What to Do After Company Registration in Malaysia?
After registering and getting your incorporation certificate, your business is now a legal entity, and you can start doing business if no additional licenses are required.
Here are a few things that needs to be done after your company has been successfully registered:
Opening a corporate bank account
If you are a foreigner setting up a company in Malaysia, the process to open a corporate bank account may be more difficult as compared to a local.
We have provided our insights on the challenges that you may face and the process of getting a bank account here.
Some of the local banks that you can consider include:
- CIMB Bank
- RHB Bank
- UOB Bank
- Hong Leong Bank Berhad
The documents required to open a corporate bank account are:
- Section 14 – Superform (Application for registration of a company)
- Section 15 – Notice of Registration (Certificate issued by SSM)
- Section 17 – Certificate of Incorporation
- Section 46 – Particular of registered address
- Section 58 – Particulars of directors
- Section 58 & 236 (2) – Appointment of first company secretary
- Section 78 – Particulars of shareholders and shares
- NRIC/ Passport
- Business Plan
- Proof of residential address
- Tenancy agreement of business address (if any)
Applying for business licenses (if needed)
There are 3 categories for business licenses in Malaysia:
- General licenses from local town councils
- Industry or sector specific licenses from government ministries
- Activity-specific licenses
See our guide on the types of business licenses required for various industries.
See our guide on the types of business licenses required for various industries. Typically, the duration for business license approvals takes between 1-6 months.
Fulfilling your tax obligations & annual business reporting compliance
Every company in Malaysia is obligated to pay corporate taxes and adhere to the regulation set out in the Company Act 2016.
The corporate tax rate in Malaysia is 24%. All taxes are to be filed annually, unless exempted.
To find out if your company is eligible for tax exemptions or tax incentives, you can read more about it here.
Hiring local or foreign employees
The last but most important thing is hiring employees for your company. In Malaysia, all employers are required to register with the Employee Provident Fund (EPF) within 7 days before your employee’s start date.
Here are the documents required for EPF registration for private sector employers:
- Form KWSP 1
- Form 49
- SSM Company Incorporation Certificate
- Director’s identification card
If you are unsure of your employer’s obligations to your employees, you can read our comprehensive guide to EPF, SOCSO, EIS and MTD in Malaysia.
For foreign employees, you will need to apply on their behalf a work visa. Foreign business owners are also required to apply for an employment pass under the company.
How to Get Business Registration Number in Malaysia?
After successfully registering your company, you will be given a business registration number in Malaysia. This section will share more about the purpose of the business registration number.
What is the business registration number?
To differentiate the companies, every country has a set of numerical values to identify the companies that operate in the jurisdiction – Malaysia is no different.
Previously, a Malaysia-registered company was issued a 7 digit number with an alphabet. However, starting from October 2019, SSM has decided to change the format to 12 digits, starting from the year of incorporation without any alphabets included.
Here are the examples of the current and past business registration number:
Past: ABCD Sdn. Bhd. – Company No.: 1234567-A
New: ABCD Sdn. Bhd. – Company No. 202201234565
The new format follows the following breakdown to derive the 12 digits:
First 4 digits– represents the year of the entity is registered (E.g. 2022)
Next 2 digits– represents the type of business activity (E.g. 01)
Last 6 digits– represents the unique entity number (E.g. 234565)
The type of business entity is listed below:
01 – is a local owned Private/Public limited Company
02 – is a foreign owned Private/Public limited Company
03 – is business registration such as sole proprietorship/partnership
04 – is a local owned Limited Liability Partnership (LLP)
05 – is a foreign owned Limited Liability Partnership (LLP)
06 – is for Limited Liability Partnership (LLP) specifically for professional practice
When is the Business Registration Number Issued?
A business registration number is unique and is normally generated once an entity is successfully incorporated.
Every registration number will initially be seen in Section 15 – Notice of Registration furnished by the Companies Commission of Malaysia (SSM) once an incorporation is successful. Then, all Company related documents printed via the official Companies Commission of Malaysia (SSM) website will also state the company registration number.
What is the Purpose of the Business Registration Number?
Aside from identifying the different businesses in Malaysia, the business registration number is important when carrying out formal applications with the government and other administrative matters.
For instance, this number will be used in the following scenarios:
Opening a corporate bank account in Malaysia
Register for licenses and permits
Register the company profile with government agencies like Employee Provident Fund (EPF)
In order for an entity to register such profiles, a registration number is always required for the agency to identify the Company in government official website to ensure its legitimacy.
Even though an entity is running an online business, according to the Malaysia Consumer Protection Regulations 2012, the entity must indicate the Company’s business registration number in its official website to avoid the consumers being scammed.