BFM 89.9
The Business Station
Sole Prop or Sdn Bhd? Your Guide to This Big Decision
31 mins·11:00, 28 Jul 2025
Sole Prop or Sdn Bhd? Your Guide to This Big Decision
31 mins
·
11:00, 28 Jul 2025
·
Recommended
23 mins
38 mins
Guest: Sheba Gumis, Partner, Skrine
Should you start with a simple sole proprietorship or jump straight into a Sendirian Berhad (Sdn Bhd)? Choosing the right business structure is one of the first and most critical decisions an entrepreneur makes, with long-term consequences for liability, funding, and growth.
As part of a 3-part series on this very question today, Lawyer Sheba Gumis, a Partner at Skrine, joins us to provide a legal lens on this foundational choice. She argues that taking the "easy way out" with a sole proprietorship can create significant risks down the line and explains why converting structures is more complex than most founders assume.
We discuss:
The pros and cons of a sole proprietorship vs. a Sendirian Berhad (Sdn Bhd).
The single greatest risk of a sole proprietorship: unlimited personal liability.
When it makes strategic sense to transition to a Sdn Bhd.
The key benefits of a Sdn Bhd for scaling, fundraising, and limiting liability.
How your business structure impacts your future exit strategy.
For aspiring and early-stage entrepreneurs in Malaysia, this is an essential guide to getting your business foundation right from day one.
Presenter: Roshan Kanesan
Producer: Roshan Kanesan
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