Who can and cannot be a company director? 

Who can and cannot be a company director?  

There are numerous factors in agreeing on who should be appointed as a Company Director. Being a company director is not a minor issue, because distant from the big-picture obligations of a Director to govern the overall improvement of the company’s business, a Director moreover has responsibilities to be fulfilled in working honestly and to utilize adequate persistence in the discharge of his responsibilities. The person who is appointed as a Company Director will moreover have to work in good morality in the interests of the firm; act with outstanding care and mastery; avoid confrontations of interests; and utilize his strengths for proper purposes, etc.

This is particularly true if you are not established in Singapore, and will be evacuating the business actions and/or the running of the business to the Director who is established in Singapore. Your Director will have to assure that he/she complies with all the regulations and laws pertained to the exercise of his abilities in the role of Director.

Who can be a Company Director?

To be appointed as a Company Director, a person must be-

  • A normal person is ordinarily a citizen in Singapore-ideally a Singaporean inhabitant but can be a Singapore Permanent Resident or an individual with an Employment Pass/ Dependent’s Pass.
  • Minimum age of 18

Who appoints a Company Director?

Directors are appointed by the shareholders. After the online company incorporation by Heysara they manage or direct the affairs of a company and commonly formulate just the main business decisions. They appoint and monitor the actions of the officials.

Who cannot be a Director?

The following will disqualify an individual from coming to be the Director of any company:-

  • An undischarged bankruptcy;
  • A person sentenced in Singapore or elsewhere to any offense implicating fraud or corruption punishable with custody for 3 months or additional;
  • An incapable director of another firm;
  • A director of a firm which was wound up on floors of nationwide safety or interest;
  • An individual condemned in Singapore for any offense with the formation or management of a firm;
  • An individual who has been convicted immoral of 3 or more offenses in association with the statutes of the Companies Act within 5 years.

Statutory Duties

The statutory responsibilities of the Director are sketched in the Companies Act, namely Sections 145, 156, 157, 165, and 197. These are relatively distinct from the responsibilities of a Director under common law.

Other Company Director duties under common-law

The Director’s responsibilities under common-law are namely as follows:-

  • To act in promising faith in the firm’s interests

The corporation’s interests are its interests as a distinct legal entity. It comprises the interests of all its partners and workers. A director should not perform any act to increase his interests.

  • To act with outstanding care and mastery

The director is compelled to practice acceptable care and skill in attempting his duties.

  • To avoid conflicts of interests

The director must prevent conflicts between his interests and those of the corporation. A director who is in any way, whether directly or indirectly, interested in a transaction or formulated transaction with the corporation shall as soon as feasible after the pertinent facts have to appear to his understanding declare the essence of his interest at a committee of the directors of the company.


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