Establishing a company is the first step to expanding your business operations into Indonesia. Register your business in Semarang and Central Java by choosing the type of company you would like to establish.
If you are a foreign investor wanting complete control of your business, register your business in Semarang and Central Java as PT PMA. 100% foreign ownership is one of the benefits investors can have when running a business in Indonesia. However, there are several regulations regarding business activities to note and other legalities based on the Positive Investment List.
General Representative Office (KPPA)
For the early stages of expanding into Indonesia, a representative office poses as the proper solution. A general representative office is useful for doing research on the Indonesian market before establishing commercial business operations. However, representative offices cannot conduct activities that generate financial advantage for the company.
Representative Office for Business Trading (KP3A)
For a business trading company, KP3A is the representative office that can be established in Indonesia. Although it’s designed for business trading companies, the KP3A is prohibited from conducting business activities that generate financial income. One of the merit differences is that KP3As allow having branches in other regions in Indonesia, while the general representative office is not allowed to do so.
Representative Office for Construction Company (BUJKA)
As another specifically designed representative office, a BUJKA is made only for foreign construction companies. This type of office may engage in large-scale construction projects. However, the activities will be accounted for as a joint operation with a local company known as a Local PT. The collaboration also allows foreign companies to do projects by obtaining a construction license (SIUJK).
The Process of Setting Up a Company in Indonesia
*The estimated time after all the required documents are deemed eligible for submission to the related government’s bodies.