Should I Switch My Corporate Secretary Partner?
A corporate secretary partner is essential to the success of a company or business. As a business owner, you need a reliable corporate secretary partner. However, when things do not seem to run well, you might ask, ‘should I switch corporate secretary partners?’ If you feel dissatisfied with the services of your corporate secretary partner, it might be time to find a better fit.
What is a corporate secretary?
A corporate secretary is a qualified individual that a company appoints to fulfill administrative and compliance duties. According to the Accounting & Corporate Regulatory Authority (ACRA) requirements, the process of a company's incorporation in Singapore is incomplete until a corporate secretary is appointed. All Singaporean companies are required to appoint a corporate secretary within 6 months of the date of incorporation.
What are the duties of a corporate secretary partner?
There are many duties that a corporate secretary performs. To help you better understand the term itself and its meaning, here is a list of what constitutes the duties of a company's secretary:
- Board meetings
- Annual general meetings
- Staying compliant with legal matters
- Maintaining statutory registers and records
- Communicating adequately with shareholders
- Guiding directors to fulfill their statutory duties and remain compliant
Signs I have to my switch corporate secretary
As a business owner, you might find yourself at crossroads with the poor performance of your corporate secretary partner. You might find yourself thinking, should I switch corporate secretary partners? Here are some signs to look out for;
- Your corporate secretary is a poor time manager, and you must wait days to receive query replies or crucial documents.
- Your secretary partner is unreachable when you need to contact them.
- They seldom remind you of crucial submission deadlines for compliance documents, and consequently, your company will be subject to fines and penalties.
- Receiving inaccurate or inadequate advice on the company matters
- Having inefficient communication or services provided by them
- Your corporate secretary is overcharging you for their service.
How to change my corporate secretary
If you are dissatisfied with your current corporate secretary, it might be time to change your partners. Here are the documents required when changing a corporate secretary;
- A Directors’ resolution in writing to show that the directors accepted the resignation of previous secretary and appointment of the new secretary
- A signed resignation letter from the outgoing corporate secretary
- To inform ACRA by submitting a cessation within 14 days from the resignation date
- Form 45B, which is the consent to service of the new corporate secretary
The new corporate secretary partner should assist in preparing directors' resolution in writing (DRIW) and other paperwork, including Form 45B and lodgment to ACRA. Once your existing company secretary steps down, a letter of resignation should provide as proof.
However, if your existing corporate secretary partner refuses to cooperate, things may get complicated. Frustration will arise when handling documents and filings as deadlines draw closer. Therefore, it is best to advise you to change your corporate secretary partner when your filing deadlines are not approaching soon.
Choosing the right corporate secretary
When the company secretary steps down from his position, the board of directors needs to select a new secretary for the company. At 6 months from the date of resignation, you will need to appoint a new corporate secretary. The criteria that ACRA has stipulated are:
- A natural person
- Residing in Singapore
- Not the sole director
- Someone with knowledge of Company’s Act and familiar with ACRA’s regulations
Today, there are a lot of companies that offer Company Secretary or Corporate Secretarial services. When choosing the best one, it is better to get references and clarifications to avoid misunderstandings. You can also get information regarding the company's flexibility, terms, and cost. Outsourcing your secretarial services will allow you to get the most out of your business and reduce your stress levels simultaneously.
A trustworthy corporate secretary partner is crucial to ensure your company stays compliant. Learn more about what to consider when picking a partner here!
Sprout With Us!
Switching a corporate secretary partner is easy with the help of a professional agent. At Sprout Asia, we provide experienced and reliable corporate secretaries to help your company achieve the desired success.
If you have any queries, contact us to arrange a complimentary consultation!