9am to 6pm.

Correspondence on licensing matters will be via email

Singapore Tourism Board (STB) will be sending out information regarding licensing matters via email. Hence,

it is important to ensure that the licensee’s email address and contact details are updated in the TRUST

system.

Useful Contacts

Subject of Inquiry Contact Email Address Telephone

No.

Travel Agent Licensing STB [email protected] 6736 6622

TRUST Technical Helpdesk

- For inquiries relating to TRUST password

reset, TRUST technical issues

TRUST

Helpdesk

[email protected].

sg

6778 1845

On-line Business Licensing Service (OBLS)

Technical Helpdesk

- For inquiries relating to change in

company particulars, change in company

address, change /update of Key

Executive, application of new branch

licence etc

OBLS

Helpdesk

[email protected] 6898 1595


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Section 1 - Submission of Audited Statement of Accounts

- All licensees must submit a copy of the Audited Statement of Accounts within 6 months after the

close of the firm or company’s financial year.

- Submission of Audited Statement of Accounts is to allow for verification of applicants’ and licensees’

net worth and financial health to ensure that they have sufficient capital to operate and not pose a

risk to the travelling public.

- This requirement is mandatory under the Travel Agents Regulations, Regulation 24(1)(b):

Every licensee shall submit the following information to the Board a copy of the audited statement of

accounts within 6 months after the close of the financial year.

EXAMPLE

- ABC Travel’s Financial Year (FY) End = 31 March 2013

- ABC Travel should submit Audited Accounts for the FY ended 31 March 2013 by 30 September

- For further information on Audited Statement of Accounts, you may refer to the User Guide on

Submission of Audited Statement of Accounts and Banker’s Guarantee.


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Section 2 - Submission of Banker’s Guarantee or increase in paid-up capital

- All licensees must always maintain a minimum paid-up capital and net worth of $100,000.

- Submission of a Banker’s Guarantee/increase of paid up capital is to ensure that licensees met the

minimal financial requirement to ensure that companies have sufficient capital to conduct their

travel agent business and that they do not pose a risk to the travelling public.

- This requirement is mandatory under the Travel Agents Regulations, Regulation 13:

(1)A licensee shall ensure that any time –

(a) where the licensee is a sole proprietor or partnership, the firm’s capital is not less than $100,000

and its net worth is not less than that amount; or

(b) where the licensee is a company, its issued and paid-up capital is not less than $100,000 and its

net worth is not less than that amount.

- If there is any shortfall in net worth, the travel agency can top-up the net worth by either:

(i) Submitting a Banker’s Guarantee, in the format provided by STB and valid for at least one

year from date of issue, to be made payable to STB; or

(ii) Increasing its paid-up capital, and submitting an updated business profile from Accounting

and Corporate Regulatory Authority reflecting an increase in paid-up capital.

- To note: If the paid-up capital and net worth is less than the minimum amount of $100,000

Should a Banker’s Guarantee/increase in paid-up capital be required. STB will notify you of this

requirement and its deadline. Fines for late submission of Banker’s Guarantee may also be

applicable.

- For further information on Banker’s Guarantee, you may refer to the User Guide on Submission of

Audited Statement of Accounts and Banker’s Guarantee.


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Section 3 - Submission of Gross Annual Turnover

- All licensees must submit the particulars of the Gross Annual Turnover for the previous year via

TRUST on or before 31 March of each year.

- The Board collects this information to better understand the licensee’s business and to have a gauge

of the overall business performance of travel industry in Singapore.

- This requirement is mandatory under the Travel Agents Regulations, Regulation 24(1)(a):

Every licensee shall submit the following information to the Board: the particulars of the gross

annual turnover on or before 31st March of each year for the preceding year in the form and manner

required by the Board.

Information required for Gross Annual Turnover submission

- The required Gross Annual Turnover information is for the period from 1 January to 31 December of

the previous calendar year. The submission of Gross Annual Turnover therefore is not dependent on

the completion of auditing of company accounts.

EXAMPLE

Submission deadline: 31 March 2013

Data Required: 1 January 2012 to 31 December 2012

Only online submissions via TRUST website are accepted

- Please note that STB will only accept online Gross Annual Turnover submissions via the TRUST

website https://trust.yoursingapore.com. The Gross Annual Turnover exercise takes place in the

period of mid February to 31 March every year. Late submissions after 31 March may incur

composition amounts of up to $200.

