Why Set up a Property Development Company in Malaysia
There are many reasons why you might want to set up a property development company in Malaysia. Here are a few of the most important ones:
Growing demand for property: Malaysia has a growing population and a rising middle class, which is leading to increased demand for property. This demand is expected to continue to grow in the coming years, making Malaysia a good market for property developers.
Favorable investment climate: Malaysia has a favorable investment climate for property developers. The government offers a number of incentives for property development, such as tax breaks and subsidies. This can help to reduce the cost of development and make it more profitable for developers.
Competitive labor costs: Malaysia has competitive labor costs, which can help to reduce the cost of construction. This can make it more profitable for developers to build properties in Malaysia than in other countries.
Strong infrastructure: Malaysia has a strong infrastructure, including a modern transportation system, telecommunications network, and financial system. This makes it easy to develop and market properties in Malaysia.
Strategic location: Malaysia is located in a strategic location in Southeast Asia. This makes it a good base for developing properties that can be sold to buyers in other countries in the region.
Overall, Malaysia is a good place to set up a property development company for a number of reasons. The growing demand for property, favorable investment climate, competitive labor costs, strong infrastructure, and strategic location all make Malaysia an attractive market for property developers.
Here are some additional benefits of setting up a property development company in Malaysia:
Government support: The Malaysian government provides a number of incentives for property developers, such as tax breaks and subsidies. This can help to reduce the cost of development and make it more profitable for developers.
Easy access to finance: Malaysia has a well-developed financial system, which makes it easy for property developers to obtain financing for their projects.
Strong legal framework: Malaysia has a strong legal framework that protects property rights and provides a fair and transparent environment for business. This can give investors confidence in the Malaysian property market.
High-quality workforce: Malaysia has a large pool of skilled and experienced workers, which can help to reduce the cost of construction and ensure that projects are completed on time and to a high standard.
Attractive investment climate: Malaysia has a stable political environment and a pro-business government. This makes it a safe and attractive place to invest in property.
If you are considering setting up a property development company, Malaysia should definitely be on your list of potential countries. The combination of factors that make Malaysia a good place to do business, such as the growing demand for property, favorable investment climate, competitive labor costs, strong infrastructure, and strategic location, make it an attractive market for property developers.
Setting up a Property Development Company
Setting up a property development company in Malaysia can be a complex and time-consuming process, but it can also be a very rewarding one. Here are the basic steps involved in setting up a property development company in Malaysia:
Choose a name for your company. The name must be unique and cannot be the same as the name of any other existing company in Malaysia. It must also end with the word "Development" in Malay.
Obtain approval for your company's name. You can apply for approval of your company's name from the Companies Commission of Malaysia (SSM). The application process is relatively straightforward and can be completed online.
Draft the constitution of your company. The constitution is the governing document of your company and sets out its objectives, powers, and procedures. It must be in accordance with the Companies Act 2016 and the SSM's guidelines for property development companies.
Appoint directors and secretary. Your company must have at least two directors and a secretary. The directors and secretary must be natural persons who are resident in Malaysia.
File the incorporation documents with the SSM. The incorporation documents include the constitution, the list of directors and secretary, and the proof of initial deposit. You can file the documents online or in person at the SSM office.
Obtain the certificate of incorporation. Once the SSM has approved your application, it will issue a certificate of incorporation for your company. This is the official document that confirms that your company is a legal entity in Malaysia.
Here are some additional things to keep in mind when setting up a property development company in Malaysia:
The company must have a clear and specific business plan.
The company must have a strong financial backing.
The company must have a team of experienced professionals with a proven track record in property development.
The company must comply with all applicable laws and regulations.
The profit margin for property developers in Malaysia is typically around 15%. However, this can vary depending on a number of factors, such as the location of the property, the type of property, and the cost of construction.
If you are considering setting up a property development company in Malaysia, it is important to do your research and make sure that you are prepared for the challenges involved. However, if you are successful, you can be rewarded with a very profitable business.
