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Company Formation in Malaysia

The law relating to incorporation of a company in Malaysia is governed by the rules and regulations of Malaysian Companies Act, 2013. As per the act any company doing business in Malaysia should register with the Companies Commission of Malaysia (CCM) under the Companies Act, 2013.

Procedure For Incorporation

However, a reservation period of three months will be granted if the name is available, during that time the company should submit copies of documents like Articles and Memorandum of Association, Statutory Declaration of Compliance and Statutory Declaration. A person must then lodge the following documents with the CCM within the three months to secure the use of the proposed name:

  1. Memorandum and Articles of Association.
  2. Declaration of Compliance (Form 6).
  3. Statutory declaration by a person before appointment as a director, or by a promoter before incorporation of a company (Form 48A).

The Memorandum of Association shall describe:
  1. Company's name, the objects.
  2. The amount of its authorized capital proposed for registration and
  3. Its division into shares of a fixed amount.

The Articles of Association describes the rules and regulations governing the internal management of the affairs of the company and the conduct of its business. A certificate of company incorporation will be bestowed by the Registrar of Companies once registration procedures are completed and approved.

Once the Certificate of company Incorporation in Malaysia is issued, the subscribers to the Memorandum together with such other persons as may from time to time become members of the company shall be a body corporate, capable of exercising the functions of an incorporated company and of suing and being sued. It has an eternal succession under common seal with power to hold land, but with such liability on the part of the members to contribute to its assets in the event of it being wound up, as provided for in the Companies Act.

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