Setting up a business in Penang and need to display a signboard? Under Malaysian law, every business displaying external signage on Penang Island must obtain a signboard license from Majlis Bandaraya Pulau Pinang (MBPP) — the city council governing George Town and the entire island. This comprehensive guide covers everything you need to know about the MBPP signboard license application process, requirements, fees, and the special rules that apply within the George Town UNESCO World Heritage Zone.
Who Needs a Signboard License in Penang?
Any business, organisation, or individual that displays external signage visible from a public road or space within MBPP jurisdiction is required to obtain a signboard license. This applies to:
- Retail shops, restaurants, cafes, and F&B outlets
- Professional offices (law firms, clinics, accounting firms)
- Service businesses (salons, workshops, tuition centres)
- Factories and warehouses with external signage
- Temporary event banners and promotional signage
- Any business operating from a commercial or mixed-use premise
The legal basis for signboard regulation in Penang is the Advertisements (Pulau Pinang) By-Laws, enforced by MBPP's licensing department. Operating a signboard without a valid license is an offence that can result in fines and forced removal.
Types of Signboards Regulated by MBPP
MBPP regulates all forms of external commercial signage. The type of signboard you install affects both the licensing requirements and the fees charged:
| Signboard Type | Description | Common Use |
|---|---|---|
| Wall Sign (Papan Tanda Dinding) | Flat sign mounted directly on building facade | Most shopfront signboards |
| Projecting Sign (Papan Tanda Unjur) | Sign that extends outward perpendicular to building wall | Shops along narrow streets, heritage shophouses |
| Free-Standing Sign | Independent structure not attached to building | Petrol stations, car dealerships, malls |
| Awning Sign | Signage on canopy or awning structure | Cafes, restaurants, retail shops |
| Lightbox Signboard | Internally illuminated box with printed or vinyl face | Shops open in evening, high-visibility locations |
| LED / Digital Sign | Electronic display with changing content | Shopping centres, modern commercial buildings |
MBPP Signboard License Requirements
Size Restrictions
Signboard size limits vary depending on the zone your business is located in. MBPP divides Penang Island into several planning zones, each with different signage regulations:
- Commercial zones — Standard size limits apply, typically allowing signboards proportional to the building frontage
- Residential/mixed-use zones — Smaller signboards with subdued lighting requirements
- George Town Heritage Zone — The most restrictive, with specific limits on dimensions, materials, colours, and illumination
Your signboard must not obstruct pedestrian walkways (five-foot ways), vehicular sightlines, or emergency access routes. Projecting signs must maintain minimum clearance height above the walkway as specified by MBPP.
Language Requirements
Like all Malaysian local councils, MBPP enforces Bahasa Malaysia language requirements on signboards under DBP (Dewan Bahasa dan Pustaka) guidelines:
- Bahasa Malaysia text must be the most prominent — largest font size on the signboard
- BM text should appear on top or to the left of other languages
- Other languages (English, Chinese, Tamil) are permitted but must be smaller than the BM text
- All BM text must comply with DBP spelling standards — verify at dbpsahbahasa.my
Step-by-Step Application Process
Step 1: Prepare Your Documents
Before visiting MBPP, gather the following documents:
- SSM Business Registration Certificate (Form 9/Form 49 or SSM e-Info printout)
- Copy of business owner's MyKad (IC) — front and back
- Business premise rental agreement or ownership proof
- Signboard design drawing with exact measurements (width x height in cm), colours, materials, and text content
- Location plan showing your premise in relation to surrounding roads
- Photographs of the premise exterior showing proposed signboard location
- Cleared assessment tax receipt (cukai taksiran)
- Valid MBPP business premise license
- Previous signboard license (for renewals only)
Step 2: Submit Application at MBPP
Submit your application at the MBPP offices:
MBPP One Stop Centre (OSC)
Address: Majlis Bandaraya Pulau Pinang, Menara KOMTAR, Level 3, Jalan Penang, 10000 George Town, Penang
Operating Hours: Monday – Friday, 8:00 AM – 5:00 PM
Phone: 04-259 2000
Website: www.mbpp.gov.my
- Visit the MBPP One Stop Centre at Komtar, Level 3
- Take a queue number for the licensing counter
- Submit your complete set of documents (originals + one photocopy set)
- Officer will check your documents for completeness
- Pay the application processing fee
- Receive your application reference number
MBPP may also offer online application submission through their e-services portal — check mbpp.gov.my for the latest digital services available.
