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Beginner’s Guide on Starting a Halal-Certified Business in Malaysia
Is there a better food haven than Malaysia? You’ll be hard-pressed to find one that can compare. From street food to high-end restaurants to delicacies and cuisine from around the world, you’ll find anything that you crave at a very affordable and reasonable price. That is why starting a halal-certified business is one of the best business decisions you can make.
Malaysians love their food and they love a restaurant that knows how to serve up a very satisfying and appetising meal. Although Malaysia is a melting pot of several races and religions, the Muslim community is the biggest percentage of the population. If your cuisine is one-of-a-kind in the country, tapping into the Halal seeking community is fundamental to spreading towards the extensive Halal market globally.
A business has its best chance of making the most profit it can make if it targets every possible demographic. To attract the locals, you may need to get into Halal certifying your restaurant in Malaysia. As the Malaysia company registration experts, 3E Accounting has made it its mission to ensure your business set up process is going to be as easy as possible, even with the extra step of acquiring a Halal certification.
What Is a Halal-Certified Business?
A Halal business is a business that operates on standards that are acceptable per Islamic Sharia law. Halal certifying restaurants in Malaysia may include storage, logistics, Halal ingredient sourcing and handling as well as cooking.
The food business is big in Malaysia, and starting a Halal-certified business in Malaysia is how you ensure you are casting your widest possible net in terms of securing your customer base. The Muslim community make up a big part of the country’s population. If you want your business to garner as many customers as possible, it is important that your business is certified according to Halal standards.
A Halal business has a Halal certificate prominently on display on the premises of the business. This gives the assurance that your business is operating as per the expected Halal standards. if you have gone through the necessary effort for Halal certification and displaying it prominently, your customer base could multiply by great numbers.
Besides the restaurant business, the following businesses in Malaysia can apply for a Halal certification:
- Consumer goods
- Personal care
The Business Registration Process in Malaysia
To start your business registration process, you will first need to gather all your necessary documentation. The Malaysia company incorporation process can be a quick and easy one with the help of 3E Accounting. Once we have helped you gather your documents, we will submit an application to the Companies Commission of Malaysia, otherwise known locally as the Suruhanjaya Syarikat Malaysia (SSM). They are the regulating authority for all businesses in Malaysia. For your business to operate legally, you must be registered with the SSM.
You will also need to have a minimum of two directors who must be at least 18 years or older and residing in Malaysia. These individuals must not have been bankrupt in the past. This requirement is part of your company registration process. You will also need to determine a premise for your business. Since this is a restaurant, a PO Box or residential address is not permitted.
The Licenses and Permits You Need to Start Your Business
Once you have your business registered with SSM, the second step is to obtain your halal certificate. The Halal authorising body in Malaysia is called JAKIM. Halal certifications fall into several categories, and restaurants fall into the food premise category. Halal certification is a mandatory requirement when starting a Halal-certified business.
You can apply for the Halal certification through MyeHalal. After filling in the form in MyeHalal, you may need to submit the following supporting documents to JAKIM or JAIN (the State Islamic Body):
- A copy of business registration by the Companies Commission of Malaysia.
- A copy of the business license.
- Copy of OEM certificates (if any).
- Copy of Employment contract and valid identification of a Muslim Executive.
- A copy of the Employment contract and proper identification of two Malaysian Muslim workers (working full-time at processing section).
- Approval for sources of imported raw animal meat from the Department of Veterinary (if any).
- Production flow chart.
Compliances After Getting Necessary Permits
Once you have submitted all your documents, the authorities will review them accordingly. This is where the importance of enlisting a corporate service provider like 3E accounting becomes crucial. If any documents are incomplete, your application will be rejected immediately. To avoid this, let us handle the application process for you from start to finish. We have experience establishing businesses like these and our expertise is going to save you a lot of time.
Once all reviews are complete, the Halal authorities will issue a charges letter and schedule for the onsite audit. The officers will be checking for compliance with the standards of Halal and produce the necessary report. They will also collect samples and then to a laboratory to verify the contents of the product or ingredients. After which, the Malaysia Certification Panel will review the completed audit report. You will receive the Halal certification, if successful. The validity of the certificate is only for two years, and renewal is required at least three months before the expiry date.
Ready to Start Your Business?
If starting your Halal-certified business is something you cannot wait to do, then let us be there to help you. We can get your business up and running in the shortest amount of time possible. 3E Accounting is committed to seeing every one of our clients succeed and we want to be there to share in your journey with you.
For more information about our company incorporation services and a list of other services we offer, contact 3E Accounting today.