Service Category: Business Setup​

Are there any risks when buying a shelf company?

Shelf companies are acknowledged by Indonesian law, with no legal restrictions on their purchase. However, choosing a trustworthy Indonesian partner is essential, as not all shelf companies might be clean. Ensure that a shelf company has a clear business history, zero activities since its establishment, and no debt before purchasing.

Corporate Recovery & Bankruptcy or Insolvency Services in Indonesia

Minimizing losses and maximizing recoveries
from bankruptcy is indeed possible

Today’s business environment is volatile, and no one can predict what will happen next. Especially during difficult times, some companies may find it challenging to recover credits or discharge debts – leading to the need for corporate recovery.

The current COVID-19 pandemic has slowed down the global and local economies. Various business sectors and industries have been profoundly impacted, leading to bankruptcy or insolvency for many businesses across Indonesia.

To support businesses and companies in Indonesia and help them survive during this unfortunate time, we provide corporate recovery and bankruptcy or insolvency services that can assist you in weathering the storm.

Procedures for Bankruptcy Filing

Bankruptcy filing and debt suspension filing in Indonesia are somewhat complicated. It would be wise to consult with insolvency and bankruptcy professionals who can explain the procedure of corporate recovery in great detail and assist you in every step.

Filing bankruptcy can help business owners by discharging debts or making plans to repay debts. In short, the procedure for filing bankruptcy in Indonesia is as follows:

  • File bankruptcy: it can be either self-filed or filed by creditors.
  • Wait approximately 30 days to see whether a bankruptcy filing is approved or rejected.
  • If the bankruptcy filing is approved, arrange a meeting with creditors for a peace proposal.
  • If approved, the next step is homologation or verification, followed by the bankruptcy being terminated or lifted. If rejected, the next step is asset designation, followed by asset distribution.

Note: if a bankruptcy filing is rejected, there will be cassation and judicial review before going through the bankruptcy filing process all over again.

In addition to filing for bankruptcy, business owners can also file for debt suspension. When debt suspension filing is approved, creditors agree to suspend the scheduled payments so that debtors can allocate their resources to coping with and surviving a difficult time.

Procedures for Bankruptcy Filing

Debt Suspension (PKPU) Filing in Indonesia

Debt Suspension (PKPU) Filing in Indonesia<

The procedure for filing PKPU in Indonesia is as follows:

  • File PKPU: it can be either self-filing or filing by the creditor.
  • For self-filing: wait for a court decision within three days and go through the PKPU process (max. 270 days). If approved, an accord will be issued. If rejected, you will be declared bankrupt and arrange a meeting with creditors (see Procedure for Bankruptcy Filing – step 3).
  • For filing by creditors: issue a summons letter to the debtor within seven days before the day of the trial, wait for a court decision within 20 days and go through the PKPU process (max. 270 days). If approved, an accord will be issued. If rejected, you will be declared bankrupt and arrange a meeting with creditors (see Procedure for Bankruptcy Filing – step 3).

What to Expect from Our Corporate Recovery & Bankruptcy or Insolvency Services in Indonesia

A team of bankruptcy experts at InCorp Indonesia (formerly Cekindo) can assist you in navigating matters related to bankruptcy and insolvency regardless of business sector and industry.

You can select from a suite of advice and recommendations that include, but are not limited to, the following:

  • Investigation of company affairs, including assets, liabilities, and claims of creditors and other stakeholders.
  • Liquidity review and analysis.
  • Bankruptcy filing and debt suspension filing.
  • Debt restructuring strategies.
  • Sourcing funds, lenders, and potential investors.
  • Mergers and acquisitions.
  • Company dissolution.

What to Expect from Our Corporate Recovery & Bankruptcy or Insolvency Services in Indonesia

Start Your Corporate Recovery by Consulting with Experts

InCorp Indonesia (formerly Cekindo) was established to accomplish its primary goals: to support business growth and save businesses. With 10+ years of experience in the Indonesian market, our team of dedicated professionals can provide expert guidance and assistance in numerous distressed situations. From investigations and litigation to debt or equity financing and business restructuring or turnaround, we would be happy to discuss this with you.

Reach out to us by completing the form below so we can immediately assist you with our corporate recovery and bankruptcy or insolvency services in Indonesia.

