1. Missing Statutory Filing Deadlines

One of the most frequent errors is failing to meet deadlines for the Annual General Meeting (AGM) and the filing of Annual Returns (AR).

• The Mistake: Companies must hold their AGM within six months of their Financial Year End (FYE) and file their AR within seven months of the FYE. Missing these deadlines results in late filing penalties that can escalate quickly.

• How to Avoid It: Maintain a strict compliance calendar with automated reminders for your AGM and AR deadlines. Engage a professional corporate secretarial service like Mezzanine Enterprise to manage these timelines on your behalf, ensuring all filings are prepared and submitted on time.

  • Here’s what to do if you miss your ACRA filing deadline: https://www.mezzanineenterprise.com/guide/missed-acra-filing-deadline

2. Improper Management of Statutory Records

Singapore law requires companies to maintain accurate and up-to-date statutory registers. These are official records of the company's governance and structure.

• The Mistake: Failing to properly maintain key registers, such as the Register of Members, Register of Directors, and the Register of Registrable Controllers (RORC), is a serious compliance breach. Incomplete or inaccurate records can cause significant issues during audits, fundraising, or due diligence.

• How to Avoid It: Ensure all changes to your company's structure, such as share transfers or changes in directorship, are recorded in the statutory registers immediately. Your company secretary is responsible for the meticulous upkeep of these records.

3. Incorrect Handling of Board Resolutions

All significant corporate decisions must be formally approved and documented through board or shareholder resolutions.

• The Mistake: Proceeding with corporate actions, such as opening a bank account or allotting new shares, based on informal agreements without passing a formal, written resolution is a common error. This renders the actions invalid and leads to disputes.

• How to Avoid It: Implement a formal decision-making framework. Ensure that a board resolution is drafted, circulated, and signed by the directors for every important corporate action. These signed resolutions must be filed and maintained as part of the company's official records.