Nominee Director Malaysia
According to the Companies Act 2016 of Malaysia, all companies must have at least 2 directors who should be Malaysian residents. Nominee director services let you have a director for your company to help meet all the statutory requirements and this nominee director will not have any power over your company`s financial aspects. Nominee director responsibilities and obligations are not exactly the same as those imposed on any regular director by the common law and the Companies Act of Malaysia.
Nominee Director Responsibilities
If you are a foreign investor who is starting a business in Malaysia then you need not worry about the ownership of your company as foreign investors are allowed 100% ownership of the business and they need only appoint a director who is a resident of Malaysia or better yet you should go for nominee director services.
- A nominee director doesn’t hold any number of shares of the company.
- He/she does not interfere with the business operations of the company.
- He is not a bank signatory of the corporate bank account. So rest assured, all your company finances are protected.
- A nominee director only represents the interests of his nominator.
- When a conflict of interest arises between the nominator`s interests and the company`s, a nominee director must avoid it as per his fiduciary duty.
All the services provided by a nominee director are restricted to statutory compliance. Even though a nominee director is not someone who is involved in a company`s management, operations or financial aspects, he still can help in organizing annual general meetings and making sure that annual returns are filed in time so that your company doesn’t face any penalties. He/she can also make sure that the interests of his nominator are not trampled on by any of the other shareholders.
Due diligence on your part is required before you go for nominee director services. A thorough nominee director agreement should be conceived detailing all that you require and expect from a nominee director and all that he/she can or cannot do.
Business Setup Worldwide provides nominee director services in Malaysia that can help speed up your company registration process and if you are also looking for someone for company registration in Malaysia, then voila! as we also provide that. All you got to do is, contact us, sit back and relax while we take care of the company registration procedure. The experts at Business Setup Worldwide also provide other services in Malaysia such as accounting and bookkeeping, intellectual property services and company secretarial services.
