Entrepreneur Pass (MTEP)

Before applying for the MTEP, conduct a thorough self-assessment against the eligibility criteria. You must be a founder or co-founder holding at least 30% equity in a technology company. The company must have a paid-up capital of at least RM 100,000 and demonstrate annual sales revenue of RM 500,000 or show strong potential for growth in the Malaysian market. Prepare a comprehensive business plan that outlines your company's value proposition, market analysis, revenue model, growth strategy, and hiring plan for Malaysian talent. The business plan should clearly articulate how your venture will contribute to Malaysia's digital economy, including job creation for Malaysians, technology transfer, and potential for regional or global impact. You should also prepare financial projections for at least three years, demonstrating the viability and scalability of your business. Additionally, gather your personal documents including passport, CV, academic certificates, and professional references. All documents should be translated into English or Malay if originally in another language.

If you have not already done so, you must register your technology company in Malaysia with the Companies Commission of Malaysia (SSM). The company must be a private limited company (Sdn Bhd) incorporated under the Companies Act 2016. You will need to appoint at least one director who is a Malaysian resident or a foreigner with a valid work pass. The company must have a registered address in Malaysia, and you must open a corporate bank account with the minimum paid-up capital of RM 100,000. The company's business activity must clearly fall within the technology sector as defined by MDEC. You should also register for relevant tax obligations, including SST (Sales and Services Tax) if applicable, and set up EPF, SOCSO, and EIS contributions for employees. The incorporation process typically takes 1 to 3 working days through SSM's online system, though the complete setup including bank account opening may take 2 to 4 weeks.

Access the official MDEC MTEP application portal and create an account. The online application form requires detailed information about you, your co-founders (if any), and your company. You will need to upload all supporting documents including your business plan, company incorporation documents, certified copies of passports, academic certificates, CV, financial statements or projections, and evidence of paid-up capital. The portal also requires you to declare any previous immigration history in Malaysia, including any overstays or violations. After completing the form and uploading documents, pay the application fee of RM 3,000 via the secure payment gateway. The portal accepts credit cards, debit cards, and online banking transfers. Upon successful submission, you will receive an application reference number and the status will be shown as Pending Processing. MDEC will acknowledge receipt of your application within 3 to 5 working days.

MDEC reviews your application to assess the viability and potential impact of your technology business. This assessment includes verification of your documents, evaluation of your business plan, and checks on your company's registration status and capital requirements. As part of the assessment, MDEC may invite you for an interview, either in person at their office in Kuala Lumpur or via video conference. The interview panel typically includes representatives from MDEC's entrepreneurship division and may include external industry experts. During the interview, you will be asked to present your business plan, explain your technology and market strategy, demonstrate your track record, and discuss your plans for hiring Malaysian talent. The panel will evaluate your entrepreneurial capability, the innovativeness of your technology, and the potential economic contribution of your venture. This is a critical stage of the process, and thorough preparation is essential. The assessment phase typically takes 4 to 8 weeks.

Upon successful assessment, MDEC recommends the issuance of a probationary MTEP valid for 5 to 12 months. You will receive an approval letter detailing the conditions of your pass, including specific business milestones that you must achieve during the probationary period. These milestones typically include registering for Malaysian taxes, hiring at least 2 to 3 full-time Malaysian employees with EPF contributions, generating minimum revenue thresholds, and actively operating from a physical office or co-working space in Malaysia. You must present your passport to the Malaysian Immigration Department for endorsement of the probationary pass sticker. During this probationary period, MDEC monitors your progress through quarterly reports and may conduct site visits to verify your business operations. It is crucial to meet all milestones diligently, as they form the basis for upgrading to a full 5-year pass.

After successfully meeting all probationary milestones, you can apply to upgrade your MTEP to a full 5-year pass. MDEC will evaluate your compliance with the programme requirements, including job creation, revenue generation, tax compliance, and overall business progress. Once approved, you will be issued a full MTEP valid for up to 5 years, renewable upon expiry. As a full pass holder, you must continue to submit annual reports to MDEC, maintain the minimum Malaysian workforce ratio, and comply with all Malaysian laws and regulations. You are also required to actively participate in Malaysia's tech ecosystem, which may include mentoring local startups, speaking at industry events, or collaborating with Malaysian universities. The pass can be revoked if you fail to meet ongoing obligations. After holding the MTEP for a qualifying period, you may explore pathways to permanent residency in Malaysia.