In brief
- A Labuan International Company is set up in Labuan, Malaysia's midshore business and licensing jurisdiction.
- It is typically used for trading, holding and consultancy activities that work across borders.
- Some businesses, such as fund management, money-broking, leasing and digital businesses, also need a licence from the Labuan Financial Services Authority (Labuan FSA).
- Whether Labuan or onshore Malaysia fits you depends on your plans, so it is best decided with advice.
What Labuan is
Labuan is Malaysia's midshore business and licensing jurisdiction. It is a place where companies are set up to do business internationally, with its own company framework and its own regulator, the Labuan Financial Services Authority (Labuan FSA).
What a Labuan company is used for
A Labuan International Company is most often set up for one of three kinds of activity:
- Trading: buying and selling goods or services across borders.
- Holding: owning shares or other assets, including stakes in other companies.
- Consultancy: providing advisory or professional services to clients abroad.
Who it tends to suit
Labuan tends to suit founders and companies that trade, invest or advise across borders and want a base in Malaysia. If your business is mostly local to Malaysia, an onshore Sdn Bhd may be the better fit. The right answer depends on where your customers, your team and your money are, which is why we compare the options with you in a consultation.
When a licence is needed
Some activities are regulated. Fund management, money-broking, leasing and digital businesses are licensed by Labuan FSA. Whether your plans need a licence depends on exactly what the company will do. We prepare and submit licence applications and guide you through them.
What setting up involves
Setting up a Labuan company means more than the first registration. A Labuan company needs a registered office and a company secretary in Labuan, and it has annual filings to keep up with every year. We handle these for you, so the company keeps running smoothly while you focus on the business.
Talk to us about your plans
Tell us what you want to build and where. We will map out your options with you.
Book a consultation