Singapore Small Business Tips: Appointing Foreign Directors
Appointing foreign directors in Singapore is a strategic move many small businesses consider as they grow and expand. With the right compliance in place, foreign talent can bring global perspectives and business value. If you’re a Singapore small business owner navigating this process, it’s essential to stay on top of legal and procedural requirements. That’s where corporate secretary services in Singapore come in—they help keep your company compliant, organised, and informed.
1. Who Can Be a Director in Singapore?
According to the Accounting and Corporate Regulatory Authority (ACRA), every private limited company in Singapore must have at least one director who is:
- At least 18 years old
- Of full legal capacity
- Ordinarily resident in Singapore (e.g. a Singapore Citizen, Permanent Resident, or EntrePass holder)
Foreigners can also be appointed as company directors, but they cannot be the only director unless they meet the local residency requirement.
2. Appointing a Foreign Director: Key Considerations
If you plan to appoint a foreign director, you’ll need to ensure the company still meets Singapore’s director residency rule. Here’s what you should know:
- Local Resident Director Requirement: You must still appoint at least one director who resides in Singapore.
- Pass Holders: Foreign directors who wish to manage the business from Singapore may need to apply for an Employment Pass (EP) or an EntrePass, depending on their role.
- Remote Oversight: If the foreign director will operate from overseas, no work pass is needed—but proper reporting and documentation should be in place.
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3. Documentation and Filing Requirements
Proper documentation ensures your business stays compliant. When appointing a foreign director, you’ll typically need:
- A Board Resolution confirming the appointment
- A Consent to Act as Director form signed by the appointee
- Copies of the director’s passport and proof of overseas residential address
- Updated BizFile+ records submitted to ACRA within 14 days
4. How CorpSec Services Help
Corporate secretarial (corpsec) services in Singapore play a key role in keeping your business compliant—especially when foreign directors are involved. These services can support you by:
- Ensuring accurate and timely filing with ACRA
- Maintaining statutory registers
- Preparing necessary resolutions and consent documents
- Keeping track of ongoing compliance requirements
For small businesses, working with a trusted corpsec partner means fewer risks of non-compliance and penalties.
Summary
Appointing foreign directors can help Singapore small businesses expand their reach and gain international insight. However, local residency requirements and documentation obligations must be followed carefully. With the support of professional corpsec services in Singapore, you can stay compliant while focusing on your business growth.
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Running a company in Singapore can be challenging, but with professional support, it can be simple. Counto’s goal is to take away the complexities of compliance, and save you time and money throughout the year. To learn more, speak to us directly on our chatbot, email [email protected], or use our  contact form to get started.