Start Company in Malaysia

Company Registration in Malaysia

Malaysia offers a dynamic and vibrant business environment with well developed infrastructure and productive workforce, supported by market oriented economy and pro business Government polocies. Malaysia has over last 60 years developed from a primary commodities such as oil and gas exporter to a strong industrial base for multinational corporates in electrical and electrnics and petrolium and chemical products. In view of its strategic, central location and multiligual populace, it is being recognised as an innovative international islamic financial center.

Malaysis emerged as an attractive regional hub for services including financial services, information and communication technology and logistics sectors. It is also emerging as a springboard for regional expansion into Association of Southeast Asian Nations (ASEAN). It is an easy and cost effective business place for doing business and the ease of doing business rank is 12 as per World Bank Group 2020 Report.

Types of Businesses one can open in Malaysia:

Three are eight types of businesses you can open in Malaysia subject to eligibiliy criteria.

(1) Sole Proprietorship,
(2) Partnership,
(3) Limited Liability Partnership (LLP),
(4) Private Limited Company (Sdn Bhd),
(5) Company Limited by Guarantee (CLG),
(6) Unlimited Company (Sdn),
(7) Public Limited Company (Bhd),
(8) Foreign Company.

Let us go through one by one.

Sole Proprietorship

  • A Sole Proprietorship is the simplest business entity to get started with if you are running your business alone at a small scale. You can register a Sole Proprietorship using your personal name at only RM30 or a trade name at RM60. The process of Sole Proprietorship registration has to be done on your own without going through a third party. As you are the only business owner, you bear all liabilities towards the business in your personal capacity and pays taxes through your personal income tax.

  • Who can Register Sole Proprietorship: Malaysians or permanent residents of Malaysia who want to start a small business alone.

  • Advantages: Cheaper to Register, Simple Registration Process and Lower Compliance.


  • A Partnership is a business entity that consists of at least 2 partners, with a limit of 20 partners. Similar to a sole proprietorship, partners of the partnership share the liabilities towards the business and pay taxes through personal income taxes. If your Partnership is sued by a customer, you and your partner(s) will be personally liable to any damages awarded by the court. This is a common business entity for professionals such as lawyers, accountants, company secretaries, doctors, etc.

  • Who can Register a Partnership: Malaysians or permanent residents of Malaysia who want to start a small business with business partners.

  • Advantages: Cheaper to Register, Simple Registration Process, Lower Compliance and Sharing of Losses in between the Partners and thereby reduce the burden.

Limited Liability Partnership (LLP)

  • Limited Liability Partnership (PLT.) registration is an alternative business vehicle under Limited Liability Partnerships Act 2012 which combined the characteristic of a company and a conventional partnership. Limited Liability Partnership (PLT.) is governed by Companies Commission of Malaysia (Suruhanjaya Syarikat Malaysia) and Limited Liability Partnerships Act 2012. To register a Limited Liability Partnership (PLT.), a minimum 1 compliance officer (partner who is a citizen or permanent resident of Malaysia or company secretary qualified under Companies Act 1965) are required. It is also called as Perkongsian Liabiliti Terhad (PLT) in Malaysian Language.

  • Who can Register LLP: Malaysians or permanent residents of Malaysia who want to start a small business with business partners.

  • Advantages: No maximum limit on number of partners, relatively cheaper to setup and flexible agreement among the partners.

Private Limited Company (Sdn Bhd)

  • Private Limited Company (Sdn. Bhd.) registration is one of the popular legal business structure option in Malaysia. Private Limited Company (Sdn. Bhd) is governed by Companies Commission of Malaysia (Suruhanjaya Syarikat Malaysia) and Companies Act 2016. To register a Private Limited Company (Sdn. Bhd.), a minimum 1 member (shareholder) and 1 director (ordinarily reside in Malaysia by having a principal place of residence in Malaysia) are required. A natural person can be both a director and shareholder, while a corporate legal entity can only be shareholder.

  • Who can Register Sdn Bhd Company: Anyone who wants to run a SME business in Malaysia. The only restriction is, at least 1 director has to reside in the country.

  • Advantages: Relatively cheaper to register, Simple Compliance, Limited Liability, Scaleup by increasing paid-up capital and issuing shares to investors and Can be 100% foreign owned.

Company Limited by Guarantee (CLG)

  • A Company Limited by Guarantee is a public company without share capital for non-profit purposes. There are no shareholders, only members who act as guarantors to run the operation. You and other members do not contribute capital to the company but are responsible to pay debts if it closes down, according to the amount of guarantee as promised. Hence, it is unable to use its profits for purposes other than those stated as objectives in the constitution.

  • Who can Register CLG Company: Non-profit organisations.

  • Advantages: Does not require upfront capital contribution from members, It is the only business entity that can promote art, science, religion, charity and pension schemes and • It can apply to get exempted from paying corporate taxes.

Unlimited Company (Sdn)

  • You can register a Sdn company to form a mutual fund that holds assets for investment purposes, rather than to carry out business. Since it has unlimited liability among its shareholders, it is similar to a Partnership with more flexibility in the ownership of shares where shareholders are free to sell their shares back to the company.

  • Who can Register Sdn Company: Mutual Funds.

  • Advantages: It has flexible ownership of shares and can be Private or Public Limited.

Public Limited Company (Bhd)

  • Similar to a Sdn Bhd company, a Bhd company is a company limited by shares with a few differences – it can offer shares to the public without a limit on the number of shareholders, requires at least 2 directors and is governed by Bursa Malaysia Securities Berhad and the Security Commission of Malaysia. The registration of this business entity can be time-consuming and expensive due to strict compliance requirements. However, funding for the company would be easier to obtain since it is publicly listed on the market.