- For further information on Gross Annual Turnover, you may refer to the User Guide on Submission

of Gross Annual Turnover.


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Section 4 – Submission of Fidelity Insurance

- All licensees shall ensure that there is a subsisting policy of Fidelity Insurance for every partner,

director or employee who is entrusted with the receipt, custody, disbursements or charge of the

licensee’s money or property.

- When requested by the Board, the licensee will need to submit a copy of the Fidelity Insurance

policy, and the completed Fidelity Insurance Declaration Form.

- Fidelity insurance acts of a form of protection for a company by providing coverage from the loss of

money, securities and inventory incurred from acts of employees such as, fraud, embezzlement and

counterfeiting.

- This requirement is legislated under the Travel Agents Regulations, Regulation 19:

(1) The licensee shall ensure that there is a subsisting policy of fidelity insurance for every partner,

director or employee who is entrusted with the receipt, custody, disbursements or charge of the

licensee’s money or property.

(2) The licensee shall furnish a copy of any such policy taken out in accordance with paragraph (1)

when requested to do so by the Board.

- For further information on Fidelity Insurance, you may refer to the User Guide on Submission of

Fidelity Insurance.


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Section 5 – How to renew your travel agent licence

- Licensees whose travel agent licence expires in the current year will need to renew the licence.

The travel agent licence will only be renewed upon fulfilment of all requirements applicable to the licensee during the current licence period. Failure to comply with the requirements may result in fines, revocation or non-renewal of the travel agent licence.

Licensing requirements to be fulfilled before licence renewal can be processed

- The requirements listed below are to be fulfilled before licence renewal can be processed.

- A checklist of the requirements is also available in the User Guide on Travel Agent Licence Renewal

for your reference.

1) Submission of Audited Statement of Accounts of the preceding 2 years;

To note: If the paid-up capital and net worth is less than the minimum amount of $100,000

It is possible that a Banker’s Guarantee/increase in paid-up capital is required after the

submission and assessment of your Audited Statement of Accounts. STB will notify you of this

requirement and its deadline, which will need to be fulfilled to renew your licence. Fines for late

submission of Banker’s Guarantee may also be applicable.

2) Submission of Gross Annual Turnover of the preceding 2 years;

3) Submission of Banker’s Guarantee and/or business profile from Accounting and Corporate

Regulatory Authority showing an increase in paid-up capital for a minimum paid-up capital and

net worth of $100,000 (if applicable);

4) Submission of Fidelity Insurance and Fidelity Insurance Declaration Form of the preceding 2

years (if applicable);

5) Payment of outstanding fines (if any); and

6) For the purpose of licence renewal, a confirmation of business particulars as registered in

TRUST, via the Update of Business Particulars Form is required.

If there are no changes in the business particulars, a confirmation of no changes is required to

be submitted to STB via a company letter, to be signed by the Key Executive and affixed with

the company stamp.

Important

- After the above has been fulfilled and processed, payment of the licence fee will need to be made

before the licence renewal is complete, and licence can be issued.

- For further information on how to renew your travel agent licence, you may refer to the User

Guide on Travel Agent Licence Renewal.


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Section 6 – Update Changes in Licensee’s Particulars

- All licensees are required to notify the Board within 14 days of any change of address of its place of

business; or its contact details.

i) Change of address of its place of business/business contacts such as phone/fax

numbers, and email addresses;

ii) Change in the company’s/firm's name;

- This is to allow the Board and the travelling public to locate and contact the licensees when the need

arises.


A licensee shall notify the Board within 14 days of –

(a) any change of -

(i) address of its place of business; or

(ii) its contact details; and

(b) the establishment of any other place of business.

- For further information on updating the changes in licensee’s particulars, you may refer to the

User Guide on Update Changes in Licensees Particulars.


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Section 7 – Update Changes in Key Executive’s Particulars

- All licensees are required to notify the Board within 14 days of any change of address of the

following.

iii) Key Executive’s contact details such as phone/mobile numbers, and email addresses;

iv) Key Executive’s by reason of death, resignation or revocation of appointment.

- This is to allow the Board to locate and contact the licensees and the key contact person when the

need arises.

