When Bumiputera contractors obtain a Bumiputera Certificate (Sijil Taraf Bumiputera or STB in Bahasa Melayu), they can bid on construction projects reserved for Bumiputera businesses.
First, though, they’ll need CIDB’s PPK and SPKK certificates, so check out our guides below if you’re unfamiliar with them:
If you are familiar, read on to see how to proceed with your STB registration!
Here’s how we’ve broken it down:
- Bumiputera status requirements
- premise inspections
- registration duration / renewals
- required documents
- how to submit an STB application
Note: You’re welcome to read CIDB’s STB guide (be warned it’s in:Bahasa Melayu) or get in touch with us for help!
Otherwise, let’s begin.
Bumiputera status recognition requirements
The contractor company must always ensure it meets the following requirements:
Ownership and shareholding requirements
- Individual Share Ownership: For Grades G2 to G7, at least 51% of shares must be held by Bumiputera individuals, exceeding non-Bumiputera ownership. For Grade G1, 100% Bumiputera ownership is required.
- Number of Shareholders: At least 51% of shareholders must be Bumiputera for Grades G2 to G7, with Grade G1 requiring 100% Bumiputera shareholders.
- Partnership Ownership: In partnership businesses, at least 51% of partners must be Bumiputera for Grades G2 to G7, and 100% for Grade G1.
- Majority Ownership by Other Companies: If the majority of shares are controlled by another company, that company must also meet the Bumiputera ownership requirements for individual shareholding, shareholders, and Board composition.
Management and control requirements
- Board Composition: At least 51% of the Board of Directors must be Bumiputera for Grades G2 to G7, and 100% for Grade G1.
- Key Positions: At least 51% of key positions must be filled by Bumiputera individuals for Grades G2 to G7, and 100% for Grade G1.
- Financial Control: Bumiputera individuals must control at least 51% of financial management, including check signatories and guarantors for overdraft facilities, for Grades G2 to G7, and 100% for Grade G1.
- Signatories and Nominees: Check signatories and certificate nominees must be directors, shareholders, or EPF-contributing employees associated with the company.
Employee composition
- Employee Demographics: At least 51% of employees contributing to EPF must be Bumiputera for Grades G2 to G7, with Grade G1 requiring 100% Bumiputera employees.
Premise inspection
CIDB officials may request to inspect your premises for the following applications:
- new applications
- requesting a change of operating address
- for upgrades from G1 Bumiputera to a higher grade
- where further clarification is needed.
The premises should show that the company is actively conducting business that matches the grade being applied for.
Registration duration and renewals
- Newly Registered Bumiputera Status (Post-September 2019): The maximum registration period in Grade G1 is 12 years.
- Long-standing Bumiputera Companies (Pre-September 2019): Companies registered over 20 years are allowed two renewals, each valid for six years.
- Existing G1 Companies with Less Than 20 Years: Registration can continue up to a maximum of 26 years, after which the company must upgrade to a higher grade.
Required documents
- Identity Card & Birth Certificate of:
- Board of Directors;
- Equity Holders (individuals & individuals in equity-holding companies);
- Check Signatories; and
- Nominee on the Certificate.
- Bank Confirmation Letter
- SSM E-Info / Annual Return certified by SSM
- EPF Statement A
- Employment Declaration Form (If employed with the government)
- Stamped Partnership Agreement for G2 and above by LHDN (specify the share distribution percentage for each individual)**
- For companies with non-Bumiputera partners (please specify the share distribution percentage for each individual).
- Company’s Organisational Chart
How to submit an STB application
STB applications are made online via CIDB’s CIMS portal and do not have any fee.
For a step by step guide to registering, check out CIDB’s official technical STB registration document here.
Once done, you can print out your STB certificate, as shown below.
We wish you all the best with you STB application, and if you need help, the MISHU team is just a click away!
Let MISHU help with your STB registration
If you have a better use of time than browsing forms and documents, get in touch with us – we’ve helped many businesses secure their CIDB supplier registration, and we’d be happy to help you.