Firm Companies in Malaysia
Firm companies in Malaysia are required to be registered with the Companies Commission of Malaysia (CCM) in order to operate legally. There are four types of business entities which can be registered under the Companies Act 1965, namely sole proprietorships, partnerships, limited liability partnerships and companies.
A sole proprietorship is the simplest form of business entity which can be owned and operated by one individual. There is no legal distinction between the owner and the business, and the owner is personally liable for all debts and obligations of the business.
A partnership is a business entity owned and operated by two or more individuals. Partners are jointly liable for all debts and obligations of the business.
A limited liability partnership (LLP) is a business entity in which partners have limited liability for the debts and obligations of the business. LLPs are suitable for businesses which involve high risks, such as professional services firms.
A company is a legal entity which is separate from its shareholders. Shareholders have limited liability for the debts and obligations of the company. Companies can be either private or public. Private companies are limited to 50 shareholders, while public companies can have an unlimited number of shareholders.
The choice of business entity depends on factors such as the nature of
A sole proprietorship is the simplest form of business entity which can be owned and operated by one individual. There is no legal distinction between the owner and the business, and the owner is personally liable for all debts and obligations of the business.
A partnership is a business entity owned and operated by two or more individuals. Partners are jointly liable for all debts and obligations of the business.
A limited liability partnership (LLP) is a business entity in which partners have limited liability for the debts and obligations of the business. LLPs are suitable for businesses which involve high risks, such as professional services firms.
A company is a legal entity which is separate from its shareholders. Shareholders have limited liability for the debts and obligations of the company. Companies can be either private or public. Private companies are limited to 50 shareholders, while public companies can have an unlimited number of shareholders.
The choice of business entity depends on factors such as the nature of
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