Business As Owners Companies in Malaysia

Business owners in Malaysia have a few different company types to choose from when incorporating their business. The most common types of business entities in Malaysia are sole proprietorships, partnerships, and private limited companies.

Sole proprietorships are the simplest and most common type of business entity in Malaysia. A sole proprietorship is owned and operated by a single individual, and there is no legal distinction between the owner and the business. This type of business is easy to set up and requires minimal compliance.

Partnerships are similar to sole proprietorships, but involve two or more individuals. Partnerships can be either general partnerships or limited partnerships. In a general partnership, all partners are equally liable for the debts and obligations of the business. In a limited partnership, there is at least one partner who is not liable for the debts and obligations of the business.

Private limited companies are the most common type of business entity in Malaysia. A private limited company is a separate legal entity from its owners, and has limited liability. This type of company must have at least two shareholders and cannot offer shares to the public. Private limited companies must also have a paid-up capital of at least RM2,000.