What is a Corporate Bank Account?

Generally, it is referred to as a business account. If you already have a working knowledge of the term current account, then you already know that it has special features that a savings account does not have, and it has the purpose of assisting businesses in managing themselves and their finances more effectively. These features may include:  

•  Foreign Banking: This feature is very useful to business owners who travel frequently and wish to ensure smooth business transactions wherever they are located. Due to the constantly fluctuating foreign exchange rates, having a business bank account makes international transactions much more convenient and cheaper. 
•  Issuing Cheque: Like a savings account, a current account is where a business owner can remit checks for business purposes. We use this feature to pay off high-value debts much more easily.  
•  Overdraft: This feature permits withdrawals to exceed the account balance within the agreed amount. By using this facility, it is possible to reduce the possibility of bounced checks. It is also possible to have access to cash that you do not own. Therefore, you do not have to worry about your business running out of cash. 

Why are Corporate Bank Accounts in Malaysia important to your business?

• Separate expenses should be incurred for business and personal purposes.
• Provides credibility.
• Makes it easier to obtain a bank loan.

Documents required to open a corporate bank account 

If the Company is successfully incorporated, the Company Secretary will provide you with the following documents: 

• Super form  
• Notice of registration
• Certificate of Incorporation 
• Particulars of registered address 
• Particular of directors 
• Appointment of the first company secretary 
• Details of shareholders and shares 

To open a bank account in Malaysia, the banker will need these documents. Other documents required to open a corporate bank account in Malaysia are: 

• NRIC/Passport 
• Business plan 
• Proof of residential address 
• Tenancy agreement for the business address (if applicable) 

Depending on the bank policy, different banks will have different requirements and steps for e-KYC. However, Malaysian banks still require that the bank documents be signed physically by the stakeholders and sent to the Company Secretary for certified true copies. The banker will only initiate the opening of a bank account with certified documents.   

Once the banker has prepared the resolution to open a bank account, the appointed Company Secretary will be required to sign the document and a certified true copy as well.