A nominee director is different from other board of directors as he is supposed to work according to the interests of the particular stakeholder who has appointed him whereas the others work only in the interest of the company. Sometimes, conflict of interest arises and the nominee director has to exercise his duties with the interest of the company and the appointer in mind. However, conflicts usually arise when the company is on the brink of insolvency.
Nominee services are used by stakeholders all over the world to conceal their identity. An official agreement between the nominee director and the appointer indemnifies the nominee director and gives him every right to pursue the particular interests of his appointer. It is a management tool that has been in existence for a long time in many countries including Georgia. The pace of economic growth of the country is enhancing by leaps and bound which is why it is a go-to location for many well-established businesses who want to stretch their wings over Eurasia.
Why You Should Go For Nominee Director Services in Georgia?
There are numerous advantages of having a nominee director in Georgia other than the one that it conceals the identity of the appointer.
- A nominee director can be appointed or removed at any point in time as per the wishes of the stakeholder looking for such services.
- Even though you give the nominee the right to take care of your interests, you still have all the actual powers.
- It provides the stakeholder the flexibility to venture into other business territories without being continuously pulled down to make sure that the decisions taken by the board are in his/her interests too.
- The nominee director can be of any nationality. It is not mandatory that he/she has to be a natural Georgian citizen.
- Actual power to take corporate and management related decisions still lies with the appointer meaning you still have full control over your business. So sit back and let the nominee do what he is doing and if you find any problem anytime then you may go for another one.
- A nominee director does not interfere with the work and tasks of the management. The nominee doesn’t have such rights unless stated by the appointer.
- A nominee director is someone who is there to serve legally as a director. He is there to sign contracts, corporate documents and handle very simple administrative tasks.
- Appointing a nominee adds a little twist when someone is trying to connect the dots between you and the company and makes it a little hard.
- Such services give the stakeholder the advantage to avert or slow down the people who might try to bring lawsuits against him/her.
Now, you must be convinced that the advantages of using nominee director services are quite numerous. Other nominee services are also available and used by many organizations in Georgia. These include nominee shareholder and nominee secretary too. These are also deployed to keep confidentiality, give the flexibility to take on extra things on your plate and keep you safe and secure from non-governmental entities. A nominee director or shareholder can be employed either by an offshore company or other legal entities. Another reason why businesses go for such services is to give layers of protection to the strategies they deploy in terms of assets allocation, investment options and their financial portfolios from their actual and potential competitors. One thing that should be kept in mind while going for such services is that the confidentiality that you are looking for through these services is only from the public and not from the government. Even though this is legitimate it doesn’t keep you away from the eyes of the government officials.
Business Setup Worldwide is a platform for all the entrepreneurs and businesses to get in touch with our experts in Georgia that will give you the much-needed advice in setting up your business in Georgia and many more services that one looks for while company registration in Georgia. Our experts give customized services according to your needs and requirements. Before jumping on the wagon of deploying such services for your business, you can contact us and talk to our advisors.