Contact Us Now

Company Registration in Indonesia

Types of Legal Entities for Foreign Investors in Indonesia

company registration indonesia pma

PT PMA

If you are a foreign investor that wants full control of your business, then establishing a PT PMA is the best option you can opt for. PT PMA is the only legal entity in Indonesia that allows up to 100% foreign ownership. However, each sector has regulations on their permitted business activities as well as the maximum amount of shares foreigners can own determined by the Positive Investment List.


Incorporate a PT PMA today

General Representative Office (KPPA)

A representative office (RO) is suitable for foreign investors and business owners that are at the early stage of expanding into Indonesia. RO’s allow foreign businesses to test the Indonesian market before establishing any commercial operations. RO’s also work best for non-sales activities, such as customer service support, approaching potential clients, as well as conducting marketing and brand awareness initiatives.


Establish a KPPA now

company registration in indonesia - representative office

Representative Office for Business Trading (KP3A)

KP3A is a representative office that is established specifically for business trading. Both general and trading RO’s are prohibited from conducting business activities that generate financial income. However, a trading RO may be established in any part of Indonesia, whereas a general RO is not able to do so.


Establish a KP3A now

Representative Office for Construction Company (BUJKA)

Similar to KP3A, a BUJKA is a representative office specifically established for foreign construction companies. A BUJKA may engage in large-scale construction projects, but only under a joint operation with a local company known as Local PT. Despite its limitations, a BUJKA is still a good start for foreign construction companies to set their footprint in Indonesia, as they are allowed to collaborate on building projects without obtaining a construction license (SIUJK).


Establish a BUJKA now

The Process of Setting Up A Company in Indonesia

Internal Process

Consultation

Talk to our experts about your expansion objectives in Indonesia.

Collecting Required Documents

Provide us with all the documents required for company establishment.

Document Review

We ensure your submitted documents are aligned with the latest regulations.

Drafting

We will draft your application letter addressed to related government bodies.

Documents Submission

We file all your documents to the related government bodies on your behalf.

External Process

Registration of Indonesian Tax ID (NPWP)

An NPWP is required to secure other business licenses, open a bank account, and fulfilling tax obligations.

Obtain Indonesian Business Identification Number (NIB)

A NIB is required for a company to conduct immediate business operations.

Deed of Incorporation (For PT PMA)

A Notary should draft and legalized your Deed of Incorporation.

Approval of Legal Entity (For PT PMA)

After submission of Deed of Incorporation by the notary, the Ministry of Law and Human Rights will give approval.

Securing Other Licenses (For PT PMA)

Some sectors and business activities require more specific business licenses and permits. This process can from 7 to 20 days, depending on your business sector.

*The estimated time after all the required documents are deemed eligible for submission to the related government’s bodies.

Comparisons of Company Establishment Options for Foreign Investors in Indonesia

  • PT PMA

  • Nature

    • Allows profit-generating business activities
    • Allows up to 100% foreign ownership
    • Ideal for business sectors that are open for foreign investment

    Structure

    • Minimum two shareholders (corporate/individual)
    • Minimum one local director
    • Must have at least one commissioner (can be a foreigner with a valid work permit)

    Capitalisation

    • Minimum IDR 10 billion of investment
    • At least IDR 10 billion should be provided as a paid-up capital

    Benefits

    • Full control of business
    • Eligible to sponsor work and stay permit for foreign employee

  • KPPA

  • Nature

    • Not allowed to generate financial income
    • Allows up to 100% foreign ownership
    • Ideal for testing the waters before setting up a fully-fledged company
    • Works best for non-sales activities

    Structure

    • No shareholder or director required
    • One chief executive is sufficient

    Capitalisation

    • No capital is required

    Benefits

    • Low incorporation cost
    • Eligible to sponsor work and stay permit for foreign employees

  • KP3A

  • Nature

    • Not allowed to perform any sales and purchase activities
    • Allows up to 100% foreign ownership
    • Ideal for liaising, promotional, and market survey activities

    Structure

    • No shareholder or director required
    • One chief executive is sufficient

    Capitalisation

    • No capital is required

    Benefits

    • Low incorporation cost
    • Eligible to sponsor work and stay permit for foreign employee
    • Can open a branch office in any part of Indonesia

