When Covid-19 pushed the country into prolonged lockdowns, many Malaysians turned to small home businesses to stay afloat. Cottage industries flourished when movement restrictions stopped people from working as usual. As Malaysia moved into the endemic phase and more sectors reopened, a noticeable shift began. Some of these pandemic entrepreneurs chose to return to their pre-pandemic jobs while keeping their ventures small or running them as side income.
This shift mirrors broader business trends Malaysia has seen in recent years, especially as the economy stabilises and households reassess long-term income plans. Many individuals now balance passion projects with the security of steady employment, a pattern increasingly visible across small business Malaysia communities.
For Entrepreneur Insights Malaysia, these stories highlight how Malaysians adapted quickly, reshaped their skills and discovered new ways to earn during an uncertain period.
A Household Food Brand That Became A Side Hustle
Videographer and visual effects supervisor MK Wong shared that he and his wife created Jumble.my during the movement control orders (MCO). They sold homemade hummus, wraps and poke bowls online at a time when creative work came to a complete stop.
At its peak, Jumble.my sold nearly 300 tubs of hummus a month. The dip, commonly enjoyed across the Middle East and Mediterranean, attracted a loyal niche audience. As Malaysia reopened and more dining options returned, demand naturally softened.
Wong explained that maintaining the business full-time required intensive effort to pack, market and deliver orders. Some restaurants explored collaborations but requested weekly production volumes the couple could not commit to. As opportunities in their original industries came back, they slowed down their marketing and continued operating the brand as a manageable side business.
Their experience reflects how SME entrepreneurs Malaysia often navigate limited resources, personal commitments and the need for predictable income.
A Coach Whose Business Rebounded Once Sports Restarted
Football coach Zurin Wayne saw a different path. Before the pandemic, he ran a football programme called Little Kickers for young children. When MCO restrictions halted sports training, he and his wife started a home-based Western food brand called WAYNE’S. It performed well through delivery platforms but was always meant to bridge the gap until sports could safely reopen.
Once restrictions eased, parents immediately reached out, saying their children needed physical activity, social interaction and a structured routine again. Wayne also anticipated that the food space would become more competitive as eateries reopened. With demand for sports rebounding strongly, he returned to coaching full-time.
His experience demonstrates how business opportunities in Malaysia often shift rapidly based on social behaviour and community needs.
A Home-Based Craft Seller Navigates A Crowded Online Space
When lockdowns began, Norliza Samingon moved her business online, selling Muslim garments, prayer mats and craft items. She later added face masks when demand surged. The business grew enough for her to hire single mothers and housewives to help produce handcrafted items.
As Malaysia reopened, operating purely online became more challenging. Norliza noted the rise of fake reviews and aggressive competition on social media. With physical bazaars and retail shops returning, online traffic fell, even during peak periods like pre-Raya. She is now focusing on smaller, specialised items such as embroidery work while reassessing her approach.
Stories like hers show how small business Malaysia continues to adapt as the market becomes more saturated and consumer expectations evolve.
A Viral Lockdown Story Takes Flight Again
Captain Azrin Mohmad Zawawi became well known during the pandemic for selling curry mee in his pilot uniform after losing his job. He has since returned to aviation, now flying with Bangladesh Airlines.
The food business remains active under his brother-in-law, still selling around 250 bowls a day. They are searching for a permanent shop in USJ to grow the brand further and secure better delivery coverage.
Even as he resumes flying, Azrin maintains strong ties to the venture, reflecting how many SME entrepreneurs Malaysia continue balancing traditional careers and entrepreneurial projects.
Not Everyone Is Ready To Return To Their Previous Work
Not all pandemic entrepreneurs are returning to their old roles. Madiana Karip, owner of DD Sews With Love, started her home-based sewing business to spend more time with her children. During the MCO, she expanded into making face masks, pillowcases, coasters and clothing.
Her iron board covers became her signature product. Although the margins are modest, Madiana values the flexibility and independence her business gives her. For now, returning to her previous programming job is not in her plans.
Her story reflects a growing segment of Entrepreneur Insights Malaysia readers who view entrepreneurship as a lifestyle choice, not just an economic necessity.
A New Chapter For Small Businesses in Malaysia
Malaysia began transitioning to the endemic phase on April 1, 2022. Most industries now operate at full capacity. Mask-wearing indoors is encouraged, with outdoor usage optional.
