Quick answer
A foreign-owned company — more than 50% held by non-Malaysians — must hold a WRT licence from KPDN before carrying out distributive trade such as wholesale, retail, import and export. Most foreign-owned businesses fall under 'other distributive trade', which requires paid-up capital of RM1 million. Applications are submitted through the BLESS portal, and licences are generally granted for one to three years.
Last reviewed： · Reviewed by：ONEKEY BIZ compliance team
01
Overview
Distributive trade — getting goods to intermediaries or final buyers through wholesale, retail, import and export — is regulated for foreign-owned companies in Malaysia. A company with more than 50% non-Malaysian shareholding needs a Wholesale, Retail & Trade (WRT) licence from KPDN before it starts trading.
The licence carries real thresholds. Most foreign-owned businesses fall into the 'other distributive trade' category, which requires paid-up capital of RM1 million, and the company must be a Sdn. Bhd. with genuine premises and a business plan. Applications go through KPDN's BLESS portal.
WRT is also connected to hiring. A foreign-majority company in wholesale and retail needs the WRT licence in place for its ESD registration and Employment Pass applications — so a missing or lapsed WRT licence stalls both trading and immigration.
Who needs this
- Foreign-owned import, export and trading companies
- Foreign brands opening retail in Malaysia
- Foreign-majority companies needing WRT before ESD registration
02
Who needs a WRT licence — the 50% line
The WRT licence is triggered by ownership, not by turnover or size. A company with more than 50% non-Malaysian shareholding must hold a Wholesale, Retail & Trade licence from the Ministry of Domestic Trade and Cost of Living before it carries out distributive trade — wholesale, retail, import, export, or supplying goods to intermediaries and final buyers. A Malaysian-majority company doing exactly the same business does not need one.
Most foreign-owned businesses fall into the category KPDN treats as 'other distributive trade', which requires paid-up capital of RM1 million. The company must be a Sdn. Bhd., with genuine premises and a business plan, and the application is submitted through the BLESS portal. Licences are generally granted for one to three years, decided case by case rather than by formula.
The trap is that the capital requirement is not a formality to be satisfied later. It has to be in place before the licence is granted, which means the shareholders need to fund it and the allotment has to be filed with SSM — and that timing has to be planned into the market-entry budget from the start, not discovered halfway through.
Is more than 50% of the company held by non-Malaysians?
Before any distributive trade begins — wholesale, retail, import or export.
A Malaysian-majority company does not need WRT for distributive trade.
Does the business fall under 'other distributive trade'?
The common category for foreign-owned trading companies.
Some categories carry different capital thresholds — confirm before funding.
Will the company employ expatriates?
ESD registration and Employment Pass applications depend on the WRT licence being in place.
The licence governs the trading activity regardless of hiring plans.
Applications are submitted through KPDN's BLESS portal. Licences are generally granted for one to three years.
03
Why WRT decides your hiring timeline too
WRT is where trading and immigration meet, and companies that plan them separately lose months. A foreign-majority company in wholesale or retail needs the WRT licence in place before it can complete ESD registration — and without ESD registration it cannot file Employment Pass applications at all.
In practice that means the correct order is: incorporate, fund the paid-up capital, secure premises, obtain WRT, register with ESD, then apply for the Employment Passes. A founder who plans to arrive on an Employment Pass and run the business from day one has to work backwards from that chain, because every step depends on the one before it.
Renewal deserves the same attention. The licence is time-limited and renewal is not automatic — KPDN re-examines shareholding, paid-up capital, premises and trading activity against the licence conditions. An expired WRT does not only expose the trading business; it undermines the expatriate passes that were issued on the strength of it.
04
Documents you need to prepare
Company
- SSM company profile, constitution and shareholding
- Proof of paid-up capital (bank statements or audited accounts)
- Premises tenancy agreement and photos
Business
- Business plan and products traded
- Supplier and customer information
Records
- Latest financial statements
- Paid-up capital must meet the requirement for your trade category.
- Plan WRT before ESD registration if the company will hire expatriates.
05
How to get it done with ONEKEY BIZ
- 1Eligibility Week 1
Shareholding, trade category and capital assessed.
- 2Capital & premises Week 1–4
Capital increase or premises arranged if needed.
- 3Application file Week 2–4
Business plan and supporting documents prepared.
- 4BLESS submission Week 4
Application submitted to KPDN.
- 5Approval Per KPDN
KPDN queries answered until the licence is issued.
You do
- Provide company and business information
- Fund the required paid-up capital
We do
- Assess the trade category and capital
- Prepare the business plan and file
- Submit through BLESS
- Align WRT with your ESD plans
06
What you receive
KPDN approval for distributive trade.
Obligations under the licence.
Renewal date logged.
Official sources
Frequently asked questions
Do Malaysian-majority companies need WRT?
No. It applies to companies with more than 50% foreign shareholding.
Is RM1 million always required?
It is the requirement for the common 'other distributive trade' category; some categories differ.
Does WRT affect employment passes?
Yes. Foreign-majority trading companies need it for ESD registration and pass applications.