It is a known fact that Singapore has a well-established business environment. This has attracted many businesses from all over the world to setup their company in Singapore. If you are planning to open your own business in Singapore then you need to be aware of the Companies Act, especially Section 157(1) of the Companies Act (Cap 50). AI Accountant Chai Chung Hoong is able to assist you on company incorporation and recommend nominee director services.

To set up a business in Singapore, you need to appoint a resident director. But for that, you need to keep certain points in mind. For example, he needs to be a resident in Singapore. But what do you do when you stay outside Singapore and do not intend to buy any properties and stay in Singapore. This is where the flexibility to appoint a nominee director comes into the picture. This is a Singapore Legal requirement and the director is  mandatory to comply with Section 157(1) of the Companies Act (Cap 50).

In this article, we will look into some important details related to the appointment of a nominee director.

WHAT ARE THE BENEFITS OF HAVING A NOMINEE DIRECTOR?

AI Accountant Chai Chung Hoong explains that appointing a nominee director can prove to be beneficial for the business owner in many ways. By appointing a nominee director, he can smoothly operate his business even from outside the country. He doesn’t have to be physically present in Singapore to look after his company.

WHAT ARE THE RISKS OF HAVING A NOMINEE DIRECTOR?

There are also some drawbacks associated with the appointment of a nominee director. The person will communicate with the government as well. 

This is why you need to appoint someone trustworthy and qualified. Choosing any random person can jeopardize the operations of your company. This is where you can rely on corporate services firms that can provide you with qualified professionals.

WHY SHOULD YOU TRUST A PROFESSIONAL SERVICE TO ENGAGE A NOMINEE DIRECTOR?

By appointing a nominee director, you can get peace of mind. You don’t have to worry about running your company while you are outside Singapore. Getting a nominee director from a corporate service firm means you are entering into a contract with them. However, this very same agreement will give you the right to have the final say in decision making. It is because of all these reasons it is better to go to a professional service firm than to appoint someone on your own.

Having a nominee director is a must if you wish to run your business while residing outside Singapore. All you need to do is make sure that you choose the right person to advise you on the best corporate service firms offering nominee director services – AI Accountant Chai Chung Hoong can help advise you!