How to Register a Company in Malaysia

Are you an aspiring entrepreneur or a business owner looking to expand? Registering a company in Malaysia is the first step to making it official. But where do you start? What paperwork do you need? And should you go the DIY route or get expert help?

The good news is that setting up a Sendirian Berhad (Sdn. Bhd.) is now easier than ever. Plus, with digital platforms like MyCOID, the entire registration process can be done online.

In this guide, we’ll explain everything you need to know on how to register a company in Malaysia—from choosing the right business structure to getting your company registered with SSM (Suruhanjaya Syarikat Malaysia).

We’ll also compare self-registration vs. engaging a business consultant, outline the annual costs of running a Sdn. Bhd., and share key compliance requirements so you can stay on the right track.

Key Takeaways

• Having a Sdn Bhd offers limited liability, business credibility, tax benefits, and scalability for growth.
• Requires at least one director and one shareholder, a local business address, and compliance with the Companies Act 2016.
• Can be done via SSM’s MyCOID portal or through a business consultant for a hassle-free process.
• Includes name reservation, submission of incorporation documents, company secretary appointment, and SSM approval.
• Involves annual return filing, tax submissions, employee contributions, and business license renewals.
• Covers SSM fees, company secretary fees, audit and tax filings, office expenses, and compliance costs.

4 Key Features of Having a Sdn Bhd

When registering a business in Malaysia, choosing the right business structure is crucial. Among the different options, a Sendirian Berhad (Sdn. Bhd.) is the most popular choice for entrepreneurs and business owners.

Here are the key features of a Sdn. Bhd. and why it matters for your business growth.

1. Limited Liability Protection

A Sdn. Bhd. offers limited liability, keeping your personal assets separate from business debts. If the company faces financial issues, your personal finances remain protected.

2. Business Credibility & Trust

Having a Sdn. Bhd. boosts business credibility, making it easier to gain trust from banks, investors, and clients. This trust helps secure loans, attract investors, and build strong corporate relationships.

3. Scalability & Business Growth

Planning to scale your business? A Sdn. Bhd. allows multiple shareholders, making it easier to attract investors and expand. Capital can also be increased by issuing new shares, providing greater flexibility for growth.

4. Tax Advantages

Under Malaysia’s corporate tax system, SMEs enjoy better tax rates at higher levels of revenue, paying 15% on the first RM150,000 and 17% on the next RM450,000 of chargeable income—significantly lower than personal income tax rates of up to 30%.

Additionally, business expenses like salaries, rent, and marketing costs are deductible, further reducing taxable income.

Additional resources:

• The roles and rights of a company shareholder
• The roles and responsibilities of a company director
• 8 FAQs About Company Directors

6 Eligibility Criteria for Registering a Sdn Bhd in Malaysia

Business owners must ensure they meet the following requirements set by the Companies Commission of Malaysia (SSM) under the Companies Act 2016 to register a Sendirian Berhad (Sdn. Bhd.) for the company.

Criteria	Requirements	Details
Minimum number of directors & shareholders	At least one director and one shareholder	The same person can be the nominee director and shareholder.
Directos’ Age & Residency	Minimum 18 years old	At least one director must reside in Malaysia (Malaysian citizen, PR, or foreigner with a valid work permit).
Legal & Financial Status	No bankruptcy or criminal record	Directors must not be declared bankrupt or convicted of any criminal offenses.
Registered Business Address	Must be in Malaysia	Can be a physical office or virtual office address (if permitted).
Minimum Paid-Up Capital	RM 1	Some industries may require higher paid-up capital based on licensing requirements.
Compliance with Companies Act 2016	Filing annual returns, maintaining records, and appointing a company secretary	A company secretary must be appointed within 30 days of incorporation.

Curious about the difference between share capital and paid-up capital? Learn how they impact your business and financial planning.

Additional resources:

• 9 FAQs about appointing Nominee Directors in Malaysia
• What the Companies Act 2016 says about Nominee Directors
• 12 FAQs on foreign company registration in Malaysia

2 Ways to Register Business in Malaysia

Registering a Sendirian Berhad (Sdn. Bhd.) in Malaysia can be done through self-registration via MyCOID or by engaging a business consultant.

Here’s a step-by-step guide for both options:

Option 1: Self-Registration via MyCOID (DIY Incorporation)

If you prefer a hands-on approach, you can register a Sdn. Bhd. yourself through SSM’s MyCOID portal.

Step 1: Conduct a Business Name Search

• Check if your preferred company name is available using SSM’s MyCOID portal.
• Ensure the name complies with SSM’s naming guidelines (e.g., no prohibited or sensitive words).
• Fee: RM50 per name search (valid for 30 days).

