Cekindo Business International is now InCorp Indonesia. Learn more.
InCorp offers a comprehensive range of solutions to ease the company registration process and help you create a viable roadmap for your business.
Get assistance from experts with a decade of experience in assisting international business owners expanding into Indonesia.
Avoid any bureaucratic complexity when closing your company by engaging with our experienced legal advisors.
What type of legal entities should you choose to register a company in Indonesia? We can assist you in choosing which is the best one to grow your business.
To help businesses survive during this unfortunate time, InCorp provides corporate recovery in Indonesia and insolvency services.
Granting an environmental permit in Indonesia needs an Environmental Impact Analysis (AMDAL) in advance.
Obtaining property & land ownership in Indonesia offers some challenges for foreigners. However, buying property in Indonesia is attainable with specific resources and documents.
Recent regulatory changes have a knock-on effect on Indonesia's Merger & Acquisition landscape. Check on how we can navigate you through your M&A in Indonesia.
InCorp provides Virtual Office services Indonesia in various locations: Jakarta, Bali, Semarang, Surabaya, and Batam.
Business process outsourcing in Indonesia is a viable option to streamline bureaucratic complexities that hurdle your business expansion objectives.
InCorp offers a complete range of accounting service Indonesia, from tax reporting to auditing.
With professional financial audit services from InCorp, you can ensure all accounting activities are accurately recorded and compliant with Indonesian regulations.
Using an Employer of Record service to set your roots in Indonesia opens the doors to new opportunities in the country.
Financial and Operational Resilience services from InCorp are developed to support businesses and help them survive during this difficult time.
Payroll services in Indonesia are a practical solution to avoid unnecessary complexities while you focus on growing your business.
Using a recruitment agency in Indonesia will help you hire the best candidates for your company, saving you time and money.
Tax consulting in Indonesia are the shortcuts to fulfill the administrative obligations with high accuracy and in a timely manner.
The Indonesian government promotes tax holidays as one of the fiscal incentives to attract major foreign direct investment in Indonesia.
Operating businesses in Indonesia, entrepreneurs must comply with the regulations accordingly, especially concerning taxes.
Immigration in Indonesia is one of the strictest and most complex processes due to its ever-changing regulations. InCorp provides a seamless experience in obtaining your stay and work permits.
Avoid any hassles by engaging with an experienced visa agent in Indonesia.
A dependent visa Indonesia is a document that allows foreigners to bring their family while settling down in the country.
Investor KITAS Indonesia is a stay permit that offers many benefits to investors that invest in the country.
Overseas Visas are required for Indonesians who are planning to stay abroad for an extended period of time.
KITAP is a permanent stay visa for foreigners who have intentions to stay in Indonesia.
Foreign retirees often find their plans stuck due to the complex visa application process. InCorp helps expedite the process.
Obtaining a social visa is daunting if you are not familiar with the country’s complex bureaucratic processes. Consult with us for a seamless Indonesian visa application experience.
Foreigners married to an Indonesian citizen are eligible for a spouse-sponsored KITAS.
Learn how to obtain an Indonesian tourist visa seamlessly and securely, directly from a trusted visa and travel agent.
Get assistance from a trusted visa agent in Indonesia to make your traveling plan to Indonesia even more convenient.
Expedite your Indonesian work permit application process by engaging with a trusted visa agent.
All imported goods must obtain permission granted by specific governing bodies prior to entering the local market.
Learn more about the cosmetic product registration services in Indonesia.
Learn more about exporting goods to Indonesia.
Learn more about the food & beverage product registration services in Indonesia
Learn how to go through halal certification in Indonesia directly from experts successfully.
Learn more about the health supplement product registration services in Indonesia.
Learn more about the household product registration services in Indonesia.
Learn more about importing goods from Indonesia
An Importer of Record in Indonesia is a legal service that enables companies to import products into Indonesia, through an import partner.
Learn more about the medical device registration services in Indonesia.