Step 3: Site Inspection
After submission, MBPP officers will conduct a site inspection to:
- Verify the proposed signboard location matches your submitted plans
- Check compliance with setback requirements and safety standards
- Ensure the signboard will not obstruct walkways, roads, or other signage
- Confirm compliance with zone-specific restrictions (especially if you are in or near the heritage zone)
Ensure someone is present at the premise during business hours for the inspection. The inspection typically occurs within 7–14 working days of application submission.
Step 4: DBP Language Verification
Your signboard design will undergo verification by Dewan Bahasa dan Pustaka (DBP) for Bahasa Malaysia compliance — correct spelling, grammar, and text prominence. Speed this up by pre-checking your BM text at the DBP Sah Bahasa portal before submitting.
Step 5: Approval & License Collection
Once approved, you will be notified to collect your signboard license. Total processing time is typically 14–30 working days from submission, depending on the complexity of the application and whether you are in the heritage zone (which requires additional review).
After receiving approval:
- Pay any remaining fees
- Collect the license and license sticker from MBPP
- Install the signboard exactly as shown in your approved design
- Affix the MBPP license sticker visibly on the signboard
- Keep a copy of the license at your business premise
Fees & Costs
MBPP signboard license fees vary based on the type, size, and location of your signboard. As fee schedules are updated periodically, we recommend checking directly with MBPP for the current rates:
| Fee Component | Details |
|---|---|
| Signboard License Fee | Charged per signboard, varies by type and size — contact MBPP for current schedule |
| Application Processing Fee | One-time fee payable upon submission |
| DBP Verification Fee | For Bahasa Malaysia language compliance check |
| Annual Renewal | Required yearly — renew before expiry to avoid late penalties |
Penalties for Non-Compliance
Operating a signboard without a valid MBPP license is a serious offence under the Advertisements (Pulau Pinang) By-Laws. Penalties include:
- Fines — Compound fines can be imposed for unlicensed signboards
- Removal orders — MBPP can order the immediate removal of unlicensed signboards at the business owner's expense
- Forced removal — If the owner fails to comply with a removal order, MBPP enforcement will remove the signboard and charge all costs to the owner
- Court prosecution — Repeated offenders may face court action
- Business license implications — Unlicensed signboards can affect your business premise license renewal
MBPP conducts regular enforcement operations across Penang Island. It is far cheaper and easier to apply for a license upfront than to deal with fines and removal costs.
George Town Heritage Zone: Special Signboard Rules
George Town's UNESCO World Heritage Site designation (inscribed in 2008) brings significantly stricter signboard regulations. The heritage zone covers the core zone and buffer zone of George Town's historic centre.
- Size limits are stricter — Signboards must be proportional to the shophouse facade and must not dominate the building's architectural character
- Materials — Traditional materials (timber, painted metal) are preferred. Modern materials like aluminium composite panels may be restricted
- Colours — Signboard colours must be sympathetic to the heritage streetscape. Garish or neon colours are generally not permitted
- Illumination — LED screens, neon signs, and brightly illuminated signboards are typically prohibited in the core zone. Subdued, externally lit signboards may be allowed
- Bilingual tradition — Heritage zone businesses are encouraged to include traditional Hokkien or Malay text alongside modern signage to preserve the cultural character of the area
- Additional review — Applications within the heritage zone require review by the George Town Conservation & Development Corporation (GTCDC) or the heritage department, adding processing time
If your business is within or near the George Town heritage zone, consult with MBPP's heritage unit early in the process to understand the specific requirements for your location. Getting guidance before finalising your signboard design can save significant time and expense.
