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Q：
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What is Wholesale Retail Trade License (“WRT license”)?
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A：
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A WRT license allows a foreign-owned enterprise to engage in distributive trade services within Malaysia. It applies to companies where more than 50% of the total shares are owned by non-Malaysians. The Ministry of Domestic Trade and Cost of Living is the authority responsible for approving such licenses.
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Q：
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What is the purpose of a WRT license in Malaysia?
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A：
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The objective of the WRT license is to ensure equitable development, promote modernization, and enhance efficiency within the distribution trade sector. By regulating foreign companies in this sector in Malaysia, local businesses will be given the opportunity and environment necessary for growth. This license is also a prerequisite requirement for local authorities to issue business licenses.
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Q：
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What primary distributive trades require a WRT license?
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A：
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Non-Malaysians who holds over 50% share ownership in a Malaysian company across four sectors must apply for a WRT license prior to applying for work permits for any expatriates at the Immigration Department. These sectors encompass (i) retail operations, trading, distributive trades, (ii) restaurants, (iii) franchise businesses, and (iv) specific service and consultancy sectors pertaining to distributive trade.
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Q：
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What are the general requirements to apply for a WRT license in Malaysia?
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A：
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The minimum paid-up capital requirement for WRT license applications is RM1 million, along with a complete setup in accordance with the Companies Act 2016, a valid tenancy agreement and a telephone line. Newly established companies may submit a business plan and investment plan to the Ministry of Domestic Trade and Cost of Living prior to establishing an office. The approval process takes 1 to 2 months, with extended durations should an office inspection is required.
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Q：
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What is the validity period of a WRT license?
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A：
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A WRT license is valid for 2 years. Renewal applications must be submitted 3 months preceding the expiration date.
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FAQ