  • BUJKA

  • Nature

    • Permitted to engage in large-scale construction projects within a joint operation with a Local PT
    • Best suited for the larger global construction companies

    Structure

    • No local shareholders are required

    Capitalisation

    • No capital is required

    Benefits

    • Low incorporation cost
    • Allowed to work on a construction project in a joint operation with a Local PT without acquiring a construction license (SIUJK)
    • Eligible to sponsor work and stay permit for foreign employee
Nature

  • Allows profit-generating business activities
  • Allows up to 100% foreign ownership
  • Ideal for business sectors that are open for foreign investment

Structure

  • Minimum two shareholders (corporate/individual)
  • Minimum one local director
  • Must have at least one commissioner (can be a foreigner with a valid work permit)

Capitalisation

  • Minimum IDR 10 billion of investment
  • At least IDR 10 billion should be provided as a paid-up capital

Benefits

  • Full control of business
  • Eligible to sponsor work and stay permit for foreign employee
Nature

  • Not allowed to generate financial income
  • Allows up to 100% foreign ownership
  • Ideal for testing the waters before setting up a fully-fledged company
  • Works best for non-sales activities

Structure

  • No shareholder or director required
  • One chief executive is sufficient

Capitalisation

  • No capital is required

Benefits

  • Low incorporation cost
  • Eligible to sponsor work and stay permit for foreign employees
Nature

  • Not allowed to perform any sales and purchase activities
  • Allows up to 100% foreign ownership
  • Ideal for liaising, promotional, and market survey activities

Structure

  • No shareholder or director required
  • One chief executive is sufficient

Capitalisation

  • No capital is required

Benefits

  • Low incorporation cost
  • Eligible to sponsor work and stay permit for foreign employee
  • Can open a branch office in any part of Indonesia
Nature

  • Permitted to engage in large-scale construction projects within a joint operation with a Local PT
  • Best suited for the larger global construction companies

Structure

  • No local shareholders are required

Capitalisation

  • No capital is required

Benefits

  • Low incorporation cost
  • Allowed to work on a construction project in a joint operation with a Local PT without acquiring a construction license (SIUJK)
  • Eligible to sponsor work and stay permit for foreign employee

Trademark Registration Services in Indonesia

When Will You Need Pre-Arrival Visa

Why Use A Trademark Registration Service in Indonesia?

In Indonesia, you can register your brand’s trademark on your own. However, there are some things to note before registration can be done – one of which is compliance. The trademark application process in Indonesia is regulated by law No. 11 of 2020 regarding the Job Creation article 108.

The Directorate General of Intellectual Property Rights under the Ministry of Law and Human Rights promotes the law to protect broader types of trademarks. The law also helps in expediting the process for trademark registration in Indonesia.

Although the trademark application process is now more streamlined, there are some requirements that need to be fulfilled. Applicants must also understand the time required to complete the process. You can opt for a trademark registration service in Indonesia to focus more on your business processes.

Set Up Your Trademark

Requirements for Pre-Arrival Visa Registration

The Importance and Benefits of Trademark Registration in Indonesia

Copyright infringement and piracy still pose issues that can damage a business. To gain control and advantages in the situation, brands and companies should start trademark registration immediately. There are some significant benefits that you can optimize after getting a registered trademark.


To safeguard your business, completing trademark applications may grant you a court advantage. This particular benefit is helpful, especially when there is a case of copyright infringement. With your trademark registered, your business can take down any piracy attempts, online and offline.

The law will recognize your company as the trademark owner and hence will rule upon the evidence, giving you a court advantage.


A trademark is an intellectual property that serves as a valuable commodity for your business. Therefore, you have options to sell or franchise your brands to raise your business profitability. Registered products and services under your brand will become more valuable to leverage as part of the branding and marketing strategies.


This strategy also will give benefit your brand positioning. With solid positioning, your brand will be more widely known to the audience, which will help your business to stand out from the competitors.

Register Trademark

cekindo

One-Stop Solution for Trademark Registration Service in Indonesia

With seasoned experience in business incorporation and administration, Cekindo offers trademark registration services in Indonesia and will assist you thoroughly according to the current regulations.

