Are you looking for the most lucrative businesses in Malaysia? With its fast-growing economy and an exciting mix of population and culture, Malaysia is a dream destination for entrepreneurs. Here are the most lucrative business opportunities in Malaysia that you can explore.
The best potential for business in Malaysia
1. Car wash and auto service
Workshops for auto service and car wash facilities have an excellent profit potential in Malaysia since the majority of people drive private vehicles. Although registrations for vehicles were at 31.2 million units in the year 2019 This will continue to grow over the next few years to create more business opportunities.
2. Leasing business
From machinery and plant as well as chattel, ships and even plant expanding your leasing company to Malaysia could be an attractive alternative. If you set up your international business in Labuan (a state located in Malaysia) it is possible to get the benefit of 100% foreign ownership, aside from tax benefits.
Tourism is a significant contributor to economic growth in Malaysia It is also an extremely profitable business to establish in Malaysia. However, you’ll be required to stay informed about the restrictions on travel in light of COVID-19. Malaysia exempted quarantine for those who are who are from Singapore beginning March 15th, quarantine requirements are also lifted for travelers who have been vaccinated from Cambodia as well as Thailand. An advisory panel has recommended opening up Malaysian frontiers to tourists in order to help boost the economy.
4. Fashionable business
The market for clothing and accessories is projected to expand by 7.21 percent in Malaysia between 2022-2026. The increase, as per the study conducted by HKTDC is due to the rise in confidence of consumers and affluence growth, and, in particular, the increase in expenditure by females.
Many of the largest fashion firms are based in Malaysia There is a rising demand for fashion and accessories. It is the perfect time to capitalize on the desire for fashion among Malaysians.
5. Real estate business
The real estate market can be a lucrative business that entrepreneurs can take advantage of in Malaysia and the country, with Malaysia’s government offering easier to buy homes. Although you are able to decide your hours of work and focus on properties with high value will help you earn an impressive profit.
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6. Construction business
In the construction sector, Malaysia is predicted to grow by 6.8 percent between 2022-2025. With new homes houses, malls, houses and commercial buildings constantly popping up in Malaysia it is a great business opportunity.
7. Plantation of rubber
Malaysia is among the biggest rubber producers around the globe. Although Malaysia has a tendency to import raw rubber from abroad, it makes the majority of its revenue by exporting finished rubber products , such for medical-grade gloves. A large workforce in the agricultural industry and tax incentives are among the advantages to investing in Malaysia’s industry of rubber.
If you have a solid experience managing rubber plantations as well as exporting rubber think about expanding your business to Malaysia through investing into your existing plantation business for rubber.
8. E-commerce store
The spread of the pandemic has led to a shift to online shopping and many shoppers prefer buying from online stores. The top five items bought via e-commerce sites are accommodation, travel fashion, beauty, fashion electronics, toys and furniture. Due to the huge market and the demand for it businesses could benefit tremendously by expanding into Malaysia through the establishment of an offshore business.
9. Repairs for smartphones and computers
According to Statista the number of smartphone owners reside in Malaysia in the present time, while 1.74 million are predicted to adopt smartphones in 2025. Nearly 80percent of Malaysia’s population has computers.
For businesses with a long-standing presence in smartphone and computer fixes in various Asian regions, this presents an opportunity to expand their business to Malaysia.
10. Microfinance service
Small and medium-sized enterprises (SMB) constitute the core for Malaysia’s economic. Although Malaysia is famous for its strong support of local entrepreneurs Many small enterprises are struggling to meet the issues of the epidemic. Microfinancing is an option that can increase the economic growth of Malaysia in the future.
Malaysia is ranked 12th on the World Bank Group’s ranking of countries that have the best Ease to Doing Business in 2020. A favorable business environment aside of the continuing support for microfinancing has been the most important reason to expand into this area in Malaysia.
11. 3D printing for business
To keep pace the manufacturing sector in Malaysia is seeking to embrace cutting-edge technologies, such as 3D printing. When the pandemic was raging, talented entrepreneurs from Malaysia utilized 3D printing to create masks for patients, however experts believe there is a huge opportunity to use 3D printing within Malaysia to produce rapid prototyping that is cost-effective. The cost-effectiveness of 3D printers and open-source designs accessibility are a few of the main factors driving 3D printing’s expansion.
