Appointing a Local Director for your Singapore company
3 Practical Solutions for Foreign Entrepreneurs
Appointing a Local Director for Your Singapore Company
If you’re planning to incorporate a company in Singapore but are not a resident, you’ll need to meet a basic legal requirement: every Singapore company must have at least one local director.
This can seem like a roadblock — but there are three clear solutions, each with pros and cons. Whether you’re relocating to Singapore or running your business remotely, there’s a viable way to appoint a local or nominee director while staying compliant.
Why Is a Local Director Required?
Under the Singapore Companies Act, all private limited companies must appoint at least one director who is “ordinarily resident” in Singapore.
This means:
✅ Singapore Citizen or Permanent Resident
✅ Employment Pass or EntrePass holder
✅ Dependent Pass or LTVP holder with LOC (in some cases)
Foreigners cannot incorporate a company in Singapore without fulfilling this condition — but that doesn’t mean you must relocate. Let’s explore your options.
Option 1: Apply for a Work Visa & Appoint Yourself
If you’re planning to move to Singapore and run the business full-time, you can apply for an Employment Pass (EP) or EntrePass.
Employment Pass:
Suitable for directors, founders, CEOs
Requires minimum salary (S$5,600/month in 2026, rising to S$6,000 in 2027)
EP must be tied to a Singapore company
MOM generally expects the company to show real business activity and reasonable capitalization — there’s no fixed legal minimum, but very thin companies attract more scrutiny
Note: You can’t apply for an EP until the company is registered — but you can’t register the company without a local director. So, you’ll still need a temporary nominee director during the application process.
EntrePass:
Designed for startup founders
Allows pre-registration application
No need for nominee director if approved
Stricter requirements (innovative business, funding, track record)
✔️ Best for: Entrepreneurs with serious plans to relocate and run operations from Singapore
✖️ Limitations: Longer processing time, approval not guaranteed, higher capital requirements
Option 2: Appoint a Nominee Director
If you don’t plan to relocate, the most practical path is to engage a nominee director in Singapore — a local individual appointed purely to meet the regulatory requirement, not involved in day-to-day operations, and serving under a formal agreement with defined responsibilities and indemnity.
✔️ Best for: Foreign owners operating remotely
✖️ Limitations: Annual fees apply; choose only licensed providers
Read our full guide to nominee director services → — covers the agreement structure, costs, legal duties, and how to choose a provider.
Option 3: Appoint a Local Employee as Director
If your Singapore company will hire local staff, you can appoint one of them as a resident director.
Suitable candidates:
Senior staff (managers, heads of department)
Trusted administrators with long-term plans in the company
Local employees with clear employment contracts and responsibilities
✔️ Best for: Companies setting up an actual local office with Singapore-based staff
✖️ Limitations: Hard to implement during early stages or remote-only setups
You may also combine solutions — e.g., appoint a nominee director temporarily until a local hire is ready to take over.
Switching Options Later Is Normal
Business needs evolve. It’s common to:
Start with a nominee → then switch to EP or local hire
Apply for EntrePass → fall back on nominee if rejected
Begin with a local staff member → upgrade to director-shareholder later
We can guide you through transitions, ensuring no lapse in compliance or risk exposure.
FAQs – Local/Resident Director in Singapore
What is considered a “local director” in Singapore?
Someone who is ordinarily resident — citizen, PR, or valid long-term pass holder (EP, EntrePass, etc.).
Can a nominee director be held legally responsible?
Yes. Even if passive, the nominee is a legal director and must ensure compliance with ACRA and Singapore laws.
How long do I need a nominee director?
Only until you appoint your own local director (via visa or local hire). Many clients use nominee services indefinitely if operating remotely
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