Labuan Financial Services / Money Broking
Labuan Money Broking License
Money broking business is defined as the business of arranging transactions between buyers and sellers in money or foreign exchange markets with brokers acting as an intermediary in consideration of brokerage fees paid or to be paid, but does not include the buying or selling of foreign currencies by the broker as a principal in such markets.
we specialize in facilitating the acquisition of Labuan money broking licenses for businesses aiming to operate in the money and foreign exchange markets. A Labuan money broking license authorizes entities to act as intermediaries, arranging transactions between buyers and sellers in these markets for brokerage fees, without engaging in the buying or selling of currencies as principals.
Build Your Business Excellence With Us Today
Key Advantages
- NO withholding tax on payments of dividend or interest made to non-Resident.
- NO import duty/ sales tax
- NO foreign exchange controls
- NO capital gain tax / inheritance tax
- Double Tax Agreements between Malaysia and over 70 countries
- 100% exemption for director’s fees received by non-citizen directors of Labuan companies
Permitted Activities
In carrying on the money broking business, the licensee is expected to:
- Bring together the counterparties on mutually acceptable terms for the same financial products in money or foreign exchange market to facilitate the conclusion of the transaction,
- Receive payment for its service in the form of brokerage or commission fees. The fees charged must be adequate and appropriate, and
- Act as a mediator and strictly not permitted to act as a principal.
Economic Substance Requirement (ESR)
- To have an operational office in Labuan.
- To employ minimum two (2) full time employees in Labuan, one must be in managerial position.
- To incurred annual operating expenses of at least RM 100,000 in Labuan (equivalent in any foreign currency).
Download Our Fact Sheet
Why Choose BBS?
We understand the challenges encountered by entrepreneurs who are operating in a highly competitive and ever-changing environment. With more than 25 years of combined experience, we provide comprehensive business structure advisory and related services to assist entrepreneurs in navigating through challenges.
At BBS Trust I’ntl Limited, we offer unparalleled expertise in obtaining the Labuan money broking license. With our comprehensive financial and legal services, we simplify the process and ensure compliance at every stage. Our team combines local insights with global networking to provide you with tailored solutions that meet your business objectives. Partnering with us means access to a seamless, reliable, and efficient pathway to securing your license and growing your financial business.
25 Years of Professional Experience
Over 300 License Applications
End-to-end Business Advisory Services
Partners with More Than 50 Jurisdictions
Our Global Footprint of Advisory
FAQ
One share in any denomination in foreign currency except Malaysia Ringgit
Approximately 7-14 business days upon complete collection of the required documents
The director and the shareholder must be at least one person and can be the same person. It
can be fully owned by a foreigner.
A resident secretary is required.
• Trading company – please see attachment “LFSA – Code 20” for allowed activities under trading company.
• Non-trading company/investment holding – income mainly from dividend or interest.
*Kindly take note that the tax for general trading or import/export services is ranging from 15% – 24% under Malaysia Income Tax Act 1967.
• Trading company companies are taxed under Malaysia Income Tax Act 1967, which the tax ranging from 15%-24% of its profit except for Labuan licensed company. (Audit required)
• Tax for Labuan licensed company and business nature under “Code 20” is 3% of its audited net profit with fulfilled its substance requirements. (Audit required)
• Investment holding companies are not subjected to tax (0% tax) with the submission of yearly
No.
• CTC of Passport
• CTC of Proof of address (such as the most recent utility bill, internet bill, insurance statement, etc)
*CTC – Certified True Copies: Certification of documents must be made by competent persons such as a notary public, solicitor, chartered secretary, or certified public accountant,
and made in accordance with the law in Malaysia or in the country where the certification was made.
Our goal is to elevate your business to the highest level of success
BBS Trust I’ntl Limited is your trusted partner for securing a money broker license. Built by a team of financial management experts, we deliver tailored solutions to simplify the licensing process. Contact us today to explore how our expertise and extensive networks can help your business thrive in the competitive financial market. Partner with us for a seamless, efficient, and reliable experience.