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Planning Your Business

 PERSONAL ATTRIBUTES

 

Self Motivated
Self-motivation is one of the success factors in starting any kind of business. You need to have the ability to get things done. Having a vision and mission for your business is one of the ways to motivate yourself. You know what your target is and how to achieve that target. This element is very important for a sole proprietorship and micro business because you are your own business.
 
How to motivate yourself? Self- motivation is built first by knowing the cause to own a business. This cause may help to inspire you to give the best of yourself.

Next is by having a dream. Dream is an important goal for the cause you were thinking about. For example, dream to have a very successful business or to become the entrepreneur of the year. Those dreams are goals that you wish you could score, just like playing football.

Finally is by having the hunger to achieve the cause and dream that you wish for. Having only desire is not enough. You may get disappointed when you fail but by having hunger for success will be a powerful tool to inspire you to get up and survive.
Personal Interest
Starting a business with your own personal interest is a bonus. While other people are still thinking of what kind of business to do, you are already one step ahead by doing what you like and what you are good at. That’s totally a value added for your business! It is going to be a great business when you have the skills and interests in the planned business. After all, there are a lot of opportunities out there. Perhaps, one of the opportunities that you can choose is from the area that passion you the most. That passion will turn into a promising business, especially when you venture into things that you really keen of.
 
Besides that, considering your personal interest as a business also gives other benefit. Firstly, it will help you develop and generate lots of ideas. Reasonably, you already know what you are talking about and this advantage will save time for research, as well as brainstorming for new ideas. It will also motivate you.

Furthermore, the best way to make sales is to believe in your product and have faith that all products that you promote will benefit people in many ways. By going into business that you already enjoy, it will be easier for you to give a promising presentation to customers on your products or services.

However, it doesn’t mean that, it is compulsory to start business only on something that you passionate about. The point is that, it is much easier to start or develop a business when you have an interest in it. If you can find a balance between your personal interests and the public's interests, you will be able to satisfy both interests and begin making money.
Family Support & Assistance
This element plays very important role not only in the planning stage of your business but also in other stages until you become a successful business owner. Still, family support last longer than any other support. Having to face so many risks, challenges, consequences and obstacles in business, family always comes as helping hands and shoulder to cry on.
 
Not only that, family may also be one of your fund providers when it comes to startup capital. That will be further discussed in the second stage of the business cycle– sourcing of fund under starting up your business. Considering that no other source of fund can be obtained, family is your very important funder to realize your dream.

Family members don’t always share the same dreams as you do. Their priorities may be different from your business success. To make sure that your family members will not suffer from any risks due to your own ambitions and target, you have to discuss with them, especially your spouse and children before you pursue your business dream to ensure that everyone is prepared with the business.
Good Physical Health
Running a business will involve both physical and emotional activities. Even in the planning stage, you will have to consider every single thing; business planning, operational process, accounts and procurement, as well as products/services marketing. It is totally tiring and stressful.

Having good physical health will ensure you the strength to cope with all heavy activities and operations involved, supported by good emotional health that will avoid you from being demotivated by any unwanted problems and challenges. Having a proper planning and back-up will help you to be ready and steady. It is okay to feel down and stress sometimes but you have to ensure that you have the time off to refresh.
Characteristics of a Successful Entrepreneur
Here are some of the characteristics of a Successful Entrepreneur taken from SME Tool Kit website to be considered :

Guts:

Guts refer to an entrepreneurial instinct, which is an overwhelming desire to have your own business. You must have guts and dedication to be completely devoted to your goal. Incidentally, devotion to your goal is much more likely if you have passion for your intended business. Life is too short to start a business that doesn't give you satisfaction and joy.


Brains:

While appropriate educational credentials are important, entrepreneurial "brains" means much more than scholastic achievements. To become a successful entrepreneur, you must have a working knowledge about the business that you plan to start before you begin.Common sense, combined with appropriate experience, is the necessary brainpower. Prudence, analytical and attention to details are very important.


Capital:

You will need seed money of your own, plus sufficient cash, to maintain a positive cash flow for at least the first year of your business. In future session, you will learn how to forecast future cash requirements through cash flow control. Many businesses can be set up on a very small scale with a small investment. Then, as the business grows and as you gain experience, cash flow from your business can be used for growth. In some cases, you don't even need starting capital to hire other people because you might start by doing everything yourself. The "do it yourself" strategy is a good way to learn everything about your business and also makes you better qualified to delegate work to others later on. You can control your risk by placing a limit on how much you would like to invest in your business.

 


 

 BUSINESS NAME

 

Select Your Business Names
We are now almost at the end of the planning stage where you have to carefully spend some time on selecting your business name. A business name can be a huge factor that contributes either to success or failure of your business entity. Unfortunately, many people fail to realize the importance of business name prior to moving forward. There are many factors to consider a business name. Your business could be named from something memorable, a name related to your area of work, or availability of potential domain name.

