Home Blog Business Set Up Indonesia: Overview Business Setup | Company Registration | Indonesia Business Set Up Indonesia: Overview InCorp Editorial Team 11 November 2016 3 minutes reading time Table of Contents Indonesia Company Registration More details and Important Questions for Business Overview Contact Us Indonesia Company Registration When you are planning to expand your business to Indonesia, you might need a clear overview to guide you on running the business in this country. You can see the summary of our services in the table below to help you find which solution might fit the best for your business. Services Duration Local Company (PT) Foreign-Owned Company (PMA) Representative Office BUSINESS SET UP Company Registration 1-1.5 Month 1-1.5 Month 1-1.5 Month Trademark 24 – 34 Months 24 – 34 Months – Closing Company 8 – 12 Months 8-12 Months 3 Months Business & Import Licenses 1 Month 1 Month N/A Product Registration Depends on Product Type Depends on Product Type N/A Market Research & Analysis Depends on Scope of Work Depends on Scope of Work Depends on Scope of Work Local Partner Selection 2 Months 2 Months 2 Months Trade Mission 1-2 Months 1-2 Months 1-2 Months BUSINESS PROCESS OUTSOURCING Recruitment & HR Establishment 1 Month 1 Month 1 Month Payroll Processing Monthly and Minimum 1 Year Monthly and Minimum 1 Year Monthly and Minimum 1 Year Accounting & Tax Reporting Monthly/Annual Monthly/Annual Monthly/Annual Audit & Review Depends on Scope of Work Depends on Scope of Work Review Once a Year Business Visa & Work Permit 7 Working Days (Business); 2,5 months (work permit) 7 Working days (business); 2,5 months (work permit) 7 Working days (business); 2,5 months (work permit) Retirement & Other Visa in Indonesia 2 Months 2 Months 2 Months LOCAL PRESENTATION Project Management & Coordination Depends on Scope of Work Depends on Scope of Work Depends on Scope of Work Local Distributor & Partner 2 Months 2 Months 2 Months Buying Agent 1 Month 1 Month 1 Month Virtual & Serviced Office 1 Day 1 Day 1 Day Mystery Shopping 6 Weeks 6 Weeks 6 Weeks More details and Important Questions for Business Overview Summary of Service Local Company (PT) Foreign-Owned Company (PMA) Representative Office Is it legal for tax exemption if properly structured? Yes Yes Yes Do you need a local Indonesian citizen as a sponsor? Yes Depends on NIL (Negative Investment List) No Must appoint an Indonesian resident as bank signatory? Yes No No Security deposit to be kept with the government? No No No Client must travel to Indonesia? No No N0 COMPANY REGISTRATION Resident director / manager required? Yes Yes Yes Resident shareholder / partners required? Yes Depends on NIL (Negative Investment List) No Government foreign investor approval required? No No No Shelf companies available? Yes Yes No Can have preference shareholders? Yes Yes No ACCOUNTING AND TAX CONSIDERATIONS Statutory coporation tax payable? Yes Yes Yes Must file annual Indonesia tax return? Yes Yes Yes Must file annual financial statements? No No No Must appoint an auditor? No No No Access to double taxation treaties? BUSINESS CONSIDERATION Can invoice local customers in your company name? Yes Yes Yes Can hire local staff in your company name? Can rent local office space in your company name? No No No Residence visa for business owner? Yes Yes Yes Good entity for trademark registration? Yes Yes Yes Overall Cekindo’s services enable customers and partners to reduce the problem and giving the solution and optimize solution performance based on customers’ unique business needs. Contact Us Please send your question by filling in the form below. Our consulting team will quickly answer you via E-mail. You can visit our office to know more details about our services. Read Full Bio Verified by Ales Cina Consulting Manager at InCorp Indonesia Aleš manages solution delivery at InCorp Indonesia, optimizing incorporation processes and client relationships. His experience in internal auditing, retail, and sales offers valuable global insights. Aleš, with a degree in Economics and Finance from the Czech Republic, helps clients navigate cross-border business challenges, focusing on cultural and legal insights. Frequently Asked Questions Can a PMA company hire expats in Indonesia? Yes, PMA companies in Indonesia can hire expatriates, but certain positions are restricted by the Ministry of Manpower. Expatriates need both working and stay permits, and employers must employ Indonesian counterparts for each expatriate employee, typically at a ratio of at least one Indonesian counterpart per expatriate. Can investors own shares with preferential rights? Under Indonesian Company Law, shareholders can hold shares with various preferential rights, such as voting rights, nomination rights for board members, priority dividend or liquidation proceeds, and options for conversion or withdrawal after a set period. What responsibilities does a PMA company have in terms of non-tax compliance? In Indonesia, a PMA company is typically required to submit various reports to relevant authorities, such as: Annual financial report Investment realisation