Nominee Director - Pace Professional Management

NOMINEE DIRECTOR SERVICES IN SINGAPORE

A nominee director (ND) is usually appointed to handle privacy and legality matters on behalf of a company. In addition to their legal responsibilities, an ND also plays a crucial role in ensuring compliance with Singapore’s regulatory requirements and can facilitate the incorporation process for your company

Although the nominee director does not have extensive decision-making power, they have a crucial responsibility to ensure that the company adheres to local laws and regulations. This arrangement enables the owner of the company to fulfill other obligations that would otherwise prevent them from serving as a director.

Under the Singapore Companies Act, all Private Limited Companies (PLCs) in Singapore are required to have at least one director who is considered an “ordinarily” resident in Singapore. An individual is typically regarded as a resident if they can provide a local residential address, hold a Singapore citizenship or Permanent Resident status, possess an Entrepreneur Pass or Employment Pass. *Please note that the aforementioned conditions are non-exhaustive as other factors may be taken into consideration.

A Singapore citizen must act as the director of a registered company, representing the company publicly. This is to prevent businesses from being abandoned in the event of legal violations and to have someone accountable for handling statutory demands. The director or nominee director is responsible for ensuring that the company complies with Singaporean law and fulfils its fiduciary duties. For foreign investors seeking to establish a private limited company in Singapore without local residency or an EntrePass work visa, engaging a nominee director’s services may be necessary.

Foreign investors who intend to incorporate a private limited company in Singapore but do not wish to establish local residency or do not possess an EntrePass work visa may need to engage the services of a nominee director. The nominee director plays a critical role in ensuring the company’s compliance with local laws and regulations and fulfilling the fiduciary duties of a director.

Some companies are permitted to appoint Employment Pass holders from a related company to their Board of Directors.

At PACE, we provide nominee director services to businesses in Singapore, offering a reliable and trustworthy professional to act as the local director of your company. To find out more, click here to connect.

Frequently Asked Questions & Answers

1. What happens if a Register of Nominee Directors is not prepared?

Under the Companies Act, local companies must maintain and provide a register of their nominee directors and relevant documentation to ACRA officers or public agencies when requested. This register should be readily accessible at the company’s registered office, and failure to provide access may result in a fine or penalty.

2. Who is held liable if I do not comply with statutory requirements?

The directors of a company in Singapore bear legal responsibility and accountability for ensuring compliance with the requirements of the Singapore Companies Act. Any failure to meet statutory compliance requirements is considered an offence and may result in prosecution or fines.

3. What are the roles and responsibilities of a Nominee Director?

Our Nominee Director service provides a professional who will not hold any financial, management, or operational interest in your company. The Nominee Director’s primary function is to fulfill the statutory requirement of having a local resident director for your Singapore-based company, ensuring that your business is compliant with legal requirements.

4. Are the Service Fee and Deposit the same?

Please note that the security deposit is separate from the service fee and any other fees that may apply. This deposit represents your funds, which will be temporarily held in our custody for the duration of our Nominee Director Service engagement. Once the service has been terminated, the security deposit will be refunded to you in full.

5. Which are the Companies exempted from maintaining a Register of Nominee Directors?

According to the Singapore Companies Act, companies exempted from maintaining a register of nominee directors are:

Public companies listed on the Singapore Exchange.
Private companies that have a maximum of 20 shareholders, and none of the shareholders is a corporate entity.
Private companies where all the shareholders have given a written statement that the company need not keep a register of nominee directors.

It’s important to note that even if a company is exempted from maintaining a register of nominee directors, it is still required to comply with all other statutory compliance requirements.

6. What risks does a Nominee Director in Singapore take?

The nominee director, although not actively involved in the day-to-day operations of the company, still has a legal responsibility to ensure the company complies with local laws and regulations. This includes monitoring the company’s activities and ensuring that any potential legal issues are addressed promptly.

To mitigate any potential risks, reputable companies that provide nominee director services typically conduct a thorough KYC (know-your-customer) review before entering into a service agreement with a company. This review is designed to ensure that the company and its owners are reputable and trustworthy, and that there is a low risk of the nominee director being held liable for any illegal activities.

7. Why do you need a security deposit when the other companies do not?

Engaged with sincerity and seriousness, and also to ensure that any outstanding service fees are settled upon termination of our services.

As a responsible service provider, we take our role as a nominee director seriously and conduct a thorough due diligence process before entering into a service agreement with a company. The security deposit also helps to offset any potential risks that may arise from engaging in this service.

We understand that the requirement for a security deposit may be an additional financial burden for some companies, which is why we offer one of the lowest security deposit rates in the industry while still maintaining a high level of service quality and compliance.

8. Am I allowed to terminate the Nominee Director Service anytime?

Please note that the Nominee Director Service is renewable on an annual basis, nevertheless, you may terminate the service anytime by providing us with the details of an alternate local resident director. However, it is important to note that the security deposit will only be refunded upon termination of the service, subject to the terms and conditions stated in the service agreement. It is advisable to carefully review the terms and conditions of the service agreement before engaging in any services to avoid any misunderstandings or complications later on.

LET OUR TEAM BE YOUR TRUSTED PARTNERS

Reliable Nominee Director Service with Competent and trusted Professionals, at only S$2,400/Year. *Industry and Risk-Dependent Fees May Apply.Request a Callback

WHY DO YOU NEED A REGISTERED ADDRESS?

Having a registered address is a local legal requirement and plays a crucial role in ensuring legal compliance, facilitating communication, enhancing professional image, and protecting privacy and security for businesses.NEED AN OFFICE ADDRESS, BUT NOT A PHYSICAL OFFICE?

LET OUR TEAM BE YOUR TRUSTED PARTNER

Reliable Nominee Director Service with Competent and trusted Professionals, at only S$2,400/Year. *Industry and Risk-Dependent Fees May Apply.

Request a Callback

NOMINEE DIRECTOR SERVICES IN SINGAPORE

LET OUR TEAM BE YOUR TRUSTED PARTNERS

WHY DO YOU NEED A REGISTERED ADDRESS?

LET OUR TEAM BE YOUR TRUSTED PARTNER

WHY YOU NEED A REGISTERED ADDRESS

INCORPORATION

CORPORATE SECRETARY

TAXATION

BOOKKEEPING & PAYROLL

AUDIT SERVICES

WORK PASS

NOMINEE DIRECTOR SERVICES IN SINGAPORE

LET OUR TEAM BE YOUR TRUSTED PARTNERS

WHY DO YOU NEED A REGISTERED ADDRESS?

LET OUR TEAM BE YOUR TRUSTED PARTNER

WHY YOU NEED A REGISTERED ADDRESS

INCORPORATION

CORPORATE SECRETARY

TAXATION

BOOKKEEPING & PAYROLL

AUDIT SERVICES

WORK PASS

Request a Callback

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