Chinese
Chinese
English
HomeAbout UsServicesDownloadFAQsContact UsBBS

    Quick Acess

Offshore Company
Current position : Home >> Offshore Company
 
Procedure and Fee for Registration of Representative Office/Regional Office in Malaysia

Procedure and Fee for Registration of
Representative Office/Regional Office in Malaysia

Unless otherwise indicated, the Representative Office/Regional Office stated in this article refers to the office established in Malaysia by a foreign company/organisation to perform permissible activities related to economics, trade and investment for its head office/principal. The setting up of Representative Office/Regional Office requires the approval by Malaysia Investment Development Authority (MIDA).

Our fee for this Malaysia Representative Office/Regional Office set up and bank account opening package is USD1,500. Our fee covers the setting up of Representative/Regional Office and opening of a corporate bank account with a bank in Malaysia but exclusive of the payment of official filing fee to MIDA.

Normally, in order to set up a Representative Office/Regional Office in Malaysia, client needs to provide the Certificate of Incorporation of the parent company, Audited Financial Statements for the last two (2) years of the parent company, company profile of parent company, information on the background of the parent company and the proposed Representative Office/Regional Office etc.

The registration of a Representative Office/Regional Office in Malaysia can be completed in about four (4) weeks, from the day of submission of all the required information/documents.

Our fees stated in this quotation does not cover the application for special licence or permit. If the activity of the clientís Malaysia Representative Office/ Regional Office requires special licence or permit, we can help to apply for it and our fees will be quoted upon request.

  1. Malaysia Representative Office/Regional Office Registration Package ?Services and Fees

    Our fee for handling the registration of a Representative Office/Regional Office in Malaysia and opening of a local bank account in Malaysia, is USD1,500 (exclusive of registration fee payable to MIDA). In particular, our fee covers the following services:

    (1)
    Malaysia Representative Office/Regional Office Registration - Pre- & Post-Registration

    (a) Answering clientís questions in respect of the registration and maintenance of a Representative Office/Regional Office in Malaysia;
    (b) Preparation of registration documents and submission to MIDA; and
    (c) Preparation of documents for opening of bank account.

    (2)
    Malaysia Bank Account

    Kaizen will provide assistance to open a local bank account with a bank in Malaysia, including preparation of documents as required by the bank, reviewing of bank account application documents prepared by client and liaison with the bank in respect of the bank account application. Please note that certain bank might require the all the directors of the foreign company and authorised signatories to visit the bank in Malaysia personally for the purpose of due diligence. It should also be emphasised that our role is limited to providing assistance and it is the sole discretion of the bank to decide whether to open the bank account or not. We do not assume any responsibility should the bank decides not to open the bank account for you.

    Note:
    (1) Please note that the above-mentioned fees included our professional services fee but exclusive of registration fee payable to MIDA and courier charges, if any.
    (2) Assuming no licence or permit is required. If special license or permit is required, Kaizen may assist in such application and our fee will be quoted upon request.
    (3) All our fees quoted also do not include GST or VAT or SST, if applicable.

  2. Payment Term and Payment Methods

    Upon receipt of your confirmation of engagement, we will issue and send an invoice together with the wiring instructions to you for your settlement. When you arrange the payment, please put our invoice number of account number in the message section and then send email a copy of the remittance receipt to us for our records. Because of the nature of service, we require full payment in advance. And once the service is commenced, no refund of service fee will be made.

    We accept cash, HKD check, TT and credit card through PayPal. An extra handling fee of 5% will be charged if paid by PayPal.

  3. Eligibility Criteria of a Malaysia Representative Office/Regional Office

    The requirements of a Representative Office/Regional Office as follows:

    (1)
    Eligible Sectors:

    (a) Manufacturing sector
    (b) Services sub-sectors promoted by MIDA and other services sub-sectors on case to case basis
    (c) Government sector and foreign organisation

    (2)
    Type of applicants:

    (a) Foreign Government Agencies
    (b) Foreign Organisation, Universities and Institutions
    (c) Foreign Companies (Conglomerates and Non-Conglomerates)

    (3)
    The name of the Representative Office/Regional Office must be the same as to the parentís entity.

