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Company Formation Singapore



Nominee Shareholders in Singapore

Updated on Monday 18th December 2017

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Nominee-Shareholders-in-SingaporeShareholders in Singapore

According to the Singapore Company Law, every company must have at least one or two shareholders depending on the type of entity. The shareholder must be a Singapore citizen or have a residence permit. However, the legislation also allows foreign investors setting up companies in Singapore to appoint nominee shareholders who will act on their behalf. The nominee shareholder must appear in the Singapore Accounting and Corporate Regulatory Authority’s records and thus protecting the real owner’s identity.

If you want to open a company in Singapore and need nominee shareholder services, you can rely on our local consultants in company formation.

What is the role of the Singapore nominee shareholder?

The nominee shareholder will be entrusted to hold the shares on behalf of the company’s owner, also known as the beneficial owner. The nominee shareholder can be a private or a corporate entity and will sign an agreement attesting that they will hold the shares in the company and will return them or transfer them anytime. Nominee shareholders in Singapore are usually employed to maintain full privacy by the company’s owners and are required to act only as instructed by the beneficial owners. However, they have no access to the company’s bank accounts and cannot make any payments on behalf of the company.

If you need more information about the role and the duties of nominee shareholders, you can refer to our specialists in company registration in Singapore.

The nominee agreement in Singapore

When appointing a nominee shareholder, the owner of the shares will also draft a declaration of trust, also known as a nominee agreement which will be signed by both parties. Through the declaration, the nominee shareholder will acknowledge they have no right over the shares and that will transfer them whenever requested. Nominee shareholders in Singapore will also sign an instrument of transfer. These types of documents are usually undated.

Our Singapore company incorporation representatives offer a wide variety of services, among which nominee shareholders services. For complete information about the legal requirements for appointing a nominee shareholder, please contact our local agents.



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