The document discusses Limited Liability Partnerships (LLPs) in Malaysia. It explains that an LLP is a hybrid between a company and partnership that provides limited liability for partners. It notes some key benefits of registering an LLP including separate legal status, lower costs than incorporation, and perpetual succession. The document also outlines the registration process for establishing an LLP and compares LLPs to conventional partnerships and limited liability companies. It recommends various business types that should consider registering as an LLP.

1. By Loh Boon How,
Chartered Accountant (CA)

2. WHAT IS THE LLP?
A hybrid between a company and a
conventional partnership,
Form by 2 or more individual / body
corporate for lawful business with a profit
motive,
No limit on the number of partners that an
LLP may have, and
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3. WHY REGISTERED FOR LLP?
A separate legal entity. A LLP capable of
suing and being sued. Furthermore, the LLP
could acquiring, holding, development and
disposing property,
Both incorporation and operation cost are
cheaper and affordable,
The benefit of limited liability to its partners,
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4. WHY REGISTERED FOR LLP?
A perpetual succession regardless the partner
withdraw, retire and death,
No auditor appointed, no share holding and no
need to held an annual general meeting.
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5. WHO SHOULD REGISTER A LLP?
Property, Décor, Realty, Renovation
Restaurant, Catering, Cake House
Boutique, Skin Care Centre, Saloon
Cleaning Service, Laundry
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6. WHO SHOULD REGISTER A LLP?
Surgery & Veterinary, Clinic, Pharmacy
Engineering, Machinery, Hardware
IT, Web Technology, Internet Solution
Resort, Holiday, Travel
Marketing, Trading, Studio, Enterprise
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7. WHAT ARE THE DIFFERENCES?
Limited Liability
Partnership (LLP)
Conventional Partnership
(CP)
The partner are enjoy a
limited liability protection
The partner undertaking
an unlimited liability
The LLP could acquiring,
holding, developing and
disposing any property
The CP could not hold
any property
Appoint a Compliance
Officer
Not required
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8. WHAT ARE THE DIFFERENCES?
Limited Liability
Partnership (LLP)
Limited Liability Company
(LLC)
No need to appoint an
external auditor to audit
an account
Required to appoint an
external auditor
No share allotment and
not need to hold an
annual general meeting
Accordance the
requirement of company
act, to allotment of share
and hold an annual
general meeting
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9. WHAT ARE THE DIFFERENCES?
Limited Liability
Partnership (LLP)
Limited Liability Company
(LLC)
Single partner, it mean
more cost saving and
affordable of
registration fee and
annual maintenance
cost
Since the shareholder
and director are separate
entity, thus it involve more
and complicated cost
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10. HOW TO REGISTERED A LLP?
Before the registration, required to application to
reserve the LLP name,
Then fill up the Form 1 and pay the fee of
RM30.00 to reserve the LLP name for a period
of 30 days to the registrar.
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11. HOW TO REGISTERED A LLP?
Both the compliance officer or partner could
register a LLP,
The registration fee would be RM500.00
(payment to SSM).
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12. HOW TO REGISTERED A LLP?
Finally fill up the Form 2：
The LLP business principal activity and firm
name,
The register office and LLP address,
The partner and compliance officer name
and particulars,
The partnership agreement detail.
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13. WHY REFUSAL OF THE
REGISTRATION?
i) Contrary to the national security or
interest,
ii) A charitable purpose,
iii) An unlawful purpose, or
iv) Purposes prejudicial to public peace,
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14. WHERE TO REGISTER?
B. H. Loh & Associates
Address :
No. 1-3-15, Goldhill Complex,
Tingkat Paya Terubong 1,
11060 Penang.
H/P No. : 016-4893382
Email : bhlohass@gmail.com
Web-site / facebook : bhloh.com.my
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