Our services range from providing assistance in the application process, intellectual property rights consultant, certified translator, as well as trademark market researcher. Cekindo will complete all the required preparation on your behalf in offering the full trademark registration service in Indonesia.

Talk to Our Consultants

Why Choose Cekindo?

1

STRATEGICALLY
DESIGNED

The trademark registration service by Cekindo is tailored for your company’s strategic goals.

2

COMPREHENSIVE SERVICES

Cekindo provides comprehensive services on trademark registration in Indonesia to make sure all the process is done correctly.

3

TIME AND COST EFFICIENCY

By consulting with Cekindo about your trademark plans, we will help you better allocate the time and costs that suit your business needs.

Registering a Representative Company in Indonesia

Why Do You Need to Set Up a Representative Office in Indonesia?

A representative office means market presence without large capital investment.
The primary purpose of representative offices in Indonesia is testing the water before the actual company incorporation.

Furthermore, a representative office might conduct market research, approach potential clients and build brand awareness of your business. However, no activities that generate profit are allowed, and this is the prominent factor that distinguishes a representative company in Indonesia from other legal entities.

The Benefits of Representative Office in Indonesia

Low Incorporation Cost

As mentioned, a representative office (RO) is an affordable way of how to penetrate the market in Indonesia. Whether you are not sure about your target audience or the presence of business partners, these companies will help you to understand the Indonesian market properly.

Visa Sponsorship

Even though representative offices are not permitted to generate revenues, they are entitled to sponsoring work and stay permits for their foreign employees. Moreover, an RO can sponsor a business visa for business partners coming to Indonesia.

Organisational Structure

To establish a representative office in Indonesia might be the most feasible solution for many entrepreneurs due to its lenient corporate structure. As opposed to a foreign company no shareholder or director is required, and only one chief executive is sufficient.

Registration Process of a Representative Office in Indonesia

setting up a representative office in Indonesia - icon1
Step 1: obtaining a representative office (KPPA) license

setting up a representative office in Indonesia - icon 2
Step 2: obtaining domicile letter from the local subdistrict

setting up a representative office in Indonesia - icon 3
Step 3: applying for taxpayer registration number (NPWP)

setting up a representative office in Indonesia - icon 4
Step 4: getting a company registration certificate (TDP)

Starting a Representative Office in Indonesia with Cekindo

Cekindo is a one-stop market entry provider that will assist you throughout the whole process of representative office formation. We will not only advise you on the most suitable type of an RO but also incorporate the company on your behalf.

Currently, four types of representative offices are available:

  1. KPPA: General RO of a Foreign Company
  2. KPPPA (known as KP3A or K3PA): RO of a Foreign Trading Company
  3. BUJKA: RO of a Foreign Construction Service Company
  4. KPPA MIGAS: RO of a Foreign Oil and Gas Company

Let us guide you through the representative office registration process and achieve the best results promptly. Fill in the form below or visit us in one of our offices located in Jakarta, Semarang or Bali and we will provide you with a free quotation on your business.

How to Set Up a Local PT Company in Indonesia

Local Company (PT) is the most common legal entity in Indonesia. Even though a local company is intended for Indonesian citizens only, there are some circumstances under which a foreign investor can incorporate a local company in Indonesia as well.

Benefits of a Local PT Company in Indonesia for Foreigners

Even though there are other legal entities particularly designed for foreigners — a limited liability foreign-owned company and representative office — starting a local company might bring more benefits to some foreign entrepreneurs.

Not Restricted from Some Business Fields

The Negative Investment List is a document that regulates foreign ownership of businesses based on business sectors they operate in. Thus, some business activities are fully closed to non-domestic investors, and some are partially limited. On the other hand, a local company is not a subject to this regulation, and it might be the only choice how to start a business in Indonesia in your field.

Lower Incorporation Costs

In comparison with a foreign-owned company, the paid-in capital of a local company is much lower. In general, it ranges from IDR 50,000,000 up to more than IDR 10,000,000,000. The amount of the capital defines the size of the company, which further determines whether a company is eligible to sponsor a work permit for a foreign worker (and how many).

