Applying Business Licence in Malaysia
Updated: Jun 12, 2022
It is very important to get a business license because it will clarify your reputation as a trader (online or offline) after registration.
Obtaining a valid business license is important to start a business in Malaysia. This includes licensing, registration, permits and approvals. Business licenses can be applied from the licensing authority Pihak Berkuasa Melesen (PBM) related to the location and business activities.
Before a company can legally start a business, it must comply with some form of licensing. This can be a general license, an industry / sector-specific license, or an activity-specific license. Business licenses are regulated by law and are governed by various government agencies, statutory bodies and local authorities. Business licenses include registrations, approvals, licenses, and permits. Compliance requirements vary by industry, business activity, and location.
Business licenses can be divided into three different logical groups:
1. General licenses
2. Industry sector-specific licenses
3. Activity-specific licenses
1. General Licenses
General licenses include required and applicable licenses when investors decide to start a business in Malaysia.
List of general licenses that apply to all businesses include:
Company registration
Income tax registration for companies and employees
Employees Provident Fund (EPF)
Social Security Organisation (SOCSO)
Human Resources Development Fund (HRDF)
Business Premise Licenses and Signboard Licenses
Malaysian companies are required to apply for business premise licenses and signboard licenses from their state authorities.
2. Industry / Sector-Specific Licenses
A special industry / sector license is a license for a particular industry or sector set by the government. This includes the policies that govern the development of a particular industry or sector in accordance with the development of government policy.
Examples of Industrial / Sector Special License are:
- Licenses related to the Manufacturing Sector
- Licenses and Permission related to the Distributive Trade
Foreign participation (foreign equity 51% or more) in the Malaysian distribution trade sector, including wholesalers, retailers, franchisors, direct sellers, suppliers selling goods to the domestic market, commission agents or other representatives including international trading companies need to be licensed by the Ministry of Domestic Trade and Consumer Affairs.
- Licenses related to the Telecommunication Sector
- Licenses related to the Broadcasting Sector
- Licenses related to the Oil Exploration Sector
- Licenses related to the Construction Sector
- Licenses related to the Banking Sector
- License under Department BLESS, Ministry Of Entrepreneur Development (MED)
The BLESS system is a one-stop online service or online service center (BLESS portal) for information and application for licenses / permits / permission (BLESS applications) related to business in Malaysia.
- License under the Department of Occupational Safety and Health Malaysia (DOSH)
- License under the National Water Services Commission (SPAN)
3. Activity - Specific Licenses
An activity-specific license is a license that regulates a particular activity and may apply to one or more industries. The license requires investors to follow a set of specific guidelines designed to protect the interests of citizens, employment, employee safety, the environment and the public interest.
Here are examples of an activity-specific license:
Certificate of fitness for certificated machinery
Approval for expatriate posts
Approval to install / resite / alter air pollution control equipment (bag filter and chimney)
Building plan approval
Sales tax
The above information is a general guide for potential investors and business owners to make the first steps, decisions, and plans for their business.
You can also search for Business License on the malaysiabiz or find on bless2 for a new business license. Search on the smeinfo for information and guidelines on business licenses.
