Contact us now for more details
Guide for Foreigners Starting Business in Malaysia
Malaysia is strategically located at the crossroads of Southeast Asia, making it an ideal gateway to the ASEAN market. As a country that welcomes foreign investors, the country offers many business opportunities that connect to other ASEAN markets.
Starting a business in Malaysia
With its booming economy, Malaysia has become one of the top investment destinations in Southeast Asia. As the commercial hub of Southeast Asia, the country has attracted investors from all over the world. With its vast and well-developed transportation network, Malaysia is seen as a convenient place to do business, especially for those in the manufacturing, service or export industries. However, it is not easy for expatriates to start a business in Malaysia, so you need the help of this comprehensive guide below.
Step 1: Understand what businesses foreigners can engage in
The first step is to understand the types of business that foreign investors can engage in. Like many jurisdictions, Malaysia has several different types of business entities, and the type of business entity you choose affects compliance requirements, tax structure, etc. In Malaysia, foreign investors can choose to set up a local company or a foreign-owned company, but cannot set up a sole proprietorship or partnership unless they have Malaysian permanent residency (PR).
Generally speaking, private limited company, branch company and representative office are the three most commonly chosen business entities by foreigners in Malaysia.
Step 2: Register your company
Like many jurisdictions, Malaysia has its own company registration process and the Companies Commission of Malaysia (SSM) is the government agency responsible for handling company registration matters.
Below is a snapshot of the Malaysia company registration process :
Naming the Company
Search company names before registering
Submit registration documents to SSM within 3 months after company name approval
Pay the registration fee for the business entity of your choice, including the office/shop deposit and the initial deposit in the bank account
Apply for a business license, such as a Wholesale and Retail Trade (WRT) license
Opening a corporate bank account
You can refer to the key considerations for foreigners before starting a business in Malaysia .
Seek professional help
Opening a company as a foreigner is not easy, but the process becomes effortless if you have the right and reliable professional assistance, such as the assistance of our accounting firm. Our accounting firm is a reputable one-stop management solution provider and has been voted the number one online company registration website. We can help you set up a company in Malaysia, from registering the company, applying for business licenses to opening a bank account. In other words, with the professional assistance of our accounting firm, you can rest assured to expand and operate your business in Malaysia.
Contact us today to learn more!