Types of Malaysia Business Licenses for Foreigners
Foreigners who intend to set up a Malaysia Private Limited Company (Sdn Bhd) will need to know the various types of Malaysia Business Licenses for foreigners who has to apply and qualify to their business activities. The 100% foreign owned company may not be allowed in a certain trade license as these licenses may require local Malaysia’s participation in the application.The requirement and process for the foreigners to apply to the types of Malaysia’s business licenses to foreigners in Malaysia apply same as the local Malaysians.
Below are some examples of how and where needed to apply for the various types of Malaysia’s business licenses for foreigners from the Malaysia Governmental departments :
EDUCATION – Universities, Colleges, Schools, Tuition Centres, Language Centres License
TOURISM – Inbound, Outbound and Ticketing
TRANSPORTATION - Car Rental License
MEDIA – For Magazine and Books – Publication License
For TV, Radio, Singing and Music- Broadcasting License
DISTRIBUTIVE, IMPORT/EXPORTS – Wholesale Retail Trade(WRT) License for Trading, Import, Export, Restaurant and Consultancy
FACTORY/MANUFACTURING – Manufacturing License
HOTEL – Luxury Hotel, Budget Hotel License
CONSTRUCTION – Construction Industrial Development Board and Engineering License
ICT - Multi-Super Corridor (MSC) License
Direct Selling - Direct Selling License
The condition of approval of the above licenses may subject to the degree of participation of local Malaysians in the company as Director and/or Shareholder.
The most common trade license needed by foreigners is Wholesale,Retail Trade WRT License in Malaysia . This license are meant for company of non-resident status, which permit 100% foreign ownership for foreigners to participate in retail, franchise, restaurant, trading, import and export businesses.
Other categories of Malaysia’s business licences may also apply to foreigner who operate restaurants, retail stores by the Malaysian Local Town Councils (such as DBKL, MPAJ, etc) and Fire Brigade Departments.
The approval processing time for business licenses application by foreigner varies between 1 month to 6 months, depending on the type of license.
As a foreigner, before you start your business in Malaysia, it is advisable to have a complete understanding to the type of licenses required for your intend business. This is enable you to have a a hassle free solutions and avoid costly mistake, starting from the very beginning when you form a Malaysian Private Limited Company (SDN BHD).