Choosing the right company secretary is crucial for ensuring that your business complies with local regulations and operates smoothly. In Malaysia, the role of a company secretary is not just administrative but also pivotal in maintaining corporate governance and statutory compliance. Here’s a guide to help you select the right company secretary for your business.
How To Select The Right Company Secretary In Malaysia
1. Understand the Role of a Company Secretary
Before you start the selection process, it’s important to understand what a company secretary does. In Malaysia, the responsibilities include:
- Compliance: Ensuring the company complies with the Companies Act 2016 and other relevant laws.
- Record Keeping: Maintaining statutory records, including registers of directors and shareholders.
- Filing: Preparing and filing statutory returns and documents.
- Advisory: Providing advice on corporate governance matters and compliance issues.
- Meeting Coordination: Organizing board meetings and general meetings, and recording minutes.
2. Qualifications and Experience
The qualifications and experience of a company secretary are critical factors to consider:
- Professional Certification: Ensure that the candidate is a licensed secretary registered with the Companies Commission of Malaysia (SSM) and holds qualifications such as ICSA (Institute of Chartered Secretaries and Administrators) or MAICSA (Malaysian Institute of Chartered Secretaries and Administrators).
- Experience: Look for a company secretary with experience in your industry and a track record of handling companies of similar size and complexity.
3. Reputation and References
- Reputation: Research the reputation of potential candidates or firms. Look for reviews, testimonials, and any feedback from their previous clients.
- References: Ask for references and follow up with these contacts to get a better understanding of the company secretary’s reliability and performance.
4. Range of Services
Different company secretaries offer varying levels of service. Determine what services you need and ensure the secretary can provide them:
- Basic Compliance Services: Filing annual returns, maintaining statutory registers, and compliance with regulatory requirements.
- Value-Added Services: Corporate governance advisory, company restructuring, mergers and acquisitions support, and more.
5. Communication Skills
Effective communication is essential for a company secretary as they will be interacting with directors, shareholders, and regulatory bodies. Ensure they:
- Communicate Clearly: Are able to explain complex regulatory requirements in simple terms.
- Are Proactive: Keep you informed about upcoming compliance deadlines and changes in legislation.
6. Fees and Charges
Consider the costs involved in hiring a company secretary:
- Transparent Pricing: Ensure that the fee structure is clear and transparent. Be wary of hidden costs or extra charges for additional services.
- Value for Money: Compare the fees of different secretaries, keeping in mind the range and quality of services they offer.
7. Compatibility and Trust
The company secretary will be closely involved in the administration of your business, so it’s important that you have a good working relationship:
- Trustworthiness: You need to trust the company secretary to handle sensitive information and tasks diligently.
- Compatibility: Ensure their working style and values align with your company’s culture.
8. Legal and Ethical Standards
The company secretary must adhere to the highest ethical standards and legal requirements:
- Integrity: They should demonstrate a strong ethical stance and commitment to compliance.
- Legal Compliance: They must be updated with the latest legal requirements and ensure your company adheres to them.
Conclusion
Selecting the right company secretary in Malaysia involves careful consideration of their qualifications, experience, reputation, and range of services. Effective communication, transparent pricing, compatibility, and adherence to legal and ethical standards are also crucial. By taking these factors into account, you can ensure that you choose a company secretary who will support your business in maintaining compliance and achieving its corporate objectives.