How do You Start A Spa Business in Bali?

How Do You Start A Spa Business in Bali?

  • InCorp Editorial Team
  • 12 September 2024
  • 7 reading time

Starting a Spa Bali business offers the unique opportunity to tap into the island’s booming wellness industry. With Bali’s reputation as a global hotspot for relaxation and rejuvenation, setting up a spa in Bali is a promising venture. Here’s a guide on how to get started.

Is Bali A Good Place to Start A Business?

It may be perfect if you dream of starting a Spa Bali business. From January to July 2024, Bali saw a remarkable influx of 3,538,899 foreign tourists, a 22.18% rise compared to last year.

Monthly data reveals that the average growth rate for foreign visitors in 2024 has reached an impressive 48.95%, with approximately 505,557 foreign tourists arriving each month. This surge in tourism presents an excellent opportunity for Bali’s spa industry to thrive as more visitors seek relaxation and wellness experiences during their stay on the island.

The Prospects of Opening Spa Business in Bali

While running a successful spa and sauna business in Bali is more complex than it may sound, its prospects can be advantageous. Foreigners can indeed fully own a Spa Bali business under a PT PMA (Penanaman Modal Asing), which allows for 100% foreign ownership.

To set up a PT PMA, foreigners must meet a minimum investment of IDR 10 billion (excluding property) and follow specific steps, including obtaining a business license (NIB) and securing the necessary operational permits for the spa, which can vary by location.​

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What to Prepare for Your Spa Business in Bali

Several critical steps must be followed to ensure compliance and business readiness when launching a Bali spa massage business as a foreign-owned entity.

Get Your Space and Equipment Ready

Your spa environment must feel safe and comfortable for your customers. You must always meet Indonesia’s quality and safety regulations to ensure flawless performance.

Here’s a checklist to get your spa facilities in order:

  • Test and make sure you have a functional music system
  • Validate that your equipment and machines are working properly
  • Adequate installation of POS and inventory systems
  • The exit and fire safety equipment of your premises are visible, working, and marked
  • Ensure a safe and functional electrical system
  • First-aid kits are available

Prepare a Marketing Strategy

A marketing strategy should already be in place before the first day of your spa operation. The strategy can include the following items:

  • Posts on social media to create anticipation before the opening
  • Flyers distribution
  • Local ads
  • Networking with local communities, organizations, and clubs
  • Discounts and promotions on the first day or certain period to attract customers

Have Administrative Capacities

A Spa Bali business setup involves paperwork, business licenses, and mundane administrative tasks. If these critical tasks are not handled properly, they can harm your business.

It would be best if you made sure these administrative tasks below are well taken care of:

  • All accounting records, such as receipts and invoices, are kept well
  • Relevant business licenses and permits are displayed accurately
  • Proper leasing agreement
  • Property insurance

If your business cannot perform these tasks effectively, consider outsourcing them to a third party.

Other factors you should consider before the grand opening of your Spa Bali business:

  • Employee licenses and employment contracts
  • Trained customer service representatives and employees
  • Work safety and hygiene requirements
  • Employee payroll and benefits with the proper accounting system
  • Financial projections for your business
  • Company’s bank account
  • Qualified accountants and consultants for tax reporting
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Requirements for Setting Up a Spa Business in Bali

Requirements for Setting Up a Spa Bali Business

You must also consider the requirements for a Spa Bali business. In general, the requirements are summarised as follows:

Space and Equipment

  • You need sufficient space for your spa’s operations, including equipment, treatment rooms, and facilities to accommodate activities. Ensure that all safety and quality standards mandated by local regulations are met.

Lease Period

  • A minimum lease period of three years is typically required, particularly if you are setting up a foreign-owned company (PT PMA). This allows stability for business operations.

Permits and Certificates

  • Building Permits (PBG): This permit ensures your property complies with Bali’s zoning and safety regulations. The PBG has replaced the previous IMB system and is mandatory for construction or renovation.
  • Business Licenses: Depending on your spa services, you will need a location permit (SITU) and other relevant tourism and local licenses.

Business Structure

  • PT PMA: If you are a foreign investor, setting up a PT PMA allows you to own 100% of the Spa Bali business. This requires significant capital investment and legal procedures.
  • Local Company (PT): If opting for a local PT, different ownership and capital requirements apply, but it is a more locally driven business structure.

