Hello all!
Finally I found a nice informative forum on this topic after a lot of internet search. Kudos to all members and admins!
I, along with my friend/partner and a Malaysia local partner opened a company in Malaysia which deals in restaurants and wholesale trading and has 1 million paid up capital. It took about 7 and a half months to get the company approved on ESD online portal to get access to Expatriate services.
We got projection approved for 2 of the shareholders and we were hopeful that now everything is on the right path. But to our surprise, after 3 days of our applications on ESD, both applications have been rejected with a reason that these posts are not required. It is pertinent to mention that the posts applied were director finance and director management. The problem is that till this time we have made a lot of visits from our origin country just to do the documentation stuff. We have a restaurant and office but we CAN NOT start our business activities until or EPs are done. Without EP we can not even open bank accounts. Can any one please guide me as to how we should proceed? Should I appeal myself or do I need an agent? Until now we were avoiding agents but unfortunately I think the system actually (in an unofficial way) supports agents. Already a lot of time and money wasted and MyXpats guys now say that appeal process can take upto 3 months... Is there any official way to arrange a meeting with the related person in immigration to explain the problems company is facing? Your guidance will be of great value to us.
Thanks 
Employment Pass for Director/Share Holder
Foreign partners who have roles which can be replaced by locals are therefore seen as purely investors or funders and therefore do not need any immigration status. This is the latest issues around joint ventures with locals. In fact they are slowly closing the door on foreigners using company set up to live in Malaysia. You can perform your duties elsewhere and of course visit for strategic meetings, if necessary. Its to empower local manpower as well - why should foreigners lead companies with just a "ghost or silent" local Malaysian investor.
This explains
http://malaysiabizadvisory.com/major-pr … d-company/
To put this company's information in perspective - they have stopped their services to create Sdn Bhd now.
Personally, I think that if you have been told the posts that you want EPs for do not qualify, an appeal would be a waste of time.
If you had used an agent they would have advised you about this at the beginning, possibly. This is because they are in contact with the authorities and receive updates regarding guidelines and changes in direction.
If your business plan and organigram did not make it clear that foreigners were intended to occupy the two positions, this is why it has progressed so far.
No. Earlier we didn't apply through the agent. However we are considering it now as you said they know the policies (and probably also know how to deal certain case). In our case as the business type is food which is non-malaysian food so our local partner can't handle it alone because he doesn't know the standards. That is why it is very difficult to manage it remotely.
I feel that the main cause of rejection was not-so-well-written job description. And in return the reason we were given was position not required.
Let me also tell that the company was approved on ESD on the same basis i.e we made it clear that company's directors need employment passes.... and projection was also acquired for the same reason.
As you are confident of the problem I guess its worth making the appeal. There is unfortunately no facility to have face to face meetings about these things (for obvious reasons).
Having a Malaysian partner who cannot contribute to the standards is also a problem as it would have been more fortuitous to select one who was competent and avoid the need for oversight by 2 foreign directors. Agree the job descriptions are important as well as the qualifications of the individuals to carry out the duties. Remember that job and candidate must always match.
You still have a long way to go with the licencing etc. I think you may find that EPs are not issued until the restaurant is fully licenced i.e. you have to set it up for inspection, before any work permits are processed (apart from chefs).
I guess you did not bother to open the link provided earlier and did not therefore read case no. 4.
Articles to help you in your expat project in Malaysia
Before traveling to Malaysia, it is advisable to check with the nearest Malaysian Embassy or Consulate regarding ...
Malaysia is a growing financial, technological and commercial hub in Southeast Asia. Kuala Lumpur, its historic ...
Malaysia is a country full of opportunities. It is an essential economic platform in Southeast Asia. Therefore ...
Getting into Malaysia is ain't that easy, But if you prepare yourself carefully, you might be able to ...
You are moving to Malaysia and want to drive for work or travel there? Follow our guide!
Kuala Lumpur is a real megalopolis, surrounded by suburbs and neighborhoods so different from each other that they ...