Register a trademark is necessary to avoid legal issues in the future. InCorp can help you with Trademark Registration services in Indonesia.
Compliance is one of the most challenging parts of business overseas, especially in a country packed with complex bureaucratic processes such as Indonesia.
Updating business documents to align with your company’s growth can be a hassle.
Due Diligence services are needed to assess the credibility of the company or partner you wish to work with or acquire in Indonesia
From Company Regulations to Employment Agreement Drafting, Employment law services from InCorp will help you to compliance with employment policy in Indonesia.
InCorp’s legal consultation services in Indonesia are crafted to help your business settle and fully comply with the latest regulations.
Organizations must continuously evolve and transform to remain competitive and relevant in today’s global environment ...
Companies face many opportunities and challenges as a result of a changing market and regulatory landscape ...
Adopting Environmental, Social, and Corporate Governance (ESG) practices can improve your company’s value ...
Risk Management services from InCorp Indonesia can assist companies in building confidence when making future business decisions ...
Transfer Pricing in Indonesia occurs when a company performs an internal transaction within the same business group or its subsidiaries
InCorp's transfer pricing advisory services in Indonesia are marked by the objective to support our clients' business needs.
Our transfer pricing services provide you with a hassle-free experience while still complying with the legal aspects of transfer pricing in Indonesia.
As the market-entry consulting firm in Indonesia, InCorp provides a wide range of customized solutions to ease the business incorporation process.
Both natural and legal persons are entitled to open a bank account in Indonesia. Find out how to open a bank account in Indonesia, here.
InCorp can help you find a trusted Buying Agent Indonesia for product sourcing in Indonesia. Contact us now for a free consultation.
InCorp can help foreigners to get the driving license in Indonesia, whether SIM A or SIM C. Check out the requirements and the procedure, here.
IMEI Registration in Indonesia is necessary to ensure telecommunication devices from abroad can function properly in Indonesia.
With offices in Jakarta, Bali, Semarang, SUrabaya, and Batam, InCorp is ready to assist you as a local partner and distributor in Indonesia.
InCorp can help you to select the trusted local partners to import and distribute your products in Indonesia.
Improve your business by knowing the market conditions in Indonesia through market research services in Indonesia.
InCorp can help you gain information about your competitor's product through mystery shopping.
With more than 300 ethnic groups, Indonesia is the largest archipelago in the world. The country boasts abundant and diverse natural resources, not to mention the wonderful tourist destinations whose beauty captivate everyone, such as Bali, Lombok, Raja Ampat, and the new shining star Sumba Island. But, Indonesia is more than just a popular travel destination. Ideally located adjacent to giant economies such as China and India and neighboring countries like Singapore and Malaysia, Indonesia is the perfect location for foreign direct investments and business setup.
Indonesia has enjoyed steady economic growth in the past 10 years. The country’s GDP reached 1119.19 billion USD in 2019, making it the largest economy in Southeast Asia and one of the top 20 economies in the world.
The economy of Indonesia, just like other economies around the world, might be hit hard by the COVID-19 pandemic. But, it is forecasted that Indonesia will rebound in 2021. The government has implemented several fiscal and monetary policies to support the businesses and people profoundly affected by the crisis. According to FocusEconomics, Indonesia’s GDP will increase by 5.0% in 2021.
Other top 5 reasons that you should expand your business to Indonesia in 2021 are discussed in this article.
1. Trade agreements
The Indonesian government is actively implementing efforts to boost the country’s economic growth and make the country more friendly towards foreign investments. One of the efforts is trade agreements.
Up to now, Indonesia has had several trade agreements. The agreements include the economic partnership agreement with Japan, which came into effect in 2008, and the preferential trade agreement with Pakistan that was signed in 2012.