- If there is a change in residential address for the Key Executive, please submit soft copies of the

following supporting documents to [email protected] with the subject: Change in KE details for [TA

no. & Name]:

i) A copy of the Key Executive’s NRIC (Front & Back) reflecting the latest residential address

ii) An updated copy of your company/firm’s ACRA business profile


A licensee shall notify the Board within 14 days of –

(a) any change of -

(i) address of its place of business; or

(ii) its contact details; and

(b) the establishment of any other place of business.

- For further information on updating changes in Key Executive’s particulars, you may refer to the

User Guide on Update Changes in Key Executive Particulars.


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Section 8 – Change in appointment of Key Executive

- All licensees are required to appoint another key executive within 6 months of any change in the

Key Executive ceasing to carry out his duties.

- The Key Executive is the official contact person for the Board to liaise with when the need arises. As

he will be responsible for managing the travel agency, some managerial experience is important to

uphold professionalism in the travel agent industry.

- For the appointment of a new Key Executive, please submit soft copies of the following supporting

documents to [email protected] with the subject: Change in KE for [TA no. & Name] :

i) New Key Executive’s resume

ii) New Key Executive’s NRIC (front & back)

iii) Letter of appointment and Directors’ Resolution for the appointment of the new Key

Executive, printed on company’s letter head and signed by all directors with a valid

company stamp

iv) An updated copy of your company/firm’s ACRA business profile

v) Update of Business Particulars Form (Annex A)

vi) Key Executive declaration form signed by the new Key Executive (Annex B)

- For appointment of a new Key Executive, he/she should be:

i) A Singaporean, Permanent Resident or a foreigner holding a valid employment pass.

An employment pass of minimum one year validity period is required if the Key

Executive is a foreigner.

ii) A Director of the Company, or an equivalent to the head of the company with at

least 1 year of managerial experience, who is responsible for the proper

administration and management of the affairs of the travel agent.

iii) For sole-proprietor or partnership, the Key Executive should preferably be the sole

proprietor (Owner) / Partner

- For further information on updating changes in Key Executive’s particulars, you may refer to the

User Guide on Update Changes in Key Executive Particulars.


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Section 9 – Guides to apply for a travel agent licence 8.1 Do you need to apply for a Travel Agent Licence?

You will need to apply for a travel agent's licence with STB if your business falls within Section 4 of the Travel Agents Act (Cap. 334):

(a) Selling tickets entitling an individual to travel, or otherwise arranging for a person a right of passage on any conveyance;

(b) Selling to, or arranging or making available for, a person’s right of passage to, and hotels or other accommodations at, one or more places (being places within or outside Singapore, or some of which are within and others of which are outside Singapore);

(c) Purchasing for resale the right of passage on any conveyance;

(d) Arranging or conducting tours within or outside Singapore;

(e) Holds yourself out as, or advertising that you are, willing to carry on any activity referred to in paragraph (a), (b), (c) or (d).

Operators carrying out activities at (a) do not require a Travel Agent's licence if they are using conveyances owned by them;

Operators carrying out activities at (b) do not require a Travel Agent's Licence if they own both the conveyance and place of accommodation.

You can visit the Travel Related Users' System (TRUST) website at https://trust.yoursingapore.com/ to download a copy of the Travel Agents Act (Cap. 334) and Regulations (Cap. 334, Rg 1).

https://trust.yoursingapore.com/


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9.2 What conditions do you need to fulfil?

Before proceeding to apply for a Travel Agent's licence, you are required to fulfil the following conditions:

1. Registration of Company

All applicants are required to first register the company with the Accounting & Corporate Regulatory Authority (ACRA) for the purpose of conducting the business of a travel agent.

For Sole-Proprietors (SP), Partnerships, & Limited Liability Partnerships (LLP), applicants are also required to register your business with ACRA for the purpose of conducting the business of a travel agent.

2. Paid-Up Capital

For registered companies, applicants shall ensure that at any time, the issued and paid-up capital is not less than $100,000 and the net worth is not less than that amount.

For sole-proprietor or partnership, applicants shall ensure that at any time, the firm’s capital is not less than $100,000 and its net worth is not less than that amount.

3. Key Executive

All applicants must nominate a suitable person for the position of a Key Executive (KE). The KE is the contact person between the Board and the travel agency. He / She is in charge of the day-to-day operations and administration of the travel agency.

