There are many reasons Malaysia is one of the most ideal choices for starting a business in Southeast Asia. Because of its business-friendly environment and low startup costs, the country was ranked by the World Bank as one of the top 190 countries for ease of doing business in 2020.
Now if you’re starting a business in Malaysia, here are some tips that will surely help you get a good head start:
Determine your business structure.
There are seven types of business entities in Malaysia: sole proprietorship, partnership, private limited company (Sdn. Bhd.), limited liability partnership (LLP), public limited company (Berhad), branch office, and representative office. Determining your business structure should be the first step to starting your business since it will dictate the rest of the things that you need to do during this process. Most foreign businesses go for a private limited company that allows them up to 50 shareholders. But to determine the best business structure for you, it would be ideal to work with a consultant company like Acclime Malaysia that can guide you through this entire process.
Secure your business name.
If you’re starting a business from scratch in Malaysia, then you’d have to come up with a completely unique business name that follows the standards stipulated by the Companies Commission of Malaysia (SSM). You can also retain your original business name if you’re just expanding into the country. But you still need to make sure that it’s unique enough that it doesn’t sound like any other existing business in the country.
Hire your team.
One of the good things about starting a business in Malaysia is that it has a great talent pool. Here, you can find professionals with various skills and experiences to help you run and build your business. Choosing the right people is crucial to your success because they are the ones you’ll be working with to make sure that your business in Malaysia will run smoothly. And when you do get the right people on your team, make sure to value them by investing in a great company culture through activities like team building.
Raise your funds.
Although Malaysia has one of the lowest startup costs in the Southeast Asian region, you still need to prepare a substantial amount to not only get your business up and running but also to cover the expenses of your operations during its first few months. You also need to think about the costs of starting the business, including the paid-up capital, taxes, and other fees. This is why it’s very important to raise sufficient funds that will allow you to operate without any limitations and ensure that you have enough fuel while you’re still trying to establish yourself in the country.
Malaysia is definitely a great choice for a business location if you want a place that has a good economy, a great market, and a vibrant environment that welcomes foreigners. And with these tips, you’ll surely be able to enjoy your startup.
