If you have recently started a company in Singapore and do not have a resident director then it is important for you to have a Nominee.
Who is a Nominee Director?
Every company that is registered in Singapore needs to have at least one director who is the resident of Singapore because it is the rule of the Singapore Companies Act.
If a foreigner wants to start his or her company in Singapore but is not able to find out a person who can play the role of resident director for his company then in this case the foreigner can simply hire a person who can play the role of Nominee director for a fee.
A nominee director is also known by the name local director. It is very important for you to ensure that the nominee director you have hired is a citizen of Singapore and should also have the permanent housing address of Singapore.
The nominee director is not going to operate your company but will only be appointed to satisfy the necessities of Singapore regulatory.
Do you require a Nominee Director for your company?
It is important to have a nominee director for your company because the government of Singapore wants to have someone who it can hold accountable if the company tends to sever the law.
If there will be no requirement of ND in Singapore then there are huge chances that foreign owners of the company will flee and dump the company. In order to ensure that this situation does not take place the government has made it important to have an ND for a company.
How to get a Nominee Director for your company?
The corporate service provider can offer you the service of the Nominee Director. There are a number of companies present on the internet from where you avail the both ND service and company secretary services for your newly incorporated company or existing.
What is the cost of the Nominee Director Service?
The local agencies often cost almost S$1,800-S$5,000 for rendering the service of Nominee Director for one year.
What risks are taken by a Nominee Director?
A nominee director Singapore risks certain things because in case the company or its real directors breaks the law then the nominee director will also be punished by the Singapore authorities.
Remember that all the laws of Singapore are very strict because the government takes serious actions on protecting itself from bad players.
Therefore, it is very essential for you to employ a nominee director who has not sullied the corporate laws of Singapore.