Can a foreigner be a director of a company in Singapore?

Yes, but every company must have at least one director who is ordinarily resident in Singapore. If you're a foreigner without a local visa or residency, you must appoint a nominee director to meet this requirement.

Is it legal to use a nominee director in Singapore?

Yes, using a nominee director is legal if done through a licensed Corporate Service Provider with formal agreements to ensure compliance and define the scope of responsibility.

What are the risks of using a nominee director?

Nominee directors are legally responsible for the company’s compliance. If improperly appointed, they or the business owner may face legal or reputational risks. These can be avoided through proper agreements and CSP oversight.

Can I remove a nominee director after I get my work visa?

Yes. Once your Singapore work visa is approved and you relocate, you may replace the nominee director with yourself or another local appointee.

What is the difference between company registration and incorporation services?

Company registration refers to the legal process of forming the business entity, while incorporation services usually include nominee directorship, compliance, and corporate secretarial support.

Nominee Director Service
in Singapore

If you’re a foreigner looking to incorporate a company in Singapore, appointing a locally resident director—often in the form of a nominee director—is a legal requirement. However, finding a reliable nominee director (ND) can be a sensitive and sometimes confusing process. Many company owners are uncertain about the legal implications, risks, and best practices involved in selecting one.

This guide explains when a nominee director is required, how the appointment works in practice, and what to consider when choosing one. Whether you’re incorporating a new company or reviewing your existing structure, understanding the nominee director framework is essential to ensuring legal compliance and protecting your business interests in Singapore.

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nominee director for singapore companies

What is a Nominee Director in Singapore?
Who Needs a Nominee Director in Singapore?
Legal Requirement for a Local Director
Alternative Option: Serving as a Local Director via Work Pass
Nominee Director: Roles and Responsibilities
Understanding the Risks of Appointing a Nominee Director
Appointing a Trusted Nominee Director in Singapore
Frequently Asked Questions

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What Is a Nominee Director in Singapore?

A nominee director in Singapore is a locally resident individual appointed to meet the legal requirement that every company must have at least one director who is ordinarily resident in the country. This requirement is part of the Singapore Companies Act and applies to all private limited companies.

Foreign entrepreneurs who do not have a local contact or do not hold a valid work visa (such as an Employment Pass, EntrePass, or ONE Pass) often appoint a nominee director to proceed with Singapore company registration. A nominee director does not participate in the company's daily operations but bears the same legal responsibilities as any other director.

Engaging a qualified nominee director through a licensed and trusted Corporate Service Provider (CSP) helps ensure your company remains compliant while giving you peace of mind.

Who Needs a Nominee Director in Singapore?

If you're a foreign entrepreneur without residency or a valid work visa in Singapore, you must appoint a nominee director to fulfill the local directorship requirement. This is essential for both incorporating your company and keeping it in good standing.

While locals do not require a nominee director because they can themselves satisfy the requirement of being a local resident director, some still opt to appoint one for confidentiality or strategic reasons. However, nominee directors are primarily used by non-residents who want to register a Singapore private limited company without relocating immediately.

Legal Requirement for a Local Director

The Singapore Companies Act mandates that every locally incorporated company have at least one director who is ordinarily resident in Singapore. This includes:

Singapore citizens
Singapore permanent residents
Foreigners holding valid Singapore work visas (e.g., Employment Pass, EntrePass, ONE Pass)

Without such an individual, a company cannot be legally incorporated. This regulation ensures a point of local accountability and supports regulatory oversight by agencies like ACRA.

If you do not have a person who can satisfy this requirement for your company, engaging a nominee director is the only way to proceed with your company formation.

Alternative Option: Serving as a Local Director via Work Pass

Instead of appointing a nominee director, as a foreigner, you can apply for a valid Singapore work visa and act as your company’s local director.

Visa options include:

Employment Pass: For professionals or company founders
EntrePass: For startup founders with innovative businesses
ONE Pass: For global talent with an established track record

Once approved and relocated, you become the local director and no longer require a nominee director. However, since visa approval can take time, a nominee director is often needed temporarily to start the incorporation process. An important point to note is that these work passes are granted only if the relevant eligibility criteria are met.

Nominee Director: Roles and Responsibilities

Even though nominee directors do not participate in a company’s day-to-day operations, they are still legally accountable. Under Singapore’s Companies Act, nominee directors — like any other director — are obligated to:

Ensure statutory compliance (e.g., annual filings, tax obligations, etc.)

Fulfill their fiduciary duties

Avoid misconduct and unlawful activities

Oversee the maintenance of accurate corporate records

Engaging a nominee director through an experienced Corporate Service Provider (CSP) helps ensure these responsibilities are understood and fulfilled within a legally secure framework.

To mitigate risk, reputable CSPs always require a formal service agreement and a letter of indemnity. These documents define the nominee director’s limited role and offer protection against potential liabilities arising from company activities beyond the nominee’s control.

Understanding the Risks of Appointing a Nominee Director

Appointing a nominee director involves risks for both the company and the nominee. While nominee directorship is a legitimate and useful structure, it must be handled with care and legal safeguards.

Risks for Nominee Directors

Even without involvement in day-to-day operations, nominee directors hold the same legal and fiduciary responsibilities as regular directors. They may be held personally liable for non-compliance, tax violations, or regulatory breaches committed by the company.

Risks for Company Stakeholders

If a nominee director acts against the interests of the company or breaches their fiduciary duties, this can result in legal liability, reputational damage, and regulatory scrutiny for shareholders and other stakeholders.

To reduce these risks, nominee directors should only be appointed through reputable CSPs that offer professional nominee director services in Singapore with clear and enforceable legal agreements and well-defined roles and limitations.

Avoid low-cost or unregulated service providers. Poorly structured nominee arrangements can expose your business to compliance failures and legal complications.

Appointing a Trusted Nominee Director in Singapore

The CSP teams available through our integrated platform are fully licensed by ACRA and bring decades of experience in providing Singapore incorporation services to local and international clients. Their nominee director service is delivered as part of a comprehensive package that includes company incorporation in Singapore and ongoing compliance support.

Their service includes:

An experienced Singapore-resident nominee director
Legally robust service agreements and indemnities
Transparent communication and document management via our secure online platform
End-to-end support for incorporation, compliance, and work visa matters

Whether you're incorporating a new company in Singapore or looking to switch from an unreliable service provider, our CSP teams are ready to assist. Whether you need a nominee director service in Singapore on a temporary or long-term basis, you’ll benefit from expert guidance, strong legal protections, and a seamless onboarding experience.

Contact us today to get started.