What You Need to Know to Start a Furniture Business in Semarang

Indonesia’s furniture industry is on a steady growth path. If you’re considering launching a furniture business in Semarang, understanding the legal groundwork is essential. This article outlines the key permits and regulations you need, starting with why Semarang is ideal and ending with the exact licensing steps. 

Why Semarang is Ideal for the Furniture Business 

Semarang is a strategic and cost-effective city for starting a furniture business in Indonesia. Here are the main reasons why: 

Prime Location and Easy Access 

• Located on the north coast of Java, Semarang has a major seaport (Tanjung Mas) and excellent access to highways and railways. 
• It’s easy to ship furniture locally and internationally from here. 

Supportive Business Environment 

• Semarang is part of a growing economic zone that benefits from strong government support. 
• Several industrial estates nearby offer ready-to-use factories and business facilities. 

Lower Costs and Skilled Workers 

• Wood and other raw materials are more affordable here than in other cities. 
• Central Java is home to many skilled artisans, particularly in the furniture-making areas of Jepara. 

Strong Market and Industry Networks 

• The city is near key furniture production hubs, offering great supplier connections. 
• Semarang’s growing urban population means more potential buyers, both retail and wholesale. 

How to Start a Furniture Business in Semarang 

Starting a furniture business in Semarang requires a few strategic steps. Here’s a simplified guide to help you get started: 

Define Your Business Structure and Goals 

Choosing the proper business structure is crucial before launching your furniture business in Semarang. Your choice will depend on factors such as ownership, capital, and the scope of your business. Setting clear goals at this stage helps streamline the setup process. 

Complete Business Registration 

All businesses in Indonesia are required to register with the national system. This involves preparing foundational documents and applying for business identification numbers and licenses. You’ll also need to secure a location that aligns with local regulations. 

Handle Licensing, Permits, and Local Support 

Depending on your operations, you may need specific permits and industry certifications to remain compliant. Managing these independently can be time-consuming.  

Key Licenses for Furniture Business in Semarang 

Starting a furniture business in Semarang requires several legal permits to ensure compliance, safety, and market access. Below are the four main licenses you’ll need: 

RKL‑RPL (Part of AMDAL – Environmental Management & Monitoring Plans) 

RKL (Environmental Management Plan) and RPL (Environmental Monitoring Plan) are part of the broader AMDAL process. They outline how you will manage and monitor environmental impacts, which is critical if your workshop uses heavy machinery, chemical finishes, or large-scale production. In short, these plans ensure that your operations minimize harm and comply with environmental regulations. 

PBG (Persetujuan Bangunan Gedung – Building Approval Permit) 

Before you build or renovate a workshop, showroom, or warehouse, you need PBG approval. This permit verifies that your construction project meets all safety, spatial planning, and technical standards. It replaces the old IMB and ensures your facility aligns with local urban development goals. 

SLF (Sertifikat Laik Fungsi – Certificate of Safe and Proper Function) 

Once construction is complete, SLF certifies that your building is safe, functional, and ready for use—whether as a workspace, retail store, or storage area. It’s valid for a specific period (e.g., five years for commercial use) and is mandatory to open your facility and access utilities legally. 

SVLK (Sistem Verifikasi Legalitas Kayu – Timber Legality Certification) 

SVLK is crucial if you source and trade timber, mainly for export. It ensures that your wood supply is legally obtained and traceable, which opens doors to markets such as the EU and USA. The certificate requires documentation, inspections, and certification renewals, reinforcing legal compliance and consumer confidence. 

READ MORE:

• New Hub for International Business Expansion Plans: BSB Semarang Industrial Park
• Trading Company Indonesia: Why Open It in Semarang and How
• Should You Establish a PT, a PT PMA, or a Representative Office in Semarang?

Tips to Expedite Licensing & Compliance 

Navigating the licensing process in Indonesia can be challenging, especially for newcomers to the furniture business in Semarang. Here are expert-backed tips to help you stay compliant and move faster: 

Start with a Licensing Checklist 

Create a comprehensive checklist of all the permits you’ll need based on your business scope. This helps you plan the application timeline and prepare documents in advance, preventing delays and missed steps. 

Stay Informed About Regulatory Updates 

Indonesia’s business laws evolve regularly. Stay updated on changes in building codes, environmental policies, and industry certifications to ensure you’re always in compliance, especially if you plan to expand or export. 

Document Everything Thoroughly 

Keep detailed records of all submitted applications, approvals, and renewals. Organizing your documentation can save time and protect your operations if you’re audited or your business is inspected. 

Use Professional Licensing Support 

Handling licensing yourself can be time-consuming and energy-draining. By working with experienced consultants like InCorp Indonesia (an Ascentium Company), you can streamline approvals, avoid costly errors, and focus on running your furniture business. 

Trust Your Licensing Process with InCorp 

Starting and growing a furniture business in Semarang offers incredible opportunities. However, without the proper legal foundation, even the best business ideas can hit roadblocks. From securing your business license in Semarang to navigating complex permits like SVLK, SLF, and PBG, compliance is not just a formality—it’s a growth enabler. 

InCorp Indonesia (an Ascentium Company) is your trusted partner for a smooth, legal, and profitable market entry. Here’s how we can help: 

• Business Setup: We handle everything from company registration to tax ID and NIB. 
• Licensing Support: We assist with all required permits, including industry-specific permits such as SVLK. 
• Office Solutions: Access legal-ready workspaces and facilities with the correct permits. 

Complete the form below to obtain licenses for your furniture business in Semarang.