CFO GROUP INTEGRATED SERVICES
What Is a Nominee Director in Singapore & Why It’s a Must-Have for Foreign Companies
CFO Group • May 23, 2025
In Singapore, every company is legally required to appoint at least one local resident director who is ordinarily resident in Singapore. For many foreign-owned businesses, fulfilling this requirement often involves appointing a nominee director. But what is a nominee director, and how does this role work in practice?
Know Your Nominee Director — And Why Not Just Anyone Will Do
A nominee director is a person appointed to act as the resident director of a company in Singapore on behalf of the actual business owner. This person does not take part in business operations or decision-making but serves to fulfill the local directorship requirement under the Companies Act.
The nominee director is typically not a shareholder or beneficiary of the company and acts strictly according to a Nominee Director Agreement, which defines their scope, responsibilities, and limits.
A foreign stakeholder appoints a nominee director to act in the best interests of the company’s statutory obligations, not to control or manage the business.
Why Appoint a Nominee Director? The Real Power Behind Legal Compliance
✔️ Need a Resident Director? Here’s Why a Nominee Director Can Save Your Setup
Every private limited company in Singapore must have at least one local director who is a Singapore Citizen, Permanent Resident, or EntrePass/EP holder. Appointing a nominee director allows foreign companies to meet this legal requirement without relocating a director from overseas.
✔️ Protect Your Privacy in a Business in Singapore — Without Breaking the Rules
Appointing a nominee director also supports business owners who prefer not to be publicly associated with a company.
While Singapore requires transparency through systems like the Register of Registrable Controllers, a nominee director provides a way to maintain a degree of privacy without breaching compliance with local laws.
✔️ Nominee Directors and Executive Control — Where to Draw the Line
A nominee director is not involved in executive decision-making. They do not manage the business or control finances. Instead, they act according to the Nominee Director Agreement and comply with local laws and regulations set by the Accounting and Corporate Regulatory Authority (ACRA).
Their role is limited to ensuring that the company meets legal obligations — nothing more.
What to Know Before You Appoint a Nominee Director for Your Singapore Company
- A clear Nominee Director Agreement must be signed when appointing a nominee director, outlining responsibilities and limitations.
- You are required to maintain a Register of Nominee Directors, which can be reviewed by ACRA upon request.
- Even though the nominee director has no operational control, they are still legally responsible and must act in the best interests of the company.
- Removing a nominee director or replacing or removing a nominee director must be done properly, with documented approval and notice to the corporate regulatory authority.
The Role of a Nominee Director — And What It Means for Your Business
If you’re a business owner setting up a company in Singapore, you’ll likely need a nominee director to satisfy legal requirements. While the role is limited to compliance with local laws, the impact is critical — ensuring your company stays in good standing with ACRA and the Ministry of Manpower.
A nominee director and the company director may be different individuals, but both must act in the best interests of the business. Appointing the right person is essential.
Want Peace of Mind? Let CFO Group Appoint Your Nominee Director — The Right Way
Tired of wondering if your nominee director will land you in trouble later?
At CFO Group, we don’t just “appoint someone” and call it a day — we protect your business like it’s our own.
- Full compliance with ACRA
- Iron-clad Nominee Director Agreements
- No interference with your ownership or control
- Trusted by 100+ foreign companies
Whether you're incorporating in Singapore or replacing an existing nominee, we’ll get it done securely, swiftly, and with zero stress on your part.
Stay compliant. Stay in control. Start right.
