If you are an upcoming business entrepreneur in Malaysia, there are various things you have to keep in
mind. Those are important in order to run a company. So, a fair knowledge about Sdn Bhd is compulsory when planning business here. The prerequisites are vital and must be fulfilled and keep the attention on government laws and regulations before emerging into the working arena. These pre-requisites strengthen every pillar of a new company in the long run. This particular article briefly discusses 9 such aspects that you must keep into consideration before conducting business in Malaysia.
To be a company owner in Malaysia, you must fulfill various self-disciplinary as well as corporate needs. So, here are 9 such Pre-requirements:
1. Set up your Mind
The very first building block of a company is the mindset of the owner. You must have a proper and firm mindset about what kind of company you want to start. Once fixed, your next task should be about how you want to run the company that’s in mind. An unstable mindset cannot set a firm mindset which leads to solid planning of a company. So, take your time and stabilize your mind about the company you want to see running in the future.
2. Planning is vital
Planning is the basic pillar of a company. Good planning builds up the roots of your business. Your company will typically run based on the initial master plan you have made. If you don’t have proper planning your company may eventually crumble down or most likely face instability in the long run. Your planning may include strategies, product development, aims and objectives of the company and so on.
3. Do you have enough capital?
The next and most important step is to arrange the capital. Your capital must support your company. If you have a capital for a grocery shop, you can’t initially expect to invest it to open a multinational software firm with that. Maybe eventually you can build up the capital to open one, but the fact is that you have to synchronize your capital with the company you want to start in the future. Your capital amount should be enough to support the business throughout the company timeline. It is wise to open a separate company account beforehand. This will eventually help you to separate the personal bank balance with your trade capital.
4. Local government laws and policies
Every country has their own company rules and regulations, so does Malaysia. If you want to open a business in Malaysia, it is wise to understand local government rules and regulations. You can’t simply come into this country and open a business. There are several corporate rules and policies, you have to undergo, before validating your company in this nation. Failing to understand local norms will often build restrictions in between the company’s progress. Therefore, the advice for you would be, invest some time in investigating and understanding local norms, regulations and company policies.
5. Market research and understand customer demand
If you have a fair idea of local policies, it is time to make some research work. Market and customer research are necessary before moving forward to open a company. Without proper market research, your company can not figure out competitions, costs, and demands. To catch the current market and forecast future demands, you must carry out proper market research. Malaysia allows various business. Opportunities are immense, so are the competitors. So, the study on product improvements, customer demands to achieve the expected outcome of your company.
6. Role of SSM and LHDN and their activities over the company
Any Important aspects of company registration lie upon two particular government bodies in Malaysia.
Suruhanjaya Syarikat Malaysia (SSM) and Lembaga Hasil Dalam Negeri Malaysia (LHDN) are the two-authorization bodies of Malaysia that deals with all your company registration and taxation processes. These tasks include company naming, incorporation, MoA, AoA, other licensing, etc. So, understanding the role of these government departments are necessary. Whether you are up for company registration, tenant survey or for license renewal, these departments will always keep you under watch through company timeline.
7. A perfect location to set your future company
A preferable location is important for a company. Unless you have a virtual company or any startup that is going to run entirely on the internet, proper address and location are mandatory. In addition, with that Proper location can attract more target customers. Moreover, the right premises provide securities and assure a better working environment for employees. The eventual benefits of having a preferable company location are impressive in the long run.
8. Collaborate and networking to source product raw materials
Now you know what is your company all about and what will be the products you want to manufacture. At this point, you have to figure out the source of raw materials for your products. Investing in proper raw materials can lead you to quality end products. Therefore, before starting the company makes a good network with manufacturers of raw materials. So, once you are on mass production, you have an uninterrupted supply of raw materials.
9. Be ready with valid documents and statements
The last step before officially collecting your company registration documents is to prepare all your official and legal paperwork. You may consider hiring business lawyers or business registration specialist to aid you during preparing documents and bank statements. Paperwork must be standby when needed during the registration and licensing process for your company. Such a pre-step will, later on, save time, money and keep the registration process clean and smooth.
A better way to know more about registering Sdn Bhd company is to consult with an experienced consultancy body. There is no alternative to getting advice from a business expert if you are looking for hassle-free company setup. To Get an elaborate knowledge on company registration click here, and get all the relevant assistance and up to date information on the new company setup process in Malaysia.
Read also: How to Start and Run a Limited Liability Partnership?