You have been selling on Shopee for months. Now you are wondering whether the government cares.
If you are running an online business in Malaysia, the answer is yes. Under the Registration of Businesses Act 1956, you are required to register with SSM (Suruhanjaya Syarikat Malaysia) once you start carrying on business, regardless of whether you sell from a marketplace, a website, or your Instagram page. The good news: SSM registration for an online business takes under 30 minutes and costs as little as RM 30.
This guide walks you through the entire process, from choosing the right business structure to completing your registration on the ezbiz portal.
What Is SSM Registration?
SSM stands for Suruhanjaya Syarikat Malaysia, or the Companies Commission of Malaysia. It is the government body responsible for registering businesses and companies in the country. Every business operating in Malaysia, including online businesses, must be registered with SSM.
For ecommerce sellers, SSM registration makes your business legitimate in the eyes of the law, banks, and the platforms you sell on. Without it, you cannot open a business bank account, claim business expenses on your taxes, or apply for financing. Some marketplaces, including Shopee and Lazada, also require a valid SSM registration number for seller verification.
For a complete overview of business registration requirements in Malaysia, see our online business registration hub.
The registration itself is straightforward. The bigger decision is choosing the right business structure.
What You Will Need
Before starting the registration process, gather these documents and details:
- MyKad (IC number) — your Malaysian identity card
- Business name — decide on a trade name, or use your own legal name
- Business address — can be a home address for online businesses
- Business activity description — what you sell and how (e.g., “online retail of fashion apparel”)
- Email address and phone number — for your ezbiz account
- Debit or credit card — for online payment of registration fees
If you are registering a Sdn Bhd, you will also need:
- Memorandum and Articles of Association (prepared by a company secretary)
- Details of all directors and shareholders (MyKad copies)
- Registered office address (cannot be a PO Box)
- Company secretary details (must be a licensed professional)
Sole Proprietorship vs Sdn Bhd: Which One Do You Need?
This is the first decision every online seller in Malaysia faces. Here is how they compare:
| Factor | Sole Proprietorship (Enterprise) | Sdn Bhd (Private Limited) |
|---|---|---|
| Registration cost | RM 30-60 | RM 1,000 |
| Annual renewal | RM 30-60 | RM 50-200 (annual return) |
| Setup time | Same day | 1-3 business days |
| Liability | Unlimited personal liability | Limited to company assets |
| Tax rate | Personal income tax (0-30%) | Corporate tax (24%, or 17% on first RM 600K for SMEs) |
| Complexity | Minimal paperwork | Annual returns, audits, company secretary required |
| Bank account | Business savings account | Corporate current account |
| Credibility | Basic | Higher (perceived as more established) |
Choose sole proprietorship if: You are a solo seller earning under RM 300,000/year, want minimal compliance burden, and do not need external investment.
Choose Sdn Bhd if: You plan to scale beyond RM 500,000/year, want liability protection, have partners or investors, or want to separate personal and business finances completely.
Most marketplace sellers in Malaysia start with a sole proprietorship and convert to Sdn Bhd once revenue grows. There is no penalty for upgrading later.
How to Register with SSM Online: Step by Step
Step 1: Create an ezbiz Account
Go to ezbiz.ssm.com.my and click “Register” to create a new account. You will need to enter your MyKad number, email address, and phone number. SSM will send a verification code to your email.
Complete the profile setup by filling in your personal details exactly as they appear on your MyKad. Any mismatch will delay your application.
Step 2: Search and Reserve Your Business Name
Once logged in, navigate to “Business Name Search” from the dashboard. Enter your proposed business name and SSM will check it against existing registered names. The search costs RM 5 and results typically appear within 30 minutes.
A name will be rejected if it is identical or too similar to an existing registered business, contains restricted words (like “Bank,” “Insurance,” or “Royal” without approval), or is deemed offensive. Have 2-3 backup names ready.
If your preferred name is available, you can reserve it immediately. The reservation is valid for 30 days.
Note: If you plan to use your own legal name as the business name (e.g., “Ahmad bin Ibrahim”), you can skip the name search entirely and save RM 30 on the total registration cost.
Step 3: Complete the Registration Form
Navigate to “New Registration” and select “Enterprise” (sole proprietorship). Fill in:
- Business name — your reserved name or personal name
- Nature of business — select the most accurate category (e.g., “Retail sale via internet” under MSIC code 47913)
- Business address — your operating address (home address is acceptable for online businesses)
- Commencement date — when you started or plan to start the business
- Branch details — leave blank if you only have one operating location
Double-check every field. Errors in the registration form require a formal amendment application (RM 20 fee) to correct after approval.
Step 4: Pay the Registration Fee
After submitting the form, you will be directed to the payment page:
- RM 30 — if using your own legal name as the business name
- RM 60 — if using a trade name
Pay by debit card, credit card, or online banking (FPX). Keep the payment receipt as proof of registration.
