There have been thousands of clever and enthusiastic entrepreneurs who tried to succeed on the Island of Gods’; yet just a few made their dream come true. It is not a rocket science to set up a business in Bali. But, you need to avoid the most common mistakes many newcomers to Bali repeat all over again and again.
Understand the local environment
To live or work in Bali is indubitably appealing for some. But, to run one’s own business here is simply irresistible for others. Meanwhile moving to the island and trying to find a job without previous awareness of the cultural distinctions can be a challenge, to set up a new company with the same lack of knowledge can lead to a huge disappointment at best.
Allow yourself some time to get familiar with potential obstacles, opportunities, the strength of competition and current supply and demand in your field. Let the specialists provide you with the in-depth market analysis in order to be able to take a qualified decision.
Get some support at the beginning
Bali is nowadays a thriving incubator of new ideas and fast-paced business environment but also part of Indonesia with all it brings along. Company registration or product registration could take a while, recruiting in Indonesia is not an easy task, due to the shortage of skilled domestic workers in some areas on one side and restrictive policy on employing foreigners on the other, and land or property ownership is highly regulated.
Adding up confusing income tax system and unclear tax reporting, doing business in Bali could be short lasting. It always pays off to rely on an experienced local partner with proven record. It will makes you sure that you invest your time and money wisely.
Look for credible information
Common difficulty companies often face is lack of legal information or its poor quality. It is more likely to get misleading about anything regarding law and regulations if depending on public sources only. By collaboration with professionals, any business can avoid the risk of not complying with local regulations. Not only that, you can also avoid potential sanctions resulting from such misconduct.
Entering market in Bali means to meet a wide range of requirements; those you might not have met before or do not make any sense to a western entrepreneur. It is a huge advantage to be able to consult issues that might appear at any stage of the company establishing process and build it on a solid base.
Find a trustworthy nominee
Many areas of business are restricted or entirely closed to foreign investments. To participate in the sectors of economy that are included on so-called “negative investment list” requires involvement of a local nominee.
It is, however, more difficult than it may look like to choose a trustworthy and reliable partner. Relying on friends or family members is usually the worst option. The recommended solution is to secure nominee agreement with a proper structure rather than with individuals and this is how Cekindo can help you with establishing local nominee company.
Allow yourself plenty of time
One of the most important ingredient while doing business in Bali is patience; it goes the same with setting up a company. Business registration takes weeks or months to complete and is never hassle-free. It is wise to allow enough time to make sure you are not under pressure and your business plan well behind the original schedule.
Time could be, however, a significant player when entering some of the fast-changing markets and dealing with local bureaucracy for too long could result in losing good starting position. To prevent this scenario to happen businessmen in Bali can now take advantage of shelf companies, ready-made legal entities that help to start entrepreneurship in no time.
In order to avoid these and many other mistakes when starting a business in Bali, contact experts from Cekindo.
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