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Capital Needed to Start a Business in Malaysia

Starting a business in Malaysia requires a significant investment of time, energy, and resources. One of the key considerations for entrepreneurs is the amount of paid capital needed to start a business. In this article, we will provide an overview of the paid capital requirements for starting a business in Malaysia, including the minimum capital required for different types of companies.

The minimum capital requirement for a business in Malaysia is determined by the type of company you want to form. If you want to start a sole proprietorship, for example, you do not need to meet a specific paid capital requirement. On the other hand, if you want to start a limited liability company, you must meet certain capital requirements as stipulated by the Companies Act 1965.

For a private limited company, the minimum paid-up capital requirement is RM1, although it is recommended to have a higher amount to cover start-up costs. This is because private limited companies must have a minimum of two shareholders and are restricted from offering shares to the public. In addition, private limited companies are required to submit audited financial statements annually, which can be a significant cost for start-ups with limited resources.

For a public limited company, the minimum paid-up capital requirement is RM2,000,000. Public limited companies are required to have a minimum of seven shareholders and are permitted to offer shares to the public. Public limited companies are also required to have their financial statements audited annually, which can be a significant cost for start-ups.

In addition to the minimum capital requirements, businesses may also be required to pay additional fees and taxes, including registration fees, stamp duties, and annual fees. These fees and taxes vary depending on the type of company and the location of the business.

It is important to note that the minimum capital requirements are subject to change, so it is recommended that you check with the Companies Commission of Malaysia for the most up-to-date information. Additionally, you may also want to consider seeking advice from a professional accountant or business consultant to help you navigate the capital requirements and determine the best strategy for your business.

In conclusion, the amount of paid capital required to start a business in Malaysia depends on the type of company you want to form. For a private limited company, the minimum paid-up capital requirement is RM1, while for a public limited company, the minimum paid-up capital requirement is RM2,000,000. It is important to consider all costs, including registration fees, stamp duties, and annual fees, when determining the amount of capital you need to start a business in Malaysia. If you need further information, it is recommended that you consult with a professional accountant or business consultant to help you determine the best strategy for your business.

Nicky Minh

CTO and co-founder

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5 Fastest Growing Sectors in Southeast Asia in 2023

Southeast Asia is a diverse and rapidly growing region with a wide range of industries and sectors experiencing strong growth. Below we explore 2023's top five fastest growing sectors in Southeast Asia and delve into the trends and opportunities driving this growth.

E-commerce

E-commerce is simply the buying and selling of goods and services online, and in Southeast Asia it has become an increasingly popular form of commerce in recent years. With a large and growing middle class, more and more people in the region are turning to online platforms to purchase a wide variety of goods and services. This trend is expected to continue in 2023. Consumer data analyst group Satatista predicts Southeast Asian e-commerce sales to be $158.9 billion in 2023. This growth is expected to continue at an annual of rate of twelve percent for the next four years. A key factor driving this growth is the increasing availability and affordability of internet and mobile technology, making it easier for people to shop online. Additionally, e-commerce companies like Lazada are investing heavily in logistics and delivery infrastructure, making it more convenient for people to receive their purchases.

Digital healthcare

The COVID-19 pandemic has had a profound impact on the healthcare industry in Southeast Asia, with a significant shift towards digital healthcare solutions. This includes telemedicine, remote patient monitoring, and the use of electronic medical records. Last year, Tech In Asia reported that investors in this sector invested over $100 million USD more in the first half of 2021 than the entirety of 2020 alone. In 2023, the digital healthcare sector is expected to see strong growth as people continue to prioritize their health and as technology improves. The increasing availability of mobile health apps and telemedicine platforms make it easier for people to access healthcare services remotely, which also contribute to driving this growth. Additionally, the use of electronic medical records is helping to improve the efficiency and accuracy of healthcare delivery.

Fintech

Financial technology, or fintech, refers to the use of technology to improve and automate financial services. This sector is growing rapidly in Southeast Asia, with a large number of startups entering the market and offering innovative solutions such as mobile payments, online lending, and robo-advisory services. Jenfi is of course one of the many companies in this sector offering online lending to companies operating in digitally-enabled businesses.

