Started selling homemade kuih online, do I need SSM registration and how to handle it if I still have a full time job?

Question

I've been baking and selling kuih and cookies from home, taking orders through WhatsApp and Instagram. It started as a hobby but now I'm making around RM1,500 to RM2,000 a month extra. I still have my full-time office job. Do I legally need to register with SSM, do I have to declare this income to LHDN, and how do people manage a side hustle without getting into trouble? Want to do things properly.

Cikgu Tuisyen Ganesh · Accepted Answer

Good on you for wanting to do it properly, and yes, once you're consistently making income from selling, you should register a business with SSM (Suruhanjaya Syarikat Malaysia), it's cheap and legitimises everything. The simplest route is registering as a sole proprietorship (enterprise) using your own name, which costs around RM30 for one year (or RM60 if you use a trade name), done online via the SSM ezBiz portal in maybe 20 minutes. Having SSM registration actually helps you, you can open a business bank account, apply for things like the various SME grants or bazaar spots, and buy ingredients wholesale, plus some customers and corporate orders only buy from registered businesses. On the tax side, yes this income is taxable and must be declared to LHDN, but you also get to deduct legitimate business expenses (ingredients, packaging, delivery, a portion of utilities), so keep every receipt and a simple income-expense record from day one. Since you have a full-time job, just make sure your employment contract doesn't have a clause prohibiting side businesses or conflict of interest, and keep the kuih hustle in your personal time, not office hours.

Tech Girl Xin Yi · Answer

Register the sole prop with SSM, it's only around RM30 to RM60 a year and super easy on the ezBiz portal. The peace of mind and the ability to open a proper business account is worth way more than the small fee. Plus if you ever want to scale, join bazaars, or supply cafes, they'll ask for your SSM. Just do it, no reason not to.

Tax Uncle Chandran · Answer

For the tax part, yes you must declare the extra income to LHDN on top of your employment income, but honestly the deductions help a lot. Track your ingredient costs, packaging, Grab delivery, even a portion of your electricity and gas. Many home sellers forget they can deduct these and end up thinking tax will eat everything. Keep a simple spreadsheet of income and expenses monthly, makes filing painless.

Abang EPF Faiz · Answer

On the food side, don't forget you technically need to comply with food safety requirements, and having a typhoid jab and a food handling course cert is expected if you're selling food to the public. Some markets and corporate buyers will ask for it. It's cheap and shows customers you're legit and hygienic. Look up the nearest food handler training, usually a one-day course.

Property Uncle Tan · Answer

I run a similar home baking side hustle and honestly registering SSM changed how seriously customers took me, especially for corporate and event orders who need an invoice with a registered business. It also let me open a separate business account so my personal and business money don't mix, which makes tracking profit and tax so much easier. Don't mix your accounts, that was my early mistake. Register, separate the money, keep records, and you're golden.

Single Mum Rina · Answer

Check your employment contract first before anything, some companies have moonlighting or conflict-of-interest clauses. Selling kuih is unlikely to be a real conflict but better to know where you stand. As long as it's your own time and not competing with your employer, most bosses don't mind. Just don't use company resources or do it during work hours. Keep the two worlds separate and clean.

Started selling homemade kuih online, do I need SSM registration and how to handle it if I still have a full time job?

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