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Setting Up a Representative Office in Malaysia

Update Date:2015-9-28 8:37:49 Source:Tannet (Malaysia) Sdn Bhd Views:665

Malaysia Hotline: +603- 2141 8908


A Representative Office of a foreign company is an office which is established in Malaysia to perform permissible activities for its head office.

The Representative Office/Regional Office does not undertake any commercial activities and only represents its head office/principal to undertake designated functions.  The Representative Office’s/Regional Office’s operation is completely funded from sources outside Malaysia. The Representative Office/Regional Office is not required to be incorporated under the Companies Act 1965. The setting up of a Representative/Regional Office requires the approval by the Government of Malaysia.

Representative Office:

A Representative Office is an office of a foreign company approved to collect relevant information on investment opportunities in the country especially in the manufacturing and services sector, enhance bilateral trade relations, promote the export of Malaysian goods and services and carry out research and development (R & D).

Regional Office:

A Regional Office is an office of a foreign company/organization that serves as the coordination center for the company’s/ organization affiliates, subsidiaries and agents in South-East Asia and the Asia Pacific.  The Regional Office established is responsible for the designated activities of the company/organization within the region it operates.

Activities Allowed:

The representative office/regional office established is not allowed to carry out any business transaction nor derive income from its operations. An approved representative office/regional office is allowed to carry out the following activities:

a) Planning or coordination of business activities

b) Gathering and analysis of information or undertaking feasibility studies on investment and business opportunities in Malaysia and the region

c) Identifying sources of raw materials, components or other industrial products

d) Undertake research and product development

e) Act as a coordination center for the corporation's affiliates, subsidiaries and agents in the region

f) Undertake other activities which will not result directly in actual commercial transactions


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