The Evolving Responsibilities of Company Nominee Directors

Singapore has a longstanding reputation as an economic hub in Southeast Asia. Ranked as the second-easiest place to do business globally by the World Bank, the tropical island offers numerous incentives for your business to establish a presence. However, the process encompasses specific legal requirements, including appointing a nominee director to comply with local regulations.

What Is a Nominee Director? 

Under the nominee director subsection of the Singapore Companies Act, overseas businesses that seek to be incorporated in Singapore will need a resident director or local individual who meets the qualifications of a nominee director to ensure that their business is aligned with the regulatory compliance of Singaporean law.

What Are the Responsibilities of the Company Director?

The responsibilities of a nominee director, or company director, are clearly outlined under Singaporean law. They are expected to:

  • Act in good faith on behalf of the company they represent.
  • Convene an annual general meeting when necessary.
  • Approve annual audited accounts.

While the role is strictly non-executive and primarily for formalities, nominee directors must adhere to regulatory compliance requirements, such as ensuring smooth company operations. However, recent developments have suggested a potential shift in the role of nominee directors.

Regulatory Compliance Drives Changes to the Role of Nominee Directors

In the wake of recent conversations surrounding the role of nominee directors, there is a growing call for these individuals to take a more active role in developing the company in Singapore. These include creating business strategies and making leadership decisions, proving that they are qualified to take the role. To be able to step up to these changing responsibilities, nominee directors will need to possess the following skills:

Managerial Leadership

Strong managerial skills are crucial, as they set in motion the training and resources needed to achieve its goals. Managerial leadership also allows the director to oversee business operations effectively and delegate tasks to maximise time, resources, and productivity.

Strategic Decision-Making Skills

A nominee director must be capable of evaluating the organisation’s objectives, assessing potential risks, and making well-informed, strategic decisions that lead to growth and success. Such strategic decision-making calls for decisive leaders who can make prompt decisions when necessary.

Critical Analytical Skills

A nominee director needs to interpret information about their business objectives. By analysing insights from data about the company and industry, they can identify opportunities or challenges to encourage growth within the company.


Empathy may not be a goal-focused criterion, but it’s a critical skill that fosters growth within your company. By understanding the experiences and perspectives of others, these leaders promote values that enhance collaboration between team members, strengthening workplace relationships and boosting productivity.

Find The Right Nominee Director For Your Business

Expanding your business into a new economic region is a significant undertaking, and leveraging the expertise of companies that provide professional nominee director services in Singapore can ease the expansion process. Additionally, these companies also add value with supporting services, such as Singapore-based corporate secretarial services and company incorporation services, to augment your business administration process.

Start your business on the right foot by partnering with the right services today!