In 2023, the fintech sector is expected to see significant growth as more people in the region gain access to financial services through digital platforms. The proliferation of mobile phones and increased internet access in Southeast Asia has made it easier for people to access financial services online. Additionally, the rise of digital currencies and blockchain technology is opening new opportunities for financial innovation.

Renewable Energy

As concerns about climate change and the need for sustainable energy sources continue to grow, the renewable energy sector is expected to see strong growth in Southeast Asia in 2023. This includes solar, wind, and hydroelectric power, as well as biofuels. Many countries in the region are investing in renewable energy as a way to meet their growing energy needs while also reducing their carbon emissions. Just last year Forbes reported on a $2.4 billion dollar investment toward the development of a solar farm on Batam, an Indonesian island just 44 kilometers south of Singapore. One of the key drivers of this growth is the increasing cost competitiveness of renewable energy technologies, making them an attractive alternative to fossil fuels.

Additionally, government policies and incentives are supporting the growth of the renewable energy sector. Following the Paris Agreement, the region has renewed its commitment to reducing emissions. The Association of Southeast Asian Nations (ASEAN) set a target that calls for 35 percent of installed power capacity to be renewable energies by 2025. And the majority of ASEAN members further committed to renewable energies by agreeing to a target of net zero for the year 2050. Early this year the International Renewable Energy Agency (IRENA) hosted an event to further explore ASEAN's renewable energy prospects with the goal of promoting renewables within the region, furthering the support for renewable energies.

Education Technology

Education technology, or edtech, refers to the use of technology to improve and enhance education. This sector is growing rapidly in Southeast Asia, with a large number of startups offering online learning platforms, educational software, and other innovative solutions.

Southeast Asian countries currently have substantial populations dispersed over large geographical distances while having a limited number of educators that can reach these populations. These conditions result in an ideal environment for edtech to flourish. Increasing availability of internet and mobile technology, and technological developments that make that connectivity possible, mean that educators can provide increased access to education in areas that previously would have been left under serviced.

A growing middle class in Southeast Asia is also driving demand for higher quality education and training. This group drives competition in the edtech sector as potential students and parents of potential students: explore edtech options that enhance traditional education; seek out services that produce higher quality results; and, perhaps most importantly, take the opportunity to pursue educational services beyond the limitations of physical location. Growing competition in this market is also pushing the rise of edtech services that support teachers and help them to become more competitive.

In addition to all the factors listed above, the Covid-19 Pandemic led to a rapid acceleration of growth in this sector that has drastically changed the edtech landscape. In 2020 edtech usage tripled from what it had been in the previous year and $54 million USD was invested directly in the sector. Edtech is expected to see strong continued growth in 2023 as more people in the region seek out ways to learn and improve their skills.

 

Final Thoughts

Each of the sectors discussed above are driven by a combination of technological advancements, economic and demographic trends, and regulatory and policy changes. They offer a wide range of opportunities for businesses and investors looking to tap into the growth potential of this dynamic and rapidly growing region. Jenfi itself is a part of the fintech sector, but in addition to that we are in a unique position that allows us to recognize the importance of the other sectors in this article as well. The potential of the e-commerce market is something we have built our company in response to. It is our mission to help businesses in the e-commerce market expand and grow. We also offer support to those who provide the software that facilitates other sector’s operations, these sectors include: edtech, telemedicine, and many other markets that continue to grow in the digital market.

Nicky Minh

CTO and co-founder

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How to Identify Your Business' Hidden Costs

Hidden costs can be a major drain on a company's bottom line, but with a little bit of effort, it's possible to uncover and eliminate these expenses. By taking the time to review your expenses and identify areas where you can cut back, you can improve your profitability and set your business up for long-term success.

One of the first steps in identifying hidden costs is to conduct a thorough review of your expenses. This can be a time-consuming process, but it's essential for identifying areas where you might be overspending. Start by going through all of your invoices and receipts, and look for any expenses that seem unnecessary or out of line with your budget.

Another way to uncover hidden costs is to take a closer look at your contracts and agreements. Many businesses have contracts in place for various services, such as office cleaning or landscaping. These contracts may include provisions that you're not aware of, such as automatic renewal clauses or price increases. By reviewing your contracts, you may be able to negotiate more favorable terms or switch to a cheaper provider.