Business premises license foreigner cannot apply
Foreign nationals cannot apply for a business premises license for activities as in List:
LIST OF ACTIVITIES NOT PERMITTED FOR NON-CITIZEN OWNERSHIP
1. Supermarket / Mini Market ( less than 3000 square meter)
2. Convenience Store / 24-Hour Convenience Store
3. Permanent Wet Market
4. Petrol Station (With or Without Convenience Store)
5. Permanent Sidewalk Shop/Kiosk
6. Textiles / Clothing / Footwear (Except International or Exclusive Brands)
7. Business Bag (Except International or Exclusive Brands)
8. Restaurant / Bistro / Cafe (Except International or Exclusive Brands)
9. Jewelry Store
10. Herbal / Health Business Products (Ministry of Health (MOH) approved)
11. Traditional Chinese Medicine Store
12. Workshop (Car / Motorcycle / Glass / Aluminum (Except International or Exclusive Brands)
13. Computer and Accessories (Retail)
14. Teak wood furniture and General Furniture
15. Barber Shop / Hair Salon
16. Cyber Center / Cyber Cafe
17. Food Stalls / Kiosk
18. Telecommunication Equipment Store / Prepaid Pad Card Store / Telephone Card / Telephone Accessories
19. Laundry
20. Spa industry
Example of Trade, Business and Industrial Licences
Snooker Centre Licence
Billard Saloon Licence
Video Machine Saloon Licence
Music Hall Licence
Family Entertainment / Bowling Centre Licence
Disco Licence
Cinema Licence
Used Car Display Licence
Storing Old / Used Things Licence
Sawmill Licence
Furniture Factory Licence
Plastic Factory Licence
Fish Fertiliser Factory Licence
Electrical / Electronic Factory Licence
Iron / Metal Factory Licence
Washing Powder / Detergent Factory Licence
Livestock Feed Factory Licence
Zinc / Chloride Producing Factory Licence
Agricultural Fertiliser Factory Licence
Chemical Factory Licence
Sewing Factory Licence
Fibreglass Products Factory Licence
Cement / Stone Products Factory Licence
Rubber Products Factory Licence
Coal / Charcoal Processing Factory Licence
Biodiesel Factory Licence
Animal / Fish Fertiliser Manufacturing / Processing Licence
Children Toys Factory Licence
Rattan Factory Licence
Battery Factory Licence
Spare Parts / Accessories Factory Licence
Fish / Prawns Freezing Factory Licence
Aluminium / Glass Factory Licence
Carpet / Fabric Product Factory Licence
Cosmetic / Toiletries Factory Licence
Rope (Ship) Factory Licence
Coal / Attap Processing / Manufacture Licence
Workshop Licence
Engineering Workshop Licence
Boat Display Licence
Boat Engine Repair Licence
Boat Making Licence
Selling Boat Engine Licence
Unloading Cargo at Ship Licence
Heavy Vehicle Display (Open Space) Licence
Roller-Skates Court Licence
Mini Car Track Licence
Ironsmith Licence
Tinker Licence
Glass / Aluminium Maker Licence
Carpenter Licence
Electrician / Pipe Maker Licence
Car / Lorry / Bus Repair Licence
Motorcycle Repair Licence
Air-Conditioner / Electric Repair Licence
Exhaust Repair Licence
Car Air-Conditioner Installation / Repair Licence
Welding Licence
Electrical / Electronic Equipment Repair Licence
Cushion Repair Licence
Advertisement / Sign Board Maker Licence
Servicing and Supplying Fire Extinguisher Licence
Vehicle Electronic Shop Licence
Selling / Installing Spare Parts & Accessories Licence
Battery / Vehicle Wiring Shop Licence
Car Painting Licence
Bricks-Maker Licence
Printing Licence
Rubber Storage Licence
Construction Materials Storage Licence
Fertiliser Storage Licence
Latex / Copra Storage Licence
Stone / Clay Products Storage Licence
Food / Drinks Storage Warehouse Licence
Quarry Licence
Batik / Fabric Processing (Dyeing / Printing) Licence
Cigar Making / Tobacco Storage Licence
Prayer Items Making Licence
Prayer Items Selling Licence
Electronic Items Processing Licence
