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Benefits to Register a Company in Malaysia

Thinking about a possible business opportunity in Malaysia? There is one question every investor needs to ask before setting up a company in any location. If you were looking at Malaysia for example, that question is what are the benefits to register a company in Malaysia? 

Being a multi-ethnic, multilingual and multicultural country certainly has its benefits. Malaysia is among the most dynamic business hubs in the South East Asian region, with equal amounts of active participation from both the public and the private sector. This guide looks at some of the key benefits to registering a company in Malaysia.


Benefits of Registering a Company in Malaysia

Asia has some great countries to consider for a foreign investor who wants to set up a base of operations in this region. Singapore is often touted as the No. 1 international business hub in the South East Asia region, but Malaysia is not to be overlooked either.  

Friendly and hospitable, Malaysia has successfully attracted many foreign investments into the country over the years. Ranked as one of the easiest places in the world to do business in by World Bank’s, their 2018 Ease of Doing Business Report explains why foreigners are keen to set up a business in Malaysia. Among the benefits to registering a company in Malaysia are: 

  • The ease of registering a business. If all your paperwork is in order, it can be done in as quickly as a week.  
  • Its strategic location makes it easily accessible to other ASEAN economies. 
  • There’s no restriction on foreign shareholding, which means businesses in Malaysia can be 100% foreign owned.   
  • Malaysia is a much more cost effective alternative compared to its neighbour, Singapore. Especially if you’re considering the cost of labour.  
  • English is widely spoken as a business language, so communicating locally is not a problem.  
  • Malaysia has several liberalisation programmes which welcome foreign investment into the country several large sectors. 
  • It has a highly developed infrastructure in both transport and telecommunications.  
  • Opening a bank account in Malaysia for corporate use is a relatively straightforward process. Plus, Malaysia is home to some of the world’s major banks 
  • It has a sound political environment and legal framework which governs the country.  
  • Labuan is a highly regarded offshore company jurisdiction if you’re considering setting up an offshore company in Malaysia.  
  • The Labuan International Business and Financial Centre offers foreign investors attractive offshore company benefits.  
  • Its world class education system makes it ideal for investors looking to migrate with their families. 
  • It has an excellent healthcare system which is very affordable. 


Business Entity Options in Malaysia and Its Advantages 

Now that you know the advantages of Malaysia company registration, let’s look at the advantages of some of these individual business entities.  Since Malaysia has several business entity options to choose from, it only stands to reason that each entity would have its own benefits and advantages to it. The benefits of registering a company in Malaysia that you reap would depend on the form of business entity you choose.  

The Companies Commission of Malaysia (SSM) is responsible for overseeing all companies which are operating in Malaysia. Every company that operates legally must have a record with SSM, including online businesses.  

So, what are some of the advantages of incorporating a company in Malaysia? 


Advantages of a Sendirian Berhad Company (Sdn Bhd)

It is one of the most popular business entities for a reason. A Sdn Bhd in Malaysia is a private limited company, and to form this entity, you must have directors and shareholders in place for the formation. You must also employ a Company Secretary who is residing in Malaysia.  

This is a mandatory requirement outlined in the Companies Act.  The benefits of registering a Sdn Bhd company include: 

  • Lower corporate tax rates 
  • Increased access to capital funding 
  • Limited liability (it is considered a separate legal entity from its shareholders) 
  • Being a separate entity allows perpetuity 
  • Being a separate entity allows transfer ability of ownership 
  • Expenses are deductible 
  • Greater access to capital and funding 


Advantages of a Limited Liability Partnership (LLP)

Wondering if the LLP business entity option is right for you? These are some of the benefits that come with this: 

  • You enjoy the benefits of having the best of both worlds – the benefits of a Sdn Bhd company while you operate as a partnership entity. This option is literally a hybrid between both these entities.  
  • There is no limit on the number of business partners that you can bring on board. 
  • Provides its partners with limited liability protection.  
  • Low start-up and maintenance costs involved.  


Advantages of a Partnership 

The benefits of a partnership business entity option in Malaysia include: 

  • Easier to incorporate than a Sdn Bhd company 
  • Low start-up costs involved compared to Sdn Bhd companies


Advantages of a Sole Proprietorship 

As the name implies, this entity is owned and operated by only one individual. Among the advantages of registering this type of company in Malaysia include: 

  • Easy formation since there is less red tape to contend with.  
  • You have full control of the decisionmaking process.  
  • You have the option of hiring employees if needed.  
  • Relatively low start-up costs 


Ready to Incorporate a Company in Malaysia? 

At Paul Hype Page, we’re renown for our efficient service and expertise. We are the number one business incorporation experts in Singapore and Malaysia, offering range of one-stop services to meet your every business need. For more information or to start your Malaysia company incorporation process, visit our website or contact us today. 



Paul Hype Page & Co – SSM service provider and Asean Chartered Accountant.

Paul Hype Page & Co. have 3 physical offices in Singapore, Malaysia and Indonesia

Our Firm Goal is to assist Foreigner and Foreign Companies to set up business in Asean.


How we can help you:

We will call you back, please click below link and make appointment with our Sales consultant:



Step 1- Listen to your Business plan and Relocation needs.

Step 2- Analysis your Malaysia Tax Planning

Step 3- Recommend the most suited type of Company Incorporation, Open Bank account and Work Visa

Step 4- Arrange for your Spouse and Children Visa

Step 5- Assist as your company to hire staffs and handle all HR matters

Step 6- Every financial year end, we assist you with your yearly SSM Finanical and Tax Compliance

Step 7- Assist you to expand business to Malaysia, Indonesia, Vietnam and Thailand.

Get in Touch with Us Today.


Paul Hype Page


Posted on March 7, 2019 at 5:48 pm
Categories: Malaysia company formation

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