Another source of hidden costs is employee expenses. While it's important to invest in your team, there may be ways to reduce costs associated with hiring and retaining employees. For example, you might consider offering flexible work arrangements or remote work options, which can reduce your overhead costs. Additionally, you can review your benefits packages to ensure that you're not overpaying for perks that your employees don't value.

In addition to these tactics, there are several other strategies you can use to reduce hidden costs:

  1. Automate processes: By automating routine tasks, you can free up your team's time and reduce the need for additional staff. This can also help reduce errors and improve efficiency.
  2. Negotiate better rates: Whether you're negotiating with suppliers or service providers, it's always worth trying to negotiate better rates. You may be able to secure discounts or negotiate more favorable terms by simply asking.
  3. Use technology to your advantage: There are many tools and software solutions available that can help you streamline your operations and reduce costs. For example, you might consider using project management software to improve communication and collaboration among your team, or switch to a cloud-based storage solution to reduce your IT expenses.
  4. Outsource non-core functions: If you're spending a lot of time and resources on tasks that aren't central to your business, it might make sense to outsource those functions. By outsourcing, you can reduce your overhead costs and focus on your core competencies.

By taking the time to identify and eliminate hidden costs, you can improve your bottom line and set your business up for long-term success. By conducting a thorough review of your expenses, reviewing your contracts and agreements, and finding ways to reduce employee expenses, you can make a significant impact on your profitability. Additionally, by automating processes, negotiating better rates, using technology to your advantage, and outsourcing non-core functions, you can continue to find ways to reduce costs and improve your bottom line.

Nicky Minh

CTO and co-founder

How to Budget for Fast Growing Startups

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How to Budget for Fast Growing Startups

Budgeting is a crucial aspect of managing a startup, especially one that is growing quickly. Without proper budgeting, it can be difficult to allocate resources effectively and make informed financial decisions. In this article, we will explore some tips on how to budget for fast-growing startups in order to help your business thrive.

First and foremost, it is important to understand the financial health of your company. This means regularly reviewing your income statement and balance sheet to track your revenues, expenses, and assets. You should also be monitoring your cash flow, which is the movement of money in and out of your business. By staying on top of these financial metrics, you can identify any potential problems early on and take steps to address them.

One way to budget for a fast-growing startup is to set financial goals. This can include short-term goals, such as increasing profits by a certain percentage over the next quarter, as well as long-term goals, like achieving a certain level of revenue within the next year. By setting clear financial objectives, you can better align your budget with your overall business strategy.

Another tip is to create a budget forecast, which is an estimate of your future financial performance. This can help you anticipate any potential cash flow shortages or surpluses and plan accordingly. To create a budget forecast, you will need to consider factors such as your expected revenue, costs, and investments.

  1. Monitor cash flow closely and make adjustments as needed: As a startup grows, it's important to keep a close eye on cash flow. This means regularly monitoring income and expenses, and making adjustments as needed to ensure that there is enough cash on hand to cover necessary expenses. This may involve finding ways to reduce costs, increasing prices, or finding new sources of funding. By staying on top of cash flow, you can help ensure that your startup has the resources it needs to continue growing and thriving.

In addition to setting financial goals and creating a budget forecast, it is important to monitor and control your expenses. This can be done by regularly reviewing your spending and looking for opportunities to cut costs. For example, you may want to negotiate better terms with suppliers or switch to more cost-effective service providers. By reducing your expenses, you can free up more resources to invest in growth opportunities.

Finally, it is a good idea to seek the advice of a financial professional, such as a accountant or financial advisor. They can provide valuable insights on how to manage your finances and help you create a budget that aligns with your business goals.

In conclusion, budgeting is an essential aspect of managing a fast-growing startup. By setting financial goals, creating a budget forecast, controlling expenses, and seeking professional advice, you can effectively allocate your resources and make informed financial decisions that help your business thrive.

