full guide to opening an umrah agency in malaysia

A Full Guide To Opening An Umrah Agency In Malaysia

Even as far back as 2023, the number of Umrah packages sold in Malaysia had gone up by 900% since 1998 and the sector as a whole was worth RM3 billion.

Today, 63% of the 32.4 million people in Malaysia are Muslims, and 7 out of every ten are within working age, for a total addressable market of roughly 13.9 million people!

picture of mecca and malaysians performing umrah trip
Still not as bad as KL Sentral during peak hours!

If you’re interested in entering this market, our guide explains the essentials of opening an Umrah travel agency in Malaysia. 

Here’s how we’ve broken it down:

  • defining an Umrah travel agency 
  • minimum requirements,
  • license fees and validity periods, and
  • application steps

Let’s begin.

An Umrah agency is just a travel agency!

And like all travel agencies, they are regulated by the Malaysian Ministry of Tourism and Culture (MOTAC).

To become an Umrah agency, you first set up an inbound and outbound travel agency, which can offer tours to international destinations with airline tickets.

travel luggage to symbolise normal inbound and outbound travel agency in malaysia

Our guide to travel agencies in Malaysia covers everything, but here are key details:

  • must be an incorporated Sdn Bhd
  • minimum paid up capital of RM200,000
  • have suitable physical premises

Once done, you apply for an additional license which allows your agency to offer Umrah travel packages.

However, not all tour companies qualify, so let’s see what’s needed to go from regular inbound and outbound travel to Umrah agency.

Umrah agency requirements

The inbound and outbound tour agency must meet three additional conditions:

Note: Corporate owners must submit SSM e-Info, identification, and bankruptcy status of all shareholders.

License fees and validity periods

As of 2025, there are four fees to keep in mind:

ItemFee (RM)
Inbound & Outbound Tour Agency LicenseRM950
Umrah Travel Agency LicenseRM500
MOTAC Processing FeeRM100 / license
PBT Composite LicenseUsually RM200 – RM500

As you will apply for your MOTAC licenses separately, the processing fee is incurred twice! 

The composite license is issued by your Local Authorities which allows you to operate in a physical premise and display a signboard.

All three licenses are valid for one year upon issuance after which they must be renewed.

Steps in the application process

As every application is made under slightly different circumstances so please treat the expected time for each step as a general guide!

Also, unless stated otherwise, licenses below are valid for one year.

StepTime TakenDetails / Fees
Step 1: Company incorporation3 – 5 working daysRegister for account on SSM MyCoID and carry out name reservation + incorporation.

Fee: RM1,010
Step 2: Apply for premise and signboard license15 – 30 working daysThese are issued by the Local Authority where your premise is located.

You must undergo a premise inspection by officers and make changes if requested.

Fee: Differs by district
Step 3: Apply for MOTAC Travel Agency License30 working days1. Register on TOURLIST, the Tourism Ministry’s online portal

2. Fill in an application form on the Tourism Licensing & Enforcement System.

Fee: RM100 processing fee
Step 4: Submit documents and await premise inspection14 – 60 working days (Depending on location)Submit the following documents: 

a. Signed copy of Tenancy Agreement valid for at least one (1) year OR a copy of Sales & Purchase (S&P)

b. Floor plan sketch; and

c. Colour photos of premise interior and exterior
Step 5: Submit TTMC Certificaten/aMust be attended by key company employee such as a director or senior manager and be within a year of attending.
Step 6: Submit association membership certificaten/aThe association must be from the list approved by MOTAC (list in our main guide).
Step 7: Pay license fee7 working daysOnce notified that your premise has passed inspection, make payment.

Fee: RM950
Step 8: Attend KPPU Course2-day courseCheck MOTAC KPPU page to see current year course calendar and submit application

Fee: RM800
Step 9: Apply for Umrah license30 working days1. Submit an application to add Umrah tours to your list of activities.

2. Done via TOURLIST by following this guide.

Fee: RM500

State MOTAC premise inspection wait times

Remember how we said it can take up to 14 – 60 working days to have your premises inspected by MOTAC? The different states are split into three zones, each with a different schedule.

ZoneStatesWait time
AKedah, Selangor, Wilayah Persekutuan Kuala Lumpur/ Putrajaya, Johor, and Sabah60 working days
BPulau Pinang, Perak, Negeri Sembilan, Melaka, Pahang, Kelantan, Terengganu and Sarawak30 working days
CPerlis and Wilayah Persekutuan14 working days

An Umrah agency can usually be up and running in three to four months but could take longer depending on MOTAC and PBT workload at the time.

Lastly, note the fees listed are only government fees and don’t include third party service charges.

And that’s it for now! 

We wish you all the best with your agency, and if you need help, we’re right here.

Let MISHU help set up your Umrah agency

MISHU’s incorporation and licensing experts are here to help you set up your Umrah agency as effortlessly as possible. We’ll handle the paperwork so you just focus on business. Get in touch!

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