1. Choose Business Structure
- Sole Proprietorship / Partnership
- For small businesses.
- Owner(s) personally liable.
- Private Limited Company (Sdn. Bhd.)
- Most common.
- Separate legal entity, limited liability.
- Better credibility, scalable.
2. Decide Company Details (Sdn. Bhd.)
- Company name (approved by SSM).
- Business activities (based on MSIC codes).
- Paid-up capital
- RM1 minimum allowed, but unrealistic for banking/credibility.
- Registered office address in Malaysia.
3. Shareholders & Directors
- Minimum 1 director:
- Must reside in Malaysia.
- At least 18 years old.
- Minimum 1 shareholder (can be same person).
- Foreigners allowed (with extra compliance).
- 100% foreign ownership possible in many sectors, but not all.
4. Company Secretary
- Mandatory.
- Must be appointed within 30 days of incorporation.
- Handles statutory compliance and filings.
5. Incorporation with SSM
- Done via SSM MyCoID system.
- Typical process:
- Name search & reservation
- Submit incorporation documents
- Timeline: 1–3 working days if documents are clean.
6. Open Corporate Bank Account
- Usually requires:
- Certificate of Incorporation
- Board resolution
- Director(s) presence (often physical)
- Banks may reject low paid-up capital or high-risk industries.
7. Post-Incorporation Registrations
- LHDN (Tax) – Corporate tax file.
- EPF, SOCSO, EIS – If hiring employees.
- SST registration – If revenue exceeds threshold or required by business type.
- Industry-specific licenses (education, food, finance, etc.).
8. Ongoing Compliance (Sdn. Bhd.)
- Annual return to SSM.
- Annual audited financial statements.
- Corporate tax filing.
- Director resolutions & statutory records.
Rough Cost (Local Setup)
- Incorporation + secretary (basic): RM1,200 – RM3,000
- Annual compliance (secretary + audit): RM2,000 – RM6,000+
