Start an International Franchise in Malaysia
Updated on Tuesday 13th March 2018
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Franchising offers a unique business proposition where an investor owns his own business and is still part of a large corporation. Entrepreneurs who start an international franchise in Malaysia can discover multiple opportunities in several business sectors.
The collaboration between the franchisor and the franchisee will be based on a special agreement and on the compliance of the local Malaysian franchise, in terms of corporate values, governance, management and the overall business model.
Our team of lawyers in Malaysia can help investors explore the franchise industry and open a company in Kuala Lumpur that will be set up according to the international franchise model.
International franchising opportunities in Malaysia
Malaysia offers a convenient location in South-East Asia for companies that want to expand to this market. This is an important consideration for all international businesses looking for expanding in the country via a franchise. This business model is mutually advantageous both for the foreign company that will become the franchisor (the one selling the usage rights) and for the franchisee (the investor who will purchase the right and use them in Malaysia).
International franchise opportunities for investors in Malaysia are available in almost all business sectors, although the development of franchises tends to be more prominent in some business sectors. Examples include:
- the food and beverage sector;
- the clothing and accessories sector;
- the retail sector;
- the tourism and entertainment sectors;
- beauty and health;
- IT and telecommunications.
The services sector and as a whole presents various other opportunities which include those related to accountancy services, business consulting services, and many others.
Investors are advised to explore the existing franchising offers and perform a market research and survey. This will help them understand the needs of the local market, the opportunities, and challenges. Our team of attorneys in Malaysia can help answer your questions about the legal implications of starting an international franchise and about the rules and regulations applicable to each sector.
Opening a franchise in Malaysia
The franchise in Malaysia is a separate legal entity from the international company that acts as a franchisor. The local investor who will open the franchise will need to incorporate a new company in Malaysia, handle the registration procedure and obtain all of the needed business licenses.
Our team of lawyers can help you with services related to acquiring a franchise and handling the subsequent company formation process.
Contact our law firm in Malaysia for complete details about our services.