The nominee for the Key Executive of the company is subject to the approval of the Board.

(a) The KE can be a Singaporean, Permanent Resident or a foreigner holding a valid employment pass. An employment pass of minimum one year validity period is required if the Key Executive is a foreigner.

(b) The KE should preferably be a director of the company. Otherwise, he/she should have at least one year of managerial experience and be familiar with the travel business.

(c) The KE’s curriculum vitae (CV), testimonials and recommendation letters are required to be submitted to STB for assessment and approval. A Director’s Resolution signed by all the directors of the company with a valid company stamp and a letter of appointment stating his/her position within the company should be submitted for reference.

(d) For sole-proprietor or partnership, the KE should preferably be the sole proprietor (Owner) / Partner.


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4. Company Internet E-mail Address & Travel Related Users' System (TRUST)

Applicants will have to apply for an e-mail address specifically for the operation of the travel agency business. All e-mail correspondence regarding the travel agent licence application will be made via this e-mail address, including the notification of final approval for the Travel Agent’s Licence.

The Travel Related Users' System (TRUST) is an integrated internet-based administration and information. It allows all licensed travel agents to update corporate information, reflect the resignation and appointment of key executives and even submit licence renewal online. To access the TRUST website, applicants will be issued with a User ID and password after they have obtained final approval for the Travel Agent's licence.

5. Management Staff and Personnel

All directors, executives and managerial staff of the company must be persons of good character and fame. Applicants may be required to produce satisfactory evidence to support such requirements.

6. Office Space and Signboard

Applicants may not have secured an office for conducting the travel agency business at the time of Travel Agent licence application; it is advisable for applicants to consider possible locations of the office in advance. When the Travel Agent licence application is given In-Principle Approval, the applicant will be notified to locate a suitable office, subject to the Board’s approval of the following conditions:

(a) The applicant must produce documentary proof (e.g. certificate of stamp duty, tenancy agreement, etc.) to support the suitability of the office for the conduct of the travel agency business.

(b) The office shall be used exclusively for the conduct of the business of a travel agency.

(c) The office space may either be purchased by the company or leased for a minimum period of one year.

(d) If the Landlord is an individual, a copy of the stamped duty or property tax document should also be submitted.

(e) For Home Office Premises, documents showing approval from the relevant authorities (HDB/URA) should be submitted.

If there is any sharing of premises, you must seek approval from the Board and submit relevant supporting documents and ground plan showing proper demarcations from other businesses.

(i) A copy of the tenancy agreement

(ii) Landlord’s agreement to sharing of premises.

(iii) Agreement from main tenant on the sharing of premises in a business letter.

(iv) A ground plan showing proper demarcations between the licensee and other occupant(s) should be submitted.


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(v) A proper signage display at the main lobby/entrance and within premises.

Please note all travel agency licence applications are to be filed online. You must declare any shareholdings in other travel agencies.

All submissions to the Board should be submitted in soft copies to the Travel Agent Licensing & Regulatory Review Department, via email to [email protected] .

9.3 How long does it take to approve your application?

The application will take approximately one to two weeks to process upon full and complete

submissions of supporting documents. Thereafter, you will receive an In-Principle Approval (IPA) notification via e-mail.

In-Principle Approval assures applicants with confidence in securing office premises for their business operations before Final Approval.

You may be required to fulfil additional conditions and submit additional documents to support your application before final approval is given for your travel agent licence.

STB is deemed to have responded to you if there has been an attempt to reach you by phone, e-mail or any other common forms of communication. E-mail will be the main channel of communication for correspondences of your licence application.

A typical condition includes submission of the certificate of stamp duty & tenancy agreement for the premises where you intend to conduct travel agency business. The tenancy agreement should be for a period of at least one year. If you own the premise, you need to show proof of ownership.

Upon successful approval of your travel agent licence application, you will be notified via email for the payment of licence (to be made via On-line Business Licensing Service (OBLS) payment portal) and collection of your travel agent licence at Singapore Tourism Board in person.

A Travel Agent's Licence costs S$300 and will expire on 31 December of the following year in which it was issued.

Example: Approved date: 01 Jan 2013 Expiry date: 31 Dec 2014

Approved date: 31 Dec 2013 Expiry date: 31 Dec 2014

Please note that you are not allowed to commence business until STB grants final approval to your application.

mailto:[email protected]

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