How to register a business in Sri Lanka as foreigner

Since I lived in Sri Lanka and started my business here, I would have to say that this is, by far, one of the most common questions asked by other foreigners who want to move here, and that question is the following. How to get started A business in Sri Lanka.?

It is really a very simple process, I think that what confuses people is the lack of online information on how to do it, and besides, a lot of the information is really wrong! I will start by saying this: NO Needy you need a local business partner, and NO, you do not need to invest hundreds of thousands of dollars in the country, these are myths that are based on certain situations that may require these things, but in your situation, this It might not be the case.

Fully reserved areas for sri Lankan's

(foreigners cannot participate in these activities)

Money loan that is not the business of providing credits to investors to buy values of a company listed by a company registered as a provider of margin under the sec law

Stone broker

Coastal fishing

Retail trade with an investment less than us $ 1 million

Provision of security services, including the assessment and security management consulting to persons or private organizations

Areas in which only 40% foreign property is allowed

(if more than 40% required special approval required case by case)

• Shipping agencies
• Travel agency
• Freight transport
• Education
• Mass communication
• Fishing (deep sea fishing)
• Wood-based industries that use local wood
• Primary crop and processing of rubber tea coco cacao spices rice and sugar
• Mining and primary processing of non-renewable natural resources
• Production of products where sri Lanka exports are subject to internationally determined quotation restrictions.

Areas where approval of the line ministry is required the percentage of foreign property depends on the line ministry

• Great scale of mechanized mining of gems
• Lotteries
• Any industry that produces currency, coins or security documents
• Any industry manufacturing hazardous drugs, narcotic poisons hazardous or carcinogenic toxic material alcohols
• Any industry manufacturing weapons, ammunition, explosives, military vehicles and
• Equipment, aircraft and other military hardware.
• Air transport
• Coastal shipping

Areas where 100% foreign property is allowed 

Different industries in Sri Lanka have a different set of regulations regarding what percentage of a company can be owned by a foreigner, some industries do not allow any type of foreign ownership, some allow a maximum of 40% and others allow 100% To be owned by a foreigner. Below is a list of industries and what percentage of foreign ownership is allowed.

ANY INDUSTRY OTHER THAN THE 3 PREVIOUS CATEGORIES

As you can see, there are certain restrictions depending on the industry in which you want to do business. If you want to open a small retail company and be 100% of the shareholders, there are restrictions that do not allow it, since Small retail companies are reserved for the citizens of Sri Lanka. On the other hand, if you want to open, say ... a boxing gym (like yours really), then this can be done very easily, with little headache, and you can be the only shareholder.

Another thing to keep in mind is that all foreign-owned companies must have a local company secretary, which, in all honesty, personally I think is a great thing, as long as I can find a reliable and professional secretary to use. In general, most law firms and accountants will also act as company secretary for you as one of their services. You can find several online, however, I would definitely recommend who I use for my business, which you can find here:

I strongly recommend that your company secretary set up your business instead of doing all the steps yourself. There are several steps to follow, which personally, I think it is better to have someone who knows what you are doing to handle it for you. I have run a number of companies in Australia and it was still a great decision to spend that extra amount of money and have the registration process managed, instead of having to deal with the headache in a foreign country. !

Another way to set up a company here is through the BOI (Board of Investment). My knowledge about this is limited since I did not follow this path, however, I will tell you what I learned and see if it may be a more suitable option for you. 

 The BOI is designed as a 'Go To' place for foreign investors working on large scale projects in the country. To my understanding, in order to setup a company through the BOI, you must make an investment of a minimum of $250,000 USD into the company. Obviously this is a very large amount of money for a lot of people (myself being one of them) which is why I did not go down this road.

There are a number of favorable benefits to be had by setting up through the BOI, such as tax benefits and access to information for setting up your company in sri Lanka that you would otherwise need to be doing a lot of research to find. You will also be automatically issued an investment residence visa, which lasts for 3 years and can be renewed afterwards, which is not the case with taking the other option.

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Role and Duties of Company Secretary in Malaysia

It's past days when the company secretary is given a light-duty and is seen as an underdog in the company. Today, secretaries have been delegated with greater responsibility and more power because they are seen as the heart of the company. That said, company secretaries are expected to be ethical at all times because of the magnitude of the tasks they do.

