New Zealand Resident Directors

[jryan54]

Hey Folks,

I wanted to open a discussion about New Zealand company incorporation and the NZ resident director requirement. Over the past few years there have been a bunch of changes in NZ companies and one of the last changes was a requirement to have an NZ Resident director on the company registration.

Now I understand how nominees typically work but this is a different level of legal obligation in that the resident director is literally legally liable to the regulator for any corporate misdeeds as well as all of the filing obligations etc. Subsequently, if something doesnt get done then they can and will be fined by the companies office/MBIE/FMA for any perceived failing.

So there is A LOT of liability that an NZ director takes on and im seeing quotes around the $7k mark for directorships now. I was seriously considering potentially doing it for a few people but i am just wondering how they get around the actual liability factor without literally having to manage the business.

Any insight?

 

[superman]

In Switzerland and Liechtenstein the director has must be all the time resident and is liable for this too.
On end it's all on reduce the risk as most possible: proper contracts, full control means they take care about accounting, filling tax and so on.
Additional every mail/letter/action/phone call or whatever is done is charged with a high rate, on top the accounting self.