    (4)
    Representative Office/Regional Office is allowed to operate in commercial premises only and is allowed to undertake activities within the permissible activities.

    (5)
    The minimum operational expenditure for new establishment of the Representative Office/Regional Office is RM300,000 per annum or as proposed by the applicant, whichever is higher.

    (6)
    Representative Office/Regional Office should be financed by funds emanating from sources outside of Malaysia.

  4. Materials Required for the Registration of a Representative Office/Regional Office

    Client needs to provide the following documents and information of the foreign company to Kaizen by email or fax or post for purpose of registration with MIDA:
    (1)
    Certificate of incorporation of the parent company;
    (2)
    Audited financial statements for the last two (2) years of parent company;
    (3)
    Company profile of parent company; and
    (4)
    Information on the background of the parent company, purpose of establishment, the activities of the proposed Representative Office/Regional Office, the benefits the Representative Office/Regional Office will bring to Malaysia, the estimated cash flows, human resources and/or expatriate posts requirements.

    If the application for the establishment of Representative Office/Regional Office is applied together with the expatriate posts, the following additional documents are required:
    (1)
    Certified passport of the expatriate;
    (2)
    Certified certificate of academic qualifications of expatriate; and
    (3)
    Resume of the expatriate.

    If any of the documents listed above is not in English, please also provide an English certified translation. Unless stated otherwise, the documents listed above have be certified by the company secretary of the parent company, notary public, commissioner for oaths or other qualified attesting officer.

  5. Malaysia Representative/Regional Office Procedure and Timeframe

    Normally, assuming no licence or permit is required, we can get your Malaysia Representative Office/Regional Office registered in 30 working days provided the application is in order. The table details the registration procedures and time needed for each step.

    Step


    Description


    Time


    1


    Client places an order for registration with Kaizen and provide the documents and information listed in Section 4 to Kaizen by email or courier. Kaizen will issue an invoice for client to arrange for payment of service fee at the same time.


    Clientís Schedule


    2


    Kaizen proceeds to prepare registration documents and send the documents to client for signing.


    1-2


    3


    Client arranges to have the registration documents signed by the director(s) and then return the duly signed documents to Kaizen by email. Client can also sign the said documents in any of Kaizen offices.


    Clientís Schedule


    4


    Upon receipt of the original signed registration documents, Kaizen will then proceed for registration with MIDA and pay the official registration fee.


    1-2


    5


    Kaizen expects to receive the letter of approval for establishment of Representative Office/Regional Office from MIDA in one (1) month provided the application is in order.


    1 month


    6


    Kaizen will arrange to deliver the Company Kit to clientís designated address. Client can also collect the Corporate Kit at any of Kaizen offices.


    1-2


    7


    Kaizen delivers letter of approval from MIDA together with  supporting documents to bank for preliminary assessment.


    3-5


    8


    Kaizen arranges video conference with the bank officer and the director(s) for the bank to perform their KYC procedures.


    Clientís Schedule



  6. Documents To be Returned to Client after Registration

    After the registration process is completed, Kaizen will return the following materials to you for your retention and as proof that the Representative Office/Regional Office is duly registered:
    (1)
    Letter of Approval for Establishment of Representative Office/Regional Office;
    (2)
    Company Stamp; and
    (3)
    Bank account materials (or it could be delivered by the bank after the bank account is opened).

  7. Continuous Obligation of Malaysia Representative/Regional Office

    Upon registration, every Representative Office/Regional Office must comply with the requirements as set out below:

    (1)
    Progress Report/Annual Activities

    Progress report/annual activities for the Representative Office/Regional Office must be submitted to MIDA every 12 months and before application for extension of Representative Office/Regional Office is approved.

    (2)
    Extension Application for Representative/Regional Office

    If the foreign company wishes to apply for the extension of Representative Office/Regional Office, the application for the extension must be submitted to MIDA at least three (3) months before the expiry date. However, the approval for extension shall be considered subject to the compliance of imposed conditions.

Kaizen
, together with its associate firms in Malaysia, can help the clients to perform these compliances formalities so as to maintain the Malaysia company in good standing. Please call and talk to our professionals in Kaizen for further clarification.


Previous two similar articles:

 Offshore Company