  • Small : IDR 50,000,000 – 500,000,000
  • Medium : IDR 500,000,001 – 10,000,000,000
  • Large : above IDR 10,000,000,001

Registration Process of a Local PT

Icon 1 - company-nameSTEP 1: COMPANY NAME APPLICATION
Submit your company name to Ministry of Law & Human Rights

icon 2STEP 2: ARTICLE OF ASSOCIATION PREPARATION
This requires presence of a notary

icon-3STEP 3: DEED OF ESTABLISHMENT APPROVAL
Deed of Establishment is approved by Ministry of Law & Human Rights

icon-4STEP 4: CERTIFICATE OF DOMICILE ACQUISITION
Obtained from local government to show business location

icon-5STEP 5: TAXPAYER REGISTRATION NUMBER (NPWP) APPLICATION
To secure other licenses, fulfill tax obligations and open a bank account

icon-6STEP 6: BUSINESS IDENTIFICATION NUMBER (NIB) APPLICATION
Application is done via Online Single Submission (OSS) system

icon-7STEP 7: COMPANY REGISTRATION CERTIFICATE (TDP) ACQUISITION
After, you can apply for additional licenses (if required)

Starting a Local Company with Cekindo

If you are not sure what type of company is suitable for your business, contact us via the form below or visit us in one of our offices located in Jakarta, Semarang and Bali. Cekindo will assist you to establish your local company in Indonesia based on your needs.

Business Setup in Indonesia

Key Services

Tittle Here.. (ex: Company Registration in Jakarta)

Description here..

Tittle Here.. (ex: Company Registration in Jakarta)

Description here..

Tittle Here.. (ex: Company Registration in Jakarta)

Description here..

Learn About Property & Land Ownership in Indonesia

Property & Land Ownership in Indonesia

Offering a wide range of business opportunities, Indonesia is often seen as an attractive Asian country for foreign investment. One of the sectors currently thriving is the construction industry, valued at USD 238 billion in 2021 and projected to by more than 5% in the next four years.

This projection will attract more interest from investors, which will aid in job creation. With such an optimistic projection, foreign investors need more convenience regarding property regulation and land ownership in Indonesia.

The Minister of Agrarian Affairs and Spatial Planning/Head of the National Land Agency has issued Regulation No. 18 of 2021 on Procedures for the Determination of the Right to Manage and Rights over Land.

The regulation states that foreigners who have secured immigration documents could own landed houses or multistory housing that occupy certain types of land with specific requirements:

1. Landed houses

  • The relevant property positively impacts local economic and social life,
  • Foreigners have secured a permit from the Minister
  • Residency ownership for foreign representatives

2. Multistory housing, which falls into the commercial category

Cekindo will provide the necessary assistance to help you obtain the property and land ownership requirements.

Lands Title Available in Indonesia

Once your desired land or property has been obtained, you should attain some titles.
The Agrarian Law specifies several regulations concerning the titles and rights over land in Indonesia.


The Price Mechanism of Land & Property Ownership
for Foreigners in Indonesia

Other than the relevant documents, foreigners must comply with the price mechanisms to obtain land & property ownership in Indonesia. The price varies in every region.
Find the details below.

NoRegionMinimum Value to Purchase by Foreigners*
Landed HouseMultistory Housing
1JakartaIDR 10 billionIDR 3 billion
2BaliIDR 5 billionIDR 2 billion
3BatamIDR 3 billionIDR 1 billion
4BantenIDR 5 billionIDR 2 billion
5East JavaIDR 5 billionIDR 1.5 billion
6West JavaIDR 5 billionIDR 1 billion
7YogyakartaIDR 5 billionIDR 1 billion
8Central JavaIDR 3 billionIDR 1 billion
9West Nusa TenggaraIDR 3 billionIDR 1 billion
10North SumatraIDR 3 billionIDR 1 billion
11East Kalimantan & South SulawesiIDR 2 billionIDR 1 billion
12Other RegionsIDR 1 billionIDR 750 million

Cekindo will professionally arrange the most suitable and risk averse plan for your land & property ownership investment in Indonesia.

*The scheme can change at any time

Cekindo as The Solution for Land & Property Ownership in Indonesia

1

Complete
Services

Cekindo provides complete services to help you obtain the correct titles and other.

2

One-Stop
Solution

Foreigners who want to own land & property in Indonesia must provide valid.

3

Through
Consultation

Cekindo offers thorough consultations before you go through the land & property.

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