The experiences of these individuals illustrate how business trends Malaysia continue to evolve. Pandemic-born ventures helped families stay afloat during a crisis. As the country reopened, some people chose the stability of employment while others continued building brands that fit their lifestyle.
As Malaysia progresses into 2026, these stories highlight how adaptable the nation’s entrepreneurs are and how many new business opportunities in Malaysia have emerged from a challenging period.
6 Small Business Trends in 2026
As Malaysia transitions into a fully reopened economy, 2026 is shaping up to be an important turning point for former pandemic entrepreneurs. Many of the business trends Malaysia is seeing today are linked to how people adapted during lockdowns and how they now balance employment with entrepreneurship. Digital adoption is stronger, the SME sector is moving faster and expectations are changing as the country enters the mid-2020s.
1. Side hustles are becoming structured micro-enterprises
Many Malaysians who started cottage businesses during lockdowns are keeping them alive in a more sustainable way. Instead of scaling quickly, they are turning their ideas into practical micro-enterprises while maintaining regular jobs. This reflects how small business Malaysia is evolving, especially as people prefer multiple income streams without overwhelming commitments.
- Small home-based brands now commonly operate through:
- TikTok Shop
- Instagram Shops
- WhatsApp and Telegram communities
- Marketplace platforms that support low-volume sellers
These channels help entrepreneurs remain active without needing full-time operations.
2. Digital-first SMEs are investing in skills and tools
The pandemic pushed Malaysians to adopt digital tools quickly. In 2026, the focus is shifting toward developing the skills needed to use these tools effectively. Many SME entrepreneurs Malaysia are now learning:
- Simple analytics
- Customer retention strategies
- Automated workflows
- Email nurturing
- Basic paid advertising
This has created a more informed generation of micro-sellers who are better equipped to compete online.
3. Competition is stronger, but demand for niche products is rising
By 2026, Malaysians have become more discerning online shoppers. Quality, reliability and clear branding matter more than ever. This pushes former pandemic entrepreneurs to decide whether to stay niche, refine their offerings or step into a more structured SME environment.
Niche categories that continue to grow include:
- Homemade sauces and ready-to-cook meals
- Muslim-friendly lifestyle products
- Curated craft items
- Functional homeware
- Personalised gifts and embroidery
These remain promising business opportunities in Malaysia because they offer originality that mass retailers cannot replicate easily.
4. Malaysian consumers value authenticity more
Across 2025 and into 2026, there has been a clear shift toward supporting meaningful, story-driven brands. Customers gravitate toward small businesses because they feel connected to the people behind them. Many pandemic-born ventures still have room to grow if entrepreneurs continue their craft with consistency.
This trend also benefits those who returned to their jobs but kept their ventures alive, as authenticity continues to influence purchasing decisions.
5. Entrepreneurship is no longer viewed as “all or nothing”
One of the most significant cultural changes in 2026 is how Malaysians define entrepreneurship. During the pandemic, starting a business was often a survival tactic. Today, it is part of a diversified lifestyle that blends career stability with personal passion.
Former pandemic entrepreneurs now often fall into these groups:
- Those who returned to their careers but continue small ventures
- Those who upgraded their skills and scaled their business
- Those who discovered new interests and pivoted entirely
- Those who value stability but remain open to future opportunities
This shift aligns with larger business trends Malaysia is experiencing, especially among young families and mid-career professionals.
6. A growing ecosystem is supporting micro-entrepreneurs
By 2026, Malaysia’s entrepreneurship ecosystem has strengthened. Government programmes, SME platforms and local business networks are providing more support for micro-entrepreneurs. Key improvements include:
- Easier access to financing
- Better training in digital commerce
- More SME markets and local events
- Improved logistics and delivery partners
Even those who paused their ventures now have clearer pathways to restart later.
The Next Phase for Malaysia’s Entrepreneurs
As 2026 progresses, small business Malaysia is expected to become more dynamic. The resilience shown by former pandemic entrepreneurs remains central to the country’s SME spirit. Some will scale, some will maintain small operations and others may return when the timing feels right. The entrepreneurial mindset shaped during Covid-19 is likely to stay with them throughout their careers.
