...company. Its essential contents are:- * The name of the company (which must end with the words “Sendirian Berhad” if it is a private company, or just “Berhad” if it is a public company); * The situation of the company’s registered office; * The objects of the company, i.e the nature of business intended to be carried out; * That the liability of the members is limited * The nominal amount of the authorized share capital with which it is proposed to register the company and the division of such capital into shares of a fixed amount; and * The association clauses The “Memorandum of Association” must be signed by at least two subscribers; duly dated. The signature of each subscriber must be witnessed by a third person. Each of the subscribers must undertake to subscribe for one or more shares of the company. Starting a Business in Malaysia Photo courtesy of Thomas Hawk After you’ve decided that your idea is going to change the world, your next step is to move out from your house garage and start commercializing the idea into a product or service that can be enjoyed by the consumers. In Malaysia, it’s relatively easy for an ambitious entrepreneur to setup a business, although running one is an entirely different thing. To start out, an entrepreneur can look into the following options: i) if you’re a lone ranger with a tight budget, your product probably won’t be making much profits in the near future and there’s not much risk of facing a lawsuit...
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...Types of Firms Sole Proprietorship Partnership Limited Liability Company Corporation 4 Legal forms of business organisation Sole proprietorship A business owned by a single individual, unlimited liability, limited access to capital, lack of continuity, constraints of various skills. Advantages Easy to create Disadvantages Unlimited personal liability Limited life 5 Legal forms of business organisation Partnership An association of two or more individuals joining together as co-owners to operate a business for profit, joint responsibility, involves partnership agreement, better access of capital/skills, continuity of business? partners are personally liable for all of the firm’s debts. A lender can require any partner to repay all of the firm’s outstanding debts. partnership ends with the death or withdrawal of any single partner. All The 6 1.1 The Four Types of Firms (cont'd) Partnership Limited Partnership has two types of owners. Partners General Have the same rights and liability as partners in a “regular” partnership (personally liable for firm’s debt obligations.) Typically run the firm on a day-to-day basis Limited Partners Have liability limited to their investment Have no management authority and cannot legally be involved in the managerial decision making for the business The limited...
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...Contents Introduction 2 Private company limited by shares 4 Private company limited by guarantee 5 Private unlimited company 6 Memorandum of Association 7 Article of Association 9 Memorandum and Articles of Association: 10 Memorandum and Articles of Association Form 10: 10 Memorandum and Articles of Association Form 12: 10 Memorandum and Articles of Association Advantages: 11 Memorandum and Articles of Association Disadvantages: 11 Dissolving ANNHANNY 11 What is a dead business. 12 Striking off a company 13 Winding up a company 14 Reference 16 Introduction The selling and supplying children books fall under the category of distributor and wholesaler. There are few prominent companies in Malaysia who are specializing in selling and supplying children books such as Grolier (M) Sdn. Bhd and the Children World Publications (M) Sdn. Bhd. In the case of Anne and Hanny, they have initiate a plan to set up a business selling and supplying children books. This will followed by another expansion toward setting up a publishing firm in the future. They type of organization that will be suitable for them will me more like the Children World Publications (M) Sdn. Bhd. Their type of business is somewhat similar to what Anny and Hanny had in mind initially. The only difference is, Anne and Hanny wanted to do it in two separate steps. First step is to open up a business selling and supplying children books then as the business grows they will embark...
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...What is Law of Partnership? A partnership is a for-profit business association of two or more persons. Because the business component is defined broadly by state laws and because "persons" can include individuals, groups of individuals, companies, and corporations, partnerships are highly adaptable in form and vary in complexity. Each partner shares directly in the organization's profits and shares control of the business operation. The consequence of this profit sharing is that partners are jointly and independently liable for the partnership's debts. According to Section (2) the relation between members of any company or association Which is— (a) Registered as a company under the Companies Act 1965 [Act 125] or as a co-operative society under any written Law relating to co-operative societies; or (b) Formed or incorporated by or in pursuance of— (i) Any other law having effect in Malaysia or any part thereof; or (ii) Any letters patent, Royal Charter or Act of the Parliament of the United Kingdom RULES FOR DETERMINING EXISTENCE OF PARTNERSHIP According to section ( 2 ) In determining whether a partnership does or does not exist, regard shall be had to the following rules- (1) Joint tenancy, tenancy in common, joint property, common property, or part ownership does not of itself create a partnership as to anything so held or owned, whether the tenants or owners do or do not share any profits made by the use thereof. (2) The sharing of gross returns does not...
