n this website we will focus exclusively on the procedures for the setting up of a Private Limited Company which is (limited by shares).

This process is a very popular and well accepted avenue amongst many local and foreign investors intending to start up businesses in Iskandar Malaysia.

The Private Limited Company is required to have the suffix “Sdn. Bhd.” as part of its name.

Here is some salient information to take note of:

    1. The Companies Commission of Malaysia (SSM) is the government agency which incorporates companies and registers businesses.

    1. “Limited by shares” means that the Company has shareholders, and whose liability to creditors of the company would be restricted to the capital originally invested, i.e. the nominal value of the shares and any premium paid in return for the issue of the shares by the company. A shareholder’s personal assets, employment and personal income will be protected in the event the company becomes insolvent and therefore are not liable to any of the company’s debts.

    1. It would just require a minimum of 2 directors (Non Malaysians are acceptable) to form a “Sdn. Bhd.” Here is the criteria for eligibility:Qualifications of a Director…

      • Must be a natural person

      • Must be aged 18 years or older

      • Must not be an un-discharged bankrupt

      • Must not be convicted of an appointment

      • Must be a resident of Malaysia or having a permanent residential address in Malaysia

    1. Efficient “company name search” exercise.Choosing a suitable name for registration is important to ensure that the new name can be reserved (protected) for a period of three months. To achieve speedy registration of your new company, please prepare at least three (3) suggested choices for the name search exercise and avoid picking a name which is similar or close to existing registered companies or brand names!Do take note that there are a number of regulations that apply when a company name is chosen. Please refer to SSM’s guideline in this link.

      Your choice of name should be unique but must not include certain words that would be considered offensive or whose use would constitute a criminal offence or those that would be likely to give the impression that the company is in any way connected with the Royalty, the Government, a local authority or contain a word or expression specified in various “Regulations”.

      Please refer to the SSM guidelines (pdf) prohibiting the usage of certain words provided

  1. Lodgement of Incorporation DocumentsOnce the name search exercise with SSM is successful, subsequent activities would involve the preparation of registration documents, signing of documents by directors, stamping of M & A, and finally the submission of all the application documents to SSM.If all documents are in order, it will only take 2-3 working days* to get your company incorporated!