What is the company secretary responsible for?

Every company registered as Private Limited (Sdn Bhd.) It is required to appoint a corporate secretary. This is not your general employee in the corporate secretary (also called corporate secretary). The role and duties of a company secretary in the Secretary's Association are regulated by the Malaysian company commission.

The following are some of the responsibilities of the company secretary.

Professionalism and the ability

The Secretary of the Company is expected to show professional skills and skills while following their duties and they should be licensed by the SSM.

Company Formation and enlistment

When you have decided to register a company in Malaysia, you must use the services of a company secretary to help you complete the company registration process.

Maintenance of Official Registration and Notebooks

Because of frequent contact with top management, the company secretary is expected to keep the directors informed about the latest developments in the company. In addition, they are expected to maintain an effective internal control system that ensures that Mandatory Registration and Notebooks are properly stored.

When you have decided to register a company in Malaysia, you must use the services of a company secretary to help you complete the company registration process.

Make sure the company complies with the law

The company secretary must ensure that all laws and regulations governing the company are obeyed. In addition, they must ensure that state law is also obeyed.

Preparation of Resolutions, Board of Directors Organizing Meeting

In a Corporate Council meeting, a company secretary must be present. If they cannot attend the meeting, they must find a representative to occupy on their behalf. In addition, company secretaries may not allow themselves or their representatives to be left behind at company meetings because they will jeopardize their duties and responsibilities for the preparation of resolutions and minutes of meetings as company secretaries.

Integrity in the company

Given that the company reports senior management and responsible actions for the company, the company secretary should always look at whether he has any problem. They should always defend right without any fear or help.

Conclusion

It is clear that all companies established in Malaysia are required to have at least one Company Secretary and that the company secretary must be an individual and resident in Malaysia and a member licensed by SSM.

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Online Company Registration and Formation in Malaysia

Malaysia, with a recent ranking, given by the World Bank, is considered to be the 6th top country in the world as the easiest and most friendly to do business. It is a vertical place of growth in terms of its stability, life at affordable prices, with a multitude of business investment opportunities.

Company registration is done by Suruhanjaya Syarikat Malaysia (SSM) or known as the Malaysian Companies Commission, based on the Malaysian Companies Act.

Company registration types in Malaysia:

In Malaysia, the foreign investor can invest mainly in two ways described below:

1. Limited company by shares: A limited company by shares can be incorporated by involving 100% foreign ownership, or as a private equity company, which can be identified by "Sdn. Bhd., Which appears with the company name or as a joint stock company, which can be identified by Berthed or "Bhd" which appears with the company name.

2. Unlimited company: In this category, an organization may be incorporated either as a private or public company, but the liability of its members must be declared in the Memorandum of Association as unlimited.

In Malaysia, foreigners are not allowed to incorporate exclusive property, enterprise or LLP companies in Malaysia.

Minimum requirements for company registration in Malaysia;

A. At least two directors;

b. At least two subscribers;

c. A company secretary, which may be either a professional member body prescribed by the Minister of Cooperation and Consumption of Internal Trade or a person who has been licensed by the Malaysian Commission of Companies (SSM)

Procedure for setting up a company in Malaysia:

The first and first step in incorporation is to check the availability of the proposed name, referring to the Government Gazette, which provides guidelines for the name of a company and for the application of the company name.

Steps involved in filling a name availability application are:

The application is registered in the application form for name 13A CA (Name Availability Request) with the proposed name, together with the payment of the prescribed fees for each name to the SSM.

After receiving a request, the SSM will verify and process the request, if the name is available then the same must be approved by the SSM and will be reserved for three months from the date of approval.

Within three months from the date of approval of the name, the following documents must be submitted to the SSM:

1. Memorandum and article of association
2. A legal statement of a director or promoter prior to the appointment that they are not bankrupt and was also not convicted and closed for any prescribed offense.
3. A statement from the secretary of the company whose name is included in the memorandum of association that all compliance with the registration has been complied with.
4. Together with the above documents, an original copy of the 13A name application form, SSM letter approving the company name and a copy of the proof of identity of each director and secretary of the proposed company must be submitted.

• After submitting the documents, if the SSM is in itself satisfactory, to believe that all the requirements provided by the law were drawn up at a prescribed fee then, a certificate of incorporation is issued.
• After incorporation, the company obtains the license / authorization / approval requested from the competent authorities before starting the activity.

