Can a foreign founder register a Singapore company without a single locally resident director? Under the Companies Act 1967, the answer is no — every Singapore company must have at least one director who is ordinarily resident in Singapore.
In this blog, we discuss the nominee director cost in Singapore for 2026. We explain how annual professional fees and refundable security deposits are structured. We also cover the conditions that must be satisfied before a deposit is returned.
What Is a Nominee Director and When Do Foreign Founders Need One?
A nominee director is a director who is accustomed or under an obligation, whether formal or informal, to act in accordance with another person's directions, instructions or wishes; a Singapore-resident nominee may be appointed to meet the local director requirement. The company's actual management remains with you and your appointed directors. Even so, the nominee remains independently responsible for statutory and fiduciary duties as a director and cannot simply follow a beneficial owner's directions.
Section 145 of the Companies Act 1967 requires every Singapore company to have at least one director who is ordinarily resident in Singapore. This includes a Singapore citizen, a permanent resident, or an eligible Employment Pass or EntrePass holder, provided the individual has a Singapore residential address.
For foreign entrepreneurs without a local partner or an eligible pass holder, the nominee director arrangement is the practical route to Singapore company incorporation. The nominee is appointed to the board for statutory compliance purposes only.
In practice, a reputable Corporate Services Provider will document the arrangement carefully. The nominee does not participate in management, financial or operational matters. Beneficial ownership information is recorded through the register of registrable controllers, which companies must set up and maintain unless exempt.
1. Statutory compliance only
The nominee lends their residency status to satisfy Section 145. They do not make business decisions, sign contracts, or operate bank accounts on your behalf.
2. Disclosure of beneficial owners
Unless exempt, the company must record the prescribed particulars of each registrable controller in its register of registrable controllers and file the information with ACRA. A registrable controller may differ from the registered shareholder, and the register supports transparent disclosure to ACRA.
3. A defined exit path
You may ask the nominee to resign at any time by identifying another person who satisfies the local director requirement. At that point, the security deposit becomes refundable.
How Much Does a Nominee Director Cost in Singapore in 2026?
At 3E Accounting, the nominee resident director fee is S$2,180 with GST per annum. The published annual fees start from S$2,834 with GST before the separately quoted required company secretarial retainer, made up of S$2,180 for the nominee fee plus the published starting fees of S$327 for annual tax filing and S$327 for registered address. The refundable security deposit — an indicative market range of S$2,000 to S$5,000 — and the required company secretarial retainer are separate, quoted case by case.
Nominee director fees in Singapore are quoted as an annual professional fee rather than a one-off charge. This is because the nominee carries continuing statutory exposure for as long as they remain on the board. Providers therefore price the service per annum, with the renewal aligned to the engagement.
Our published fees page sets out the current structure. In addition to the annual fee, a refundable security deposit is collected before appointment. Clients must also subscribe to our annual secretarial service and annual tax filing service, which keep the company compliant while the nominee serves.
The cost-components table summarises the typical cost components for 2026. Figures for our own services are stated with GST, as published on our fees page at the time of writing.
1. Annual professional fee
This compensates the provider for the nominee's continuing statutory responsibilities, including exposure to penalties for the company's compliance failures.
2. Refundable security deposit
A deposit is collected at the start of the engagement and held against the nominee's statutory risk. It is returned when the service terminates and all conditions are met.
3. Mandatory companion services
Annual company secretarial and tax filing subscriptions are required alongside the nominee arrangement, because a compliant company protects both you and the nominee.
Why Do Providers Collect a Security Deposit for Nominee Director Services?
A director in Singapore carries personal statutory exposure, and a nominee accepts that exposure for a company they do not manage. The security deposit exists to protect the provider against this risk.
If a company fails to file its Annual Return with ACRA, it may incur fines during the nominee's tenure. The same applies if it misses tax deadlines with the Inland Revenue Authority of Singapore (IRAS). The nominee faces the consequences alongside the company. The deposit gives the provider a measure of recourse where losses arise from the client's non-compliance.
It is important to distinguish the deposit from the annual fee. The annual fee is consumed as the service is delivered. The deposit is not a charge at all — it is held and returned to you when the engagement ends cleanly. The exact amount is quoted at the point of engagement and remains refundable under the conditions described below.
Nominee Director Cost Components in Singapore (2026)
| Cost component | Amount (2026) | Frequency | Refundable? |
|---|---|---|---|
| Nominee resident director fee (3E Accounting, with GST) | S$2,180 | Per annum | No — professional fee |
| Security deposit | Quoted at engagement | Once, at start | Yes — on clean termination |
| ACRA company registration fee | S$300 | One-off | No |
| Annual tax return filing (from, with GST) | S$327 | Per annum | No |
| Registered address (from, with GST) | S$327 | Per annum | No |
| Annual company secretarial retainer | Required companion service | Per annum | No |
What Conditions Must Be Met Before the Deposit Is Refunded?
The deposit is refunded once the nominee director service is terminated and the conditions below are met:
- all outstanding fees are settled
- statutory obligations are fulfilled
- the company's records are properly updated
Refund conditions are contractual, but reputable providers apply broadly similar standards. In our practice, the deposit is returned after the nominee's resignation or the company's striking-off, once the company's affairs are in order.