Nicky Minh

CTO and co-founder

How to Save on Business Taxes in Malaysia

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How to Save on Business Taxes in Malaysia

How to Save on Business Taxes in Malaysia

When it comes to doing business in Malaysia, it’s important to keep taxes in mind. Here are five tips for saving on business taxes in Malaysia:

  • Take Advantage of Tax Breaks: Malaysia has several tax breaks available that can help your business save money. Some of these tax breaks include the Pioneer Status and Investment Tax Allowance, which provide incentives for businesses that are engaged in certain activities. It’s important to be aware of these incentives and take advantage of them when possible. Additionally, you may be able to benefit from the SME Development Fund, which provides financial assistance to small and medium-sized enterprises.
  • Take Advantage of Tax Incentives for New Businesses: Malaysia also offers a number of tax incentives for new businesses. These tax incentives can help a new business save money on taxes and make it easier to get off the ground. These include the Start-up Tax Exemption Scheme, which allows new businesses to enjoy a tax-free period for up to three years, and the SME Super Tax Deduction, which allows small and medium-sized enterprises to claim a double deduction for money spent on training and development.
  • Use Tax Planning Strategies: Tax planning strategies can help business owners minimize their tax liability. Tax planning strategies include things like timing deductions and income, taking advantage of tax deductions and credits, and making sure you’re taking advantage of all available tax breaks. Additionally, it’s important to work with a qualified accountant or financial advisor in order to make sure you’re taking full advantage of all available deductions and credits.
  • Make Use of Tax Treaties: Malaysia has a number of tax treaties with other countries that can help businesses save on taxes. These tax treaties should be considered when doing business in Malaysia. The benefits of tax treaties can include reduced tax liability, the ability to transfer profits across borders without incurring additional taxes, and other similar benefits.
  • Make Use of Tax Credits: Malaysia also offers a number of tax credits that can help businesses save money on taxes. These tax credits can be used to offset taxes and can make a big difference when it comes to reducing tax liabilities. Some of these credits include the SME Development Fund, which provides financial assistance to small and medium-sized enterprises, and the Double Tax Deduction, which provides additional deductions for certain expenses incurred while running a business. Additionally, there are a variety of other credits available, such as the Technology Tax Exemption, which provides reduced tax rates for certain activities related to technology and research, and the Innovation Tax Incentive, which provides tax deductions for businesses engaged in innovative activities.

It’s important to be familiar with the various tax laws and regulations in Malaysia in order to take advantage of all available tax breaks and credits. Additionally, businesses should make sure they’re taking advantage of any tax treaties that may be applicable to them. By taking advantage of all available tax breaks, incentives, and credits, businesses can save money on taxes and make the most of their resources.

Nicky Minh

CTO and co-founder

Write a Solid Investor Pitch Deck For Your Startup

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Write a Solid Investor Pitch Deck For Your Startup

A pitch deck is a presentation that entrepreneurs use to pitch their business idea to potential investors or partners. A pitch deck typically includes an overview of the business, a description of the product or service, and a plan for growth and profitability. It is an important tool for start-ups, as it helps to communicate the value of the business and convince investors to provide funding or support. If you are a start-up looking to create a pitch deck, there are a few key considerations to keep in mind.

Start with the problem:

The first slide of your pitch deck should introduce the problem that your business is solving. This should be a clear and concise statement that explains the pain point or need that your product or service addresses. By starting with the problem, you can immediately grab the attention of the audience and set the stage for the rest of the pitch.

Describe your solution:

Once you have introduced the problem, the next step is to describe your solution. This should include a high-level overview of your product or service, and how it addresses the problem that you have identified. You should also explain the unique value proposition of your business and how it differs from competitors.

Share your business model:

The next slide of your pitch deck should describe your business model and how you plan to generate revenue. This should include information about your target market, pricing strategy, and distribution channels. You should also outline any partnerships or collaborations that you have in place or are planning to pursue.

Discuss your team:

The team slide is an opportunity to introduce the founders and key team members of your business. You should include information about the skills and experiences of the team, and how they are uniquely qualified to execute your vision. This is also a good opportunity to highlight any notable advisors or mentors who are supporting the business.

Provide evidence of traction:

Investors want to see that your business has traction, whether it is in the form of customers, revenue, or user engagement. You should include any relevant metrics or data points that demonstrate the progress of your business to date. This could include information about the number of users, the amount of revenue generated, or the growth of your social media following.

