After you have successfully set up your company, situation may have changed along the way in your business. For example, you are moving office or you are expanding into a new business industry. To ensure proper compliance with the Companies Act 2016, you are required to update and notify Suruhanjaya Syarikat Malaysia (SSM) promptly to avoid any unnecessary fine or penalty.
Below we summarize for you the few common types of changes in your company and the procedures for your better understanding.
Change of Company Name
Once your company is incorporated with a name, you may subsequently change the company name to other name that you desire. Section 28 of Companies Act 2016 specify that a Company may change its name by a special resolution. The Company is required to notify SSM of the change of its name within 30 days from the date the special resolution was passed. If SSM is satisfied with the new name change and upon payment of a prescribed fee of RM100, the SSM shall issue a certificate/notice on the change of name.
The change of company name shall only take effect from the date the notice of registration of new name. You are required to show the former company name as (“previously known as” or “formerly known as”) for a period of 12 months besides the display in the new company name in all the invoices, correspondence, letterhead and etc.
A change of company name itself does not affect all rights and obligation or render any legal proceedings defective of the company, as it is still the same legal entity.
The process for the change of company name will usually be as following manner:
- You inform us on the request on change of company name and your preferred company name. We will help you to check the availability of company name in SSM
- If your preferred company name is available, we will help you to apply for name reservation to reserve the company name for 30 days for RM50
- Our team will then help to prepare the necessary documents for signing on our platform Altomate:
– Director resolution on change of company name [to be signed by the directors]
– Member resolution on change of company name [to be signed by the shareholders]
– Form Section 28
– SSM cover - Once all documents are duly signed, our team will proceed to lodge with SSM over the counter.
- After the change of name is approved by SSM, you will receive a Section 28 notice on the change of company name and the effective date of company name change
- You may then update the display of company name in your website, invoices, business letters and etc and show the former company name for at least 12 months
Change of Business Nature
If you plan to change your company principal business activities or venture into other new business, you should notify SSM on the change of business nature. You can choose the business nature from the national industry classification code – MSIC Code. Below are some MSIC codes for certain business activities:
- Advertising – MSIC Code 73100
- Restaurants and mobile food service activities- MSIC Code 5610
- Retail sale of any kind of product over the Internet (E-commerce)- MSIC Code 47912
For full list, please visit – MSIC Code
The process for the change of business nature will usually be as following manner:
- You inform us of the request for a change of business nature and new business code and description of your principal activities
- Our team will then help to prepare the necessary documents for signing on our platform Altomate:
- Director resolution on change of business nature [to be signed by the directors]
- Member resolution on change of business nature [to be signed by the shareholders]
- Practice Directive 2
- SSM cover
3. Once all documents are duly signed, our team will proceed to lodge with SSM over the counter.
4. After the change of name is approved by SSM, we will purchase a copy of updated SSM profile with the new company business nature for your records.
Frequently asked questions
1. How do I decide and choose my company’s business nature?
A private company incorporated in Malaysia is presumed with the objective of carrying on a business. A company can select up to 3 business MSIC codes and include a description of its principal activities. You need to evaluate your business model and select the appropriate one that reflect what your company is set to carry out.
Once the nature of business is selected, your company should carry on its business within the course of the business set, and the same information of your business is also channeled to the tax authorities (Inland Revenue Board and Royal Malaysian Custom Department) when reporting your taxes.
2. How do I change my company name?
You may request the company name change from your company secretary where they will help to perform a search for company name availability for your preferred company name. If the new company name is available, the company secretary shall prepare some documents for signing – resolutions and SSM form. After the documents are duly signed, the application for name change will be submitted to SSM for approval.
Once SSM approved the name change, Notice Section 28 will be issued by SSM to officiate the name change and its effective date.
3. Can my company have offices in different places?
Yes, your company may have offices at more than one (1) address. You are required to notify SSM on the branch address for the additional location where you operate your business.
If you ever need more information, do contact us for more clarification. We are more than happy to answer all of your inquiries.
