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SETTING UP A

PRACTICE OFFICE
ADMINISTRATION

starting your own


practice
Youve got the
experience.
Youve got the drive.
How do you start your
own firm?
Money? Oh no.

Step 1:
Be an Architect
Hopefully youve got this part
covered.

Lets start with the


type of practice
youd like to open.

There are different requirements


depending on the type of firm you want.

THERE ARE 3 TYPES OF ARCHITECTURAL


CONSULTANCY PRACTICES

Sole Proprietorship
Partnership
Body Corporate

THERE ARE 3 TYPES OF ARCHITECTURAL


CONSULTANCY PRACTICES

Sole Proprietorship
Partnership
Body Corporate

THERE ARE 3 TYPES OF ARCHITECTURAL


CONSULTANCY PRACTICES

Sole Proprietorship
Partnership
Body Corporate

Has shares held by


members of the board of
directors (architects)
solely or with any other
persons who are
Professional
Architects.
Has a minimum paid-up
capital which shall be an
amount to be
prescribed by the Board.

THERE ARE 3 TYPES OF ARCHITECTURAL


CONSULTANCY PRACTICES

Sole Proprietorship
Partnership
Body Corporate

This could include


multidisciplinary practices.

Body Corporate
The board of directors shall be

- According to LAMs website

Professional Architects

The body corporate shall have a minimum paid-up capital of

RM 50,000

The shares shall be held by members of the board of directors solely or with
any other persons who are

Professional Architects

Multidisciplinary Practices
A body corporate may provide multiple services such as, architectural

consultancy services, professional engineering services and/or


quantity surveying services. However the part of the practice providing
architectural consultancy services may have to register with the Board of
Architects.

The professionals must hold a

minimum combined share of 70% of

the overall equity of that body corporate, of which the Professional Architects
and/or bodies corporate providing

architectural consultancy services

hold a minimum share of 10%.

Multidisciplinary Practices
Any other persons, including those belonging to a profession allied to
architecture, engineering or quantity surveying, being a profession approved
in writing by the board regulating the profession of architecture, engineering
or quantity surveying, respectively,

hold a maximum share of 30%

Has a minimum paid-up capital which shall be an amount to be determined


by the Minister.

If a company is not able to meet the


minimum shareholdings due to changes
within the company structure,
The company should

increase the respective shareholdings so as to

comply with the percentage stipulated by the Board.

This should be done as soon as possible, but

not later than three

months after such change in shareholdings or within any extended period


of time as may be approved by the Board,

if that body corporate

fails to do so within the stipulated time, the Board

shall cancel its registration under this Act.

Multidisciplinary Practices

- According to

LAMs website

The multi-disciplinary body corporate shall have a minimum paid-up capital


of RM150,000.

Name of body corporate shall

refrain from being pretentious or

ostentatious or of such nature that may negatively affect the dignity of the
profession or place it in a position of possible ridicule.

e.g. Global Environmental Planners and Architects, Arkitek


Supreme
Name of body corporate shall preferably comprise the actual names of
directors or the acronyms of their initials.

Application for Registration of Sole Proprietorship / Partnership as an


Architectural Consultancy Practice

Application for Registration of Body Corporate as an Architectural


Consultancy Practice

Application for Registration of Body Corporate as an Architectural


Consultancy Practice

Enough with the


paperwork! Lets
get down to it.

GOALS

Your goals set the direction and focus of


your business. They allow you to align your
business with what you want for your life in
years to come.

How large do you want the firm to


get?

Do you want to focus on design work,


or on managing the business?

What type of projects do you want to


take on?

What types of clients do you want to


work for?

How much money do you want to


make?

Do you want to sell the firm in 5


years?

Do you want to build a firm that will


provide you with an income for the
next 20 years?

Money
Businesses need money to survive.

Borrow from the bank, using your house or other assets


as insurance.
Use your own cash reserves.
Borrow from a parent, relative or friend.
Secure funds through a business grant, seed fund or
angel investor.
Bootstrap your firm until you turn a profit.

Insurance
Choose the right company structure.

Talk to a commercial lawyer and insurer and ensure you


are properly covered for all eventualities. Don't trust to
chance when it comes to company structure and
licensing.

Branding
Brand Your Architecture Business
for Success.

Your brand is what you will be recognised for.


Project Portfolio
Website
Network - Tell everyone & make new
connections
Blog
Get published

Contract
A contract protects both client and
architect in event of something
going wrong.

The contract sets out expectations about the job from the
onset and establishes a payment schedule and due dates
for services.
The contract between architect and client might consist of
a number of documents, including:
Letter of Intent
Quote Document
Letter of Agreement
Terms and Conditions

Projects
What kind of projects do you want to
take on?

Consider specialising in a niche market


Consider pro bono or a low feefor the right project
Enter design competitions
Invest in good photography
Partner with bigger firms to get on large projects

Office
Creative Spaces for Creative People.

A prime location
A pleasant work environment
A good price
A solid contract
A space that reflects your personality and design
principles

Equipment
Keep your equipment expenses to a
bare minimum. Upgrade later.

Computer
Design Software
Copier/Printer
Plotter
Internet & Telephone
Furniture
Coffee Machine
Reference Materials
Camera

Staff
Look after your best people so they
do not want to leave.

Keep it small. But if your company needs to grow, hire.


Cultivate a family type environment.
Give them career development.
Competitive Salary & Benefits
Make yourself attractive as an employer to candidates

The character of the people you hire will determine much of the culture within your firm.
Mean, angry, gossips do not build great companies. They tear them down little by little.
Happy, cooperative, committed people attract other nice people. When your staff is
happy, your clients will be happy and ultimately you will be happy.

The End

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