What type of Company should use for Financing, Sdn Bhd or berhad?
Basic Principle
- As long as it suits the company’s needs, both Sdn Bhd and Berhad can be used for fundraising
Sdn Bhd (Private Limited Company)
- Cannot raise funds from the public
- Can only raise funds from specific or known investors (e.g., friends, family, private investors)
Berhad (Public Company)
- Can raise funds from the public
- Must be regulated by the Securities Commission (SC)
- Must comply with the Capital Markets and Services Act 2007 (CMSA)