Tourism and Local Licenses

  • Operating a spa may require additional licenses depending on the nature of your services, such as specific health and safety approvals. Compliance with local tourism and environmental regulations is crucial.

10 Ways to Open Your Best Spa in Bali

Bali, known for its serene beauty and holistic wellness practices, is ideal for establishing a thriving spa. Here are ten important strategies to help you open your best spa in Bali:

Leverage Local Expertise

  • Partner with Balinese therapists: Their deep knowledge of traditional healing techniques and cultural nuances will enhance your spa’s authenticity.
  • Collaborate with local suppliers: Source high-quality, natural ingredients and products from Bali’s rich ecosystem.

Create a Serene Atmosphere

  • Design a tranquil environment: Incorporate Balinese elements like stone carvings, bamboo accents, and lush gardens to create a sense of peace and harmony.
  • Pay attention to sensory details: Use soothing music, aromatherapy, and soft lighting to enhance relaxation.

Offer Unique Treatments

  • Combine traditional and modern techniques: Develop signature treatments that blend Balinese healing rituals with contemporary spa practices.
  • Cater to specific needs: Offer specialized treatments for stress relief, rejuvenation, and detoxification.

Prioritize Sustainability

  • Use eco-friendly products: Opt for natural and organic ingredients that minimize environmental impact.
  • Implement sustainable practices: Reduce waste, conserve energy, and support local communities.

Provide Exceptional Customer Service

  • Train staff in hospitality: Ensure your team is courteous, knowledgeable, and attentive to guests’ needs.
  • Offer personalized experiences: Tailor treatments and services to individual preferences.

Leverage Digital Marketing

  • Create a strong online presence: Develop a website and social media channels to showcase your spa’s offerings.
  • Utilize SEO and content marketing: Optimize your online content to attract potential customers.

Partner with Local Businesses

  • Collaborate with hotels and resorts: Offer your spa services as a complementary amenity.
  • Network with tour operators: Promote your spa as a must-visit destination for tourists.

Offer Wellness Retreats and Packages

  • Create comprehensive programs: Combine spa treatments with yoga, meditation, and healthy dining options.
  • Target specific markets: Design packages for couples, families, or corporate groups.

Prioritize Health and Safety

  • Adhere to hygiene standards: Maintain a clean and sanitized environment.
  • Ensure therapist qualifications: Verify the credentials of your spa therapists.

Continuously Improve

  • Seek customer feedback: Gather input from guests to identify areas for improvement.
  • Stay updated on industry trends: Attend spa conferences and workshops to learn about new techniques and technologies.

Guide to Doing Business in Bali & Lombok

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Start Opening Your Spa Bali Business with InCorp

Are you ready to transform your spa dreams into a reality in Bali? With InCorp, you can confidently navigate the complexities of setting up and operating your spa business.

Our comprehensive services include:

  • Company Registration: We’ll help you choose the most suitable legal structure for your spa business and ensure compliance with local regulations.
  • Business Licensing: Our team will expedite the process of obtaining essential permits and licenses, saving you time and effort.
  • Immigration Services: We’ll handle the immigration procedures for your foreign employees, ensuring a smooth onboarding process.

Fill out the form below to successfully launch your Spa Bali Business.

David Susandi

Branch Manager – Bali Office at InCorp Indonesia

Holding 11 years of experience in various roles, including project manager, operational manager, and corporate strategist, David Susandi is a prominent figure for many entrepreneurial organizations expanding in Indonesia.

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Frequent Asked Questions

Yes, you must apply for it to be able to issue work permits for your foreign employees. This permanent business license is also a prerequisite for the applications for other business licenses and import licenses.

There are three things business owners need to consider before setting up a business in Indonesia: the type of business entity, capital requirements, and regulations.

Indonesian regulations separate local companies from foreign companies. Generally, foreign-owned companies (PT PMA) have more limitations than their local counterparts (Local PT). However, to pursue more foreign direct investment in the country, the government has taken several bold initiatives to increase the ease of doing business and provide numerous attractive incentives for foreign investors.

There are two main types, namely, primary business licenses and non-primary business licenses. The primary ones commonly apply to various industries, such as general and industrial business licenses. Additional non-primary ones are included, depending on the operations of your business. Examples of non-primary business licenses are operational and commercial licenses.