Yes, you can at any time ask the designated director to resign by identifying another Singapore resident as appointed director. Every Singapore-based company needs at least 1 local director from Singapore. It is therefore necessary to appoint a local director for your business if you do not have one. The approach we are proposing is to establish in the articles and service agreements that the company compensates directors to the extent permitted by law, provided that the broadcast values are set from time to time. It should be noted that the exclusions/qualifications in determining directors` compensation provide for the minimum standard under the law and that the company has the power to add new exclusions/limitations. Adopting this approach will give directors some degree of certainty that they are protected to the extent permitted by law, while providing the company with the flexibility to protect its interests by reducing, if any, compensation to directors (see below). We also recommend that the articles provide that the company can acquire and maintain an OD insurance that assumes the responsibility of the directors in the event of negligence, delay, breach of obligations or breach of trust in the company. A nominal director takes a significant risk. If the company or its “real” directors break a law, the ND is also on the sidelines with the Singapore authorities. While the powers of the ND are very limited, its liability is not – serious violations of company law can lead to lawsuits against the ND.
Of course, in such cases, the Singapore authorities will also look after foreign owners and directors and follow them to the full extent of the law. Singapore`s laws are simple and simple, but the government takes a serious view of their respect to protect itself from bad players. In this case, we offer you his service as nominated director. Normally, foreigners wishing to join businesses in Singapore must find a Singapore resident who plays the role of director. If you hire us, Transcend Consulting will provide one of its employees as a nominated director in your company. If you do not relocate any of your employees to Singapore, we can offer this service to you every year. Even if you plan to transfer someone or move yourself, either on a EntrePass or a job passport, you will need this service for at least some time during the period during which your work card will be processed.