A Guide To MBPP Business License Applications

To those looking to set up a business in Penang Island, this guide provides an overview of business license applications from Majlis Bandaraya Pulau Pinang (MBPP).

Here’s how we’ve broken it down:

• types of MBPP ‘business licenses’
• signboard requirements
• required documents
• where to apply
• validity periods and renewals

Note: As license fees vary significantly by business activity and size, it’s just not practical to list them all, so please contact us for specific enquiries!

Also, for mainland Penang business activities check out our MBSP business license guide.

Otherwise, let’s begin.

What is an MBPP business license?

MBPP issues several types of business licenses, with the two most common being:

1. Premise licenses
2. Signboard licenses

These licenses allow a business to operate on a premise and install a signboard to advertise itself, making them necessary for all establishments regardless of activity. Most of the time, when we talk about getting business licenses from a Local Authority like MBPP, we’re referring to these two.

Because of this, both licenses can be applied for together under a composite license.

Signboard requirements

Signboards within MBPP jurisdiction must follow three types of requirements:

• language
• size
• content

Language

• Bahasa Malaysia must be prioritised, either alone or alongside other languages, and receive approval from Dewan Bahasa & Pustaka
• if other languages are used, their text must not exceed ¾ of the Bahasa Malaysia text.

Size

• signboard must not cover the entire glass, windows, or building façade.
• signboards that project outwards are only allowed from the second floor and above.
• signboards across multiple shop lots need additional liability insurance.

Content

• text and graphics must be balanced and not exceed 2/3rds of signboard height.
• The business activity must be stated in Bahasa Malaysia in the upper left corner.
• If brand name is the focus, company and SSM details must be in the lower left corner.
• The brand name must be more prominent than the business activity text.
• MBPP business license number must be displayed in the lower right corner
• Trademarks, logos, taglines, and slogans don’t need to be translated into Bahasa Malaysia, but must be a maximum height of ¾ of the primary brand display text.
• Nothing related to cigarettes, offensive or inappropriate images, or indecent behavior.

Note: Additional rules apply to heritage buildings as MBPP requires businesses to preserve the area’s historical and cultural aesthetics.

Required documents

You’ll need to submit copies of the following:

• applicant’s photograph
• applicant’s MyKad or passport
• business registration documents 
• lease agreement
• location plan
• floor plan
• signboard design with measurements
• photos of premise entrance from outside
• latest cleared assessment tax receipt
• land grant or Temporary Occupation License
• Certificate of Fitness for Occupation (if new building)

Please note that if you don’t already have a business entity, you’ll first need to register an Enterprise or incorporate a Sdn Bhd before applying.

We’ve included samples of the required documents below:

Sample documents

Sample location plan (A4 size) 

Sample floor plan (A4 size)

Sample tax assessment document:

Sample photo of premise exterior:

Validity period and renewals

Premise, signboard, and composite licenses are valid for one year from the date of issuance, and if there are no issues, can be renewed for another year.

Where to submit your application

Most businesses can choose between a physical and virtual submission.

Option 1: Physical submission

You can visit the MBPP Licensing Department at Penang City Hall where you can get all the relevant application forms and submit it with your supporting documents:

We usually advocate for digital submissions, but in this case, you might want to visit in person!

Unlike other Local Council headquarters, MBPP is located in a British-built Victorian-era structure, and is a popular tourist attraction, so if you like history, enjoy the view as you handle your submission

If you couldn’t care less, we recommend the digital option!

Option 2: Virtual submission 

Most businesses can submit their license applications online via MBPP’s uLesen platform.

As it’s your first time, you’ll need to register a new account.

Here are official uLesen registration and license fee payment manuals (only available in Bahasa Melayu).

And that’s pretty much all you need to know for now!

Pre-application checklist

For a smooth license application, ensure you’ve done the following five things:

1. Registered an SSM Enterprise or Sdn Bhd
2. Found a suitable premise
3. Secured the right supporting documents
4. Designed a signboard that complies with MBPP guidelines, and
5. Prepared floor plans and taken photos of your premises

All the best, and you know we’re here if you need help, right?

Let MISHU help with your MBPP license application

The MISHU business license team has helped hundreds of local and foreign businesses across multiple industries with their MBPP business license applications, and we’d love to help you too!