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.