According to the World Bank’s 2018 Ease of Doing Business ranking, Malaysia, which came in at number 24, is quickly gaining popularity as one of the top investment locations for conducting firm and establishing a business there. Although starting a business in Malaysia is not particularly challenging given its high rating in the article, it might be a daunting endeavor without the right information on how to register a business in Malaysia and get started. Considering launching you own business in Malaysia and deciding what to do first?
Understanding the procedures involved in establishing a business is helpful and crucial for people beginning new enterprises in Malaysia. Although the steps here will walk you through them.
These are the three steps to starting a business in Malaysia:
Step 1: Registration preparation
Step 2: Registration
Step 3: Post-registration
Step 1: Registration Preparation
Choosing the appropriate business structure for your desired firm, choosing a company name, deciding, and appointing competent official, registered office requirement and capital needs are the initial steps in establishing a company.
The preparation procedures for registering a corporation are outlined below.
Choosing a business structure
Selecting the appropriate business entity is the first step in creating a company in Malaysia.
To choose which entity best aligns with your aims and objectives, you should conduct study on each one.
Malaysia business entities include:
* Sole proprietorship
* Limited Liability partnership
* Private limited company
* Public limited company
* Branch office
* Representative office
* Subsidiary company
Decide on officers and share of your company
* Minimum: One Director
* Maximum: Unlimited
* Must be a natural person
* Aged 18 and above
* Minimum: one shareholder
* Maximum: Unlimited (Limited to fifty for private limited company)
* Can be individual or body corporate
* Minimum of one company secretary who is a member of any professional body or licensed by the SSM
* It requires you to have a registered office address to receive formal communication and documents from the government.
* Minimum: RM 1
Step 2: Registration
The nest step after finishing the preparatory is to register your business with the relevant Malaysia authorities.
In this stage, you will learn that steps to take and which paperwork you’ll need to register your business.
Registering your company
The SSM must have the company named registered.
Upon approval, the name will be held for 30 days starting on the day of confirmation and can be extended for an additional 30 days for RM 50.00.
The following paperwork required to incorporate your business:
* Constitution (Optional)
* Declaration by the director or promoter before appointment
* Declaration of compliance
* Copy of the identity card of every director
Stay tuned for the final steps where we talk about post-Registration, what you have to do after you register your company.