Outline your go-to-market strategy:

Your go-to-market strategy is the plan for how you will reach and acquire customers. You should outline the specific channels and tactics that you will use to promote and sell your product or service. This could include marketing campaigns, sales efforts, or partnerships.

Share your financial projections:

Financial projections are an important part of any pitch, as they help to demonstrate the potential growth and profitability of your business. You should include a high-level overview of your financial projections, including information about your revenue and expenses. You should also include information about any capital that you have raised to date and any funding that you are seeking.

Close with a call to action:

The final slide of your pitch deck should be a call to action, in which you ask the audience for the specific action that you want them to take. This could be an invitation to invest, a request for a partnership, or a request for feedback. You should also include any relevant contact information and a summary of the key points of the pitch.

Conclusion

A pitch deck is an essential tool for start-ups that are looking to raise funding or build partnerships. By following the guidelines outlined above, you can create a compelling pitch deck that effectively communicates the value of your business and inspires investors to take action. It is important to remember, however, that a pitch deck is just one part of the pitch process, and it is important to be prepared to answer questions and engage in a dialogue with the audience. With a well-crafted pitch deck and strong presentation skills, you can increase your chances of success and take your business to the next level.

Nicky Minh

CTO and co-founder

The Startup Taxes To Be Aware of in Malaysia

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The Startup Taxes You Might Be Liable For In Malaysia

Malaysian start-ups face a variety of taxes that they need to be aware of and plan for. These taxes include income tax, goods and services tax (GST), payroll tax, and stamp duty, among others. In this article, we will discuss these taxes in detail, their implications, and how start-ups can plan to pay them efficiently.

Income Tax

Income tax is a tax levied on the profit that a business earns. In Malaysia, companies are taxed on their taxable income at the corporate tax rate of 24%. This tax is imposed on the profits of companies that have a taxable income of more than RM500,000 per year. Start-ups should be aware of the tax implications of their business operations and plan their finances accordingly to minimize their tax liability.

Goods and Services Tax (GST)

GST is a value-added tax levied on the supply of goods and services in Malaysia. GST was introduced in Malaysia in 2015, but was suspended in 2018. The GST rate in Malaysia is set at 6%. Start-ups that are registered for GST are required to charge GST on their supplies and must also pay GST on the inputs they purchase. Start-ups must also submit regular GST returns and pay the GST collected to the government.

Payroll Tax

Payroll tax is a tax imposed on the salaries and wages that an employer pays to its employees. In Malaysia, the payroll tax rate is set at 12%. Employers must withhold the tax from their employees' salaries and remit the tax to the government. Start-ups should keep in mind the payroll tax implications of hiring employees and plan their finances accordingly.

Stamp Duty

Stamp duty is a tax imposed on various legal documents, such as contracts and deeds. In Malaysia, the stamp duty rate varies depending on the type of document being stamped. For example, the stamp duty rate for a sale and purchase agreement is 1% of the property value. Start-ups that are involved in real estate transactions must be aware of the stamp duty implications and plan their finances accordingly.

Withholding Tax

Withholding tax is a tax imposed on payments made to non-residents, such as royalties and rental income. In Malaysia, the withholding tax rate varies depending on the type of payment being made and the tax treaty between Malaysia and the non-resident's country of residence. Start-ups that make payments to non-residents must be aware of the withholding tax implications and plan their finances accordingly.

Property Tax

Property tax is a tax imposed on the owners of immovable property, such as land and buildings. In Malaysia, the property tax rate varies depending on the type of property and its location. Start-ups that own property must be aware of the property tax implications and plan their finances accordingly.

In conclusion, Malaysian start-ups face a variety of taxes that they need to be aware of and plan for. These taxes include income tax, GST, payroll tax, stamp duty, withholding tax, and property tax. Start-ups should be aware of the tax implications of their business operations and plan their finances accordingly to minimize their tax liability. By taking the time to understand the tax implications of their business operations, start-ups can ensure that they are in compliance with the law and have a sound financial foundation for their future growth.

