Setting Up CIDB G7 Sarawak Company Malaysia
- Roger Pay
- Aug 12
- 5 min read
Setting Up CIDB G7 Sarawak Company Malaysia
Setting up a G7 company in Sarawak, Malaysia, requires a series of steps that involve registering your business and then applying for the highest-tier contractor license with the Construction Industry Development Board (CIDB). The G7 license is the top-tier license and allows a company to bid on construction projects with no maximum value limit.
Business Registration in Sarawak
The first step is to register your business. While the Companies Commission of Malaysia (SSM) handles company registration, Sarawak has some specific requirements. You must register a company in Sarawak and have a registered office within the state.
Name Search: Check the availability of your business name with the Inland Revenue Board (LHDN) Kuching Sarawak office. This can sometimes be done online.
SSM Registration: Register your company with the Companies Commission of Malaysia (SSM). A private limited company (Sdn Bhd) is the most common structure for this purpose.
Physical Office: Your company must have a physical registered office in Sarawak to receive official correspondence.
CIDB G7 Registration Requirements
Once your business is legally established, you can apply for the G7 license with CIDB. The application process and requirements for a G7 license are more stringent than for lower grades.
Financial Requirements
Paid-up capital: You must have a minimum paid-up capital of RM750,000.
Financial Statements: You'll need to provide financial statements or bank statements to prove you have the required capital. For new applications, a bank statement showing a balance of RM750,000 is often required.
Technical & Personnel Requirements
Qualified Personnel: Your company must have qualified and experienced technical staff. This typically means employing either:
Two degree holders in a relevant field (e.g., engineering), with at least one having a minimum of five years of experience.
One degree holder and one diploma holder in a relevant field, with both having a minimum of five years of experience.
ISO Certification: You must have an ISO 9001 certification.
CIDB Courses: Key personnel may need to attend and pass certain CIDB-accredited courses, such as those on integrity and code of ethics.
Other Key Requirements
Work Experience: You'll need to demonstrate extensive work experience and advanced technical skills, often by providing a portfolio of past projects.
Corporate Compliance: Ensure your company complies with all Malaysian corporate regulations.
SCORE Assessment: For a G7 license, your company needs to have a valid SCORE assessment certificate with a rating of at least 3 stars.
Application Process & Fees
The application is made through the CIDB's online system, known as CIMS.
Submit Application: Submit your application and required documents through the CIMS system.
Pay Fees: There is a one-time application fee of RM50. Once your application is approved, the annual registration fee for a G7 license is RM1,400.
Compliance Review: CIDB may conduct a compliance review and/or interview to assess your company's capabilities.
Receive License: Once your application is approved, CIDB will issue the G7 license, which is valid for one year and must be renewed annually.
Professional Fees
There are two types of fees you'll need to consider when setting up a CIDB G7 company: government fees and professional service fees.
Government Fees
These are the standard fees paid directly to the government bodies, primarily the Companies Commission of Malaysia (SSM) and the Construction Industry Development Board (CIDB). The fees for a G7 license are as follows:
CIDB Application Fee: A one-time fee of RM50 for a new application.
CIDB Annual Registration Fee: An annual fee of RM1,400. This fee is paid upon successful approval of your license and is required for renewal.
SSM Registration Fees: These vary depending on the type of company you register (e.g., Sole Proprietorship, Private Limited Company - Sdn Bhd), with Sdn Bhd fees generally ranging from RM1,000 to RM3,000.
Bestar Professional Service Fees
Professional service fees are paid to Bestar that helps with the application process. These fees are not mandatory but are often utilized to ensure a smooth and accurate application, especially for a high-grade license like G7. Our fees can vary widely depending on the complexity of your company's situation, and the level of service provided. They may include:
Company Secretarial Services: For managing the company's compliance with SSM.
CIDB License Application Assistance: Bestar can help you prepare and submit all the necessary documents, verify that you meet the stringent requirements, and liaise with CIDB on your behalf.
Consultation & Advisory: Advice on fulfilling the specific requirements for a G7 license, such as the paid-up capital of RM750,000 and the technical personnel criteria.
While the government fees are fixed, Bestar professional service fees can range from USD360 to over USD710 for a new CIDB G7 application.
How Bestar can Help
The CIDB G7 license application process is complex and has very specific requirements. Hiring Bestar to assist with this process can be a significant advantage, particularly because G7 is the highest grade and involves the strictest criteria.
Here's how Bestar can help:
1. Expert Guidance and Consultation
Clarifying Requirements: Bestar possesses in-depth knowledge of CIDB regulations, including the specific requirements for G7 licenses. We can clarify the paid-up capital of RM750,000, the precise qualifications and experience needed for technical personnel, and the necessary documentation.
Strategic Planning: We can help you strategize your application by ensuring your company's structure, financial records, and personnel meet all the prerequisites before you even begin the formal application. This can save you time and prevent rejections.
Understanding Scoring and Categories: Bestar can provide insight into the CIDB's scoring system (SCORE) and the different registration categories (e.g., Civil Engineering, Building, Mechanical & Electrical). We can advise you on which categories best fit your company's expertise and how to achieve a good SCORE rating, which is essential for a G7 license.
2. Document Preparation and Submission
Compiling Documentation: A significant part of the application process is gathering and organizing a large number of documents. Bestar can assist in preparing and reviewing all necessary paperwork, including:
SSM company registration details.
Financial statements and bank statements proving the required capital.
Technical personnel qualifications, resumes, and CIDB Green Cards.
Proof of past project experience and portfolio.
Online Application: We can manage the submission process through the CIDB's online CIMS portal, ensuring all forms are correctly filled out and submitted on time. This is especially useful for companies unfamiliar with the online system.
Liaison with CIDB: In case of any queries or requests for additional information from CIDB, Bestar can act as an intermediary, communicating effectively to address any issues and keep the application moving forward.
3. Compliance and Post-Licensing Support
Pre-Application Compliance Check: Before submission, Bestar can conduct a thorough check to ensure your company is fully compliant with all CIDB and SSM regulations, reducing the risk of a rejected application.
Assistance with Renewal: CIDB G7 licenses must be renewed annually, which requires earning a certain number of Continuous Contractor Development (CCD) points. Bestar can provide guidance on how to accumulate these points and assist with the renewal process to ensure your license remains valid.
Handling Interviews: In some cases, CIDB may require an interview with company directors or key personnel. Bestar can help you prepare for this interview, ensuring you are ready to answer questions about your company's capabilities, experience, and compliance.
By engaging a professional service, you can streamline the entire process, minimize errors, and significantly increase your chances of successfully obtaining the highly sought-after CIDB G7 license.
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