New to Business? Here’s How to Register a Company in Malaysia

Starting a business in Malaysia for the first time? It’s an exciting if not confusing prospect.

Whether you’re launching a tech startup, a cozy cafe, or a service company, the first step is to dare to dream! The second, more important one, is registering your company with SSM. (Suruhanjaya Syarikat Malaysia)

No confusing jargons, just clear and layman advice to help you turn your idea into an official business. So, don’t worry, even if you’ve never done this before, we’ll walk you through it step by step. Let’s get registered.

What Do You Need to Register a Company in Malaysia?

Basic requirements include a business name, local address, at least one director, and RM1,000+ for registration fees.

Here’s a breakdown of what you need before you register:

Which Business Structure Should You Choose?

Each structure in Malaysia comes with its own legal, tax, and operational consequences, so it’s worth taking a pause here and reading through it all. 

Regardless if you’re running solo, starting a side hustle, or raising capital from investors, the type of company you register affects everything from liability to scalability.

Struggling to Choose a Business Structure? Just Follow This Guide

• Need flexibility with limited liability, but no shareholders? → LLP
• Looking for scalability and investor appeal? → Sdn Bhd
• Running a charity or association? → Company Limited by Guarantee
• Expanding a foreign company into Malaysia? → Foreign Company or Labuan Company
• Just starting out as a freelancer? → Sole Proprietor or Partnership

Common Mistakes to Avoid (Please Read this)

• Registering a Sole Proprietorship when you plan to scale or raise funding, no limited liability means high personal risk.
• Choosing an LLP without understanding compliance, it still requires annual declarations and audits if revenue is high.
• Using a Foreign Company structure without checking tax implications, this can lead to double taxation if not structured properly.

Pre-Registration Steps 

Before you jump into the MyCoID portal, sort these essentials out to avoid rejections or delays. A little groundwork now can save you from painful errors, back-and-forth emails with SSM, or worse, having your application rejected constantly.

1. Choose and Check Your Company Name

Your company name isn’t just a label,  it’s your first impression to clients, banks, and SSM officers. A strong name is easy to say, easy to spell, and unique enough to stand out in a sea of “Tech Solution Ventures 88 Sdn Bhd.”

Here’s how to get it right:

• Short and snappy: If your name doesn’t fit nicely on a name card, it’s probably too long.
• Spelled how it sounds: Fancy stylised spellings like “Kueenz Konsulting” might confuse both clients and SSM reviewers.
• Relevant: It should reflect what your business actually does (bonus points if it’s also memorable).
• Avoid generic combos: Words like “International,” “Global,” or “Technologies” are overused and may get rejected without context.

Use the MyCoID Portal to Check Availability

• Head to MyCoID 2016 to perform a name search.
• You can reserve your preferred name for RM50 for 30 days.
• Try searching for variations, if your top pick is taken, tweak it slightly without losing clarity.

Names That Will Get Rejected

SSM has clear rules, and violating them will cause automatic rejection. Avoid names that:

Symbols That Are Acceptable

SSM permits certain symbols, but use them sparingly and only when they make sense:

• & (e.g. Smith & Co)
• . (dot symbol)
• – (hyphen)
• ( ) (brackets)
• ‘ (apostrophe)

Example: “Ali & Sons (M) Sdn. Bhd.” is acceptable, just don’t overdo it like “!@# Global Ventures (KL) – The Best Ever!!! Sdn. Bhd.” 

Test It with Real People

Before you reserve the name:

• Say it out loud to a few friends or potential customers.
• Ask them to spell it without seeing it.
• If they’re confused or mispronounce it, chances are your customers and SSM will too.

Check Domain & Social Handles

If you’re keen on building a brand and establish your presence, check:

• .com / .my domain name availability
• Social media handles (Instagram, Facebook, LinkedIn)

You don’t want to register “EcoGrow Sdn Bhd” only to find that @ecogrowmy is taken by a plant shop in Pahang, leading to confusion and perhaps the aid of a SEO Service Agency.

2. Confirm Your Company Structure

Choosing the right company structure isn’t just a paperwork exercise, it affects how you’re taxed, what you’re liable for, and even whether banks or investors take you seriously.

So, before you move forward, take a moment to lock in the who, what, and how of your business.

• Decide how many directors and shareholders you’ll have. 
• Choose the right business structure.
• Set Your Share Capital
• Minimum: RM1
• Recommended: RM1,000+ for smoother banking and credibility
• Can be increased later as your business grows

Some banks may require a minimum capital (RM2,000–RM10,000) to open a business account, check with your preferred bank beforehand.

Gentle Reminder: If you decided to go for Sdn Bhd, you need at least:

• 1 resident director (Malaysian or PR)
• 1 shareholder (can be same person)

3. Prepare Your Supporting Documents

It is highly recommended that business owners store everything in PDF format and have backups, MyCoID might time out if you fumble during upload. Keep these documents safe and secure.

How to Register a Company in Malaysia: Step-by-step Guide

Alright, now we are down to the fun part. Fortunately, the entire registration process is done via the MyCoID system managed by SSM, entirely online.

Step 1: Search and Reserve Your Company Name

• Head to the MyCoID 2016 portal
• Create an account (if you haven’t already) and log in
• Search for your desired company name and reserve it
• Pay RM50 for the name reservation (valid for 30 days)

Processing time: Usually approved within 1–2 working days if the name follows SSM’s guidelines.