Step 5: Download Your SSM Certificate
Once payment is confirmed, SSM processes your application. For sole proprietorships, approval is typically within 1 business day, and often within a few hours.
When approved, you can download your digital SSM certificate (Sijil Perakuan Pendaftaran Perniagaan) from the ezbiz portal under “My Applications.” This certificate contains your SSM registration number, which you will need for:
- Opening a business bank account
- Registering as a seller on Shopee, Lazada, and TikTok Shop
- Filing your annual income tax with LHDN
- Applying for business loans or financing
Print a copy and save the PDF. You will use this number frequently.
Step 6: Set Up Post-Registration Compliance
Your registration is valid for 1 year from the date of approval. Set a calendar reminder 30 days before expiry to renew. Renewal is done through the same ezbiz portal and costs the same as initial registration (RM 30 or RM 60).
Within 60 days of registration, you should also:
- Open a business bank account — separate your personal and business finances
- Register with LHDN for income tax (if you have not already)
- Check SST obligations — if you expect annual revenue to exceed RM 500,000, you must register for Sales and Service Tax with Royal Malaysian Customs
Pro Tips
Use MSIC code 47913 (“Retail sale via internet”) as your primary business activity. This is the most accurate code for ecommerce sellers and avoids confusion during tax filing or bank account opening.
Register before you hit platform thresholds. Shopee Malaysia requires SSM verification for sellers above certain transaction volumes. Registering proactively avoids account restrictions that can freeze your payouts for days.
Keep your business address updated. If you move, you must notify SSM within 14 days. Failure to update carries a fine of up to RM 50,000 under the Registration of Businesses Act 1956. Use the ezbiz portal to submit address changes (RM 20 amendment fee).
Consider a virtual office address if you do not want your home address on public SSM records. Virtual office services in Malaysia start from RM 50-150/month and provide a registered business address that appears on your SSM certificate.
Save all SSM correspondence. Your registration number, certificate, and renewal receipts are required documents for tax filing, bank applications, and marketplace verification. Create a dedicated folder for these from day one.
Common Mistakes to Avoid
Operating without registration. Some sellers assume small revenue means no registration is needed. SSM does not set a minimum revenue threshold. Operating an unregistered business can result in a fine of up to RM 50,000 or imprisonment of up to 2 years under Section 7 of the Registration of Businesses Act 1956. The RM 30-60 registration fee is not worth this risk.
Choosing Sdn Bhd too early. A Sdn Bhd costs RM 1,000 to incorporate plus RM 1,500-3,000/year in mandatory company secretary fees, annual returns, and audit costs. If your annual revenue is under RM 300,000, a sole proprietorship gives you legal compliance at a fraction of the cost. You can always convert later.
Using the wrong MSIC code. Picking an inaccurate business activity code creates problems when opening a bank account or filing taxes. Bank officers will question why your transactions do not match your registered activity. Check the MSIC 2008 code list and pick the most specific code that matches your actual business.
Forgetting to renew. Your SSM registration expires after 1 year. If you fail to renew within 30 days of expiry, your business is considered unregistered. SSM charges a penalty for late renewal, and your Shopee or Lazada seller account may be flagged. Renew early to avoid disruptions.
What About Sdn Bhd Registration?
If you have decided a Sdn Bhd is the right structure for your ecommerce business, the process is different and more involved. You will need to engage a licensed company secretary (mandatory for all Malaysian companies) who will handle:
- Name search and reservation through MyCoID 2016 portal
- Preparation of the constitution (memorandum and articles)
- Filing the incorporation application with SSM
- Appointment of directors and company secretary
- Issuance of shares
The total cost for Sdn Bhd incorporation ranges from RM 2,500-5,000 including company secretary fees, SSM filing fees (RM 1,000), and initial setup costs. The process takes 1-3 business days after all documents are submitted.
For most online sellers, this is a step to take after the business is generating consistent revenue above RM 300,000/year. For complex setups involving foreign shareholders or multiple directors, consult a qualified company secretary or legal advisor.
Next Steps
A week from now, you could still be selling without registration and hoping no one notices, or you could have a legitimate registered business that opens doors to business banking, proper tax filing, and marketplace trust badges.
If you are starting with a sole proprietorship, the entire process can be done in a single sitting for RM 30-60. Head to ezbiz.ssm.com.my and get started.
Once you are registered, your next concern is tax obligations. If your business is growing, read our guide on SST for ecommerce sellers in Malaysia to understand the RM 500,000 threshold and what happens when you cross it. For brand protection, our guide on trademark registration in Malaysia covers the MyIPO process for securing your brand name.
This guide covers general information about SSM registration for online businesses in Malaysia. Regulations may change. Verify current requirements at ssm.com.my or consult a licensed company secretary for your specific situation. Last verified: March 2026.