Shoe Repair Licence
Repairing and Selling Machine / Equipment Licence
Repairing Machine / Heavy Vehicle Licence
Skid Tank Storage Licence
Dangerous Oil Storage Licence
Electrical Shop Licence
Nursery / Potted Plants Shop Licence
Goods Distributor Licence
Cosmetic Items Selling Licence
Furniture Shop Licence
Sewing Items Licence
Bicycle Shop Licence
New Cars Display Licence
Kindergarten (Business Building) Licence
Service Station Licence
Pet Shop Licence
Pesticide Shop Licence
Plastic Ware Selling Licence
Rubber Shop Licence
Glass Cutting / Framing Shop Licence
Hardware Shop Licence
Tyre Shop Licence
Aquarium Shop Licence
Construction Material Selling Licence
Goldsmith Shop Licence
House Furnishing Selling Licence
Livestock Feed / Medicines Licence
Motorcycle Display Licence
Paints Storage Licence
Tobacco Produce Selling / Storage Licence
Warehouse Licence
Nursery Licence
Rubber Smoking House Licence
Chemical / Fertilise Shop Licence
Bicycle Storage / Selling Licence
Pet Food Licence
Music / Dancing School Licence
Private School Licence
Physical Exercise Centre Licence
Tailor Licence
Laundrette / Dry Cleaning Shop Licence
General Business Licence
Carpet / Fabric Products Selling Licence
Carpet / Fabric Products Storage Licence
Cement Storage Licence
Cement Selling Licence
Hardware Storage Licence
Fabric / Linen Selling / Wholesaling Licence
Fabic / Linen Storage Licence
Cement Products Storage Licence
Prawn Breeding (Wholesale / Selling) Licence
Horse Paddock Licence
Charcoal / Coal Selling / Wholesale Licence
Charcoal / Coal Storage Licence
Gas Storage Licence
Electric Cable Workshop Licence
Fibreglass Display Licence
Heavy Vehicles Storage (Open Area) Licence
Heavy Vehicles Storage (In Building) Licence
Aluminium / Glass Products Storage Licence
Wood / Rattan / Bamboo Products Storage Licence
Silver Wholesale / Sale / Goldsmith Licence
Gold Wholesale / Sale / Goldsmith Licence
Selling / Wholesaling Animal / Fish Fertiliser Licence
Glue Processing Licence
Cosmetic / Toiletries Selling / Wholsaling Licence
Coal / Attap Storage Licence
Refrigerator Repair Licence
Lorry Body Making Licence
Cyber / Cyber Cafe Centre Licence
Swiflets Nest Industry Licence
Selling Three / Four Numers / TOTO Ticket Licence
Coffin Shop Licence
Example of Controlling and Monitoring Food Premise Licences
Beer House Licence
Dining Hall Licence
Pub / Bar / Lounge Licence
Toddy Shop Licence
Liquor Wholesale / Storing / Selling Licence
Private Abattoir Licence
Cooking Oil Factory Licence
Chicken Processing Factory Licence
Vermicelli Factory Licence
Soy Sauce Factory Licence
Sauces Factory Licence
Ice Factory Licence
Flour Factory Licence
Palm Cooking Oil Factory Licence
Sea Produce Factory Licence
Spices Factory Licence
Rice Processing / Factory Licence
Private Stall Licence
Beer Warehouse / Distributor Licence
Selling (Retail) Liquor Licence
Flour Mill Licence
Sea Produce Storage / Selling Licence
Chicken Slaughter / Processing Licence
Breeding Cow / Ox / Horse Licence
Cocoa / Palm Storage Licence
Coffee Processing Licence
Bean Curd Processing Licence
Ice-Cream Making / Distributing Licence
Salted Fish Making Licence
Food and Drink Distributor / Storage Licence
Refrigerated Food Storage Licence
Nuts / Coconuts Processing Licence
Salted Eggs Making Licence
Animal Skin Processing Licence
Noodles (Mee) Processing Licence
Sea Produce Snack Food Processing Licence
Fish Satay Making Licence
Food Colouring / Favouring and Preservative Making / Selling Licence
Cooking Oil Canning Licence
Drinking Water Processing Licence
Restaurant (Air-Conditioned / Non-Air-Conditioned) Licence
Food Provider Licence
Pastry Shop Licence
Bakery Shop Licence
Grocery Shop Licence
