How to register a company in Malaysia

All you need to know to on how incorporate a company


7/6/20212 min read

How to incorporate or register a company in malaysia
How to incorporate or register a company in malaysia

A private limited company (Sdn Bhd) is the most common type of business entity that is  incorporated Malaysia. Unlike a sole proprietorship or partnership, a private limited company has its own separate legal entity. It can acquire its own assets, go into debt, sue or be sued in its own name.

This allows the business owner to keep their finances and assets separate from the business. It means that the investors / shareholders, are only responsible for any company debts up to the amount that they have invested and nothing more.  There is no risk to the business owners' personal wealth. 

 A  Sdn Bhd  is required to have a minimum of one (1) director and one (1) shareholder. There must be one (1) director who is ordinarily resident in Malaysia. Thus, a Sdn Bhd can be 100% (wholly) owned by a foreigner, provided there is one director who is a resident of Malaysia. Read the SSM guidelines on incorporating a Company here. 

To register a Sdn Bhd company in Malaysia, you would need to decide on the Company name, the nature of business,  the directors who are at least 18 years and above, not a convicted criminal during the last five years, not bankrupt, and either resides ordinarily in Malaysia and /or holds any of the usable work visas. You would need to provide the directors’ and shareholders’ identification documents  and /or passport as well as supporting documents that establish residency in Malaysia. 

Setting up a Private Limited Company / Sdn Bhd has advantages. The shareholders are not liable for any company debts beyond their share capital, the shares are easily transferable, there is no expiry date on a Sdn Bhd, it is easier to obtain financing facilities such as loans  and overdraft facilities. There are also tax advantages & savings. 

Incorporation of your Sdn Bhd is easy. We will help you set up your company without you even having to leave home. Do the whole process online in the comfort of your own home. We provide a full range of support and advisory services to ensure that you comply with the relevant legislative requirements at all times. There can be minimal office visits as we conduct most of the processes online.