1. Can a foreigner form a Sdn. Bhd. ?
Yes.
2. What is the minimum number of director and shareholder in a Sdn. Bhd.?
Minimum one director and one shareholder.
3. What are the types of businesses and companies in Malaysia?
- Sole proprietor
- Partnership
- Limited Liability Partnership (LLP)
- Private Companies (Sdn. Bhd.)
- Public Companies (Berhad)
4. What is exempt private company?
An exempt private company is restricted to twenty (20) individual shareholders.
5. What is the definition of major shareholder?
A shareholder with > 50% of the company’s ordinary share capital.
6. Who can become a director?
According to section 196 of Companies Act, 2016, a director shall be a natural person who is at least eighteen years of age. The director shall ordinarily reside in Malaysia by having a principal place of residence in Malaysia.
7. What is the function of the board of directors?
The board of directors manage the business and affairs of the company.
8. Who is the shareholder?
The shareholder is an investor to the company. The shareholder has voting right and does not involve in the management of the company.
9. What are the criteria for the audit exemption?
The following conditions must be fulfilled:
- Annual turnover less than or equal to RM100,000;
- Gross asset value less than or equal to RM300,000; and
- Number of employees less than or equal to 5 at the end of the year.
10. When do we need to circulate the audit report?
The company must circulate the audit report within six (6) months from the year end of the company.