By the 2016 Companies Act, it is now a legal requirement for all companies to prominently display their official company name and registration number across various platforms, including websites, social media pages, documents, and signage. Failure to adhere to this regulation, outlined in Section 30(1)(b) of the Act, may result in substantial penalties.
Recent reports highlight an increasing number of businesses receiving fines of RM 5,000 from the Companies Commission of Malaysia (SSM) for non-compliance with the mandatory display of company registration details on their official online platforms. This enforcement underscores the importance of businesses ensuring that their online presence aligns with legal requirements.
The rise of online commerce has led to an influx of small businesses engaging in web-based sales without completing the necessary company registrations. Since 2017, the government has mandated that all online sellers and businesses register with the Companies Commission of Malaysia (SSM) to operate legally. Online businesses yet to complete this registration are strongly advised to do so promptly to avoid potential legal consequences.
Registration can conveniently be completed through the online portal at https://ezbiz.ssm.com.my, with fees starting from RM 30. This user-friendly platform streamlines the registration process for businesses of all sizes.
Businesses must understand that non-compliance with these regulations may lead to penalties under the 1956 Business Registration Act. Penalties may include fines of up to RM 50,000 or imprisonment for a period of up to 2 years.
Staying abreast of legal requirements and proactively ensuring compliance not only protects businesses from potential penalties but also contributes to a transparent and trustworthy business environment. As the digital landscape evolves, adapting to these regulatory changes becomes imperative for sustainable business practices.
Source: Oriental Daily
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