We have always been asked by our clients when they visited to our office, “should I start my business by registering an enterprise or a sdn bhd?”
Now, ask yourself on the following questions before making any decision:
- How much capital do I need to have for my new business?
- How much sales I can generate for the first year?
- How much profit I can earn for the first year?
- Do I need to hire any staff?
- Do I need to setup an office?
- Am I going to tender any project under the new company?
Case 1
- I need RM30k to start my business
- I am looking for RM200,000 sales in first year
- I think I can get RM50,000 profit
- No, I will not hire any staff at the moment
- I will work from my home at the beginning
- No, I sell my service/product to end users
Advice: You can choose Enterprise (Sole Proprietor/Partnership)
Case 2
- I need RM100k to start my business
- I am looking for RM500,000 sales in first year
- I think I can get RM100,000 profit
- No, not at the moment but will hire staff when business grows
- I need to setup a proper office
- No, I sell my service/product to end users
Advice: You can consider to form a sdn bhd company for your new business.
(Image: Ambro / FreeDigitalPhotos.net)