Articles

How to Obtain a Business License in Malaysia

by Shames P. Global Business advisory

When considering global business in Asia, one country comes constantly forward with impressive economic record, and that’s Malaysia. Every year thousands of foreign investors come to this country to try their luck in business. Need to mention that, starting a business is confusing if you have no or less ideas regarding new company formations in Malaysia.

If one has sufficient acknowledgement about the process, he/she should also be aware about the fact that there are various business licenses which are compulsory when establishing a company in this nation. Here, further in this article we will see a brief list of licenses, and why each of these are required in the field to run a business in the land of Malay. We will also figure out how an entrepreneur can obtain business licenses.

Business licenses entrepreneurs required

Company license comes in two categories in Malaysia. These can either be Industry-focused license or general business license. Industry oriented license are basically needed for the investors who have special industrial requirements. General license, on the other hand, is like the name it suggests. These are needed for general business purposes carried out in Malaysia.

These are the some of the important business licenses a company entrepreneur typically collect while doing business:

·         Direct selling license

·         Manufacturing license

·         Import export license

·         WRT License

·         SOCSO (Social Security Organization)

·         Vehicular license/ driving license

·         Hotel and resort license

·         Travel and tour guide license

·         Halal license

·         Signboard license

·         License for media and broadcasting

·         License for purchasing or serving liquor and alcohol

It must be noted that, a single company doesn’t need all of those licenses listed above. Governmental requisitions vary business to business. Requirements of license also varies in a same way for companies.

In general, SSM and local town council of Malaysia maintain and supervise all license approval activities issued by clients who are interested in retail industries, manufacturing factories and restaurants as a foreigner investor in Malaysia.  However, governmental body concerned under Fire Brigade Department also approve some of the licenses required to do business here.   

Other than business licenses there are some other utility licenses that are compulsory to keep the company formation registration process legal. For instance, a business initiator must have business premise license, Halal license etc.  

What are the requirements for obtaining business license?

The requirements acquiring business licenses varies with requirements and type of the license. It also depends on the local or state authorities of the country. Every application must go through several fixed requirement, and some on-spot inspections to validate the desired license.

They also have to pay certain governmental fees to process the license and the process time also varies from one department to another. However, the eligibility to be an entrepreneur greatly depends upon business capital the owner can demonstrate to the authority, capability, business planning and systematic procedures as suggested by the local authority of the country.

Requirements for some necessary business license in Malaysia

WRT license

·         Appropriate application form

·         Photocopy or xerox copy of Section 58 form

·         Company documents

·         Sample of registration approval letter from the IRB (Inland Revenue Board of Malaysia)

·         A stamped copy of Section 32A form in case the owner decides to transfer shares of the company in future.

Export Import License

·         The license for such business module typically requires 5 to 7 day of time to approve

·         License approval can be obtained only when a company is registered with Companies Commission of Malaysia (CCM).

·         Need to fill-up appropriate registration form, and submit it to the authority along with Customer form (JK69).

·         Other forms that need to be submitted are form-24 which give data of shareholders, and form-49 that gives information of directors and manager and other high-profile authorities in the company.

·         One more approval paper that need to be kept under consideration is the form for heavy machinery and industrial chemicals.    

Obtaining business licenses often gets tricky due to the positioning of the company in Malaysia. The regulation varies in different provinces of Malaysia. S & F consulting, a renowned business consulting firm has the answer for all your license related queries.  So, once you have any query, now you know whom to contact.


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About Shames P. Innovator   Global Business advisory

32 connections, 1 recommendations, 92 honor points.
Joined APSense since, September 19th, 2019, From Dhaka, Bangladesh.

Created on Oct 2nd 2019 23:42. Viewed 439 times.

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