12. Gas and oil
Although Malaysia is the second largest producer of natural gas and oil across Southeast Asia, the Malaysian government has continued to promote FDI (foreign direct investments) across a variety of sectors such as gas and oil. While the state-owned PETRONAS holds the sole rights to oil and gas deposits in Malaysia foreign companies can sign PSCs or production sharing contracts.
As a non-Malaysian business you can take part in the production of oil and gas through partnerships with local companies.
13. Cleaning services
The market for home services in Malaysia is expected to expand up to SGD $68.8 billion (USD 50.49 billion) by 2025. This will be the growth rate increasing by 55% between 2021 and 2025. Although the demand in cleaning and cleaning supplies is increasing however, the business is labor-intensive and requires a significant investment on human resource. Working with Links, a PEO service provider like Links can be a more convenient method international investors can begin planning on expanding their cleaning company into Malaysia.
Alongside skilled workers as well as the ease of doing business and a good infrastructure Malaysia serves as the main gateway into and from the Association of Southeast Asian Nations or ASEAN. It can be described as an economic alliance that includes 10 members that works to promote commerce and cooperation within the region. Malaysia can also be a part of RCEP (Regional Comprehensive Economic Partnership).
Additionally, Malaysia’s transport connections allow for easy accessibility to travel internationally as well as the supply chain in the world. Five international airports link Malaysia to the major trading hubs in Asia.
15. Restaurants and food service
The food industry is one of the most lucrative within Malaysia and is predicted to increase to RM109.08 billion, up from RM64.9 billion. Malaysian foods are a fascinating mixture of various food styles and cultures. Food industry within Malaysia includes fast food restaurants and full-service restaurants, as well as self-service cafeterias and street kiosks. If your food establishment offers unique local cuisines within Singapore as well as different Asian countries, it is possible to apply for a wholesale or retail trade license.
16. Booking services for hotels
A variety of places within Malaysia bring millions of tourists to Malaysia which makes the hotel booking online business an investment possibility. As the industry of tourism grows as does the number of hotels and guests has increased continuously in Malaysia. When compared to offline bookings 88% of travelers prefer booking hotels online, causing hotels to work with booking engines from third parties.
17. Professional services
In Malaysia professional and consultant positions like business management experts as well as tax consultants accountants, lawyers, and tax consultants are in high demand. Human resources that are diverse, 100 foreign ownership and experts who speak multiple languages and are proficient to communicate in English or Malay are the main advantages for investors from abroad.
18. IT business
The IT industry is growing fast in Malaysia which accounts for 19.1 percent of the country’s GDP. Businesses operating in the software, hardware, or cloud computing sector have the potential for expansion into Malaysia. More than 500 business parks as well as an internet connection that is reliable makes Malaysia an ideal destination to invest in IT.
19. Departmental store
The strong private consumption of the country and continuous investment in infrastructure makes retail a lucrative option for investors from abroad. Good transport connections and international delivery options help retailers meet the increasing demand from the market.
20. Marketing through affiliates
Since 86% of people in Malaysia use social media growing your business’s reach to establish an affiliate marketing system local to the country could be an alternative. The platform connects marketers to influential people and associates.
21. Printing T-shirts
In Malaysia the wearing of custom-designed T-shirts is an increasingly popular fashion that has led to the rise of the printing market for t-shirts. In one instance, the print on demand’ clothing company in Malaysia increased its profit year-over-year by 200%, bringing it to RM8 million by 2020.
22. Market research
The idea of exploring Malaysia for expansion of your market research company could be a good idea. It is possible to do this by forming a joint venture corporation, with 30 percent of shareholders are Malaysian corporate or individual.
My Name is Nadeem Shaikh the founder of nadeemacademy.com. I am a Qualified Chartered Accountant, B. com and M.Com. having professional and specialize experience in field of Account, Finance, and Taxation. Total experience of 20 years in providing businesses solution in Taxation, Accounting, and Finance with all statutory compliance with timely business performance Financials reports. You can contact me on email@example.com or firstname.lastname@example.org.