In Singapore, every company is required to appoint at least one resident director, who can be a Singapore citizen, permanent resident, or someone holding an eligible employment or dependent pass. Resident directors have important legal responsibilities and must act in the best interest of the company.
Compliance with the Companies Act: Directors must ensure the company complies with all statutory requirements, such as annual filings, maintaining accounting records, and holding annual general meetings (if required).
Fiduciary Duty: A director must act honestly, avoid conflicts of interest, and exercise powers for proper purposes. They are expected to prioritize the company’s interests over personal gain.
Duty of Care and Skill: Directors must perform their duties diligently and make informed decisions. This includes understanding the company’s business and financial status.
Financial Oversight: Directors are responsible for the accuracy of financial statements and ensuring the company is solvent.
Statutory Responsibilities: Directors must keep ACRA informed of any changes, such as updates to the registered address, share structure, or company officers.
Failure to fulfill these duties can lead to penalties, disqualification, or personal liability under Singapore law.
