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Frequently Asked Questions: Incorporation

What are the benefits of incorporating a company in Malaysia?

Establishing a company in Malaysia brings several advantages, including:  

  • Limited liability – Protect your personal assets from business obligations.  
  • Access to a growing market – Malaysia’s robust and expanding economy offers numerous opportunities.  
  • Government incentives – Benefit from tax incentives and rebates to foster business growth.  
  • Strategic location – Malaysia is a gateway for regional expansion across Southeast Asia.  

What types of company structures are available in Malaysia?

The primary company structures to consider include:  

  • Sendirian Berhad (Sdn Bhd) – A private limited company and the most popular choice.  
  • Public limited companies (Berhad) – Suitable for businesses seeking public funding.  
  • Limited Liability Partnerships (LLPs) – Blending the benefits of partnerships with limited liability protection. 

What are the requirements for incorporating an Sdn Bhd in Malaysia?

To incorporate an Sdn Bhd company, you’ll need the following:  

  • At least one resident director (a Malaysian citizen or a permanent resident).  
  • A company secretary certified by the authorities.  
  • A registered office address in Malaysia.  
  • A minimum paid-up capital of RM1.  

How long does the incorporation process take?

The process typically takes between 1 to 2 weeks. This time frame depends on the completeness of the submitted documents and the speed of regulatory approvals. 

Can a foreigner own 100% of a company in Malaysia?

Foreign ownership of companies is permitted, and foreigners can fully own a company in many sectors. However, some regulated industries impose restrictions or require specific approvals. 

What documents are required for company incorporation?

For a seamless incorporation process, the following documents are essential:  

  • Identification documents for all directors and shareholders.  
  • A proposed company name approved by the Companies Commission of Malaysia (SSM).  
  • A registered business address in Malaysia.  

What is the minimum paid-up capital for an Sdn Bhd?

The minimum paid-up capital required for an Sdn Bhd is RM1, making it accessible for startups and small businesses. 

Interested in incorporating your company in Malaysia? Reach out to our Business Support team for expert guidance and support! 

About the Author

InCorp Content Team

InCorp's content team includes talented copywriters from our regional group and globally. We contribute informative, thought leadership, and market-trending articles to guide aspiring business entrepreneurs to a higher level across the Asia-Pacific region.

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