Choose a structure
Nominee and local-director services: ask who controls what
If an incorporation proposal includes a local or nominee director, take time to understand the role before signing. A low annual fee does not explain decision-making powers, responsibilities or the conditions under which the service can end. Start with why the arrangement is needed for your particular company.
Clarify the legal role and the commercial service
Ask a qualified local adviser to explain the duties attached to the role and whether the proposed arrangement is appropriate. Distinguish a director from a company secretary, registered agent or contact person. These titles should not be used interchangeably. Ask which decisions require approval and which person is authorised to act for the company.
Map access and authority
List who can sign contracts, make filings, change ownership records and authorise payments. Agree on reporting and communication expectations. Do not assume a private promise removes duties imposed by law or makes misleading registry information acceptable. Request legal review of documents you do not understand, particularly broad powers of attorney.
Plan replacement before a dispute
Ask how resignation, replacement and termination work, what notice is required and who files the change. Establish how records are handed over and whether fees continue during the transition. If the role is required, identify how the company will remain compliant while replacing the provider. Keep copies of signed agreements outside the provider’s portal.
Put it into practice
- Confirm why the role is needed.
- Understand duties and decision powers.
- Review signing and banking authority.
- Agree information-sharing and handover procedures.
- Get independent advice on unclear legal documents.
Your next step
Before paying, draw a simple authority map showing who can do what. If the provider cannot explain the arrangement clearly, do not treat a reassuring label as a substitute.
Official sources & scope
Official setup guidance distinguishes directors, shareholders and other company roles. This article offers questions to raise; it does not endorse nominee arrangements or assert that they are lawful everywhere.
General planning information. Country-specific rules and individual circumstances need separate verification. Examples are illustrative; no savings or application outcome is guaranteed.