Start a Business in Malaysia
Build Your Business in Southeast Asia's Most Entrepreneur-Friendly Country
Malaysia offers foreign entrepreneurs something no other country in the region can match 100% foreign company ownership, a 3–7 day registration process, one of Asia's lowest tax rates, and a strategic location at the heart of ASEAN. If you are serious about building a business in Asia, Malaysia is where you start.
Business setup at a glance
Company type
Sdn Bhd (most common)
Registration time
3–7 business days
Foreign ownership
Up to 100%
Min. paid-up capital
RM 1 (statutory minimum)
Corporate tax rate
17% SME / 24% standard
Capital gains tax
None
Visa for owners
MTEP (if relocating)
MTEP min. capital
RM 500,000
RM 500KMinimum paid-up capital
5 yearsMaximum visa duration (renewable)
100%foreign company ownership allowed
4–8 wks Typical processing time
Is this visa right for you?
Who is the MTEP visa for?
The MTEP is designed for foreign nationals who have registered or are registering a company in Malaysia and want to live there to run it. It is not an employment visa — you must be a director or shareholder of your own Malaysian company.
Startup founders
Foreign entrepreneurs launching a tech or digital startup in Malaysia and needing a legal right to reside.
SME business owners
Owners of trading, consulting, or service businesses who want to base themselves in Malaysia to manage operations.
Regional expansion
Entrepreneurs using Malaysia as an ASEAN hub to manage operations across Southeast Asia.
Freelancers going legit
Self-employed professionals who want to formalise their work by incorporating a Malaysian Sdn Bhd.
What you can and cannot do
MTEP visa permissions
You can
Live in Malaysia legally for up to 5 years
Run and manage your Malaysian company
Bring spouse and children as dependants
Open a personal Malaysian bank account
Travel in and out of Malaysia freely
Renew annually up to a 5-year total stay
You cannot
Work for a different Malaysian employer
Apply without a registered Sdn Bhd
Use a Labuan or Rep Office company to qualify
Apply with paid-up capital below RM 500,000
Use MTEP as a pathway to permanent residency
Step by step
How to apply for the MTEP visa
The MTEP application is submitted to MaGIC and reviewed by the Expatriate Services Division (ESD). Most straightforward applications are processed within 4–8 weeks.
Register your Malaysian company
Incorporate a Sdn Bhd with SSM and ensure your paid-up capital is at least RM 500,000. If your company isn't registered yet, this must come first — the MTEP cannot be applied for without an active SSM registration.
3–7 business days via SSM
Prepare your application documents
Gather your SSM incorporation certificate, passport copies, company profile, business plan, bank statements showing paid-up capital, and a police clearance certificate from your home country.
1–2 weeks to prepare
Submit application to MaGIC
Your consultant submits the complete application package to MaGIC (Malaysia Digital Economy Corporation) through the official online portal. MaGIC screens and endorses eligible applications before passing them to ESD for final approval.
Submission: 1–2 days
MaGIC & ESD review
MaGIC endorses the application and forwards it to ESD (Expatriate Services Division) for immigration approval. ESD may request additional documents during this stage — your consultant handles all correspondence.
4–8 weeks
Approval & visa sticker
Once approved, you receive your MTEP approval letter and enter Malaysia to complete visa sticker processing at the immigration department. Your visa is valid for 1 year initially, renewable annually up to 5 years total.
Sticker processing: 1–3 days
Common questions
MTEP Visa FAQ
Can I apply for MTEP before my company is registered?
No. The MTEP visa requires an active SSM-registered Sdn Bhd at the time of application. You must complete company registration first, then apply for MTEP. Your consultant can handle both steps together to minimise the total timeline.
What happens if my MTEP visa expires — can I renew it?
Yes. The MTEP is issued for 1 year initially and can be renewed annually, up to a total of 5 years. Each renewal requires proof that your company is still active, SSM-registered, and in good compliance standing. After 5 years you would need to reapply as a new application or explore other residency pathways.
Is MTEP available for all business sectors?
MaGIC assesses applications on a case-by-case basis. While MTEP is most commonly approved for tech, digital, consulting, and trading companies, it is not exclusively limited to technology businesses despite the programme name. Regulated industries such as finance and healthcare may face additional scrutiny.
Can my spouse work in Malaysia on a dependant pass?
Dependants on a MTEP-linked dependant pass are not automatically permitted to work in Malaysia. Your spouse would need to obtain a separate Employment Pass from a Malaysian employer if they wish to work. However, they can live freely in Malaysia and enrol children in international schools.
How much does it cost to get the MTEP visa?
Government fees for the MTEP visa are relatively low (under RM 500). The main cost is the consultant fee, which typically ranges from RM 3,000 to RM 6,000 depending on the firm and the complexity of your application. This is separate from your company setup costs and the RM 500,000 paid-up capital requirement.
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