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6 Steps of Sdn Bhd company registration Malaysia for nonresidents

Why company registration Malaysia?

When think to expand business in Asian country, Malaysia name will knock in mind at first. Considering good return within short period after company registration Malaysia is one country. There population density is lower and education rate is 100 percent. Income Tax rate, SST is six percent and manufacture company’s tax are 15%. It is a big market and many development cities, KL, Johor, Selangor, Johor Bahru (border of Singapore) & Penang. Operational cost is lower than many Asian countries and global banking facilities. Less corruption that is not measurable inspire foreign investors to register Sdn Bhd company in Malaysia.

Zero Step: Process of registration Sdn Bhd Company

Well, the process of registration a Sdn Bhd company is easy, as company secretary will prepare all documents. At First, a proposed name will be checked if available then register through SSM. The name will valid till 3 months and renew before expiring. Put signature on papers where investors basic information is written. Declare that you are not bankruptcy and never imprisonment by financial and crime activities. Pass photocopy of your passport copy to company secretary and let her prepare draft copies. Pay the fees to proceed next step of incorporation through SSM. For important information, before start of registration must meet with real company secretary. Wait until incorporation papers are received by secretary to your hand.

Step 1: Time and cost of incorporation

To register Sdn Bhd Malaysia company might need 3 to 5 days unless propose name creates any issue. As name rejection is common practice by SSM. If 2 words similar found common with existing company name will be rejected your one. You are advised to propose 3 names that will be longer let, (Your main name) Asia Construction Sdn Bhd. The government cost of Sdn Bhd company registration Malaysia in Ringgit 1060. But there are some other registration costs involve such as:

1.  Secretary Cost

2. Address Use

3. Bank account open cost

4. Printing cost

5. Buy super form

6. Advisory fees

7. Miscellaneous fees

8. Company seal

9. Company chop by secretary cost

10. Board Resolution cost

Go for a package with “S & F Consulting Firm” in Ringgit 4000/- in total and no extra cost will be charged within one year. You may take board resolution as maximum as need with free of cost. Package is right choice to pick avoiding hassle in further.

Step 2: Share and investment Capital

You need in Ringgit 4000 to 5000 at the beginning to show your share capital for any nature of business. Increase share capital after advisory with representative of S & F Consulting Firm as maximum as need. For general trading company, we recommend of share capital in Ringgit 5000 at most. For export and import nature of business, we recommend showing capital RM 500000. For manufacture company we recommend for in Ringgit 1 million of Malaysia company. Initial Investment capital in paper can show in Ringgit 5000. Open a company first then apply for other require licenses. You might worry how to remit 500000 in Malaysia from overseas. You can deposit in cash step by step to increase capital and is requested to speak with S & F team to guide you.

Step 3: Benefits of company registration

Expanding business in overseas is a dream of foreign entrepreneurs. Some benefits will enjoy registering a company in Malaysia. International business flavor will get opening a business in Malaysia. The better favor can enjoy in Singapore, but cost will increase 4 times more than Malaysia. Business transparency, talent staffs, international banking, earning Dollars will meet the dream. Tax rate is reasonable, 6 percent and no income no tax. You can apply for residence visa for yourself and foreign employees once complete the requirement. Currency rate is 4 times shorter than US Dollar and a sustainable market. No political issue created even. Road and highways are very clean and never find dirty to plan in any cities.

Step 4: Disadvantages of registering a company

Beside advantages, some disadvantages are there such as visa, bank account, caught by fake consultant etc. After company incorporation, whether you do business or not must submit annual return is matter of cost. Many cases are found bank account application is rejected without valid reason. Local banks completely discourage to open banks account if the shareholders are foreigners. You will like to apply for work permit to stray in Malaysia to look after business. But it is true that 98 percent of applications are rejected by immigration people. Now, how will you continue business as already invested huge volume of money. Many cases, flying secretary are caught that you never understand at the beginning. Later, at the time when post registration services just started will see the real problem. life will become hell and at an end wind up Malaysia business.