Fruit Shop Licence
Vegetable Shop Licence
Sweets / ice-Cream / Snacks Selling Licence
Medicine Shop Licence
Pharmacy Licence
Cofee Shop Lience
School Canteen / Canteen Licence
Beef / Mutton / Chicken Shop Licence
Pork Shop Licence
Tapioca Drying Licence
In-Premise Stall Licence
Food Packing Licence
Soft Drinks Distributor Licence
Preparing / Making Fruit Pickles Licence
Rotten Fish Storage Licence
Example of other Business Licences
Lodging House Licences
Lodging House Licence
Massage Parlour Licences
Massage Parlour Licence
Massage Parlour (Reflexology) Licence
Massage Parlour (Spa) Licence
Sauna Licence
Temporary Building-Related Licence
Violation of Conditions Business Building Licence
Advertisement Licences
Sign Board (Billboard) Licence
Signboards Licence
Notice Board Licence
Hawker Licences
Private Market Licence
Supermarket Licence
Mini Market Licence
Swimming Pool Control and Supervision Licences
Swimming Pool Licence
Private Parking Licences
Parking Licence
Roadside Shall Licence
Roadside Stall / Market Table (council-owned only) Licence
Barber and Hair Saloon Licences
Barbershop Licence
Hair Saloon Licence
Makeup Saloon Licence
Public Market Licences
Public Market Licence
Group of Licences According to Category of Business
Entertainment | List of Technical Licences
- Snooker Centre Licence
- Billiard Saloon Licence
- Video Machine Saloon Licence
- Music Hall Licence
- Family Entertainment / Bowling Centre Licence
- Disco Licence
- Karaoke Licence
- Cinema Licence
Liquor / Beer | List of Technical Licences
- Beer House Licence
- Dining Hall Licence
- Pub / Bar / Lounge Licence
- Toddy Shop Licence
- Liquor Wholesale / Storing / Selling Licence
Liquor / Beer | List of Non-Technical Licences (Immeidate)
- Beer Warehouse / Distributor Licence
- Selling (Retail) Liquor Licence
Health Therapy | List of Techinical Licences
- Massage Parlour Licence
- Massage Parlour (Reflexology) Licence
- Massage Palour (Spa) Licence
- Sauna Licence
Business Building (Construction) | List of Technical Licences
- Temporary Building-Related Licence
- Violation of Conditions Business Building Licence
Factory | List of Technical Licences
- Coal / Attap Processing / Manufacturing Licence
Factory | List of Non-Technical Licences
- Sawmill Licence
- Furniture Factory Licence
- Plastic Factory Licence
- Fish Fertiliser Factory Licence
- Electrical / Electronic Factory Licence
- Iron / Metal Factory Licence
- Washing Powder / Detergent Factory Licence
- Livestock Feed Factory Licence
- Zinc / Chloride Producing Factory Licence
- Agricultural Fertiliser Factory Licence
- Chemical Factory Licence
- Cooking Oil Factory Licence
- Chicken Processing Factory Licence
- Vermicelli Factory Licence
- Soy Sauce Factory Licence
- Sauces Factory Licence
- Bakery Factory Licence
- Ice Factory Licence
- Flour Factory Licence
- Palm Cooking Oil Factory Licence
- Spices Factory Licence
- Rice Processing / Factory Licence
- Sugar Processing / Factory Licence
- Sewing Factory Licence
- Fibreglass Products Factory Licence
- Cement / Sttone Products Factory Licence
- Rubber Products Factory Licence
- Coal / Charcoal Processing Factory Licence
- Biodisel Factory Licence
- Children Toys Factory Licence
- Rattan Factory Licence
- Battery Factory Licence
- Spare Parts / Accessories Factory Licence
- Fish / Prawns Freezing Factory Licence
- Aluminium / Glass Factory Licence
- Carpet / Fabric Product Factory Licence
- Cosmetic / Toiletries Factory Licence
- Rope (Ship) Factory Licence
- Glass / Aluminium Maker Licence
- Flour Mill Licencee
- Bricks-Maker Licence
- Lorry Body Making Licence
Advertisement | List of Technical Licences
- Sign Board (Billboard) Licence