Below is a detailed summary of the bureaucratic and legal hurdles faced by entrepreneurs wishing to incorporate and register a new firm in Malaysia. 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.
This information 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 185 economies. The most recent round of data collection was completed in June 2012.
- Legal Form: Sendirian Berhad (Sdn. Bhd.) – Private Limited Company
- Paid in Minimum Capital Requirement: MYR 2
- City: Kuala Lumpur
|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 nameName 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 documentsA 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, registration with the Employment Provident Fund (EPF), Social Security Organization and the Inland Revenue Board, aComment: 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.After the submission of the incorporation papers, the CCM issues Form 9 (certificate of incorporation) 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: Registration fee schedule based on nominal share capital:
• MYR 0 – 100,000: MYR 1,000.00