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...ASSIGNMENT 3 1. Legal forms of business in Malaysia. Start up Business in Malaysia - What is a business firm? Business firms can be either of these two types: 1. Sole proprietor/ Sole trader - Sole proprietor is a business carried out in the name of an individual. 2. Partnerships (governed by Partnership Act 1961) - Partnership is a business owned by two or more individuals. Both these types of business firms have no separate legal existence apart from the persons who owns the business and properties cannot be held under the name of the business firms. All contracts are signed in the name of the individuals who own the business and their liability is unlimited. Forms of business formation in Malaysia | Company | Partnership | Sole-proprietorship | 1. | StructureA company is a person separate from its members. | Two or more persons carrying on business with a view of profit. | Individual in business on his own. | 2. | RegistrationNeed to be registered with the Registrar of Companies as a company. | Need to register their business under the Registration of Businesses Act, 1956. | Needs to register his business under the Registration of Businesses Act, 1956. | 3. | TransferabilityShares in a company are generally transferable although the right of transfer may be restricted. | Generally, a partner cannot transfer his status as partner to someone else without the consent of all the other partners. | A sole-proprietor may transfer his business to someone...
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...Unit 1 - Task 1 - P1 The two businesses that I have chosen to research are Tesco’s and RSPCA. A business can be grouped into 4 different types of sectors, they are; public sector, private sector, voluntary and not-for-profit businesses. Businesses make profit as they are in charge of their own internal and external costs. This business could either be as small as a corner shop, or as large as Tesco. Public sector businesses are owned and controlled by the government. These businesses don’t have to make profit, but this is always monitored so they can control how they spend their money. Tesco is a business that is in the private sector and also a profit making business and a merchandise retailer. It’s the biggest private sector employer in the UK. It offers good and reasonable pay and benefits for all jobs. Whether as managers or assistants I stores. It's been grouped in the private sector as the business makes profit. Tesco was founded in 1919 by Jack Cohen. It is the world's largest retailers having over 500,000 colleagues, they provide millions of customers a week in the stores and also online. With 75 million shopping trips every week. Tesco wants to be seen as the most highly valued business in the world. Tesco has increasingly diversified geographically and into areas such as the retailing of books, clothing, electronics, furniture, petrol and software, financial services, telecoms and internet service, DVD rentals and music downloads. Tesco is in the tertiary sector...
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...Table of Contents Question 1(a) 1 Question 1 (b) (i) 2 Question 1 (b) (ii) 3 Question 3(a) 5 Question 3(b) 6 Question 3(c) 7 Question 4(a) 8 Question 4(b) 10 References 11 Question 1(a) The issues arise in the above situation is whether Ahmad have any contract made with Suria Supermarket. The law consist in the above situation is Invitation to treat (ITT). As you known, invitation to treat does not mean amount to an offer. Section 2(a) of the Contract Act 1950 defined as something which is capable of being converted into an agreement by its acceptance. There is a different between Invitations to treat with an offer. A proposal must be distinguished from an invitation to treat (ITT) so that the proposal can be the only way to attract any party to enter the contract. Examples of Invitation to treat which is Good displayed in shop windows and shelves, Advertisement, Auctions, Catalogues and Price lists. Based on the above situation, the law of Invitation to treat of display of goods is exist which it is not a proposal to sell and invitation not capable of being accepted, In shop , owner merely holds himself prepared to consider proposals made to him at the suggested price, so an offer to buy is made when the customer puts the goods in a trolley or takes the item off the shelf, but the contract only made when the person bring the item to the cashier’s desk and pay for the item. Section 2 (a) of the Contract Act 1950 provides that when one person signifies...
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...BUSINESS ORGANISATION’S AIMS & OBJECTIVES (2) |Lecturer: Ms. Cassie @ Chitara Ramasamy | | |Session: August 2012 | | |Lesson Outline: | | |Different types of business (profit or non-profit) | | |Internal and external business environments |[pic] | |Environment’s elements impact to businesses | | | | | |Learning Objective of Topic 1: | | |After reading this chapter, you should be able to | | |explain type of business appeal to them and reasons | | |explain how businesses are influenced by...
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...performance contract and others. However, the terms of PPP and concession will be using interchangeably throughout the entire topic. Basically all those terms refer to one common purpose. The purpose is to establish a method of procurement that brings together the public and the private sectors in a long-term partnership for mutual benefit. The vital feature is that it is intended to achieve both social and commercial goals. When it serve as a long-term solution for offering infrastructure within a country, it would indirectly support sufficient growth and economic benefits for the public. The broader execution of concession can be done to fund transport infrastructure such as highways, tunnels, railway, ports, bridges, railroads, airports and canals transport systems. They are also often used to finance projects in water supply, power generation, sewerage, dams, irrigation and drainage, and to a lesser extent, telecommunications and solid waste management infrastructure. In the case of Malaysia, the Government officially revealed the execution of public projects using the Public Private Partnership (PPP) or Private Finance Initiative (PFI) scheme under the 9th Malaysia Plan. In 2009,...
