Company Secretary Practising Certificate (Section 241): Why It Matters

By Axecta Management Services, Kuala Lumpur · Last verified: 29 October 2026

What a practising certificate is

A practising certificate is SSM’s licence-to-act for company secretaries. Section 241(1) of the Companies Act 2016.pdf) says a person who is qualified to act as a secretary and wants to act must be registered under that section before they can act. The Registrar keeps a register of secretaries (name, residential and business addresses and qualification details), and once the requirements are met enters the particulars and issues the certificate. Section 241(8) makes contravention an offence.

This is separate from qualification. Section 235 sets who is eligible, and section 241 is the registration gate. A person can be eligible without yet being allowed to act. The full appointment process is in how to appoint a company secretary.

What the SSM guideline says

SSM’s Guidelines Relating to Practising Certificate for Secretaries under Section 241, dated 22 October 2025, supersede the earlier version of 1 August 2022. The main points:

SSM’s FAQ on the practising certificate adds that the application fee is RM100, and that renewal fees are RM100 for one year, RM200 for two years and RM300 for three years. It also states that section 241 came into force on 15 March 2019.

Duties tied to the certificate

The guideline attaches conduct duties to the holder, which matter to you as a client:

• Be present at the registered office on the days and hours it must be accessible to the public (in person, or through an employee or agent), and keep the registers, records and books updated (paragraph 27).
• Manage and record board and shareholder meetings, advise the board on statutory requirements, and verify company documents before submission to SSM for accuracy and compliance (paragraph 28).
• State the practising certificate number when executing documents as secretary, lodging documents or corresponding with the Registrar (paragraph 43).
• Never allow anyone else to use the certificate number, and never transfer or assign it (paragraphs 44 and 45).
• Comply with the anti-money-laundering law when acting as a formation agent, providing a registered office or business address, or acting as nominee (paragraph 29).

CPE and the new AML training requirement

The guideline requires continuing professional education during each certificate period. For a one-year certificate the minimum is 20 CPE hours, for two years 40 hours and for three years 60 hours. At least 60 percent of the hours must relate to company secretarial practice and company and corporate law, no more than 25 percent may be industry courses and no more than 15 percent personal development.

From 1 January 2026, a secretary holding a certificate must also complete training on AML, countering financing of terrorism, countering proliferation financing and targeted financial sanctions that addresses the secretary’s duties as a reporting institution. The guideline gives three years from 1 January 2026, or from first issuance if later, and exempts anyone who attended such training in the two years before 1 January 2026. A secretary of a company limited by guarantee appointed after 1 January 2026 must also complete SSM’s CLBG course within one year of appointment.

These requirements are why a secretary who looks “cheap” can still be a safe choice, or the opposite. Ask how the provider keeps CPE and certificate renewal on track. See company secretary appointment fees.

Why it matters to you as the company

1. Filings can be blocked. SSM’s MBRS page says that under MBRS 2.0 the lodger must ensure the practising certificate status under section 241 is active, and uploads the certificate on first login to mPortal 2.0. Annual returns and financial statements are lodged by that route.
2. The secretary is disqualified if the certificate ceases. Section 238(1)(c) disqualifies a person who ceases to hold a practising certificate. Section 238(3) says that if the person continues to act without leave of the Court, the secretary and every director who knowingly permits it commit an offence.
3. The directors carry the company-level risk. Section 235(4) makes the company and every director liable if the company does not comply with the secretary requirement.
4. Vacancies run on a clock. Section 240 does not allow the office to be left vacant for more than thirty days.

What the certificate does not tell you

A valid certificate shows the individual is registered. It does not show that the provider is responsive, that your filings are included in the fee, or that a backup exists if the named person leaves. Those points belong in the engagement letter.

How to check a practising certificate

1. Ask the provider for the secretary’s full name, SSM practising certificate number and expiry date.
2. Compare it to what appears on documents you receive, since the guideline requires the number on documents the secretary executes or lodges.
3. Ask the provider to show the certificate from SSM’s system, or confirm with SSM directly.
4. Ask who the lodger is and who prepares the XBRL files as maker. SSM’s MBRS page defines a Company Secretary (Lodger) as the person with authority to lodge annual returns and financial statements and a Company Secretary Assistant (Maker) as the person who prepares and uploads the XBRL file.
5. Record the check and the expiry date, and diarise a reminder at least 60 days before expiry so you can ask about renewal.

Checklist for the engagement letter

Worked example (illustrative)

A company’s named secretary holds a certificate that expires on 31 March. Under the guideline the renewal application must be made at least thirty days before expiry, so by 1 March. The secretary has 55 CPE hours banked over a three-year period and needs 60 for a three-year renewal, so they complete five more hours before applying. If they miss the window and the certificate lapses, the company’s annual return due the following week cannot be lodged through MBRS by that lodger. The company either waits for the renewal or appoints a different registered secretary, and if the delay pushes the annual return past the section 68 date, the company faces the consequences in failing to submit an annual return. Asking about renewal dates in January would have avoided it.

What this means for different owners

• Sdn Bhd. Make the practising certificate part of your annual compliance check, alongside the annual return and financial statements. The Sdn Bhd compliance checklist is a useful list.
• Foreign-owned company. Only citizens and permanent residents can hold the certificate, so a foreign owner cannot be their own secretary. SSM’s FAQ states that foreign passport holders cannot apply, apart from people appointed before 31 January 2017 who can only continue for those companies.
• Sole proprietorship or LLP. The section 241 regime applies to company secretaries under the Companies Act. A sole proprietorship has no secretary. An LLP has a compliance officer under its own law. See what is an LLP in Malaysia.
• Director who wants to be the secretary. Possible only if they hold a certificate and meet section 235, and section 242 restricts acting as both director and secretary where both must act.

Common mistakes

• Treating a professional body membership as the same thing as a practising certificate.
• Not asking for the certificate number or expiry date.
• Letting someone else “use” a secretary’s login or certificate, which paragraphs 44 and 45 of the guideline prohibit.
• Assuming a lapsed certificate can be fixed after the filing deadline.
• Not planning for the secretary’s resignation or departure from the provider.
• Forgetting that a secretary appointed to a company limited by guarantee after 1 January 2026 has an additional course to complete.

How Axecta helps

Axecta’s company secretarial team confirms the practising certificate details in the engagement letter, keeps expiry dates on your compliance calendar and tells you in advance if a change of named secretary is needed. For the day-to-day scope of the role, read what a company secretary does, and for how our service is set up see the company secretarial service.

Next steps

1. Ask your current provider for the named secretary’s certificate number and expiry date.
2. Add the expiry date and a 60-day reminder to your calendar.
3. Check that the engagement letter covers lapses, backup and records return.
4. If the certificate is not active or you cannot confirm it, start the switch process in how to switch company secretary provider.

Frequently asked questions