Areas Under MBPP Jurisdiction
MBPP covers the entire Penang Island, including:
- George Town — City centre, heritage zone, Komtar area
- Jelutong
- Air Itam
- Tanjung Tokong
- Tanjung Bungah
- Batu Ferringhi
- Bayan Lepas — Free Industrial Zone area
- Bayan Baru
- Gelugor
- Sungai Nibong
- Balik Pulau
- Teluk Bahang
If your business is on mainland Penang (Seberang Perai) — Butterworth, Bukit Mertajam, Nibong Tebal, Kepala Batas — you need to apply to Majlis Bandaraya Seberang Perai (MBSP) instead of MBPP.
Tips for Getting Your MBPP Signboard License Approved Quickly
- Get your design right first — Most delays come from incomplete or non-compliant signboard design drawings. Work with a professional signboard maker who understands MBPP requirements
- Pre-check BM text with DBP — Verify your Bahasa Malaysia text at dbpsahbahasa.my before submitting
- Submit complete documents — Missing documents are the number one cause of application delays. Double-check everything against the checklist before visiting MBPP
- Know your zone — If you are in the heritage zone, engage with MBPP's heritage unit before finalising your design
- Keep assessment tax current — An overdue cukai taksiran can hold up your application
- Allow extra time for heritage zone — Applications in the George Town heritage zone require additional review and may take 30+ working days
- Renew on time — Set a calendar reminder 30 days before expiry to avoid late fees
- Use a licensed contractor — MBPP may require proof that your signboard will be installed by a licensed contractor, especially for elevated or large installations
How UMAKE Can Help
At UMAKE, we specialise in custom signboard design and fabrication — from acrylic and stainless steel signboards to lightboxes and 3D lettering. Here is how we can support your Penang signboard project:
- Professional design drawings — We prepare detailed signboard design drawings with exact dimensions, colour specifications, and material details that meet MBPP submission requirements
- Council-compliant designs — Our team understands local council regulations and can design signboards that meet MBPP standards, including the stricter George Town heritage zone requirements
- Quality fabrication — All signboards are manufactured at our factory in Balakong, Selangor using premium materials
- Nationwide delivery — We deliver to Penang and arrange professional installation with local partners
- Free consultation — Not sure what signboard type suits your business? We provide free design advice
Browse our full signboard catalogue or get a free quote today:
Need a Signboard for Your Penang Business?
UMAKE designs and fabricates custom signboards that comply with MBPP requirements. We deliver nationwide including Penang Island.
Frequently Asked Questions
What is the difference between MBPP and MBSP for signboard licenses?
MBPP (Majlis Bandaraya Pulau Pinang) covers Penang Island — George Town, Bayan Lepas, Air Itam, Balik Pulau, etc. MBSP (Majlis Bandaraya Seberang Perai) covers mainland Penang — Butterworth, Bukit Mertajam, Nibong Tebal. Apply to the council that governs your business location.
How long does the MBPP signboard license application take?
Standard applications typically take 14–30 working days from submission. Applications within the George Town heritage zone may take longer due to additional heritage review requirements.
Can I install a signboard before getting MBPP approval?
No. Installing a signboard without a valid MBPP license is an offence under the Advertisements (Pulau Pinang) By-Laws. You must wait for approval before installation to avoid fines and removal orders.
Are there special signboard rules in the George Town heritage zone?
Yes. The George Town UNESCO World Heritage Zone has significantly stricter rules — smaller size limits, restrictions on illuminated and LED signs, requirements for traditional materials and colours, and additional review by heritage authorities.
What language must my signboard be in?
Bahasa Malaysia must be the most prominent language (largest font size, positioned on top or to the left). Other languages like English, Chinese, or Tamil can be included but must be smaller than the BM text.
How much does an MBPP signboard license cost?
Fees vary by signboard type, size, and location. Contact MBPP at 04-259 2000 or visit the One Stop Centre at Komtar Level 3 for the current fee schedule.
Do I need to renew my signboard license every year?
Yes. MBPP signboard licenses must be renewed annually. Renew before the expiry date to avoid late penalty fees. You can renew at the MBPP One Stop Centre at Komtar.
Can UMAKE deliver signboards to Penang?
Yes. UMAKE manufactures signboards at our factory in Balakong, Selangor and delivers nationwide including Penang Island. We can also prepare your MBPP license application design drawings. WhatsApp us at 017-929 0938 for a free quote.
Related Signboard License Guides
Operating in a different area? Check our other council-specific guides: