Incorporating a company in Malaysia is governed by the Companies Commission of Malaysia (SSM) under the Companies Act 2016, which provides a modern and transparent legal framework for businesses. Whether setting up a private limited company (Sdn Bhd), a foreign branch, or a representative office, Malaysia offers flexibility to accommodate various business models. Foreigners can fully own a Malaysian company—up to 100% shareholding—depending on the sector and relevant licensing requirements. With proper documentation, the registration process can be completed in as little as 5 to 7 working days, making it an efficient gateway to establish a legal presence in Southeast Asia.

To further support foreign entrepreneurs, we offer services such as nominee registered addresses and compliance advisory are available to meet statutory requirements without needing physical relocation at the initial stage. This makes it especially convenient for overseas founders who are not immediately residing in Malaysia. While 100% foreign ownership is allowed, certain industries—such as wholesale, retail, and trade—require sector-specific licenses like the WRT (Wholesale Retail Trade) license, and regulated sectors may involve additional approval from authorities. For tech companies, Malaysia’s pro-digital stance and supportive ecosystem, including the Malaysia Digital initiative under MDEC, further enhance the appeal of setting up operations here.

To legally work in Malaysia as a foreigner, an Employment Pass (EP) is required. This pass is issued by the Immigration Department of Malaysia and allows qualified expatriates to take up employment with a Malaysian-based company in managerial, technical, or professional positions. Whether you’re relocating key talent, hiring foreign specialists, or appointing a foreign director, obtaining an EP is essential for lawful employment and residency. The EP is tied to the employer, meaning the company must first meet specific criteria before being eligible to sponsor foreign employees.

For tech companies, the process is relatively streamlined, especially if they are registered with MDEC (Malaysia Digital Economy Corporation) under the Malaysia Digital program. MDEC acts as the lead authority in facilitating digital sector EP applications. However, for non-IT sectors, the process is more complex as it requires registration through the Expatriate Services Division (ESD) under the Immigration Department. Regardless of sector, JTKSM (Labour Department) approval is required to justify the hiring of foreign staff. A minimum paid-up capital of RM500,000 is generally expected, while non-IT sectors are often required to have RM1,000,000. Additionally, to be eligible to apply for an EP, the business must be fully licensed—MDEC registration is mandatory for IT-related companies, and non-IT companies must obtain a WRT license or other sector-specific approvals to support foreign employment applications.

With over 20 years of experience in corporate secretarial services and company incorporation, we are pioneers in the business licensing space in Malaysia. Our deep understanding of local regulations, licensing pathways, and compliance frameworks allows us to guide clients through even the most complex licensing requirements—whether for wholesale and retail trade (WRT), regulated activities, or sector-specific approvals. Having served a wide range of clients from diverse industries, we bring clarity and efficiency to what is often a confusing and bureaucratic process.

What sets us apart is not just our experience, but also our on-the-ground presence. With a physical office and a dedicated local team, we work closely with Malaysian government departments and licensing authorities to facilitate smooth communication and faster approvals. Our team is equipped to handle everything from document preparation to direct engagement with officers at SSM, MITI, MDEC, MOH, and other relevant agencies—ensuring that your business remains compliant, operational, and ready to grow in Malaysia.