Local Resident Director Service
Meeting the statutory requirement for at least one resident director on the board of an Indian company, with a properly documented nominee arrangement that protects both the company and the nominee.
Every company incorporated in India must have at least one director who has stayed in India for a total period of not less than one hundred and eighty-two days during the financial year, which creates a practical requirement for foreign-owned subsidiaries and companies without a local promoter. A resident director service provides a qualified nominee to fulfil this requirement, backed by an indemnity agreement that limits the nominee's exposure to matters outside their actual control.
What our local resident director service covers
Meeting the legal requirement without exposing the nominee unfairly.
- Appointing a qualified individual as resident director on the company's board
- Drafting the nominee director agreement, including scope of duties and indemnity provisions
- Ensuring the nominee's DIN and consent to act as director are properly filed with the Registrar of Companies
- Clarifying decision-making authority so the nominee's role remains limited to statutory compliance, not operational control
- Advising on the nominee's liability exposure under the Companies Act and how the indemnity agreement addresses it
- Coordinating replacement or resignation of the nominee when the company appoints its own resident director
What a properly structured nominee arrangement includes
The protections that both sides need in writing.
Residency Requirement
At least one director must have been resident in India for a minimum of one hundred and eighty-two days in the financial year, a requirement independent of the company's actual ownership.
Indemnity Agreement
A written indemnity from the company protecting the nominee director against liability arising from decisions and actions outside their knowledge or control.
Defined Scope of Duties
The nominee's role and authority are clearly limited to statutory compliance functions, distinguishing it from an operational directorship.
Transition Planning
A clear process for resignation and replacement once the company identifies its own resident director or founder relocates to India.
Our process
From initial consultation to completion.
Requirement Assessment
Confirming the company's current board composition and residency compliance gap.
Nominee Appointment
Appointing the nominee director and filing DIN and consent forms with the Registrar of Companies.
Indemnity Documentation
Executing the nominee director agreement with clearly defined scope and indemnity terms.
Ongoing Monitoring & Exit
Monitoring compliance and managing the nominee's resignation once no longer needed.
Why nominee director arrangements need careful documentation
What sets our approach apart.
Directors carry personal liability under the Companies Act
A director, including a nominee, can be held personally liable for certain defaults, which makes a clear indemnity agreement essential before accepting the appointment.
Undefined scope creates confusion about actual authority
Without a documented scope of duties, disputes can arise over whether the nominee had, or should have exercised, control over specific decisions.
Exit planning is often left until it's urgent
Companies frequently delay identifying their own resident director until a deadline or dispute forces the issue, when a planned transition would have been simpler.
Local Resident Director Service questions answered
What people ask before engaging us.
Need a resident director to meet Companies Act requirements?
We provide the nominee, draft the indemnity agreement, and manage the filing and eventual transition.
