Nominee director service in Singapore
Tetra Consultants offers nominee director service in Singapore for our international clients. Our full-service package includes Singapore company registration, nominee director services, corporate bank account opening, company secretary and employment pass applications.
If you are a business owner planning to expand your business in Singapore, you may be confused by the terms “Singapore nominee director” and “Singapore resident director”.
What is a nominee director?
- According to the Companies Act, all Singapore businesses need a director who is a resident of Singapore. Besides Singapore citizens and Permanent residents, foreigners with an Employment Pass or Entrepreneur Pass and who move to reside in Singapore can also become the resident director of a Singapore company.
- Otherwise, foreign business owners will need to appoint a qualified third-party local resident to act as the resident director of the Singapore company, for a fee. This appointed director is then termed a Nominee Director, or local director.
- As finding a suitable candidate to take up the position of nominee director in Singapore is time-consuming and challenging, Tetra Consultants serves to bridge this gap by providing a cost-effective nominee and resident director service in Singapore, ensuring that all our clients can fulfil the Singapore minimum officeholder requirements.
Resident director in Singapore requirements
- Must be a Singapore citizen or Permanent Resident of Singapore
- If a foreigner, must have an Employment Pass or Entrepreneur Pass and reside in Singapore
- Must have a permanent local address in Singapore
- At least 18 years of age
Advantages of using Nominee Director Service in Singapore
- By appointing a representative director in Singapore, your business will not only be able to remain compliant with official regulations requiring a Singapore resident director, you will also be able to save overhead expenses to prevent from incurring additional costs during the business set-up process.
- When you are opening a Singapore corporate bank account for your newly established entity, local banks may require a local representative to visit a local branch for an interview. At no additional fees, our qualified Singapore representative director will attend the interview on your behalf. Some banks in Singapore that we partner with include DBS, OCBC, UOB, Standard Chartered, HSBC and Citibank.
- For business owners looking for more personal privacy, signing up for representative director service in Singapore will allow you to maintain anonymity, as the nominee director’s identity does not need to be publicly disclosed.
- Tetra Consultants is able to provide the full suite of services for your Singapore company to remain compliant.
- Nominee Directors can fulfil the required director residency requirements and director duties without interfering in the day-to-day operations of your company, allowing you to maintain full control of your company.
Risks of appointing a nominee director in Singapore
- As with all undertakings, there are some risks involved in the appointing of a nominee director. The risk is namely that the nominee director is legally allowed in Singapore to make choices on the behalf of the company under the Singapore Companies Act, as the nominee director is legally considered equal to local directors under Singapore law.
- However, rest assured that the nominee director for your company appointed by Tetra Consultants will follow strict terms laid out in the Nominee Director Agreement we will draft, that will prohibit him or her from interfering in the day-to-day running of your business. The nominee director will not be able to take part in the decision-making process or daily operations, nor will he or she have access to your corporate bank account. This will ensure that you are able to maintain full control over your company at all times.
Risks undertaken by a nominee director in Singapore
- There are also some risks that will be undertaken by the nominee, in agreeing to act as your nominee director. In the event of the Singapore company committing a legal offence, the nominee director will also be implicated together with the company or the company’s other directors. The nominee director will then be as liable as local officeholders of the company and subject to the full repercussions of the Singapore law.
- However, Tetra Consultants will ensure that the nominee director appointed is a qualified and reliable individual who has gone through our stringent KYC checks and due diligence process and will monitor the business’ activities closely to ensure strict compliance with all local regulations in Singapore. Hence, you can rest assured that Tetra Consultants will mitigate all possible risks of the nominee director as much as possible.
Why choose Tetra Consultants’ Singapore nominee director services?
- The nominee director appointed by Tetra Consultants’ will go through strict KYC checks and be knowledgeable of the local Singapore regulations, such that he is able to assist your business in maintaining full compliance with all laws.
- By engaging Tetra Consultants’ nominee director service Singapore, you will also be able to maintain full authority and control over your business, as the nominee director we appoint will not be able to interfere in the daily operations and running of your business as per the terms of the Nominee Director Agreement.
- In addition, unlike other firms, we do not charge our international clients with deposits and there are no hidden costs. All payment terms will be transparently stated clearly in the appointment letter prior to the start of the engagement.
How can Tetra Consultants provide Singapore nominee director service?
- When appointing a nominee director, it is essential to seek one that has relevant experience in corporate governance and annual reporting or filing. Our compliance team is able to provide trusted individuals who have passed our enhanced due diligence checks. They are either our in-house employees or long-term partners and are mostly professionals in the field of accounting or tax or law.
- Once engaged, Tetra Consultants will provide you with the KYC documents of the Singapore nominee director, including his or her updated resume, passport copy, proof of address and legal records proving lack of criminal activity.
- Our legal team will also draft a nominee director agreement and statutory declaration to be signed by all parties involved. This is to guarantee that the company is completely and fully under your management and that you are indemnified as well. Unless requested specifically, the role of the nominee director appointed will not include playing an active part in your business, nor acting as a signatory to the bank.
- After the settlement of the nominee director fee, Tetra Consultants will proceed to register the Singapore company and appoint the Singapore nominee director with the ACRA.
- The nominee director in Singapore will not have access to your corporate bank account. You can then rest assured that you will be able to conduct business without worrying about your funds being mishandled.
Required documents for nominee director in Singapore
- As the Singapore resident director will ultimately be subject to litigation and fiduciary risks, Tetra Consultants’ compliance team will require some information for due diligence checks:
- Identity documents of the Ultimate Beneficial Owners (UBOs) and non-resident directors
- Documents of the parent company (in the event a corporate shareholder is appointed)
- Nature of intended business activity
- Whether this Singapore company is a dormant or active company
Contact us to find out more about Singapore nominee director services. Our team of experts will revert within the next 24 hours.
Who can be nominee director in Singapore?
- A Singapore citizen, Permanent Resident or Entrepass Holder who has a permanent local address in Singapore and is at least 18 years of age can be nominated as your resident director in Singapore.
- Tetra Consultants assists our clients to appoint a qualified individual to be your nominee director in Singapore.
How do I appoint a nominee director in Singapore?
- Tetra Consultants will assist our international clients to appoint a reputable nominee director in Singapore. Tetra Consultants’ compliance team will first shortlist a qualified individual with experience in corporate governance and annual reporting and filing and conduct KYC checks.
- Once engaged, Tetra Consultants will provide you with the KYC documents of the Singapore nominee director, including his passport copy, proof of address, non-criminal records and CV.
- Tetra Consultants’ legal team will also draft a nominee director agreement and statutory declaration to be signed by all parties. After the settlement of the nominee director fee, Tetra Consultants will proceed to register the Singapore company and appoint the Singapore nominee director with the ACRA.
What do nominee directors do?
- Nominee directors act as the director for a business, via a nominee director agreement.
- A nominee director also does not hold any shares in the company and will not be involved in your everyday business operations or have access to your corporate bank account.
- Unless specifically requested, most nominee director roles will also be passive. This means that despite being appointed as an office member of the company, a nominee director is prohibited from making decisions or performing duties at his sole discretion. He is only allowed to act based on instructions given by the Ultimate Beneficial Owner (UBO) of the company.
Can you have a nominee director?
- Yes, you can. Simply appoint a qualified individual who passes the relevant KYC checks and complies with the jurisdiction’s regulations for nominee director requirements, and your business will have a nominee director to act as your director.
- Tetra Consultants assists our international clients to fulfil KYC checks through a hassle-free process.