Step 5: Bank Account

Local banks will never assist to open bank account and revoke indeed if shareholders are foreigners. Your company is opened successfully but bank account still pending. You never be able to open bank account and time is going on and return submission time is near to door. Now, what will you do continue or wind up business? Are you worried about bank account being nonresident in Malaysia Company? We guaranteed you to open bank account with foreign banks, rate is 100%. Contact representative of S & F Consulting Firm as expert on Foreign Investment since 2012. Maybank, AM Bank, Public Bank, RHB and all renowned banks will reject your application is ensured 100%.

Step 6: Visa Issue and MM2H

How can you continue business unless obtain visa to live in Malaysia? Your application will be rejected 98% guaranteed. As visa is issued by immigration department and if they are satisfied in heart. You will submit along with all requirement and wait for 3 months to 12 months for the result. In that case, we recommend choosing MM2H, Malaysia My Second Home Program. Contact S & F Consulting Firm to guide you for MM2H. As it is 100 percent guaranteed of approval by 3-4 months.

Conclusion

There are many problems to do business in Malaysia still many opportunities inspire investors to start business. Like, MM2H is a good plan can choice to live in Malaysia for 10 years and do your own business. You are permissible to bring family members along with you and allowed them by law to live 10 years. Easy to earn Dollar as foreign clients always carry Dollar and Ringgit. That is more valuable than your own country. Government is transparent and behavior of people are wonderful. Do whatever you like and earn how you can by legal way. Investor will feel peace in in mind registering sdn bhd company.

Question and Answer

a)  Which bank is better for foreigners?

OCBC, UOB and Standard Chartered bank

b) How to start a business in Malaysia?
Contact S & F Consulting Firm to guide you.

c)  Do we need local partner to open a company?
No, no need at all.

d)    How to contact and find real company secretary?
Contact S & F Consulting Firm Asia Sdn Bhd. You will be allowed to discuss with their own company secretary about your business advisers.

e) How much fees should pay to consultant?
At the beginning 50% in advance and rest of them after company incorporation.

f) Can I get assurance of residence visa in Malaysia?
Yes, can. Apply for MM2H through channel of S & F Consulting Firm.

g) Can I hire nominee director?
Yes can, you can hire nominee director for the company by Ringgit 3000/ yearly fees.

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Signboard License Malaysia

How to apply of signboard license in Malaysia as local and foreigner? Actually, signboard license need to start business legally. Without signboard license doing business is punishable offence. Maximum amount of penalty might be country Ringgit 30000. So, never take lightly to obtain license. In case of Sdn Bhd company, after registering from SSM, apply of signboard license. You must have tenancy agreement and well decorated physical office. Virtual office holder is not allowed to apply of signboard. If business is located inside of business where seems signboard is unnecessary. But still signboard license is necessary where you hang in front or now. Never forget to renew before expiry of signboard. Signboard and premise can apply together. It is identity and brand of a business. When customers visit your office and found no signboard in front seems fake business. So, signboard play a viral role of your business, never underestimate. Following papers need to apply of license:-

• Tenancy agreement
• SSM copies and super form
• Take picture of place where signboard will hang
• Fill up DBKL form
• Take prior approval of Bahasa language
• Once approve then apply to DBKL, local council hall
• IC and passport of the shareholders

Premise license application process are as follows:-

• Take pictures of office furniture
• Fill up application form
• Draw layout of office
• Attach tenancy agreement

License is valid for 1 year and apply before expiry to extend. Many consultancy firms in Malaysia never advise customers what are the permissions need to run business. Once company incorporation is done by Secretary take money and secretary disappear. Now customers alone face problems are come back to expert to solve issue. All of them are company incorporation service provider and not a good adviser. We have noticed many company incorporation firms have borrowing secretary who will not come in office but execute services from its own work station. As a result customers do not get a proper guide line. 

DBKL and local council hall are responsible to issue signboard license for your company. DBKL also provide many other business licenses. Fees of signboard license are not more than Ringgit 2000 including professional change. To complete whole process will take 2-3 working days unless any serious issue comes in.

Apply of signboard license if try yourself will face problem. As you do not know the measurement and procedure of application. Bahasa language approval is must before submit to DBKL. Malaysia, there are many businesses opportunities and all of them need signboard. 

Contact "S & F Consulting Firm" to assist you obtaining signboard and premise license along with any business licenses. Export, import, halal, manufacture, kindergarten and many more licenses need to start business as nature of business.