Nicky Minh

CTO and co-founder

How To Be Accepted Into a Startup Incubator in Southeast Asia

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How To Be Accepted Into a Startup Incubator in Southeast Asia

Start-up incubators are programs that provide early-stage companies with resources, mentorship, and workspace to help them get off the ground and grow. Incubators are typically focused on a specific industry or sector, and they may offer funding in exchange for a small equity stake in the start-up. If you are an entrepreneur looking to get into a start-up incubator, there are a few key steps that you can take to increase your chances of success.

Research incubators in your industry or location:

The first step in getting into a start-up incubator is to identify the incubators that are relevant to your industry and location. There are many incubators to choose from, and it is important to find one that aligns with your business goals and values. You can search online directories, such as AngelList or Seed-DB, to find incubators in your industry or location. You can also reach out to other entrepreneurs or industry professionals for recommendations.

Review the application requirements:

Once you have identified a few incubators that you are interested in, it is important to review the application requirements and make sure that you meet all of the eligibility criteria. Incubators typically have specific requirements for the stage of the company, the type of business, and the team. They may also have specific application deadlines and procedures, so it is important to carefully read the instructions and follow them to the letter.

Prepare a strong application:

A strong application is crucial for getting into a start-up incubator. Your application should clearly articulate your business idea, the problem that it solves, and the value that it brings to the market. You should also describe your team, your progress to date, and your growth plans. It is helpful to include a pitch deck or a video pitch to help bring your business to life.

Network and seek introductions:

Incubators often receive a large number of applications, and the competition can be fierce. One way to increase your chances of getting accepted is to network and seek introductions to people who are involved with the incubator. This could include mentors, advisors, or alumni of the incubator. Personal introductions can help to give you an edge and make your application stand out.

Be persistent:

If you are not accepted into a start-up incubator on your first attempt, don't be discouraged. It is common for entrepreneurs to apply to multiple incubators before being accepted. Take the feedback that you receive from the incubator and use it to improve your business and your application. With persistence and hard work, you can increase your chances of getting into a start-up incubator and taking your business to the next level.

Consider alternative options:

If you are unable to get into a start-up incubator, there are other options that you can consider. For example, you can apply to a start-up accelerator, which is similar to an incubator but typically has a more intensive program and a shorter duration. You can also consider joining a co-working space or a business accelerator, which can provide you with access to resources and networking opportunities. Another option is to seek out mentorship or advisory services, which can help you to develop your business and gain valuable insights and guidance.

Be prepared to give up equity:

Many start-up incubators and accelerators require entrepreneurs to give up a small equity stake in exchange for the resources and support that they provide. This can be a significant decision, as it means giving up a portion of your ownership in the company. It is important to carefully consider the terms of the equity agreement and make sure that it is fair and aligns with your long-term goals for the business.

Stay focused on your goals:

Finally, it is important to stay focused on your business goals and continue to work hard to grow and develop your company. Incubators and accelerators can provide valuable resources and support, but they are not a magic solution. The success of your business will depend on your ability to execute your vision, overcome challenges, and build a strong team.

Conclusion

Getting into a start-up incubator can be a competitive and challenging process, but it can also be a valuable opportunity for entrepreneurs looking to grow their businesses. By following the steps outlined above, you can increase your chances of getting accepted into a start-up incubator and taking your business to the next level.

Nicky Minh

CTO and co-founder

How to Register a Business in Malaysia

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How to Register a Business in Malaysia

How to Register a Business in Malaysia: A Step-by-Step Guide

Starting a business in Malaysia can be a lucrative and exciting venture, but it’s also important to make sure you’re doing it legally and correctly. In this guide, we’ll cover the steps you need to follow to register your business in Malaysia and make sure you’re operating legally.

The first step in registering a business in Malaysia is to choose a business structure. The four most common structures are sole proprietorship, partnership, limited liability company (LLC), and public limited company (PLC). Each structure has its own advantages and disadvantages and it’s important to choose the one that’s best for your business.

Once you’ve chosen a business structure, you’ll need to register your business with the Companies Commission of Malaysia (SSM). There are a few documents you’ll need to submit, including a completed application form, a copy of your business plan, and a copy of your business name registration. It’s important to make sure all of these documents are filled out correctly, as any errors could lead to delays in the registration process.