Need help filling out the SSM Superform? Follow this step-by-step guide to ensure a smooth company registration process.

Step 2: Prepare Required Documents

• Company Constitution (if applicable, or adopt the standard template).
• Details of Directors & Shareholders (Full name, NRIC/passport, address, and shareholding percentage).
• Declaration of Compliance (Form 6) – A legal document confirming adherence to regulations.
• Registered Business Address and Nature of Business (Choose the appropriate MSIC Code for your industry.

Step 3: Submit Incorporation Application via MyCOID

• Log in to SSM’s MyCOID 2016 portal.
• Fill in company details, upload the necessary documents, and submit the application.
• Fee: Starting from RM1,010 for incorporation.

Step 4: Receive Notice of Registration

• If approved, SSM will issue the Notice of Registration (Section 15) as proof of incorporation.
• If required, you can request a Certificate of Incorporation (Section 17) for an additional fee.

Additional resources:

• Explaining nature of business to SSM
• A Guide To Finding Company MSIC 2008 Codes

Option 2: Registering via a Business Consultant

Many business owners choose to have the registration process handled by a business consultant, like MISHU, for a hassle-free experience.

Step 1: Provide Business Information

Share your company name, director details, business nature, and ownership structure with MISHU.

Step 2: Consultant Handles the Registration

MISHU will conduct the SSM name search, prepare all documents, and submit the MyCOID application on your behalf.

We will also guide you on additional licensing or compliance requirements.

Step 3: Receive Certificate of Incorporation

Once approved, we will provide SSM registration documents to ensure your company is legally incorporated.

Which Option is Better?

Criteria	Self-Registration (DIY)	Business Consultant
Ease of Process	Requires learning SSM’s MyCOID system and legal requirements.	Hands-free process—consultant handles everything.
Cost	Lower cost (only SSM fees).	Additional service fees but saves time and reduces errors.
Time Required	May take longer if unfamiliar with the process.	Faster due to expert handling.
Compliance & Accuracy	Risk of mistakes leading to delays.	Ensures compliance and smooth approval.

Want a hassle-free company registration experience? Learn more about how MISHU simplifies the process with expert guidance and full compliance support. 

Your Essential Post-Incorporation Checklist After Registration

Once your Sdn. Bhd. is officially registered, the real work begins! To ensure smooth operations and legal compliance, here’s a step-by-step breakdown of what you need to do next:

Step	Details
Appoint a Company Secretary	Appoint a Company Secretary within 30 days of incorporation (as per Companies Act 2016).Responsible for statutory compliance, annual returns, and official filings.Must be SSM-registered with a valid practising certificate.
Open a Corporate Bank Account	Required documents: SSM incorporation papers, board resolution, and director’s identification. Popular banks: OCBC, Maybank, CIMB, HSBC.. At least one director must be present to open an account.
Register for Tax & Statutory Contributions	LHDN Tax Registration: Obtain a tax reference number & submit CP204 (Tax Estimate) within 3 months. SST Registration: Mandatory for businesses earning RM500,000+ annually. Employee Contributions: Register for EPF, SOCSO, PCB if hiring staff.
Obtain Business Licenses & Permits	License requirements depend on industry. Examples: F&B – Halal & Business Premises License Retail/Trading – Import/Export License Construction – CIDB Certification

Staying compliant prevents fines, legal action, or business closure, while also ensuring your company remains eligible for bank loans, investor funding, and tax incentives.

Additionally, it helps maintain employee benefits and adherence to labour laws, safeguarding your business and workforce.

Need a business license to operate legally in Malaysia? Let MISHU handle the process for you!

Additional resources:

• Company Secretary duties and responsibilities
• Is it the Director or Company Secretary’s fault when things go wrong?
• Guide to opening a business bank account in Malaysia
• 4 considerations for SMEs when choosing a bank
• First-time entrepreneur’s guide to business licences in Malaysia
• How to avoid incompetent business license runners

6 Ongoing Compliance Requirements for a Sdn Bhd

Once your Sdn. Bhd. is up and running, staying compliant with Malaysia’s corporate laws is essential to avoid penalties and maintain smooth business operations. Here’s what you need to do every year:

