ABOUT US

SOCOWO, a managed office or business centre dedicated for international business connections, located at Financial Park Labuan, Malaysia. It is an ideal co-working place to develop, establish business international connections and expand network with unique entrepreneurial spirit. We strive to become a one-stop office space service solution provider with a range of supporting services for the entire life cycle of an enterprise. SOCOWO offers an efficient office setting and thus help you build a better career. That’s what makes us more than just a serviced office.

Co working About

WHY LABUAN

Flexible tax system is the lifeblood of Labuan. Its business-friendly environment, anchored by a simple and attractive tax system, is well-supported by a robust, modern and internationally-recognised legal framework enforced by its regulator, Labuan Financial Services Authority (Labuan FSA). Labuan International Business and Financial Centre (IBFC) boasts a wide range of business and investment structures facilitating cross-border transactions, business dealings and wealth management needs. These unique qualities offer sound options for regional businesses going global or global businesses looking into penetrating Asia’s markets.

Main advantages of setting up a business in Labuan

Flexible Tax System
Labuan company has the lowest tax rate within southeast Asia which is 3% from net profit, no withholding tax and more.

Location
Ideally located in Asia as such of Hong Kong, China, Japan, Korea, India, and Malaysia and of course being part of ASEAN which has a combined population of more than 600 million people, make us the world’s third largest market.

Modern Infrastructure
Including a robust network of banks offering both conventional banking as well as Islamic banking products and solutions.

Low Operation Cost with Access to Skilled Workers
Educated population being a source of skilled workers with English widely spoken.

Reasonable Substance Creation
Cost of doing business is low compared to other major business centre.

What is business substance?

Business substance describes the operational reality of a corporate structure (office, personnel, bank account, decision making of top management, and sales proceeds) which reflects and further proofing a business’s legitimacy. These measures relate in one way or another to the level of genuine economic activity of a corporate structure. Business substance is essentially about having the personnel and infrastructure in the right place, at the right time, doing the right things.

What is the risk of not having business substance?

The increasing importance of business substance is a consequence of the implementation of Automatic Exchange of Information (AEOI) by the Organisation for Economic Co-operation and Development and, constant monitoring and enforcement by the local tax authority, such as Malaysia’s Inland Revenue Board (IRB) to tackle on the tax evasion matter. The absence/incomplete of business substance could set your business up for legal ramification.

The Right Level of Business Substance and How We Can Help