You have to select business name that can distinguish you from other people or business. Your business name should be attractive, brief and memorable to represent your products or services. You have to make sure that no one else is sharing the same or similar business name that you are using. Using someone else's registered name or similar to that can resulted to costly legal implications. You may also want to make sure your name is original to stand out in the market.
Register Your Business
When you are ready with the business name, considering the characteristics mentioned above, you are about to get it on the real business track. Register your business with the Companies Commission of Malaysia (SSM), whether it is a sole proprietorship, a partnership or a Sdn. Bhd. company.

The main activity of SSM is to serve as an agency to incorporate companies and register businesses as well as to provide company and business information to the public.

Registration

Guidelines for Registration of a Business

Guidelines for Application for an Auditor Licence

  • Candidates who wish to obtain an auditor licence will have to go through a series of interviews.
  • An auditor licence can only be issued by the Ministry of Finance Malaysia and applications can be made at the Accounting and Management Division.

Guidelines for Registration of an Audit Firm

  • The owner / partners of the firm must be approved auditors / holders of valid auditor licences and registered with the Ministry of Finance Malaysia.
  • The name of the firm has to be approved by the Malaysian Institute of Accountants (MIA).
  • Send a completed Form 5 together with approval letters from both MIA and the Ministry of Finance Malaysia.
  • The registration fee is RM500.00 and RM5.00 for one certified true copy of document.
  • If there is any change in details of an audit firm, the said firm is responsible for announcing those changes within one month of the change.


Application for a Company Secretary Licence

Anyone can apply for a company secretary licence if:

  • The applicant is not a bankrupt;
  • The applicant is not a criminal as stated in section 130(1) of the Companies Act 1965;
  • The applicant resides in Malaysia; and
  • The applicant is of age (18 years and above).

Procedure for Application for a Company Secretary Licence


1. Documents and Fees The following documents and fees need to be submitted to the office of the Companies Commission of Malaysia:

  • Form 48B – Application for a Company Secretary Licence;
  • Copy of identity card;
  • Copy of academic certificates;
  • Documents that can verify the relevant experience;
  • Reference letter;
  • A recent passport-sized photo; and
  • Application fees of RM50.00.

2. Experience and Qualification

  • Minimum qualification
    • Sijil Pelajaran Malaysia or equivalent (Credit in Bahasa Malaysia or English).
  • Experience
    • The applicant has to have relevant work experience in company law or company secretarial practice.
  • Duration of work experience
    • Sijil Pelajaran Malaysia/Sijil Tinggi Pelajaran Malaysia, 5 years of work experience;
  • Holders of a Certificate, Diploma or Degree (in the fields of law, company secretarial practice, management, business administration or accounting) need 3 years, 2 years and 1 year of work experience respectively.
3. Interview

Each applicant has to attend an interview where he will be assessed on his knowledge in relation to company law or company secretarial practices.


4. Licence

Successful applicants need to pay RM150.00 for a licence and the licence, which is valid for 3 years, will be issued to the applicant.


5. Renewal of Licence

To renew a company secretary licence, one needs to submit the Application for Renewal of Licence Form (Form 48C) together with a payment of RM50.00 to the Companies Commission of Malaysia at least 30 days before its expiry. Once the renewal of licence has been approved, the applicant needs to pay RM150.00 for the licence before it is issued to the applicant.


General Reminder

  • The format for Form 48B for the application for licence and Form 48C for the renewal of licence can be obtained by referring to the Companies Regulations 1966.
  • Each form needs to be typed.
Preparing Business Plan
It is important for you to have a Business Plan before you venture into a business or even if you are already in business. A Business Plan will help you to describe your business, the nature of your business, what differentiate your products / services better than your competitors or the state of your financial status. In short, Business Plan provides background information about the business and the owner and the teams in planning their goal and how they will achieve those goals.

A good and comprehensive Business Plan that contains information about your business will help you to secure an appropriate financing from financial institutions or Development Financial Institutions. It can also attract key employees, to deal with new suppliers, and/or to identify company’s strength and weaknesses.

Business Plan is not only for start-up but it is also essential for existing business to identify the growth of the business or simply to update it, so that you can solicit new funding for business expansion or merely for reviewing purposes.

To view the expanded version of business plan, please download the Business Plan for more information.

Please ensure relevant copies of documents are attached to the Business Planning to ensure that the application could be processed accordingly.

CONTACT US

SME Corporation Malaysia,
Level 6, SME 1, Block B 
Platinum Sentral
Jalan Stesen Sentral 2
Kuala Lumpur Sentral
50470 Kuala Lumpur.

General Line: 03-2775 6000
Fax Line: 03-2775 6001
Info Line: 1-300-30-6000
Email: info[at]smecorp[dot]gov[dot]my

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