Several agreements are more recent as they just came into effect in 2020. They are the Indonesia-Australia Comprehensive Economic Partnership Agreement (IA-CEPA) and the historic signing of the Regional Comprehensive Economic Partnership (RCEP). All ASEAN countries along with New Zealand, Australia, China, Japan, and South Korea were involved in the agreement. The agreement is one of the biggest trading agreements as it covers almost a third of the global economy.
2. Ease of doing business
According to a report by the World Bank, in 2020 Indonesia ranked 73 out of 190 economies in total, with an overall score of 69.2 in terms of ease of doing business. This is mainly due to the initiatives implemented by the government.
First of all, when it comes to business setup in Indonesia, the process has significantly improved. Previously the company registration process took at least two months to be completed. Since 2020, it is no longer the case. A foreign investor can complete the entire company incorporation process in as quick as one and 1.5 months. Good news for new businesses that are established in Jakarta, they do not need to submit the Company Domicile (SKDP).
Furthermore, the implementation of the Online Single Submission (OSS) system enables businesses to start their operations right away, provided that a Business Identification Number (NIB) has been obtained through the system, without having to obtain additional licenses.
Finally, foreign investors who are to fill the positions of shareholders and directors or commissioners and meet the requirements of invested shares can work immediately after applying for a permit called the Investor KITAS. Its benefits include easy application and waiver of work permit government fee (DPKK).
3. Investment incentives for foreign investors
The government of Indonesia has reduced the corporate income tax (CIT) rate from previously 25% to now 22%, and this applies to the 2020-2021 fiscal year. Moving forward, the CIT rate will be further reduced down to 20%, starting in 2022.
In addition, various tax incentives have been granted to encourage even more foreign investments. Export services that are produced in Indonesian territory, such as information and technology services, legal consultation, research and development (R&D) services, and toll manufacturing, are eligible for zero-rated value-added tax (VAT).
Businesses that engage in R&D activities can enjoy a 300% reduction in gross income. Businesses in the pioneering industries are eligible for a 60% reduction in their net income. Fiscal and non-fiscal incentives are also available for businesses that operate in one of the 13 special economic zones available in Indonesia.
4. Huge population, growing middle class, and competitive labor costs
As of mid-2020, Indonesia’s population was more than 273 million people. The number is equivalent to 3.51% of the world’s total population. It is expected to grow even bigger in the next few years. The middle class in Indonesia is growing rapidly. A huge population means strong purchasing power. Strong purchasing power implies that any kind of business can thrive and generate substantial profits, as long as that they are targeting the right market.
What is more, more than 40% are the working-age population, making Indonesia a big pool of laborers. The country also offers competitive labor costs compared to other countries like China whose monthly minimum wage is increasing and Singapore where everything is expensive.
5. Permitted land ownership by foreign investors
Foreign investors can now own a piece of land in Indonesia. To buy land in the country, foreign investors can choose to establish a foreign-owned company (PT PMA) or a locally owned company (PT).
With a PT PMA, you can secure the right to build (Hak Guna Bangunan – HGB). The land certificate will state the name of the foreign-owned company. With the HGB, you can also construct property and generate income through selling or renting the property.
As the freehold title or right of ownership (Hak Milik – HM) is only available for Indonesian citizens, foreign investors can secure the HM through the establishment of a PT.
To start a business in Indonesia hassle-free, it is a must to have a deep understanding of local regulations and requirements. To penetrate the local market quickly and easily, familiarity with the local market is required. Both things can be a challenge for foreign investors.
Our team of business incorporation specialists can assist you in registering a company, securing the necessary licenses, and incorporating your business in Indonesia altogether, saving you all the hassle when you try to do it all by yourself.
If you are a Singaporean entrepreneur, our regional footprint enables entrepreneurs to set up a business in Indonesia, remotely from Singapore. As we are part of In.Corp Group Singapore, a collaborative effort between both teams will also ensure the process leverages on existing regulations that are beneficial for our clients.
Get in touch with our team to discuss your business setup plan in Indonesia by filling in the form below.