About China and India, Malaysia is the country that attracts most companies and international firms that relocate all or part of their activities. Nothing really surprising in view of the various benefits that the country offers in addition to its skilled workforce and cheap.

Located in Southeast Asia, Malaysia Federation of Malaysia adopted a liberal economic policy and is part of Asian high-growth, its population also has a fairly high standard of living. Between 2006 and 2008, the rate of GDP growth was very high, thanks to domestic consumption and export. The Malaysian government has always adopted an attitude of openness towards foreign investors and do not hesitate to grant them tax facilitation of establishment and to promote the development of the country.


Some key sectors of the Malaysian economy

Agriculture occupies only 10% of total GDP of Malaysia although the country is one of the largest exporters of palm oil, cocoa, pepper and rubber in the world. The industrial sector is almost half of GDP, thanks to the proliferation of large manufacturing of electrical, electronic and other high technology products and software development. The government is pushing investors even in this direction. Malaysia is the third area of ​​relocation in the world in new technologies after China and India. The country also has various natural resources waiting to be exploited: tin, copper, bismuth, bauxite and other mineral resources. Energy, Malaysia produces oil reserves but its not as important.

Coal and natural gas, for cons, waiting to be exploited with reserves estimated at 40 million tonnes and 100 billion m3. Their farms and exports constitute a very important source of income, if you have the availability of funds necessary to implement the necessary infrastructure. Finally, the Malaysian state has launched a wave of privatization since 2004. This privatization of state for several companies in the transportation, telecommunications, energy and financial services. Foreign investors are among the targeted buyers for these large organizations already operating.

The reasons for investing in Malaysia

First, the Malaysian government adopted a liberal investment policy and transparent, which facilitates the entry of foreign investors to come and use their money in the country. Malaysia also has a skilled workforce and well trained with an extraordinary competitive cost. In addition to its strategic location, situated in the center of the world with access to the sea, Malaysia has a highly developed infrastructure and advanced, which helps a lot almost all industries, many of them are multinational implanted.

In addition, the Malaysian government has implemented several measures to facilitate, to encourage entrepreneurs to launch their projects. Companies “pioneer” for example have a tax exemption for a period of up to 15 years, while business called “priority” tax exempted for a period up to 10 years. Companies that fall into the category of “Multimedia Super cooridor” also enjoy ease fiscal and regulatory. Following the activity, other measures may be granted exemptions as for customs duty, sales tax or excise duty. Generally, foreign companies are classified as pioneers, and therefore enjoy the benefits related to that category.

Moving as an investor in Malaysia

Foreign investors, especially those who want a quick return their capital do not hesitate to make the trip to Malaysia, to provide funds and expertise to participate in the development of the country while finding their own interest. Whether you want to take a stake in an existing business, to resume the activity of a state enterprise privatized or start your own business, the Malaysian government offers special measures to facilitate your work. With an economic atmosphere calm and transparent, you have no concern for your investments. As an expatriate officer or employee, Malaysia gives you several distinct advantages over Aboriginal workers to facilitate the most of your stay.

Establishing in Malaysia as an investor is completely free. For your local office and you’re absolutely right to rent and especially to acquire land and buildings. The only restriction on agricultural land where you could have a certain percentage of one or more subdivisions. In case you want to enter as a shareholder in a company already in place, your involvement can go beyond 51% of exports if the project between 51 and 79% of its production. This participation should be between 30 and 51% of the fund if the organization only exports from 20 to 50% of its production.

The taxation of companies in Malaysia

Malaysia usually offers three articles of association. First, there is the private Berhad, a kind of limited liability company with 2 to 50 shareholders and where no minimum capital is required. There is also akin to Berhad public limited company. This requires a minimum of two shareholders and at least 2 million of capital myr. The third is called Partnership status. This form of partnership allows society to between 2 and 50 shareholders and requires no minimum capital.

In all cases, the creation of your company will take approximately 3 500 Myr including the registration of your company name, filing articles of association, registration with the Companies Commission of Malaysia as well as obtaining your certificates of operation. Malaysian taxation usually comes down to taxes on the sale price, the income tax, excise and property taxes. However, it would be best to always check with the agencies. They will also learn about the benefits you may receive as a foreign investor.