Getting foreign businesses settled in Indonesia
Tell us what your business is and we’ll guide you through the establishment process
Our Services
Establishment
- Start selling and stop worrying about legal compliance in Indonesia. We`ll get your business settled..
Updates
- Growing business means changes. Let us make necessary document changes quickly and efficiently.l
Corporate Secretarial
- Growing business also means less focus. Let us handle compliance stuff, so you can focus on growth.
Q & A - ABOUT FOREIGN INVESTMENT IN INDONESIA
1Can foreigners set up business in Indonesia?
In general, yes foreigners are permitted to set up businesses in Indonesia, however, certain businesses are restricted to foreign ownership, and others where foreign ownership stakes are limited by law. Please contact us for more information.
2What is the minimum investment requirement to form a PMA?
The minimum paid-up capital for incorporating a PMA must be over IDR 10 Billion. However, this amount does not have to be in the form of a cash deposit. Business assets can be shown as Investments, except land and buildings. For Real estate businesses, land and buildings can be shown as investments.
3How long does PMA / PMDN incorporation process take?
PMA / PMDN incorporation process takes about 1 weeks, after the required documents are completed.
4What is a KPPA?
KPPA is also known as Representative Office. KPPA must be established in the provincial capital, e.g. Jakarta, Bandung, Surabaya, Denpasar, etc.
5Stages of Establishing a Foreign Direct Investment Company (PMA) in Indonesia
“PMA” (Penanaman Modal Asing) is an Indonesian acronym for Foreign Direct Investment. The stages of establishing a PMA company in Indonesia are as follows:
Registration of Investment (Pendaftaran Penanaman Modal);
Establishment of Limited Liability Company (Perseroan Terbatas, or PT Company): This requires the execution of a Deed of Establishment and approval from the Minister of Law and Human Rights of the Republic of Indonesia;
Number (Nomor Pokok Wajib Pajak);
Certificate of Domicile (Surat Keterangan Domisili Perusahaan);
Company Registration Certificate (Tanda Daftar Perusahaan);
1-Year Temporary Business Licence (Izin Usaha 1 Tahun): This is optional, please see point 10 below; and
Permanent Business Licence (Izin Usaha)
Please note that additional technical permits or recommendations from the relevant government institutions may also be required depending on the activities of your PMA company.
6Limitations on Foreign Ownership of the PMA Company
PMA companies must be established in the form of a limited liability company (i.e. PT companies). Among other requirements, PT companies are required to have at least 2 shareholders.
While foreigners are generally allowed to be the majority or sole owners of PMA companies, certain business fields have limitations on the foreign ownership percentages of PMA companies
7Minimum Investment Amount
The proposed amount of investment for your Foreign Investment Company in the Registration of Investment must exceed IDR 10 billion (SGD 953,000) excluding land and buildings, unless otherwise stated by the related ministry/institution.
8Source of Capital
The source of capital for the minimum investment mentioned above may consist of equity, retained earnings and/or loans.
"YOUR FUTURE IS OUR BUSINESS"