Malaysia

Starting a Business in

Malaysia

Listed below is a detailed summary of the bureaucratic and legal hurdles an entrepreneur must overcome in order to incorporate and register a new firm, along with their associated time and set-up costs.  It examines the procedures, time and cost involved in launching a commercial or industrial firm with up to 50 employees and start-up capital of 10 times the economy's per-capita gross national income (GNI).

The information appearing on this page was collected as part of the Doing Business project, which measures and compares regulations relevant to the life cycle of a small- to medium-sized domestic business in 183 economies. The most recent round of data collection for the project was completed in June 2011.

  • Standardized Company

  • Legal Form: Sendirian Berhad (Sdn. Bhd.) - Private Limited Company
  • City: Kuala Lumpur

About This Topic

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No. Procedure Time to Complete Associated Costs
1 Application to the Companies Commission of Malaysia (CCM) on the prescribed form (13A) to ensure the availability of the proposed company's name

Name search can be conducted online and payment can be made online
1 day MYR 30 per name search application
2 Company Secretary prepares company incorporation documents

A company secretary is required to prepare the incorporation documents and provide a statutory declaration of compliance (Companies Act 1965).
3 days MYR 1000
3 File necessary documents with the Companies Commission of Malaysia (CCM) one-stop shop and obtain company incorporation, tax registration, as well as registration with the Employment Provident Fund (EPF), Social Security Organization and the Inland Revenue Board

Comment: Promoters must pay the registration fee and file the following incorporation documents with the Companies Commission within 3 months of name reservation:
- The memorandum and articles of association and the statutory declaration of compliance (Form 48A) (prepared by a lawyer or the company secretary).
- The particulars of (a) two subscribers holding a minimum of one share of MYR 1 each and (b) At least two directors who have their principal or sole place of residence in Malaysia.
- The original Form 13A and a copy of the letter from the CCM approving the name of the company have to be attached as well.
- The address or location of the registered office.
- Form 6 (statutory declaration of compliance) upholding compliance with the requirements of the Companies Act 1965 and the Companies Regulations on matters precedent and incidental to the company’s registration. This form must be filed by the company secretary.

After the submission of the incorporation papers, the CCM issues Form 9 (certificate of incorporation) in 1-2 working days upon lodgement of the relevant documents.

The registration fee for the authorized share capital is charged the following scale and is payable to the Companies Commission: Capital up to MYR 100, 000: MYR 900; 100,001 to 500,000: MYR 2550; 500,001 to MYR 1 million: MYR 4250; 1,000,0001 to 5 million: MYR 6800; 5,000,001 to 10, 000,000: MYR 8500; 10,000,001 to MYR 25
Million: MYR 17,000; 25,000,001 to 50 Million: MYR 34,000; 50,000,001 to 100 Million: MYR 42,500; over 100 Million: MYR 59,500

Since April 01, 2010 the authority for stamping of documents has been delegated to the CCM and entrepreneurs no longer have to go to the Inland Revenue Board (IRB). The stamp cost is RM100 for the Memorandum and RM100 for the Articles with a 2nd set stamped at RM10 each.
1 day MYR 3,000 (registration fee)+ MYR 220 (stamp)
4 Purchase company seal, share certificates and statutory books from the Companies Commission of Malaysia (CCM)

Usually, the seal can be ready in 3 days for RM100.
1 day MYR 100 (post-incorporation package)
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