How to Register with ESD and Meet Capital Requirements for Hiring Expatriates in Malaysia

Companies that wish to employ expatriates must first register with the Expatriate Services Division (ESD) through their online system. Once registered, ESD-approved companies can apply for various expatriate passes, including:

• Employment Pass
• Residence Pass-Talent
• Professional Visit Pass
• Related passes such as Dependent Pass and Social Visit Pass (Short Term & Long Term)

After submitting all necessary documents, the processing time is fourteen (14) working days, provided everything is in order. The company registration process is as follows:

1. Create an account (register online)
2. Submit the application online
3. The application will be processed by an immigration officer
4. Receive status notifications
5. Company activation

Company Paid-Up Capital Requirements

The following paid-up capital requirements apply based on the ownership structure of the company:

• 100% Local Owned: RM 250,000
• Joint Venture (minimum foreign equity of 30%): RM 350,000
• 100% Foreign Owned: RM 500,000

For foreign-owned companies engaged in Wholesale, Retail, and Trade (WRT), obtaining a WRT license is mandatory. Please refer to the Ministry of Domestic Trade, Co-operatives and Consumerism for the WRT license application guidelines, which require a minimum paid-up capital of RM 1,000,000.

This registration and capital investment ensure compliance with Malaysian regulations for employing expatriates.