A Simple Guide to Opening a Restaurant in Bali

So, you are planning to open up a restaurant in Bali. You got your plans all worked out into details and you are ready for the hard work – turning your dream into reality. Keep up that spirit! You are going to need it when working through the maze of paperwork, rules and permits when it comes to opening a restaurant in Bali.

There is no need to worry, we can get you through this! Starting a business is never an easy thing and especially in a foreign country like Indonesia or a popular place like Bali.

Setting up your company in Indonesia

Let’s start with the basics. As the founder of your restaurant in Bali, you need to set up a company. From here, you can go two ways.

You can apply for a PT, allowing you to start a local company. The catch is that the company under a PT only, needs to be a 100% Indonesian-owned. This is not so great for foreign investors who want to expand their business to Bali.

If you want be the owner of your company, you will need to apply for a PT PMA. The updated Negative Investment List allows foreigners to own 100% of a business in sectors such as restaurants and cafes in order to attract investors from abroad.

Think about it, talk about it, ask questions and see what would be the best thing for you to do. Cekindo is always happy to help and advise. Do note that since 2015, all businesses need to undergo a financial audit before they can apply for a permanent business license with a validity of 30 years. This way, the Indonesian government is ensured that the investors actually realized their investment plan.

Register your business

Once your company is established, it needs to be operated. A restaurant business in Indonesia falls under the tourism industry sector and therefore you will need to obtain separate permits from the Ministry of Culture and tourism on top of everything else that is needed to set up a company.

The permit you need is called Tanda Daftar Usaha Pariwisata (TDUP). Registering your business and obtaining the TDUP is one of the very first things you will need to do when opening a restaurant in Bali. A validity of TDUP is usually 5 years, however, it depend on the issuance area.

Selling alcohol in Your Restaurant in Bali

What’s a good meal without a glass of wine? Of course, you cannot just sell alcohol in your restaurant, you will need to apply for a special permit called SIUP-MB. If you want to produce your own craft beer or any other drink containing alcohol you will need the SIUP MB and NPPBKC certificates.

Music in Your Restaurant in Bali

The list of licenses to be obtained continues. Do you want to play pre-recorded music or have live music in your restaurant? You will need to obtain intellectual property licenses.

Opening a Restaurant in Bali with Cekindo

Losing sight of what licenses exactly you need for you restaurants? Cekindo will help you to understand which ones you need and which ones you do not. Feel free to contact us and barge us down with all of your questions.