" Learn the key differences between PLT, Sdn Bhd (ROC), and Enterprise (ROB) in Malaysia. Discover which business structure suits your needs best before registration with SSM. "
When starting a business in Malaysia, one of the most important decisions is choosing the right business structure. The three most common types are Enterprise (ROB), Sdn Bhd (ROC), and PLT (LLP). Each structure has different requirements, benefits, and responsibilities under the Companies Commission of Malaysia (SSM).
Lets break down the key differences:
1. Enterprise (ROB)
Registered under the Registration of Business Act 1956, an Enterprise is the simplest form of business registration. It can be either a Sole Proprietorship or a Partnership.
Easy to start and manage
Lower cost and minimal compliance
The owner and business are legally the same (unlimited liability)
This type is ideal for small traders, freelancers, and startups who want to operate quickly without much paperwork.
2. Sdn Bhd (ROC)
A Private Limited Company (Sendirian Berhad) is registered under the Companies Act 2016. It is a separate legal entity from its owners and shareholders.
Limited liability protection
Can expand easily and attract investors
Requires annual audit and company secretary
Sdn Bhd is ideal for growing businesses, corporate ventures, or anyone who wants a more professional business image and higher credibility.
3. PLT (LLP Limited Liability Partnership)
Introduced under the Limited Liability Partnerships Act 2012, PLT combines the flexibility of a partnership with the protection of limited liability.
Separate legal entity from its partners
No requirement for audit (simpler than Sdn Bhd)
Partners are protected from each others debts
PLT is suitable for professionals (like lawyers, accountants, or consultants) and small business partners who want liability protection without heavy compliance.
Comparison Summary Table
Benefits of Choosing the Right Business Type
✅ Avoid unnecessary taxes and compliance costs
✅ Build customer and investor confidence
✅ Protect personal assets with limited liability
✅ Easier to apply for loans and government support
✅ Ensure long-term sustainability and legal protection
Lets break down the key differences:
1. Enterprise (ROB)
Registered under the Registration of Business Act 1956, an Enterprise is the simplest form of business registration. It can be either a Sole Proprietorship or a Partnership.
Easy to start and manage
Lower cost and minimal compliance
The owner and business are legally the same (unlimited liability)
This type is ideal for small traders, freelancers, and startups who want to operate quickly without much paperwork.
2. Sdn Bhd (ROC)
A Private Limited Company (Sendirian Berhad) is registered under the Companies Act 2016. It is a separate legal entity from its owners and shareholders.
Limited liability protection
Can expand easily and attract investors
Requires annual audit and company secretary
Sdn Bhd is ideal for growing businesses, corporate ventures, or anyone who wants a more professional business image and higher credibility.
3. PLT (LLP Limited Liability Partnership)
Introduced under the Limited Liability Partnerships Act 2012, PLT combines the flexibility of a partnership with the protection of limited liability.
Separate legal entity from its partners
No requirement for audit (simpler than Sdn Bhd)
Partners are protected from each others debts
PLT is suitable for professionals (like lawyers, accountants, or consultants) and small business partners who want liability protection without heavy compliance.
Comparison Summary Table
Benefits of Choosing the Right Business Type
✅ Avoid unnecessary taxes and compliance costs
✅ Build customer and investor confidence
✅ Protect personal assets with limited liability
✅ Easier to apply for loans and government support
✅ Ensure long-term sustainability and legal protection
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All SSM logos and any government logos shown on this website are the property and copyright of their respective government agencies. They are used here for identification or informational purposes only. This website is not affiliated with or endorsed by SSM or any government department.