Housing Developers Licence and Sale & Advertising Permit
In Malaysia, a Housing Developers Licence (HDL) and Sale & Advertising Permit (APDL) are required for any person or company who wants to develop and sell housing properties. The HDL is issued by the Ministry of Housing and Local Government (KPKT), while the APDL is issued by the local housing authority.
The HDL is a prerequisite for obtaining an APDL. To apply for an HDL, the applicant must meet the following requirements:
Be a company incorporated in Malaysia.
Have a paid-up capital of at least RM2 million.
Have a minimum of two directors who are resident in Malaysia.
Have a qualified architect and engineer on staff.
Have a detailed development plan for the proposed housing project.
Once the HDL is granted, the applicant can then apply for an APDL. To apply for an APDL, the applicant must submit the following documents:
A copy of the HDL.
A copy of the development plan.
A copy of the architect's and engineer's certificates.
A copy of the sales brochure.
A copy of the advertisement for the housing project.
The APDL is valid for a period of one year. To renew the APDL, the applicant must submit the same documents as for the initial application.
The HDL and APDL are important documents for housing developers in Malaysia. They help to ensure that housing projects are developed in a safe and orderly manner, and that buyers are protected from unscrupulous developers.
Here are some of the benefits of having a Housing Developers Licence and Sale & Advertising Permit in Malaysia:
It gives you the legal right to develop and sell housing properties in Malaysia.
It helps to protect buyers from unscrupulous developers.
It gives you access to government incentives and financing.
It makes it easier to get loans from banks.
It increases the credibility of your company.
It helps you to attract more customers.
If you are planning to develop and sell housing properties in Malaysia, it is important to obtain a Housing Developers Licence and Sale & Advertising Permit. These documents will help you to protect your interests and the interests of your customers.
How Bestar can Help
Bestar is a leading corporate services provider in Malaysia that can help you set up a property development company in Malaysia. We have a team of experienced professionals who can guide you through the entire process, from choosing a name to obtaining the Housing Developers Licence and Sale & Advertising Permit. We can also help you with the following:
Drafting the constitution of your company: Our accountants will draft a constitution for your company that meets all the requirements of the Companies Act 2016 and the SSM's guidelines for property development companies.
Appoint directors and secretary: We can help you appoint directors and secretary for your company who meet the requirements of the Companies Act 2016.
File the incorporation documents with the SSM: We can file the incorporation documents with the SSM on your behalf.
Obtain the Housing Developers Licence and Sale & Advertising Permit: We can help you apply for the Housing Developers Licence and Sale & Advertising Permit from the relevant authorities.
Provide ongoing legal and compliance advice: We can provide you with ongoing legal and compliance advice to ensure that your company complies with all applicable laws and regulations.
We also offer a range of other services to help you manage your property development company, such as:
Accounting and auditing: We can provide accounting and auditing services for your company to ensure that your financial records are accurate and compliant with the law.
Tax compliance: We can help you with your tax compliance obligations, such as filing annual tax returns and paying taxes on time.
If you are interested in setting up a property development company in Malaysia, contact us for a consultation. We would be happy to discuss your needs and how we can help you achieve your goals.
Here are some of the benefits of using Bestar to set up your property development company in Malaysia:
Experienced and knowledgeable team: Our team of experienced professionals has a deep understanding of the Malaysian property development industry and can help you navigate the complex process of setting up a property development company.
Proactive and efficient service: We are committed to providing our clients with proactive and efficient service. We will work with you to understand your needs and ensure that your company is set up in a timely and cost-effective manner.
Competitive pricing: We offer competitive pricing for our services. We believe that everyone should have access to high-quality corporate services, regardless of their budget.
Guaranteed satisfaction: We are confident that you will be satisfied with our services. If you are not happy with our work, we will refund your money in full.
Bestar is the best choice for anyone who is looking to set up a property development company in Malaysia. We offer a comprehensive range of services, competitive pricing, and a guarantee of satisfaction. Contact us today to learn more about how we can help you achieve your goals.
Comments