Diving Business in Bali: Questions and Answers on Its Set Up

Diving is among the most popular outdoor activities in Bali. Thus, starting a diving business in Bali may bring generous profits. Learn how to set it up.

Plenty of diving sites, warm water all year round, amazing coral reefs and some of the best marine life in the world, as well as unique cultures have made tourism the largest industry in Bali. The island offers one of the best diving opportunities in the world. That’s why many foreigners have already started their diving businesses or look forward to setting up a diving business in Bali.

If you are interested in starting your own diving business in Bali, read on. This article provides all the information you need to know before setting up diving business in Bali, in the form of questions and answers.

Questions and Answers on Diving Business in Bali

What are the diving activities that are permitted for a diving business?

Having a diving business in Bali means you can organise diving around the island, sell diving activity packages, provide transportation services for the activities, conduct introductory lessons and courses, and offer packages with other tours, meals, and accommodation included.

How do you start your diving business?

The first thing you need to consider while starting your diving business is to establish a company with a physical office and a building permit (IMB).

Establishing a diving company in Bali is a rather simple process if you have the latest information regarding Indonesian regulations and of course, the right assistance.

In order to get your office IMB, you will need to have large parking space. The location of your office in Bali is critical for your diving business as there is a higher number of tourists – especially those enthusiastic foreign surfers and divers – concentrated in South Bali.

To know more about legal entities available in Bali, read Company Registration in Bali.

How does the ownership look like for foreigners starting a diving business?

There are several factors that can decide the amount of ownership of your diving business, particularly the area you’d like to operate your diving activities and tours. Therefore, you’ll have to decide your area of activities carefully.

In accordance with the Indoensian Law, a 100% foreign ownership is allowed when your diving business organises scuba and diving trips within certain Government limitations. But, if your diving business runs activities within marine protection zones in Bali, the ownership percentage may be different.

Also, if your diving business owns boats for diving tours and activities, then you will need an Indonesian national as your partner because your ownership as a foreigner is limited, which is less than 50% (contact Cekindo to get detailed information on this).

What are the requirements for setting up a diving business?

As discussed earlier, the foreign ownership of a diving business in Bali differs based on several elements such as the area of operation and boat ownership. Oftentimes, a local Indonesian partner, a building permit and a legit office space are needed to start a diving company in Bali.

What are the cost and time needed for setting up a diving business?

A diving business is considered to be in the tourism industry. Thus, the entire company formation process takes approximately 6 to 8 weeks. The cost of company incorporation varies depending on the area on the island, but it generally starts from IDR 120,000,000 in and around Denpasar area.

What are the licenses involved for diving business?

A diving business in Bali, especially in Denpasar area, can sometimes have up to 12 licenses.

Which type of legal entity is suitable for your diving business?

A diving business in Bali can be solely owned by a local in the form of PT (local company). As a foreigner, you can choose to set up a PT PMA (foreign-owned company), which is the most common type of legal entity opted by foreigners.

Start Your Diving Business in Bali Now

If you require further details on opening up a diving business in Bali, get in touch with us. We can provide you with more insights into business incorporation and legal entity establishment in Bali.

Fill in the form below or visit our office in Badung. Our other offices are also available in Jakarta and Semarang.

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Pandu Biasramadhan

Pandu is the Consulting Manager at Cekindo. He has extensive experience in working with government agencies. Notably, he has provided market-entry solutions for enterprises in Indonesia and managed regional partnership channels in Southeast Asia. At Cekindo, Pandu aspires to lead the consulting team to provide top-quality market-entry services and maintain a portfolio of global clientele. His specialty is market-entry advisory and business process outsourcing.