How To Set Up A Limited Liability Partnership (LLP) In Malaysia?
With myLLP portal incorporating a limited liability partnership (LLP) in Malaysia is simple. Here are the 4 steps to register an LLP.
All limited liability partnerships (“LLPs”) operating in Malaysia are required to be registered with the Companies Commission of Malaysia (“CCM”) under the Limited Liability Partnership Act 2012 (the “LLP Act”).
If you have decided that incorporating an LLP is the best way forward for your business, then all you need to do now is to incorporate it with the CCM. Here we give you a summary of the incorporation process.
This process is done online via the MyLLP portal, and is similar to incorporating a company via the MyCoID 2016 portal. Likewise, you can do it yourself, or you could alternatively appoint a company secretarial service like us to do it for you hassle free.
LLP name: You must first receive CCM’s approval for the name of your proposed LLP.
Partners: At least 2 partners (whether individual or body corporate (local or foreign); there is no maximum limit on the number of partners; and no requirement that the partners have a principal place of residence in Malaysia.
Compliance officer: All LLPs are required to have at least one compliance officer under the LLP Act. A compliance officer must be one of the partners of the LLP, or a person qualified to act as a company secretary, and must be a citizen or permanent resident of Malaysia and ordinarily resides in Malaysia.
Registered address: All LLPs are required to have a registered address (usually the Compliance Officer’s address is used).
Business address: The address of an LLP’s principal place of business, if different from the registered address (it is advisable to put your own business address).
No documents are required to be presented or uploaded to the MyLLP portal during the application process (unless if the purpose of the LLP is to carry out a professional practice, an approval letter from the relevant governing body is required). Nonetheless, any information and representation provided or made during this stage needs to be declared to be true by the applicant to the best of his/her knowledge.
If an agent is engaged to make an application on the LLP’s behalf, then scanned copies of the partners’ ID (NRIC or Passport for individuals, and incorporation documents for body corporates) and any other proof of documents are usually requested for verification purposes.
Steps to incorporate an Limited Liability Partnership (LLP)
Step 1: Choosing an LLP name for direct incorporation; or checking for the availability of the name and reservation of LLP name
It costs nothing to check for the availability of a proposed LLP’s name. It would cost RM 30 to reserve a name if you are uncertain whether to proceed with the incorporation process. You can immediately proceed with the incorporation process if you are certain. You can take advantage of our free name search service.
Step 2: Filling in information about the LLP
Once a proposed LLP name is approved, the next step would be fill in the particulars of the LLP (including the proposed name of the LLP, the nature of the proposed business of the LLP, the registered and business address of the LLP, details of the partners of the proposed LLP, and details of the compliance officer, together with any accompanying approval letter where relevant).
Step 3: Declaration and payment of incorporation fee (RM 500)
Once you have thoroughly checked through the information which you have filled in and made the necessary declaration declaring that all information are true to the best of your knowledge, you can then proceed to pay the requisite incorporation fee. With that, the application process is complete pending CCM’s review of the application. The review process usually takes 1 or 2 working days if there is no rejection or queries by CCM.
Pre-registration Checklist for LLP
What you need to prepare in order to setup your LLP in MalaysiaDOWNLOAD FOR FREE
Step 4: Post incorporation (upon issuance of Notice of Registration)
Once an LLP has been successfully incorporated, a unique registration number will be given to the LLP and a Notice of Registration will be sent to the applicant confirming the above. A Notice of Registration is conclusive evidence that an LLP has been duly incorporated.
Hurray! Now that your LLP is incorporated, you can start commencing business. Nonetheless, you are advised to check and obtain the necessary license, permit or approval from the relevant authorities before commencing operations.
The view expressed in this article is intended to provide a general guide to the subject matter and does not constitute professional legal advice. You are advised to seek proper legal advice for your specific situation.
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