Expanding a business into Malaysia presents exciting opportunities for foreign entrepreneurs and companies. However, navigating the country’s corporate laws, compliance requirements, and regulatory processes can be complex.
A Company Secretary plays a crucial role in ensuring that foreign-owned businesses operate legally and efficiently. Appointing a qualified and experienced Company Secretary helps foreign investors focus on growing their business while ensuring full compliance with Suruhanjaya Syarikat Malaysia (SSM) and other regulatory bodies.
At Amaze Advisory, we provide professional Company Secretarial services to help foreign businesses establish and manage their operations seamlessly in Malaysia.
1. Why Foreigners Need a Company Secretary in Malaysia
Under the Companies Act 2016, every Private Limited Company (Sdn. Bhd.) in Malaysia must appoint a licensed Company Secretary within 30 days of incorporation.
For foreign investors, a Company Secretary is essential because they:
- Ensure full compliance with Malaysian corporate laws.
- Manage legal documentation and reporting to SSM and other authorities.
- Facilitate communication between local regulators and foreign business owners.
- Advise on corporate governance and statutory requirements.
- Assist in business operations, including permits, tax matters, and regulatory filings.
2. Key Responsibilities of a Company Secretary for Foreign Businesses
(A) Business Incorporation & Registration
Setting up a business in Malaysia involves several regulatory steps, including:
Key Services Provided by a Company Secretary:
- Incorporating a Private Limited Company (Sdn. Bhd.) with SSM.
- Drafting and filing incorporation documents (such as the Constitution, Board Resolutions, and Director appointments).
- Advising on business structure and compliance.
- Applying for necessary business licenses and permits.
Amaze Advisory helps foreign businesses register and set up their company smoothly, ensuring compliance with all legal requirements.
(B) Compliance with Malaysian Corporate Laws
Once incorporated, foreign companies must comply with ongoing legal and statutory requirements, including:
- Filing annual returns and audited financial statements.
- Maintaining statutory records and registers.
- Notifying SSM of any company changes (e.g., directors, shareholders, registered address).
- Ensuring directors fulfill their duties under the Companies Act.
Amaze Advisory ensures that your company stays fully compliant with all corporate regulations in Malaysia.
(C) Banking and Financial Compliance Assistance
Foreign investors often face challenges in opening corporate bank accounts due to strict KYC (Know Your Customer) policies.
- A Company Secretary assists in preparing documents required by banks.
- Helps with liaising with financial institutions for smooth transactions.
Amaze Advisory works closely with banks to ensure that foreign investors meet the necessary requirements for corporate banking.
(D) Tax and Regulatory Compliance
Foreign businesses must comply with Malaysian tax laws, including:
- Corporate Income Tax – 15%/17%/24% for companies.
- Withholding Tax – Applies to foreign payments for services and royalties.
- Sales and Service Tax (SST) – Required for certain goods and services.
- Employer tax obligations (EPF, SOCSO, and EIS contributions for employees).
A Company Secretary helps foreign business owners:
- High level understanding of Malaysia’s tax system and its implications.
- Register for tax numbers and ensure compliance with the Inland Revenue Board (LHDN).
- Liaise with tax advisors for efficient tax management.
Amaze Advisory ensures foreign companies are aware of and comply with Malaysia’s tax regulations.
(E) Business Expansion, Licensing & Work Permits
Foreign investors often require additional business licenses, work permits, and regulatory approvals.
A Company Secretary assists with:
- Applications for business licenses (sector-specific approvals, Halal certification, etc.).
- Obtaining work permits and employment passes for foreign directors and staff.
- Facilitating regulatory approvals with government agencies.
Amaze Advisory helps foreign investors navigate Malaysia’s regulatory framework, ensuring all licenses and permits are obtained smoothly.
(F) Business Closure or Exit Strategies
If a foreign investor decides to close or exit their business in Malaysia, a Company Secretary ensures a smooth winding-up process.
This includes:
- Deregistration with SSM and tax authorities.
- Settling outstanding liabilities and accounts.
- Notifying stakeholders and regulatory bodies.
Amaze Advisory ensures that foreign companies close their operations legally and efficiently without compliance risks.
3. How Amaze Advisory Can Help Foreign Businesses in Malaysia
At Amaze Advisory, we provide end-to-end Company Secretarial services for foreign-owned businesses in Malaysia. Our services include:
- Company Incorporation, Company Secretary and Nominee Services
- Accounting & Financial Advisory
- Tax & Advisory
- Payroll Outsourcing
- Employer of Record (EOR)
- Immigration & Global Mobility
Get Started with Amaze Advisory Today!
Phone: +6013-284 7678 / +6013-323 7678
Website: www.amazeadvisory.com