  • Who can Register Bhd Company: Entrepreneurs with large business models.

  • Advantages: Easier to raise funds as the company is listed and has flexible ownership of shares.

Foreign Company

  • A Foreign Company is for non-Malaysians who have established businesses in other countries and want to set up a company branch in Malaysia for operation or customer service purposes. This allows foreigners to run businesses in Malaysia without having a director that resides in the country. Non-Malaysians who are not permanent residents have limited options in registering a business entity in Malaysia. You can only opt for either a Sdn Bhd company or a Foreign Company.

  • Who can Register a Foreign Company: Foreigners with established businesses in other countries who want to start a branch in Malaysia.

  • Advantages: Non-Malaysians can operate a business in Malaysia without a local director.

Details Required for Company Registration in Malaysia:

  • A

    For Private Limited Company (Sdn Bhd)

    1. Copy of all directors identity card (I/C) or passport (for foreign partner).
    2. Proposed Company Name.
    3. Proposed business nature.
    4. Proposed address of the registered office.
    5. Ordinary place of residence of every shareholder and director.
    6. Details of class and number of shares to be taken by every shareholder.
  • B

    For Limited Liability Partnership (LLP or PLT)

    1. Copy of all directors identity card (I/C) or passport (for foreign partner).
    2. Proposed Company Name.
    3. Proposed business nature.
    4. Proposed address of the registered office.
    5. Ordinary place of residence of every partner.
    6. Details of profit sharing and partners remuneration packages.

CompaniesHouse - The MCA:

As an Official Company Registration Agent, we have built strong ties with the Ministry of Corporate Affairs, Govt of India since our own formation. Since we began, our goal has been to provide a seamless incorporation process that is quick and simple to use. Today, our company registration system is one of the most effective and efficient in India. In just over 5 minutes you can submit your new company name application, and often in just 3-5 days, your company will be fully registered. We also keep our company formation pricing competitive, while always exploring innovative ways to provide value to our customers. We are pleased to be one of the most affordable ways to start a company in India.

We have the expertise to advise which is the correct corporate structure they need to put in place. Most customers come to us for help registering a company limited by shares. The limited company structure is popular as it allows profits to be distributed amongst the shareholders while at the same time protecting them through the limited liability aspect. Our team has well over 20-years of combined expertise forming companies and providing corporate and secretarial services that help thousands of our clients grow their businesses each year.

We are incredibly passionate about the quality of our service, and we are incredibly proud of our customer feedback, as shown by our excellent reviews and ratings. Time and time again, we are selected for the value and expertise that our team is known for. We have helped shape the industry by providing innovative business services and bundled packages that have evolved alongside the needs of our customers.

Our clients have access to free support from an expert team. We are always on standby to help. If you need assistance at any point before, during, and after the registration of your company, you will be able to reach us by telephone or email.

Why CompaniesHouse?

No Hidden Charges:

We believe in clear and transparent pricing. The price advertised is the price you pay. There are no additional costs to register your business.

Speedy Service:

In just over 5 minutes you can submit your new company name application, and often in just 3-5 days, your company will be fully registered.

20+ Years of Exp:

We are experts in our field, our team has over 20 years of experience. Take the hassle out of setting up your business, rest assured that you are backed with the support you need to succeed.

Trusted Service:

Today our clients expect outstanding service. That's why we are so proud that 99% of our clients rate us "Great" and "Excellent" on Google.


The whole process, from ordering to using your company registration license, is made as simple and easy as possible to help you build your business.

Privacy & Security:

Customer privacy and security is paramount. We ensure your payment, company and personal information is protected at the highest level.

What Client Says?

You are truly experienced in Company Registrations. Keep it up!

Ram Kumar Chilukuri Director, Anewa Engineering Pvt Ltd

Thanks for your continuous support. God bless you!

Nrupesh CFO, Blujay Solutions Private Limited

Thank you CompaniesHouse for saving in Income Tax!

Avtar Singh Managing Partner, Chetak Transporters

We are surprised to get our Company registered in one day. Thanks.

Mohammed Fasiuddin Director, Avidus Engineering Pvt Ltd

Thank you for the initial discussion as we choose best business format!

Lakshmi Keerthi Reddy Director, Lavanar Sea Food Farming Private Limited

Thank you CompaniesHouse for reminding on timely statutory compliance!

Rambabu Director, Cybervillage Solutions Pvt ltd

Let's Clear Your Doubts

Can a foreigner incorporate a company in Malaysia?


Can a foreigner own 100% of the equity?


Can I register Oner Person Company in Malaysia?

Yes. A company can be owned and operated by a single person; i.e., a person can be the sole shareholder and director of a company.

What is the minimum share capital requirement for registering a Malaysian Company?


What are the requirements to a foreigner to register a Company in Malaysia?

The company must appoint a qualified local company secretary,

The company must use a local address as the registered address for the company,,

The company must have a minimum share capital of S$1.

I am a foreigner and do I need to physically present in Malaysia to register my Company?

Not required.

How long will it take to incorporate my Malaysian Company?

5 to 10 working days.

Do I need to appoint a Company Secretary for my Singapore Company?

Yes, each Singapore company must appoint a corporate secretary. A company secretary is an individual who is qualified company secretary.

Is statutoy audit mandatory for my company?

The appointment of Statutory Auditor is not required for a Dormant Company, Zero Revenue Company and Threshold Qualified Company (ie. Turnover not exceeding RM100,000 in a financial year, Total Assets does not exceed RM300,000) are exempted.

Do I need to apply for VAT Registration mandatorily?

No necessarily. If your turnover in the past 12 months (or in the next 12 months) will exceed RM500,000, you are required to register for GST. You can apply voluntarily if you desire.