Address: A-03-13 Tropicana Avenue, No 12 Persiaran Tropicana, Tropicana Golf & Country Resort PJU3, 47410 Petaling Jaya, Selangor, Malaysia, Contact: +6011 36 90 18 90 (Whatsapp available). 

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Top Accounting Firm in Bangladesh

Why S & F CONSULTING FIRM LIMITED is the best accounting firm in Bangladesh? Accounting services cover a) Bookkeeping b) Profit and loss accounts c) Journals d) Ledger e) Bank reconciliation. As Company Act 1994, all corporations have to submit annual return to Registrar of Joint Stock Companies and Firms (RJSC). Complete accounting report is looked into by Auditor with supporting papers. Once auditor is satisfied then signed by auditor to process of return.

How long takes

It depends number of business transactions and volume to prepare whole accounts. Besides sometimes raw data and supporting papers are not ready. Smart companies may have data entry accountant to keep update daily transactions in accounting system. Pick time takes longer May, June and July so it’s suggested to assign in off pick time.

How much is fees

A-Z preparation might be costly that around Taka 40,000/- and above. In case of fewer transactions accounting preparation might cost of Taka 20000-30000/-. Some of companies like to outsourced and ask to get monthly accounts report by limited budget, Taka 10000/-

What is the different between accounting and audit?

 Accounting- Profit and loss accounting preparation by whole years expenses and income information. To check monthly financial picture of business accounting is need. Accounting might prepare basis and monthly basis depends on company health status. Those have no own accountant can also have own profit and loss calculation.

Audit- A professional person who is eligible can deserve right to sign on accounting report. Auditor generally check accounting report and check all upon supporting papers. Audit might hold 2-3 times in big companies whereas small companies might have one in year.

Why need accounting service?

You like to hire an accountant in Bangladesh for your business? Salary might be Taka 25000-40000 per month. If you look for experienced have to top up salary at Taka 50K plus. Do you think your accountant is posting in proper way? Are you satisfy on accountant? External accountant can assist to give your right picture of financial as trustworthy. As outsourced accountant will know no one personally. And team of S & F Consulting Firm Limited are very strict to handle this case. Making happy to customers is first priority. You can outsource with S & F by your budget and get comfortable service as they are expert on Foreign Investment Law. Foreign Accounting service companies hire local accountant expert to meet customers need. S & F is base on Bangladesh who has Chartered Accountants in own.

You can contact as follows:

S & F CONSULTING FIRM LIMITED

Mirpur, Dhaka

Contact: +8801790220728 (WhatsApp)

Email: info@sfconsultingbd(dot)com

Why S & F Consulting Firm is the best?

S & F Consulting Firm Limited is a business advisory and accounting service provider only to FOREIGNERS. You MUST know foreign investment law (FDI) is different than local law. S & F is expert on FDI law and team of S & F well-known to handle foreign companies since 2012. Fee of S & F are not expensive but reasonable.

Small, Medium and Large Company service

As law, all companies have to submit accounts and audit report to Income Tax Department (NBR) and RJSC. So, why not contact S & F to guide you preparing accounting as FDI law. Why large industries will contact S & F as they have own accountants? External team can surgery your business to remove pain.

Our fees schedule

Business Volume (Taka)	Number of transactions	Fees (Taka) Yearly
10 Million	Less than 120	60000/-
Less than 20 Million	Less than 250	100,000/-
Less than 30 Million	Less than 400	150,000/-
Above 40 Million	Huge	Negotiable.

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How to apply signboard license Malaysia

Tips of signboard license Malaysia

1. Document

• To apply of signboard license tenancy agreement copy, layout plan, picture of office decoration are need to supply in DBKL (local counsel) office.

• Put company name properly in tenancy agreement and no partly rental agreement 

• Apply and wait for next 3-5 days to collect license

2. Cost

• Government fees in less than Ringgit 200 but in case of rural area cost might increase up to RM 2000.

• Professional fees Ringgit 2000/- 

• S & F CONSULTING FIRM will assist to apply and collect license copies (A-z service). 

3. Signboard size

• There is a size have to fix before application

• Along with location of signboard to hangout

• In terms of out side signboard hangup need to pay additionally, depend on size

Contact address
A-15-03 Tropicana Avenue, Petaling Jaya, Malaysia
Service: Company Registration in Malaysia for Foreigner, Accounting and Tax service.

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