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Sdn Bhd FAQ

Sdn. Bhd. company is a private company limited by shares.

One director who shall ordinarily reside in Malaysia by having a principal place of residence in Malaysia, and one shareholder who can be a natural person or a legal person, i.e.: LLP, Sdn. Bhd., or public company (Berhad).

Yes, provided there are no restrictions as contained in the constitution of the company. A single director may have disadvantages and if you are unsure about the disadvantages, please contact us for further information.

For director and shareholder

  • Photocopy IC for Malaysian or photocopy passport for foreigner
  • Residential address
  • Service address
  • Email address
  • Phone number

For the intended company

  • Name of the intended company
  • Nature business of the intended company

Please contact us if you need help incorporating a Sdn. Bhd. company.

Around 3 – 5 working days. This is an estimate only and it may take more or less time depending on your individual circumstances.

A minimum of RM1.00 needs to be injected into the company during the incorporation stage but please note that this is only a minimum requirement and you should always speak to a professional business advisor like TJW before you make the decision in order for a suitable amount shall be injected to the company.

No. Shareholder of Sdn. Bhd. shall be a natural person or a legal person, i.e.: LLP, Sdn. Bhd., or public company (Berhad).

Yes, but at least one of the directors shall ordinarily reside in Malaysia by having a principal place of residence in Malaysia.

No. If your business has a physical store, you shall apply for at least a business license and signboard license before you can start your business.

No, you cannot convert a Sdn. Bhd. into a sole proprietorship or a partnership because they are different in nature.

You can register a sole proprietor or partnership and run the business as a new company before terminating the existing Sdn. Bhd. However, such a “conversion” may have tax issues related to capital allowance, and lead to a huge impact on your tax amount. Hence, a discussion with us is highly recommended so you can be better informed about the benefits and consequences before making any decisions.

Maintenance cost for a Sdn. Bhd. is higher compared with sole proprietorship and partnership. To find out whether it is suitable for you to set up a Sdn. Bhd., contact us for a 1-hour free consultation before choosing the right business model.