Compliance Requirement	Details	Deadline/Frequency
Annual Return Filing (SSM)	Every Sdn. Bhd. must submit an Annual Return to SSM, which includes details of directors, shareholders, and financial status.	Within 30 days of the company’s incorporation anniversary.
Corporate Tax Filing (LHDN)	Companies must submit Form C for corporate tax returns and pay the required tax. Form CP204 (tax estimate) must be submitted within 3 months of incorporation.	Every year by June 30 (if the financial year ends Dec 31).
Audited Financial Statements	A Sdn. Bhd. is required to prepare and submit audited financial statements annually.	Within 18 months of incorporation (first year) and annually thereafter.
GST/SST Compliance (if applicable)	Companies earning more than RM500,000 annually must register for Sales & Service Tax (SST) and submit periodic tax reports.	Bi-monthly (every 2 months) if registered for SST.
Employee Statutory Contributions	If you have employees, you must submit EPF, SOCSO, and PCB contributions on time.	Monthly before the 15th (for salary deductions).
Annual General Meetings (AGM) (if required)	While private limited companies (Sdn. Bhd.) are not required to hold AGMs, shareholder meetings may be needed for key decisions.	As needed (except for public-listed companies).

Annual Operating Cost of Company Registration in Malaysia

Running a Sdn. Bhd. comes with annual costs beyond the initial registration fees. These expenses ensure your business stays compliant, operates legally, and remains financially sound.

Here’s a breakdown of the company registration cost in Malaysia:

Expense Category	Cost Range	Details
SSM Annual Return Filing	RM150	Mandatory submission to SSM every year to update company details.
Auditor Fees	RM2,000 – RM5,000	Required for audited financial statements (varies based on company revenue).
Company Secretary Fees	RM600 – RM1,500	Every company must appoint a secretary within 30 days of incorporation.
Corporate Tax Filing Fees	RM500 – RM2,000	Outsourced tax filing services for Form C submission to LHDN.
GST/SST Compliance (If applicable)	RM500 – RM3,000	Accounting fees for SST/GST submissions if registered.
Office Rental (Optional)	RM1,000 – RM10,000+	Depends on location and office size (virtual offices are a lower-cost alternative).
Employee Salaries & Benefits	Varies	Monthly salaries plus EPF, SOCSO & PCB contributions.
Business License & Permits	RM500 – RM5,000+	Depends on industry requirements (e.g., F&B, retail, construction).

Additional resources:

• Sdn Bhd tax deadlines in 2025
• What is the cost of running a company in Malaysia?
• SSM Table of Fees
• Sdn Bhd vs Limited Liability Partnerships in Malaysia

Register Your Business with MISHU – Fast, Hassle-Free Incorporation

Setting up a Sdn. Bhd. in Malaysia doesn’t have to be complicated. MISHU makes the process of private limited company registration in Malaysia easy, fast, and fully compliant with SSM regulations so you can focus on growing your business without the hassle of paperwork and legal complexities.

• Fully Online & Paperless – No need for physical visits or lengthy paperwork. Everything is handled online for your convenience.
• Fast & Smooth Registration – Get your Sdn. Bhd. registered within days with expert assistance.
• Affordable & Transparent Pricing – No hidden fees—only clear, competitive pricing tailored for startups and SMEs.
• Full Compliance Support – From SSM registration to tax setup, business licenses, and company secretary services, MISHU has you covered.
• Post-Incorporation Guidance – Need help opening a bank account, tax registration (LHDN), or managing compliance? MISHU offers full support beyond incorporation.

How to Get Started with MISHU?

Getting started with MISHU is easy! Simply provide your company details, and our experts will handle everything—from name search to SSM registration—so you can launch your business hassle-free. 

1. Choose Your Package – Select an incorporation package that fits your business needs.
2. Submit Your Details – Provide basic information like company name, director details, and business nature.
3. MISHU Handles the Rest – Their team takes care of name search, documentation, and submission to SSM.
4. Receive Your Incorporation Documents – Once approved, get your SSM Certificate of Incorporation and company registration documents hassle-free.

Conclusion

Registering a Sdn. Bhd. in Malaysia is a strategic move for business owners seeking credibility, scalability, and tax advantages. While the process may seem overwhelming, understanding the eligibility criteria, registration steps, post-incorporation compliance, and annual operating costs ensures a smooth and legally compliant business setup.

Whether you register your company yourself via MyCOID or prefer a business consultant to handle the process, ensuring compliance with SSM, LHDN, and statutory bodies is crucial to avoid legal complications. From filing annual returns to managing tax obligations and employee contributions, ongoing compliance keeps your business in good standing.

If you’re looking for a hassle-free incorporation experience, MISHU offers expert guidance, fast registration, and full compliance support—helping you focus on growing your business while we handle the paperwork.

Ready to take the first step? Let MISHU simplify your company registration with expert Company Secretary Malaysia services today!