Make your Business a Legal Entity in Indonesia
To officially operate a business in Indonesia, you will need to set up a business entity within Indonesia.
In the past, setting up a business was a time consuming and a costly affair; however, nowadays it can be processed within a few weeks.
In Indonesia there are 3 main business entities you can create, a PT, a PMA and Representative Office. Depending on your circumstances it will depend on the type of business you need to set up.
If you need assistance setting up a business in Indonesia then speak to our official partners at LetsMoveIndonesia – Jakarta’s number 1 Company Establishment Agency. To find out more about their services Click here!
Local Company (PT)
Setting up a PT is the most popular company type in Indonesia, although it is fully intended for Indonesian citizens.
Please note, that if you are a foreigner looking to set up a business in Indonesia, we would not suggest this type of business as it will not be in your name, but that of a local who will have ownership of your business. There are only 2 advisable times whereby setting up a PT is preferential – 1. If the business field is closed to foreign ownership or 2. If you have someone you can trust.
Foreign Owned Company (PMA)
A PMA (Penanaman Model Asing) is the safest way to start up a business in Indonesia for foreigners and it will ensure the investor has full control over the direction of the company. There are no restrictions where the company can operate and it reduces the risk in finding a suitable local partner.
Additionally, if you open a PMA the shareholders can opt for the Investor KITAS which has a 2-year validity; making staying in Indonesia significantly cheaper and easier.
A Representative Office
As a representative office, you will be able to supervise and coordinate business or do market research without the risk of large investments. A representative Office is an ideal option for businesses that are exploring business opportunities in the Indonesian market.
As a representative office, you will not be allowed to generate revenue, make business transactions, import or export goods however you are entitled to obtain work permits for expatriate managers as well as obtain Multiple Business Visas for personal.
Our Legal Partner: LetsMoveIndonesia
LetsMoveIndonesia is the market leader in Jakarta and focuses on Expatriate Services such as Company Establishment, Immigration, Real Estate, Legal Services as well as a host of Relocation Services.
Since conception in 2016 they have quickly become the trendsetters in Expat Services. They have Helped thousands of people from all over the world live and make businesses in Indonesia.
If you need help with setting up your new business, creating Trademarks or obtaining Visas, LetsMoveIndonesia is the perfect solution!
Check out their website Purple Pineapple made for them! www.letsmoveIndonesia.com