The economy of Malaysia has seen a stellar rise over the past decade. It is becoming of the best nations to do business in Asia. You have made the right decision if you are planning to start a new company in Malaysia, especially in Labuan.
First of all, it is essential to understand the rules and regulations before starting the company registration process in Malaysia. You need to fully understand the process of how to register a business in Malaysia.
What types of businesses are available in Malaysia?
There are three main types of businesses in Malaysia. You need to decide what type will be best suitable for you.
- Sole Proprietorship (i.e., Trading or enterprise)
- Partnership (e.g., Partners)
- Sendirian Berhad (i.e., Sdn Bhd or Private Limited)
The first two options are the cheapest ones and most popular among the new Small Medium Enterprise (SME). The main difference between first and second is that Sole proprietorship business can have only one owner, whereas a partnership business can have from two to twenty registered partners. An Sdn Bhd, which means private limited in Malaysia, needs to have a minimum of one director and a minimum of one shareholder.
All businesses should be registered with SSM (Companies Commission of Malaysia). SSM, also known as Suruhanjaya Syarikat Malaysia, is a statutory body that regulated all the businesses and companies in Malaysia. The SSM issues a Business Registration Certificate after you register your business with SSM. The certificate is valid for one to five years and can be renewed on an annual basis. If you carry a business without a valid business registration certificate, you could be fined up to RM50,000 to a maximum of two years of imprisonment.
Now let us talk about how to open a company in Labuan. Labuan is the federal territory of Malaysia. It is also the financial center offering international financial and business services. There is a minor difference between Labuan Offshore company and Malaysia local Sdn Bhd Company. You need to know all those to ensure that you are making the right choice for your business.
Follow these simple steps to set up Malaysia Labuan Offshore Company:
- What is the business nature and Structure of the Company to make sure it aligns with tax and compliance
- Decide your Company identity-You need to propose three names to check for availability
- Decide on a suffix to be used for the company- “Co. Ltd,” “Limited,” “Ltd,” “Labuan,” “LLC” or “Inc”
- Decide on Paid-Up Capital
- Finalizing the type of bank account you need and banker interview
- Decide if you need multiple entry work visas for yourself, partners, and family members.
Signature Trust Ltd. Will guide you in detail about the whole process and ensure that you get all the necessary approvals from the concerned authorities. We will help you throughout the process of Labuan Company Registration. We will guide you in each, and every step recommends you to the right entity.