You’ll get a notification once the name is approved, make sure to complete your incorporation within the 30-day window, or you’ll need to reserve the name again.

Step 2: Prepare Incorporation Details and Fill In Online Forms

This is where you gather all your final company info and fill in the incorporation form directly in MyCoID.

You’ll be asked to enter:

Step 3: Submit Incorporation and Pay Fees

Once everything’s filled out and double-checked:

• Submit your incorporation form via MyCoID
• Upload any additional documents if prompted
• Pay the incorporation fee (Standard SSM fee is RM1,000 + RM10 mandatory agency supply charge, totalling RM1,010)

This doesn’t include service provider fees ( if using a company secretary or agent).

Processing Time: Most approvals are granted in 1 to 3 working days, assuming no errors or clarifications are needed.

Step 4: Download Your Certificate of Incorporation (Form 9)

Once approved, you’ll receive an official email or notification. You can then:

• Log in to your MyCoID account
• Download your Certificate of Incorporation (Form 9) digitally
• Use this certificate to:
  
  • Open a business bank account
  • Register with LHDN (tax)
  • Apply for licences or sign contracts

Keep a copy saved in multiple places. You’ll need this often, especially when applying for banking and compliance tasks. Tax season is especially demanding.

What Comes After Your Company Is Registered?

Getting your Form 9 is just the beginning, quite literally. Here’s what to handle next so your company is fully operational.

1. Open a Corporate Bank Account

• Required documents usually include:
  
  • Certificate of Incorporation (Form 9)
  • Board resolution to open the account
  • Company Constitution (if any)
  • ICs of directors and authorised signatories
    
• Some banks may ask for:
  
  • Business plan or company profile
  • Initial deposit (varies: RM500–RM3,000)
  • In-person verification with all directors

Maybank, CIMB, and Hong Leong are startup-friendly. Always call ahead to ask about their latest requirements.

2. Register with LHDN (Tax Department)

• Required within 3 months of incorporation
• Submit Form CP600A with your company docs
• You’ll get your company’s tax file number for corporate tax purposes

Recommended: Register for e-Filing (e-Daftar) to submit taxes online later.

3. Apply for Business Licences (if needed)

Depending on your business activities:

Start with your local city council (MBPJ, DBKL, etc.) for location-specific licences. Always clarify with the authorities and regulators when questions arise, better be safe than sorry!

4.  Register for EPF & SOCSO 

• EPF (KWSP)
  
  • Register your company as an employer
  • Mandatory contributions for all staff
    
    
• SOCSO (Perkeso)
  
  • Provides injury and disability coverage for workers
  • Register both employer and employees via Perkeso Assist

Even if you only hire one person, you must register and contribute monthly.

5. Register for SST (If Applicable)

• Required if:
  
  • Annual taxable turnover exceeds RM500,000
  • You provide taxable services or manufacture taxable goods
    
• Register via the MySST portal

Not all companies need SST registration, check your business category before applying.

6. Issue Share Certificates & Keep Records

• Give each shareholder a physical or digital share certificate
• Keep a register of members and directors
• Maintain meeting minutes, resolutions, and annual returns

A company secretary will usually handle this, make sure yours is licensed and update MBRS annually.

“Always verify your secretary is licensed and compliant with Section 241 of the Companies Act.”

Can Foreigners Register a Company in Malaysia?

Yes, Malaysia is open to foreign investors, and foreigners can register and own a company here, but there are a few important rules and limitations to be aware of.

100% Foreign Ownership Is Allowed (With Some Exceptions)

Foreigners can own 100% of the shares in a Sdn Bhd, as long as the business does not fall under a restricted or protected sector.

Malaysia follows a sector-specific “negative list” system, where restrictions differ by industry. Below are the most commonly affected sectors:

For certain industries, foreign ownership may be capped (30% or 49%) or require local Bumiputera equity. These rules are often enforced by ministries such as:

• MIDA (Malaysian Investment Development Authority)
• MITI (Ministry of International Trade & Industry)
• MOH / MOE (if your business touches healthcare or education)

Always, always check sector guidelines with MIDA before committing, especially for export, import, fintech, or service-based companies.

Must Appoint at Least One Local Resident Director

Malaysian law requires all Sdn Bhd companies to have at least one director who resides in Malaysia. This director:

• Can be a Malaysian citizen or a foreigner with a valid long-term pass (MM2H, work visa)
• Must be at least 18 years old and not disqualified under the Companies Act

If you’re not yet in Malaysia full-time, many company secretary firms offer nominee director services (for compliance only, not control).

Additional Licences May Be Required

Foreign-owned companies may need:

• WRT Licence (Wholesale, Retail & Trade) from MITI
• Sectoral approvals from MIDA, local councils, or federal ministries
• Local business premise licence (for physical shops, offices)
  

These approvals vary based on:

• Type of business
• Location (e.g. Kuala Lumpur vs Penang vs Labuan)
• Ownership structure

Failure to get the right licences can delay bank account openings or trigger compliance issues.

Conclusion: Registering a Company Doesn’t Have to Be Complicated

In 2025, registering your first company in Malaysia is simpler than ever with digital platforms like MyCoID and professional support. 

The key is meeting the requirements, picking the right structure, and filing everything correctly.

Need more than paperwork? At Press, our digital PR agency helps new businesses go beyond registration. 

From building credibility to creating visibility, we connect your brand with the right audience from day one. 

Disclaimer: All of the content was thoroughly fact-checked and verified by our editorial team to ensure accuracy, clarity, and reliability.