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....................................................... 9 1.2 Partnerships ..................................................................................................... 10 1.3 Limited Liability Partnerships ......................................................................... 11 1.4 Limited Partnerships........................................................................................ 11 1.4 Companies........................................................................................................ 12 1.4 Joint-Ventures .................................................................................................. 12 1.5 Business Registration Act [Cap 32, Rev Edn 1985] ...................................... 13 1.5.0 Purpose of registration:................................................................................ 13 1.5.1 Consequences of Non- Registration ........................................................... 13 1.5.2 Power to grant Relief .................................................................................... 14 2 Nature and Definition of A Partnership ..........................................16 2.1 Carrying on of a Business............................................................................... 16 2.2 Business carried on in Common .................................................................... 17 3 Determining the existence of a Partnership ..................................18 3.1 Matter of Construction...
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...Malaysian Tax System [pic] |Tax System | | | | . |Tax Legislation | | . |Individual Taxation | | . |Corporate Taxation | | . |Self Assessment System | | . |Real Property Gains Tax | | . |Witholding Tax | | . |Indirect Taxes | | . |Investment Incentives | | | | |2006 Important...
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...[pic] Company Logo of kenyit-Kenyit Enterprise Content |Topic |Page | |1.0 Executive Summary | | |2.0 Company | | |Corporate information | | |Date of incorporation | | |Paid-up capital | | |Subsidiaries ( if any) | | |3.0 The people | | |The management team | | |Qualifications, key skills and exprience | | |4.0 Product...
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...If you are planning on doing business in Malaysia knowledge of the investment environment and information on the legal, accounting and taxation framework are essential to keep you on the right track. Doing business in Country Name Contents Page Foreword Country Profile Regulatory environment Finance Imports Business entities Labour Financial reporting and audit Contact details 1 2 4 6 7 8 10 13 18 Doing business in Malaysia 1 Foreword SJ Grant Thornton is a member firm within Grant Thornton International. SJ Grant Thornton was established in 1974 and ever since, has progressed expeditiously in every aspect. We provide innovative, yet practical advice in a range of assurance, tax and specialist services to privately held businesses and public interest entities. Today, we are ranked as one of the leading accounting and consulting firms in Malaysia. We operate from our main office in Kuala Lumpur and other offices in Penang, Johor Bahru and Kuantan. Grant Thornton International is one of the world's leading organisations of independently owned and managed accounting and consulting firms providing assurance, tax and specialist advice to privately held businesses and public interest entities. The strength of each local firm is reflected in the quality of the international organisation. All Grant Thornton International member firms share a commitment to providing the same high quality service to their clients wherever they choose to do business. This guide has...
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...II ADMINISTRATION 5. Director General and other officers and their responsibilities 6. Recognition of office 7. Public servants 8. Confidentiality of information Part III IMPOSITION AND SCOPE OF TAX 9. Imposition and scope of goods and services tax, etc. 10. Rate of tax 11. Time of supply 12. Place of supply 13. Supply of imported services 14. Place where supplier of services belongs 15. Value of supply of goods or services 16. Value of goods imported 17. Zero-rated supply 18. Exempt supply 2 Bill Part IV REGISTRATION Clause 19. Registration of taxable person 20. Liability to be registered 21. Notification of liability and registration 22. Cessation of liability to be registered 23. Direction to treat persons as a single taxable person 24. Voluntary registration 25. Notification of cessation of liability or voluntary registration 26. Cancellation of registration 27. Group registration 28. Registration of partnership 29. Registration of societies or similar organisation 30. Registration of branches or divisions 31. Personal representatives deemed to be taxable persons 32. Exemption from registration for persons making or intending to make zero-rated supply Part V ACCOUNTING, ASSESSMENT, RECOVERY, ETC. 33. Issuance of tax invoice 34. Production of tax invoices by computer 35. Credit note and debit note 36. Duty to keep records 37. Accounting basis 38. Credit for input tax against output tax 39. Amount of input tax allowable 40. Taxable period 41. Furnishing of returns and payment...
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...the sale of goods at a price that includes an agreed profit margin, either a lump sum or percentage of the purchase price. The seller will purchase the goods that requested by buyer and will sell them to buyer with a mark-up. Contracts Murabahah (cost-plus financing) Mudharabah (profit sharing) Contract with one party providing 100 per cent of the capital (Rabb al-Mal) and the one party (the mudharib) providing its expertise to invest the capital and manage the investment project. Profits generated are distributed according to a pre-determined ratio, but it like the capital itself that cannot be guaranteed. The provider of capital was the losses, who have no control over the management of the project. Musharakah (partnership financing) It involves a partnership between the two parties, who both provide capital towards the financing of new or established projects. Both parties must share the profits on a preagreed ratio, that allowing the managerial skills to be remunerated, with losses that being shared on the basis of equity participant. One or both parties can undertake management...
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