How to Register a Company in Malaysia

How to register a company in Malaysia? What are the requirements to set up a company in Malaysia? What are the documents required to register a Malaysia company?

Here are some basic information and useful information for setting up and registering a Limited Company (SDN BHD) in Malaysia.

Suruhanjaya Syarikat Malaysia (Company Commission Malaysia)

• The Companies Commission of Malaysia (SSM) established on 16 April 2002, serves as an agency to incorporate companies and register businesses in Malaysia.
• According to the Companies Act 20 2016, an SDN BHD company can be linked to a minimum paid-up capital of RM1.

What documents do you need to set up a company in Malaysia?

• A copy of your ID (IC) or a copy of your passport (for foreign directors)

Director requirements

• Each company requires at least one director who is at least 18 years old and living in Malaysia.
• He was not bankrupt and had not been convicted and imprisoned for the last six years.

Shareholder requirements

• Each company requires at least 1 shareholder who is at least 18 years of age.

Company Secretary Requirements

• An organization must have at least one company secretary
• The company Secretary must be licensed by a member of SSM of one of the designated professional organizations.

Registered Office Requirements

• Each company must have a registered office in Malaysia where all communications and notices can be addressed.
• In Malaysia, it is a normal practice to keep the secretarial office as a registered office of the company.

Accounts and Audits

• An active company is required to prepare its accounts and be monitored annually by an authorized auditor in Malaysia.
• An organization must appoint one or more auditors who must be approved by the auditors in Malaysia.
• The audited accounts must be disseminated to all shareholders of the company within 6 months from the end of the financial year.
• These audited accounts need to be submitted to the SSM within 30 days from the date of promotion to the shareholders.

Annual General Meeting (AGM)

• An SDN BHD company, which was incorporated before January 31, 2017 and a new constitution was not adopted under the New Companies Act 2016, is required to hold its Annual General Meeting (AGM) within 6 months from the end of the accounting year.
• All sdn bhd companies connected on or after January 31, 2017 do not need to have an AGM.

Annual Returns

• Each company must submit an annual return (AR) within 30 days from the anniversary of the date of its organization. (For example, a company incorporated on May 31, 2017, must submit AR within 30 days from May 31, 2018)
• Annual return is a snapshot of the general information of a company's director, secretary, registered office, shareholder, share capital, core business activity, etc.