6 Major Challenges You Need to Overcome Before Starting A Business In Malaysia | WMA 富道学院

6 Major Challenges You Need to Overcome Before Starting A Business In Malaysia.

Although it is relatively easy to start a business in Malaysia, especially a small one, it’s nevertheless vital to know the preliminaries, advantages, limitations, and legalities involved in starting a business in this country. This article contains basic information to guide you as you delve deeper into this subject or to actually go ahead and start a company. So do take note of the following things that you should be aware of before taking the plunge and starting your own small business in Malaysia.

1. Getting To Know and Understanding With More Depth The Various Races and Culture In Malaysia.

Batu Caves, A Hindu Temple in Malaysia

As a multi-racial and multicultural nation, Malaysia presents expats with a range of complex social facets. The diversity in the country – to say nothing of the fusion of varying cultures and influences – should not be ignored by the expat business owner, but rather embraced and even used to a business advantage when possible. Spend some time getting to know Malaysia and Malaysians before even starting research on what businesses might be viable. Travel around and get a feel of Malaysia, its cities, its rural areas, etc. Make contacts and friends, and familiarise yourself with the country, its foods, cultures, policies, and laws. At the same time, get and stay in touch with the trends, fashions, and tastes. It all matter!

2. Following The Malaysian Government Business Policies and Regulations.

Find out is whether if you are permitted to start the type of businesses in your respective industries, as the government does impose restrictions on some of the types of industries. But the good news is that there are many industries or areas of business that both foreigner and local can venture into and start a business whether big or small. Check with the Company Commission of Malaysia (CCM) or Suruhanjaya Syarikat Malaysia (SSM) on their website. You can also have a representative like a company secretary or law firm or accounting firm or business consultancy to advise you, or to make enquiries, or to help you start a business is a good idea.

3. Researching The Market Of The Business That You Want To Go Into.

A Fish Market in Kelantan, Malaysia

If the business is saying, import and export, it is only logical to know both the local as well as overseas markets you are thinking of doing business in. If the business’s target market is basically in Malaysia only, then, of course, it is important to research and understand everything related to your business locally. If you’re thinking of opening a restaurant, you should decide whether to cater to the lower-income, or middle-to-upper income market, or whether you want to cater to the lunch hour office crowd market or even to the vegetarian food market, etc. It is also crucial to know who and how strong are your competitors, of which really applies to all types of businesses and industries and even other areas of life. Getting to know the strengths and weaknesses of products and services not only your own company but also that of your competitors.

4. Submitting The Right Types Of Trade Permits and Certificates Needed To Run A Business In Malaysia.

In Malaysia, businesses are divided in the form of a private limited company or Sendirian Berhad (Sdn. Bhd.) only – which is a standard Malaysian Private Limited Company (MPLC). In Malaysia, trade licenses are not needed for most types of businesses and without it being compulsory to set up an office provided there is no need to apply for work permits in the international free trade zone. But, do keep yourself updated with the latest information!

5. Determining The Amount Of Investment And Time Needed, As Well As Projected Return on Investment (ROI)

Costs, like company registration fees, trade licensing fees, e.g., Wholesale and Retail Trade (WRT) permit fees, and local council licenses and permits for advertising and premise signboards are all forthcoming. Meanwhile, other costs like office/shop renovation, furniture and fittings, rental and deposits for the premise as well as initial deposit needed to open a bank account to apply, also. The number of funds needed to operate the business – including staff salaries, employees’ provident fund (EPF), company vehicles, supplies, raw material and machinery needs, utility bills, etc. – until the business becomes profitable should be made ready and available. Last but not least are the cost needed for the deposit and monthly payments for landlines and broadband services. It is good to know or at least estimate what the ROI of your business may be as this will give added direction, drive,  and time schedules to work around on.

6. Knowing The Best Locations To Start Your Venture.

Highway in Kuala Lumpur

Not only is the country that one has their business that is important, but also the actual town, area, street, and address number, right down to the suite or office lot number. Convenience, ease of finding, traffic flow, logistics, transportation, parking, and proximity to various other facilities and amenities are some of the important points to consider. An import and export company that’s located in a commercial hub, while being close to a port with industrial and warehousing facilities, as well as being well serviced by good roads and infra is a great example. Another example would be a grocery store selling imported foodstuff from a certain foreign country that’s close by or within the area where the residents there are of the same ethnic group of that foreign country.   DO CHECK OUT OUR MAIN PAGE. Wealth Mastery Academy – WMA an organization that committed to empowering people with the right financial education, knowledge and proven skills in order for individuals to attain financial freedom. Over the years, WMA has coached thousands of individuals from all walks of life and have guided them with powerful knowledge and proven skills and strategies towards the path of financial freedom. WMA will continue to grow and remain committed with our aim to assist people towards their dreams.