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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 todays 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 a current political and economic climate supporting foreign investments, Indonesia has become a lucrative target for many foreign investors. So, how to start a business in Indonesia has frequently come to our minds.
In this article, we would like to discuss what every foreign investor should consider before starting a business in Indonesia.
Starting a business in a foreign country can be both exciting and challenging. With its vibrant economy and diverse market, Indonesia offers promising opportunities for foreign entrepreneurs. If you’re considering venturing into this dynamic landscape, follow these comprehensive steps to navigate the process of starting a business in Indonesia as a foreigner.
Before embarking on your entrepreneurial journey, conduct thorough research about the Indonesian market. Identify potential gaps in the market, understand local consumer preferences, and analyze your competitors. Formulate a solid business plan that outlines your objectives, target market, value proposition, and revenue projections. Having a well-defined plan will not only guide your actions but also demonstrate your commitment to Indonesian authorities.
Selecting an appropriate business structure is crucial. As a foreigner, you can opt for a Limited Liability Company (PT PMA), which allows foreign ownership. Collaborate with a legal consultant to determine the most suitable structure for your business. Register your business name and obtain a unique tax identification number (NPWP).
Indonesia mandates minimum capital requirements for foreign-owned businesses. Prepare the necessary funds and deposit them in a local bank account. Your investment plan should align with the regulations the Indonesia Investment Coordinating Board (BKPM) sets. Prepare financial statements and a feasibility study to demonstrate the viability of your business.
Navigating the regulatory landscape in Indonesia requires acquiring the appropriate licenses and permits. Work closely with legal experts to secure necessary approvals from relevant authorities such as the BKPM and local government agencies. Joint permits include the Business License (Izin Usaha) and Location Permit (Izin Lokasi).
If your business requires hiring local employees or bringing in expatriates, you must comply with Indonesia’s labor laws. Obtain the necessary work permits and visas for your foreign employees. Consider partnering with a professional employer organization (PEO) to streamline the employment process and ensure compliance with employment regulations.
Before you decide to start your investment in Indonesia or to start opening a business in Bali or anywhere else in Indonesia, you need to know step by step how to create a company, and you need to consider the following things:
Please note that some sectors or industries are prohibited or limited to foreign investment. The list is written in the Positive Investment List. In the list, some sectors limit foreign ownership from zero (0) to ninety-five (95) percent. This will lead you to a further question: Should you find a local partner(s) or not? However, foreigners can fully own some businesses (100%).
Since the government of Indonesia wants to protect its micro, small, and medium enterprises, there is a policy stating that to open a business in Indonesia. The company needs to be registered as a foreign limited liability or PMA. To start a business in Indonesia as a foreign company, it must meet requirements regarding minimum investment and paid-up capital.
Read more: How to establish PT PMA in Indonesia
Read more: How to establish PT PMA in Indonesia
Although Indonesia is listed as the fourth most populated country in the world, with over 60% of the total population in their productive ages (15-60 years old), not all have sufficient skills to participate in the industrial and commercial world.
The education sector does not spread equally in its large territory. This condition causes companies to face difficulties in finding talent pools, especially in areas outside Java Island.
On the other hand, hiring foreign talents also requires complex requirements. This will become a challenge that every PMA needs to solve. Some successful PMAs in Indonesia address this issue by providing considerable training to fill the talent shortage gap.
Therefore, you must selectively choose human resources based on your needs to avoid more costs by hiring unskilled or unsuitable people.
Indonesia is not only the biggest archipelago nation in the world but also the most complex and fragmented market. Considering that there are many races, languages, religions, customs, and values, you cannot treat Indonesia as a single market entity. Every target group has its own needs that the business needs to address.
Before starting your business in Indonesia, you must highlight that the bureaucracy in Indonesia is so long and complex, including international trade in Indonesia. And make any foreigners who are new to this environment feel overwhelmed.
Although the government has already started some online systems and a One-Stop-Service Center to cut the bureaucracy, there are still some complex processes.
Read more: Easy Investing in Indonesia
Read more: Easy Investing in Indonesia
On the other hand, the policies or laws are often inconsistent and changed (for example, regarding the Positive Investment List and the Bankruptcy Law). This should be put into your awareness that keeping up-to-date with the recent laws and policies is very important to start a business in Indonesia.
The development in Indonesia has long been focused on the area of Java Island (6 Provinces: The Capital City of Jakarta, Banten, West Java, Central Java, The Special Region of Jogjakarta, and East Java). All the infrastructure and facilities are highly concentrated on this Island. Therefore, doing business in these 6 Central Java provinces has been a trend for so long.
However, there are also some other big cities on other islands that foreign investors target. All you need to consider is researching to match your business with the places with the most significant potential to support your company.
Indonesia has plentiful and diverse kinds of natural resources. If you need natural resources and raw materials to run your business, make sure you know where you can get them quickly. Consider that Indonesia consists of islands that are spread over a vast territory. The distribution of goods can be extremely costly.
Regardless of the business sectors, many foreign companies expect to run profitable businesses in huge markets with fast-growing economic conditions.
You may wonder what business entity you should choose to legally operate your business in Indonesia. Further, we will help you understand Indonesian Company Law.
Read more: Overview of Business Setup in Indonesia
Read more: Overview of Business Setup in Indonesia
Suppose you have seen the potential of this archipelago country and considered taking part in its business sector. In that case, you need to know what kind of investment you can perform in Indonesia to set up a company in Indonesia.
To start a business in Indonesia, you can open a representative office or make a direct foreign investment (PT. PMA).
The representative office (RO) is set up for specific purposes, such as promotion, marketing, buying-selling agents, or market research. You will generally get an operational license for two years as an RO.
To invest directly in Indonesia, you must establish a limited liability company. And it’s owned wholly or partly by a foreigner(s) that is called PT. PMA (or simply PMA). There are many legal documents to prepare and some requirements the company should meet.
The establishment of PMA is governed by Law No. 25 year, 2007 (Investment Law) and Law No. 40, 2007 (Company Law).
Before establishing an RO or a PMA, you must also know about the Negative Investment List. This is because some industries in Indonesia are strictly closed or partially closed to foreign investment.
The list is subject to revisions by the central government of the Republic of Indonesia, so you have to keep yourself up to date about it.
For the sectors or industries that are partially closed to foreigners, you still can run your business or PMA in Indonesia with the existence or co-partnership with Indonesian citizens.
After you have understood the negative investment list and decided the type of investment you want to have. You can start preparing some prerequisite documents to establish your company so that you can start running a business in Indonesia.
You must know that the bureaucracy is somewhat complex because the company registration process deals with various government institutions. And it comes to deals from the lowest level to the ministry level.
Contact the Indonesia Investment Coordinating Board (BKPM) for the first step. Even though BKPM already had a One-Stop-Service Center (OSS-C) to improve its services and cut bureaucracy.
You may be overwhelmed by the small details if you are a new person and also because you are unfamiliar with the local rules and language.
Considering the many legal requirements and documents needed in every phase of company registration, our professional team will help you establish a legal business entity in Indonesia. Please fill out the form below and let our expert consultants help your business in 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.