Business Setup

Our business model will make your company to save money and risk as we will help you to legally set up your company, comply with legal and tax local regulations, find the right office, hire the right person, optimize your marketing resources and achieving your goals.

A. Benefit for Indonesia foreign direct investment

• Can be owned 100% by foreigners.

• The company has equal rights and responsibilities as any locally owned company in Indonesia. This allows you to legally do business in Indonesia.

• Be able to participate in all of tenders in Indonesia.

• Be able to apply for import and other business licenses and have better conditions for the import of goods.

• Be able to apply work visa (called KITAS) for your foreign workers.

• Be able to sponsor business visa(s) for your clients and visitors.

Investment plan in order to protect local small businesses, Indonesia Investment Coordinating Board (BKPM) requires foregn investor to present an investment plan for minimum $US 1.2 million.

Paid up capital however, only 25% (USD 300,000) of that needs to be paid up as capital. Since foreign companies cannot open a bank account before the incorporation process is completed you are only required to present a notary statement letter that the funds will be transferred once the incorporation is complete.

How Much To Invest

Pre-incoporations decisions

• Check the proposed type of business and activities wheter it is open for foreign investment. View the complete Negative list here.

• Choosing the corporate name for reservation.

• Selecting a registered office.

• Identification of shareholders and/or initial directors.

• Decide the minimum paid up capital and the percentage of each shareholder.

Brief understanding of requirements

• Minimum 1 Commissioner and 1 director to be appointed - (1 director shall be ordinarily residing in Indonesia).

• Minimum 2 shareholders (companies or individuals) - 100% foreign - owned possible for some sectors.

• Minimum 25% paid up capital from the authorized capital.

• Local Registered Office within Indonesia is required.

Setting up a PMA company

• Establishing a new PT in a Joint Venture (JV) with other foreign investors(s) - (100% foreign owned).

• Establishing a new PT in a Joint Venture (JV) with Indonesian partner(s).

• Purchasing shared in an existing PT (could be a PMA Company, a company established in the framework of the Domestic Investment Law ("PMDN Company") or non PMA Company / PMDN Company).

Representative office types

• Foreign Representative Office (KPPA).

• Foreign Construction Service Representative Office (BUJKA).

How to obtain a license for representative office

• Letter of Appointment: Letter of appointment from the parent company.

• Power of Attorney: power of attorney if the participant is represented by another party.

• Articles of Association: articles of association of the parent company and any amendment(s).

• Copy of Passport/ID: copy of valid passport (for foreigner) or copy of ID card number (for Indonesian) who will be the company's representative.

• Statement: a statement confirming the individual will be working solely as the representative office executive.

• Other Documents: depending on the type of representative office, more documents and certificates shall be required.