GUIDE FOR FOREIGNERS
DIRECTORS
To set-up a private limited company, at least one (1) resident director is required.
Resident is defined as any person above 18 years old, who has principal place of residence within Malaysia.
Usually, foreigners who set-up private companies in Malaysia, go through either one of the following routes to meet the resident director requirement:-
APPLICATION OF EXPATRIATE WORK PERMIT
This is usually the route taken by owners who wish to be present in Malaysia personally to oversee its company's interests and investments, or companies who wish to transfer its personnel to Malaysia to carry out the company's policies and also to supervise the local staff.
The minimum capital requirement to apply for work permit is as follows:-
Do note that companies with business activities in distribution of merchantability and restaurants, or in unregulated service sector, are required to apply for a Wholesale, Retail and Trade (WRT) License. The minimum capital requirement for WRT License is RM1.0 million.
The minimum salary of the expatriate should be at least RM5,000 per month if dependent pass is required. You may refer to here for more information.
DIRECTORS
To set-up a private limited company, at least one (1) resident director is required.
Resident is defined as any person above 18 years old, who has principal place of residence within Malaysia.
Usually, foreigners who set-up private companies in Malaysia, go through either one of the following routes to meet the resident director requirement:-
- Appoint a local director; or
- Application of Expatriate Work Permit.
APPLICATION OF EXPATRIATE WORK PERMIT
This is usually the route taken by owners who wish to be present in Malaysia personally to oversee its company's interests and investments, or companies who wish to transfer its personnel to Malaysia to carry out the company's policies and also to supervise the local staff.
The minimum capital requirement to apply for work permit is as follows:-
- 100% locally owned companies - RM250,000
- Jointly owned by Foreigner and Local - RM350,000
- 100% owned by Foreigner - RM500,000
Do note that companies with business activities in distribution of merchantability and restaurants, or in unregulated service sector, are required to apply for a Wholesale, Retail and Trade (WRT) License. The minimum capital requirement for WRT License is RM1.0 million.
The minimum salary of the expatriate should be at least RM5,000 per month if dependent pass is required. You may refer to here for more information.
MALAYSIAN INVESTMENT DEVELOPMENT AUTHORITY (MIDA)
On case to case basis, depending on the sector of business, MIDA provides incentives and expatriate posts to companies.
You may go to MIDA's official website for more details on the promoted activities.
On case to case basis, depending on the sector of business, MIDA provides incentives and expatriate posts to companies.
You may go to MIDA's official website for more details on the promoted activities.