Malaysia company formation assists our clients to legitimately conduct business in Malaysia and the Asia Pacific region.

The most common form of company for foreign investors is the Sendirian Berhad (Sdn Bhd) private limited company. The
following information will help you determine whether Malaysia company formation is the optimum corporate structure to
fulfill your international business objectives.

Advantages of Malaysia Company Formation

1. Malaysia company formation is simple and cost-effective. According to the 2008 Doing Business Survey by the World
Bank, Malaysia is the world's 24th easiest place to do business. The survey measures factors including business start up
procedures, time, cost and minimum capital required to start a business.
 
2. A Malaysian company accesses double taxation treaties with almost 50 countries, including the world’s leading
economies (see the Inland Revenue Board of Malaysia website)

3. Following Malaysia company formation, ATA Corporate Formation & Management LTD can open a corporate bank account with one of the world's

leading retail banks, including HSBC, Standard Chartered and Citibank.
4. Malaysia is positively ranked as the 21st most competitive economy in the World Economic Forum's Global
Competitiveness Report 2007-2008. Furthermore, In its 2008 World Competitiveness Yearbook, the Switzerland-based
IMD positively ranks Malaysia as the world’s 19th most competitive economy. The ranking takes into account factors
including economic performance, government efficiency, business efficiency and infrastructure.

Disadvantages of Malaysia Company Formation

1.  A Malaysian company pays 28% corporate profits tax on all income. Furthermore, a Malaysian company is subject to a
withholding tax of up to 20%. Following Malaysia company formation, annual audited financial statements and a tax return
are submitted to the Malaysian authorities. Every Malaysian company is required to appoint an auditor approved under the
Malaysia Companies Act. ATA Corporate Formation & Management LTD will assist our clients efficiently and effectively to complete this annual
statutory obligation. 
2. Malaysia company formation is challenging for foreign investors, who are required to apply for Foreign Investment
Committee approval when taking a Malaysian company shareholding exceeding 30%. As such, Malaysia is perceived
negatively as the world’s 51th freest economy in the Heritage Foundation’s 2008 Index of Economic Freedom, a measure
of freedom enjoyed in business, trade, monetary, financial, investment and labour markets.
3. A minimum of two directors and two shareholders is required with Malaysia company formation. The directors must be
resident in Malaysia. A register of directors is available for public inspection following Malaysia company formation.
4. Malaysia is negatively perceived as the world’s 43th least corrupt country, according to the 2007 Corruption
Perceptions Index by Transparency International, a global measure of corruption amongst public officials and politicians.
5. Malaysia ranks a negative 63rd on the United Nations Human Development Index, which rates a country on its overall
life expectancy, literacy, education and living standards.

Business Visa Application - Multiple Return Journey Visa

Business Visa can be applied for by yourself or by your local Malaysian Directors at a cost
of about RM 410.00 for a two-year period and it is renewable every two years
the application process generally takes about 30 - 45 days
Dependent Visa can also be arranged subsequently for your immediate family at about
RM 100.00 per person per year.
For more info - pls check with   Malaysia Immigration Department

YOU  WOULD  NEED  TWO  LOCAL  MALAYSIAN  CITIZENS  AS  DIRECTORS  AND  WE  CAN  PRE - PREPARE  THE  PRE - SIGNED  LOCAL  MALAYSIAN  DIRECTORS  RESIGNATION  LETTERS  AND  BLANK  SHARE  TRANSFER  FORMS
AND  MAYBE  EVEN  A  SHAREHOLDER'S  AGREEMENT  TO  FULLY  PROTECT  YOURSELF  AND  YOUR  INVESTMENT
BUSINESS  PASSES  AND  WORK  PERMITS  CAN  BE   ARRANGED  AT  A   REASONABLE   FEE
WE HAVE LEGAL PROFESSIONALS TO HELP YOU PREPARE THE SHAREHOLDER'S  AGREEMENT TO SAFEGUARD YOUR INVESTMENT
IN THE EVENT OF Dispute, Disagreement, Bankruptcy or Death OF THE LOCAL Malaysian DIRECTORS

the shareholding structure could even be 100% for the Foreign Investor

Two Local Malaysian Directors - at all times
but you will need to provide two (2) local Malaysian Directors - at all times
– until forever – as long the company is operational
if you do not like your existing two local directors
– you can change them for other Malaysian directors – but there must be two local directors
you can hold 100% of the company shares and you can even be the sole Bank Signatory of your Company Bank Account - if you require

you must find two local Malaysian Directors by yourself
we can help you find these two local Malaysian directors

LOCAL DIRECTORS SALARY / DIRECTORS FEE
You should also offer some small monthly salary and a small amount of the net profits of the company to the Malaysian directors
- surely nothing is for free
- maybe about 5% to 15 % per local director of the net profit of the company

 SAFETY PRECAUTIONS TO SAFEGUARD YOUR INVESTMENT

for your own safety and peace of mind
you can be the sole signatory of the Company Bank Account and have the two local Malaysian directors undated letter of resignation for your safe keeping
we can help to pre - prepare the two local Malaysian Directors - Undated Letter of Resignation and Transfer of Shares – as a precaution - for you to keep
Also if the amount of your Financial Investment or if your level of business is very high – you should consult a lawyer after you have already set up the company
- then you may need to request a Lawyer to prepare a Shareholders Agreement as to what are the rights, duties, obligations and other clauses – to further protect yourself
- we have qualified lawyers who can assist with such matters

Requirements to be a Company Director Two local Malaysians
Requirements to be a Company Director - above 18 years old and not bankrupt
- you can choose from Malaysian citizens

Documents required
- 4 Copies of Passport and 4 Copies of Identity Card for Malaysians
All the Company Directors have to be present in Malaysia and should come over to our office
for verification of identity and signature

– you have to find the two local directors by yourself

it is better if you purchase one of the ready made shelf companies - it will be ready in 1 Hour / 60 Minutes
rather than submit brand new company names for incorporation
Applications for Business Visa / Employment Visa / Permanent Residence / Silver Hair Program / Family Visa / Dependent Visa

24 hours Malaysia registration hotline: 852-27826888
24 hours Malaysia registration faxline: 852-34278882
24 hours Malaysia registration E-Mail: chan@ata.com.hk

http://www.ata.com.hk