After you’ve registered your business with the SSM, you’ll need to obtain a business license. You can apply for a business license online or in-person at your local licensing office. To apply online, you’ll need to provide the following information: business name, business address, contact information, type of business, and any additional information required. Once your application is approved, you’ll receive an official business license.

Once you’ve obtained your business license, you’ll need to register for any additional licenses or permits that you may need. This could include liquor licenses, food licenses, or other permits depending on the type of business you’re operating. It’s important to make sure you’re aware of all the licenses and permits that you need in order to operate legally in Malaysia.

Next, you’ll need to register for taxes. All businesses in Malaysia must pay taxes, so it’s important to make sure you’re up to date on all the tax regulations. Depending on the type of business you’re operating, you may need to register for GST (Goods and Services Tax), Corporate Tax, and/or Withholding Tax. You’ll need to make sure you’re paying the correct amount of taxes in order to remain compliant with the law.

Finally, you’ll need to register for any additional licenses or permits that may be required by your specific industry. Depending on the type of business you’re operating, you may need to register for a license from the Malaysian Communications and Multimedia Commission (MCMC). Additionally, you may need to register for a medical license if you’re operating a healthcare business.

Registering a business in Malaysia can seem like a daunting task, but with the right guidance and resources, it doesn’t have to be. By following the steps outlined in this guide, you can get your business up and running in no time. Once you’ve registered your business, you can focus on the important task of growing it and making it successful.

Nicky Minh

CTO and co-founder

How to Write a Business Memo For Startup Investors

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How to Write a Business Memo For Startup Investors

An investment memorandum, also known as a private placement memorandum (PPM), is a document that is used to provide information about a potential investment opportunity to potential investors. The investment memorandum is typically used by start-ups or early-stage companies that are seeking funding from private investors, such as venture capital firms or angel investors. It is an important tool for entrepreneurs, as it helps to communicate the value of the business and convince investors to provide funding. If you are an entrepreneur looking to create an investment memorandum, there are a few key considerations to keep in mind.

Define the purpose of the memorandum:

The first step in creating an investment memorandum is to define the purpose of the document. The purpose of the memorandum should be clearly stated in the introduction and should include information about the company, the product or service, and the funding that is being sought.

Provide an overview of the company:

The next section of the memorandum should provide an overview of the company, including its mission, vision, and values. You should also include information about the team, the business model, and the progress that the company has made to date. This section should give the reader a sense of the overall direction and goals of the company.

Describe the product or service:

The next section of the memorandum should describe the product or service that the company is offering. This should include a detailed description of the product or service, as well as information about the target market and the unique value proposition of the company. You should also include any relevant market research or data points that support the demand for the product or service.

Outline the funding request:

The next section of the memorandum should outline the funding request and the specific terms of the investment. This should include information about the amount of funding that is being sought, the valuation of the company, and the terms of the equity or debt that is being offered. You should also include any relevant financial projections or assumptions that support the funding request.

Describe the use of proceeds:

The next section of the memorandum should describe how the funds will be used. This should include a detailed breakdown of the planned expenses, as well as any milestones or benchmarks that will be achieved with the funding. This section should give the reader a sense of how the funds will be used to support the growth and development of the company.

Disclose any risks:

The next section of the memorandum should disclose any risks or uncertainties associated with the investment. This should include any legal, financial, or operational risks that the company is facing. It is important to be transparent and honest about the risks, as investors will want to understand the potential pitfalls of the investment.

Include relevant legal documents:

The final section of the memorandum should include any relevant legal documents, such as the articles of incorporation, bylaws, and any agreements or contracts that are relevant to the investment. It is important to include these documents to provide transparency and to ensure that the investment is legally sound.

Conclusion

An investment memorandum is a crucial tool for start-ups and early-stage companies that are seeking funding from private investors. By following the guidelines outlined above, you can create a compelling investment memorandum that effectively communicates the value of your business and inspires investors to take action. It is important to remember, however, that the investment memorandum is just one part of the funding process, and it is important to be prepared to answer questions and engage in a dialogue with potential investors. With a well-crafted investment memorandum and strong presentation skills, you can increase your chances of success and secure the funding that you need to grow and develop your business.

Nicky Minh

CTO and co-founder

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