While there are many interesting startup ecosystems in the world, one has to consider different aspects such as capital required, foreign ownership policy, time it takes to incorporate, statutory requirements, etc. Malaysia, especially, is a magnet for foreign investors, due to its business-friendly government and policies. It boasts of an economy that is growing at the rate of 4.3%. Company formation in Malaysia should be an informed decision as there are could be many pros as well as cons to it.
The most flourishing sectors in Malaysia include – service industry (54.4%) and the manufacturing sector (43.3%) followed by the primary sector at 2%. It poses an attractive business market for Vietnam, India, Singapore, China and Myanmar.
What are the basic requirements for company registration in Malaysia?
- Minimum 2 resident directors
- A resident company secretary
- Minimum 2 shareholders
- Minimum authorized capital of RM 100,000
- Minimum paid-up capital of RM2
- A local Address
What are the steps required for company set up in Malaysia?
- Form 13 A is used to apply to the Companies Commission of Malaysia (CCM). In the case of approval, the suggested company name will be reserved for 3 months.
- During this period, copies of the documents required will be submitted to the CCM. Following are the documents required:
- Memorandum of Association
- Articles of Association
- Form 48-A
- Form 6
- Passport Copies / Identity Cards of Directors & Shareholders
- Identity Card of Company Secretary
- Copy of company name approval
- Once the Certificate of Incorporation is issued, the company will assume a legal identity.