In practice, most refund disputes arise from unresolved compliance items rather than the termination itself. Businesses that keep filings current and fees paid typically recover the deposit in full and without delay.
1. All outstanding fees are settled
Annual service fees, secretarial retainer fees and any disbursements must be paid in full before the deposit is released.
2. Statutory obligations are fulfilled
Outstanding filings with ACRA and IRAS — including the Annual Return, Estimated Chargeable Income and Corporate Income Tax Return — must be completed or brought current.
3. A proper replacement or striking-off is effected
The nominee must be replaced by a qualifying locally resident director, or the company must be formally struck off, before the appointment ends.
4. Company records are updated
ACRA's records must reflect the change in directors, and statutory registers must be updated, closing out the nominee's exposure cleanly.
Which Ongoing Compliance Costs Should You Budget For Alongside the Nominee?
The nominee director is one line item in a broader annual compliance budget. Every Singapore company must file an Estimated Chargeable Income (ECI) within three months of its financial year end, unless waived. A Corporate Income Tax Return is due by 30 November of the following year.
For YA 2026, companies required to file must submit their Corporate Income Tax Return by 30 November 2026, unless IRAS has granted a filing waiver. This includes companies that made a loss or did not trade. Late filing or non-filing may attract penalties of up to S$5,000, and directors remain responsible even where a tax agent has been engaged.
Companies that are not eligible to dispense with AGMs must hold an Annual General Meeting. All companies must lodge an Annual Return with ACRA and maintain a registered office address. The table below sets out our current published fees for these companion services.
Annual Compliance Services and Published Fees (With GST)
| Service | Fee | Type |
|---|---|---|
| Company incorporation package | S$109 | One-off, plus S$300 ACRA fee |
| Nominee resident director | S$2,180 | Per annum |
| Annual tax return filing (ECI and income tax return) | From S$327 | Per annum |
| Registered address | From S$327 | Per annum |
| GST return submission | S$164 | Per job |
How Can You Keep the Total Cost of the Arrangement Down?
The total cost of a nominee director arrangement is driven less by the headline fee and more by how well the company stays compliant. Missed deadlines create penalties, and unresolved liabilities delay the refund of your deposit.
Our guide to Singapore company registration explains the full incorporation sequence for foreign founders. It includes the ACRA registration fee of S$300 and the appointment of a company secretary within six months of incorporation.
1. Bundle services with one provider
Engaging incorporation, secretarial, tax filing and nominee director services from a single Corporate Services Provider reduces friction and typically lowers the all-in cost.
2. Replace the nominee when you can
If you later obtain an Employment Pass or appoint a local director, terminate the nominee service promptly. The annual fee stops and the deposit becomes refundable.
3. Keep filings on schedule
Timely ECI, tax return and Annual Return filings protect the nominee. They also avoid penalties of up to S$5,000 and preserve your entitlement to a full deposit refund.
Conclusion
The nominee director cost in Singapore in 2026 comprises an annual professional fee of S$2,180 with GST at 3E Accounting. Your budget should also include a refundable security deposit and the companion secretarial and tax filing services that keep the company compliant. The deposit is not a sunk cost. It is returned once:
- fees are settled
- filings are current
- the nominee is properly replaced or the company struck off
We have supported more than 10,000 clients since 2011. Our team pairs professional expertise with technology-enabled processes and 24/7 support across time zones. Our nominee director service is offered for statutory compliance only, with clear written terms on deposit refunds from the outset.
If you are planning a Singapore incorporation and need a locally resident director, speak with our team. We will scope the full annual compliance budget for you. There will be no surprises when it comes to fees, deposits or refund conditions.
Plan Your Nominee Director Arrangement With Confidence
Get a transparent fee quotation covering the annual nominee director fee, security deposit and refund conditions — together with the secretarial and tax filing support your company needs.
Frequently Asked Questions
At 3E Accounting, the nominee resident director fee is S$2,180 with GST per annum, plus a refundable security deposit. You must also subscribe to annual secretarial and tax filing services, with tax filing starting from S$327 with GST.
Yes. The deposit is refundable upon termination of the nominee director service, provided all outstanding fees are settled, statutory filings are current, and the nominee is properly replaced or the company is struck off.
No. The service is offered for statutory compliance only. The nominee satisfies the local director residency requirement under the Companies Act 1967 but takes no part in management, financial or operational matters.
Yes. You may ask the nominee to resign at any time by identifying another person who satisfies the local director requirement, such as a Singapore citizen, permanent resident or eligible pass holder.
Yes, provided the arrangement is properly documented and beneficial ownership is disclosed in the company's register of registrable controllers maintained under ACRA's requirements.
Abigail Yu
Director
Abigail Yu oversees executive leadership at 3E Accounting Group, leading operations, IT solutions, public relations, and digital marketing to drive business success. She holds an honors degree in Communication and New Media from the National University of Singapore and is highly skilled in crisis management, financial communication, and corporate communications.
