How to start a business in Malaysia

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How to start a business in Malaysia

July 12, 2020 company secretary malaysia Uncategorized 1
company secretary malaysia

How to start a business in Malaysia

Setting up a company in Malaysia using SDN BHD structure is the best choice for an Entrepreneur. One major advantage is that the income tax risk exposure is low.

company secretary malaysia


Malaysia Company Registration Benefits

  • Important Points to Consider Before Registering a Company in Malaysia
  • Business Entity Options in Malaysia
  • Incorporation of a Sdn Bhd Company in Malaysia

Malaysia has become one of the prime destinations in Asia for company registration. In Malaysia, foreigners can own 100% of the company if the company has been registered as a Sdn Bhd company.

The Companies Commission of Malaysia (SSM) is the governing body which oversees all company registration in Malaysia. The registration must be done through a local certified company secretary.

Permata Corporate Services provides company registration services and our one-stop solutions will serve every business need you have so that you may quickly and effectively register your company in Malaysia.

Malaysia Company Registration Benefits

  • Strategic location in Asia
  • Ranked 15th by the World Bank in 2019 for ease of doing business
  • No restrictions when it comes to repatriation of capital, profits, royalties, and dividends
  • Double taxation treaties with many other countries
  • Low start-up costs and rental rates
  • Those who register a Sdn Bhd company in Malaysia will experience the following benefit:
  • Limited liabilities
    Business continuity because a Sdn Bhd company will never expire
    Ease of acquiring loans
    Low income tax risk exposure
    Company is considered a separate legal entity

Important Points to Consider Before Registering a Company in Malaysia

There are certain points to be considered by those planning to register a company in Malaysia. They are as follows:

Business field
Business plan
Business entity
Licenses and approvals
Registration costs
In the case of foreigners, other problems which may specifically arise with regard to foreigners living and working in Malaysia

Business Entity Options in Malaysia

The types of business entities from which one may choose for the registration of a company in Malaysia are the sole proprietorship, partnership, and Sendirian Berhad (Sdn Bhd) company. The following paragraphs will explain more about the Sdn Bhd company and how one may be set up in Malaysia.

Incorporation of a Sdn Bhd Company in Malaysia

The process of registering a Sdn Bhd company in Malaysia is similar to the registration processes related to all of Malaysia’s other business entities. Before one may register a company in Malaysia, the prospective company owner is required to perform a company name search. This is a mandatory step. The chosen company name must be reserved for the incorporation process once it has been approved. The chosen company name will be reserved for a period of three months from the date of approval.

To register a Sdn Bhd company in Malaysia, the following are required:

Company name
Business activities
Registered office in Malaysia
Director who is at least 18 years old, not a convicted criminal during the last five years, not bankrupt, and either resides in Malaysia or holds any of the usable work visas
Corporate secretary who must be a member of any of the prescribed professional bodies, licensed by SSM, or both
Minimum paid-up capital of RM2
Copy of all directors’ and shareholders’ Identification Card (IC) or passport


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One Response

  1. Like!! Really appreciate you sharing this blog post.Really thank you! Keep writing.

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