report Manpower and employee welfare report Expatriate utilisation report Company loan repot Foreign exchange and prudential principles report However, depending on the business activities and classification relevant authority may require additional reports from a PMA company. How much is the minimum fund required to establish a PT PMA business in Indonesia? The investment requirement for PMA companies in Indonesia varies based on their classification under the Indonesia Industrial Standard Classification (KBLI). Generally, a minimum investment of IDR 10,000,000,000 (ten billion Indonesian Rupiah), excluding investment in land and buildings, is needed to conduct one business activity in one location. Get in touch with us. Lead Form Updates Full NameEmailPlease provide corporate email where possiblePhone NumberOffice SetupWhich city are you planning to expand into?JakartaSemarang/Central JavaBali/LombokBatam/SumateraSurabaya/East JavaOther ProvincesType of Service- Please Select -[SPECIAL PACKAGE] Company Registration + Office Package (20% OFF)[SPECIAL PACKAGE] Product Registration + License Holder (20% OFF)Business SetupAccounting and TaxHR & Payroll servicesImmigration ServicesProduct Registration and ImportCompliance and Secretarial ServicesBusiness AdvisoryMore ServicesType of Service- Please Select -[SPECIAL PACKAGE] Company Registration + Office Service (20% OFF)[SPECIAL PACKAGE] Comprehensive Industrial Package (15% OFF)Business SetupAccounting and TaxHR & Payroll servicesImmigration ServicesProduct Registration and ImportCompliance and Secretarial ServicesBusiness AdvisoryMore ServicesType of Service- Please Select -[SPECIAL PACKAGE] Company Registration + Office Service (20% OFF)[SPECIAL PACKAGE] Comprehensive Industrial Package (15% OFF)Business SetupAccounting and TaxHR & Payroll servicesImmigration ServicesProduct Registration and ImportCompliance and Secretarial ServicesBusiness AdvisoryMore ServicesType of Service- Please Select -[SPECIAL PACKAGE] Company Registration (25% OFF) + Office Space (Private Office 30% OFF)[SPECIAL PACKAGE] Company Registration + Investor KITAS (25% OFF)[SPECIAL PACKAGE] Accounting + Tax Services+ Annual Fintax Report (20% OFF)[SPECIAL PACKAGE] Payroll Services for Executive Role (20% OFF)Business SetupAccounting and TaxHR & Payroll servicesImmigration ServicesProduct Registration and ImportCompliance and Secretarial ServicesBusiness AdvisoryMore ServicesType of Service- Please Select -[SPECIAL PACKAGE] Company Registration (20% OFF) + Office Service (25% OFF)[SPECIAL PACKAGE] Company Registration + Micro Finance Services (25% OFF)[SPECIAL PACKAGE] Property Assistance: Due Diligence + AJB Purchase/Lease Agreement (25% OFF)Business SetupAccounting and TaxHR & Payroll servicesImmigration ServicesProduct Registration and ImportCompliance and Secretarial ServicesBusiness AdvisoryMore ServicesType of Service- Please Select -Business SetupAccounting and TaxHR & Payroll servicesImmigration ServicesProduct Registration and ImportCompliance and Secretarial ServicesBusiness AdvisoryMore ServicesServices Company Registration Renting Virtual and Serviced Office Business and Import Licenses Corporate Recovery and Insolvency Closing of Company (Dissolution) Land and Property Ownership Shelf Company Local NomineeServices Accounting and Tax Reporting Audit and Review Transfer Pricing Compliance Tax RefundHuman Resource Sub Services Payroll Outsourcing Employer of Record Recruitment and HR Establishment Employment ServiceServices Business Visa Work Permit and KITAS Dependent Visa (Spouse and Family) OtherBusiness Visa Subservices Business Visa Visit Visa Visa ExtensionServices Medical Device Beauty (Skincare and Cosmetic) Food and Beverage Health Supplement Household Product Halal Certification TrademarkServices Legal Consultation Legal Agreement Service Due Diligence and Background Check Company Documents RevisionBusiness Advisory Business Advisory Services ESG Reporting & Advisory Internal Audit Risk ManagementMore Services Market Research and Analysis Local Distributor and Partner Bank AccountMessageSubmit What you’ll get A prompt response to your inquiry Knowledge for doing business from local experts Ongoing support for your business Disclaimer The information is provided by PT. Cekindo Business International (“InCorp Indonesia/ we”) for general purpose only and we make no representations or warranties of any kind. We do not act as an authorized government or non-government provider for official documents and services, which is issued by the Government of the Republic of Indonesia or its appointed officials. We do not promote any official government document or services of the Government of the Republic of Indonesia, including but not limited to, business identifiers, health and welfare assistance programs and benefits, unclaimed tax rebate, electronic travel visa and authorization, passports in this website. More on Business Setup Why You Should Establish a Manufacturing Company in Surabaya Read more PEO Services in Indonesia: Good Things when Use It Read more How to Obtain a Tourism Business License in Indonesia Read more