Types of Malaysia Company Registration

Malaysia company is divided into 2 types: Local companies and Labuan offshore companies. Local companies in Malaysia exist in entity form, in which investors can choose between field operation and virtual office. There are 3 types of local companies, namely Enterprise, Malaysia Sdn Bhd, and Malaysia Foreign Company.




Malaysia Company Registration – Local Companies (Sdn Bhd)

A private limited company in Malaysia must have a minimum authorized capital and paid-up capital of RM400, 000 and RM2 respectively. Paid-up capital may differ with scope of business, therefore entrepreneurs can place the paid-up capital in phases based on actual operating conditions. Each company must provide two (2) or more shareholders; shareholders can be the directors at the same time. Shareholders do not have nationality restrictions; each company must have a minimum of two (2) directors, being a natural person with their principal place of residence in Malaysia or foreigners who hold a visa in Malaysia for more than 6 months.


Malaysia Company Registration – Labuan Companies

Labuan Company Registration is a hot choice for foreign investors to setup and extend business in Labuan. Today, it is an international offshore financial center. 1990 issued by the Companies Act and in the same year the establishment of offshore Labuan Offshore Business Activity legislation to ensure that Labuan offshore companies enjoy a professional and quite flexible company structure. The legal system is adopted English law. Tax system in Labuan is different from that of local companies. Labuan companies are taxed at a rate of 3% of net profit or annual payment of RM20,000;whichever lower. Labuan Companies are free to choose their own tax status of a filling.


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