According to the company registration process, all Singaporean-registered firms must have at least one local director on their board of directors at all times, even when the company is formed.
Local residents in Singapore are defined as those who are physically present in the nation and have not previously been barred from holding directorship positions in the country.
According to Singapore legislation, only Singaporean citizens, Permanent Residents, or anyone with an Entrepass work visa may hold the post of local ordinarily resident director at the time of the company’s incorporation.
Nomination of an EP visa holder as a director of a Singapore company is possible only when such company has been successfully incorporated and a corporate bank account opened.
The reason for this is because before a company can sponsor an EP visa applicant, it must first be created. When a Singapore firm wants to hire a director who is an EP, the Ministry of Manpower requires that a valid Letter of Consent (LOC) be issued, as well as the permission for a secondary directorship if the EP person is already a director of other Singapore company. So What is a Nominee Director and Why Might I Need to Use One? Let us find that out.
Nominee Directors are those who have been nominated for directing awards
We provide a Nominee Director service for companies for periods of three months (S$500), six months (S$800), and one year (S$1,500) in order to help their clients in achieving ACRA’s local director statutory compliance requirements and Singapore law.
Local Nominee Director Services may help a foreigner or foreign business owner who is unable to get the support of Singapore Citizens, Permanent Residents, or Entrepass Holders on the company’s board of directors or among its shareholders.
The Legal rules
Section IXA of the Singapore Companies Act makes it clear that using such a service is legal. Section IXA When a company is formed, this is a step in the process.
To emphasise that a director’s role is only non-executive, it is common practise to refer to a director as a “nominee” in companies. In order to comply with Singapore’s legal and regulatory requirements, the Nominee Director is only provided to aid in the Nominee Director’s direct involvement or risk with the running sections of the firm.
To remind their customers, despite the fact that directors in Singapore are non-executive, every director in Singapore is nonetheless obligated to ensure that the company is in full compliance with all relevant laws. Nominated director posts have a general responsibility and inherent accountability in the case of a potential issue, which is analogous to the role of a company secretary. The companies make certain that their Nominee Directors have the necessary insurance coverage, such as a Deed of Indemnity & Directors and Officers Insurance, to help reduce this risk while delivering their Nominee Director Services.
Many benefits may be gained by using a Nominee Local Director in Singapore to represent your company’s best interests: After the incorporation of the company,
It’s a flexible solution that makes it easy for you to satisfy ACRA’s regulatory requirements
One who has a great deal of expertise in making sure that your company is always in compliance, including timely submissions to ACRA and IRAS of all required documents.