Find and compare company incorporation services in Indonesia
We have gathered everything to simplify your company registration in Indonesia. Our service providers can consult you immediately; for company formation requirements, representative offices, company registration fees, and more.
Incorporation options in Indonesia.
FOREIGN-OWNED COMPANY (PT. PMA)
Best for: Businesses planning a large investment with foreign shareholders in Indonesia
LOCAL-OWNED COMPANY (PT)
Best for: Businesses planning a smaller investment with local shareholders in Indonesia
REPRESENTATIVE OFFICE IN INDONESIA (KPPA)
Best for: Foreign companies still unsure about investing in Indonesia and want to research the market
Want to know how muchit can cost to incorporate your company?
Want to know how muchit can cost to incorporate your company?
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Get prepared to incorporate in Indonesia
Procedures, insights, and guides you need to know about Indonesia’s market and regulations for your company formation in Indonesia.
Business incorporation process in Indonesia
All you need to know about the different company options and steps to register a business in Indonesia.
Popular Company Types in Indonesia
Learn the difference between a foreign-owned company, local-owned company, and representative office in Indonesia.
Set up your company without the hassle
Our service providers are equipped to handle your business registration project in Indonesia from start to finish. Sit back while they get your company up and running.
Frequently Asked Questions
Here are the answers to the most popular questions about incorporating in Indonesia, asked by businesses just like you.
(Updated 16 September 2019)
Yes, for some businesses. Some business classifications (KBLI), like restaurants and sports facilities, can be 100% owned by foreigners. Others, such as internet service providers and taxi companies, can only have a certain percentage of foreign ownership.
Indonesia regulates the business categories that are closed to foreign investors in a government document called the 2016 Negative Investment List. You can ask our professional consultant to figure out which category your business should belong to according to Indonesian laws.
A foreign-owned company (PT PMA) needs to perform an investment plan worth minimum IDR 10.000.000.000 or ±USD 700.000 with 25% of it as paid-up capital.
Meanwhile, a local company (PT) has more flexible requirements ranging from IDR 50 million or ± USD 3.600 to above IDR 10 billion or ± USD 712.000.
Finally, a representative office (KPPA) has no capital requirements to set up in Indonesia.
Yes. There is an option to establish a Representative Office (KPPA) in Indonesia with no capital requirement. The aim of a Representative Office is to prepare before PT PMA formation and will only act to represent parents company activities.
However, this company option has its own disadvantages, such as not allowed to generate any revenue. Reach out to our professional consultants to decide the best option.
It can take one to two months. However, it can take longer depending on the licenses you need to get, your company type, and how complex your business activities are.
Generally, a local company (PT) or foreign-owned company (PT PMA) can be established in four to six weeks. Meanwhile, a representative office (KPPA, KP3A, or BUJKA) can be established in two to four weeks.
It all depends on your business activities and your intentions. It’s important to have a clear picture of your business activities because it determines your business classification in Indonesia or KBLI.
Note that there are KBLIs that can be owned 100% by foreigners, however many of them are in the Negative Investment List and therefore restrict or prohibit foreign ownership. In such cases, ask our consultant to advise you which KBLI would be the most convenient for your business.
There are three general types of representative offices that companies can use in Indonesia, which are KPPA, KP3A, and BUJKA.
A general foreign representative office (KPPA) is for general companies, only allowing them to conduct market research and communicate with local stakeholders.
A trading foreign representative office (KP3A) is for trading companies and allows companies to promote their goods in addition to a KPPA’s capabilities.
A construction foreign representative office (BUJKA) is for construction companies and allows them to participate in tenders in cooperation with local construction companies.
Yes, a foreigner can be the director of a foreign-owned company (PT PMA) in Indonesia. Foreigners can also be the head of a representative office (KPPA) with conditions such as at least three years of relevant work experience and enough local employees in proportion.
However, if they want to apply as the director of a local company, the company should at least have at least IDR 1 billion or ± USD 70.000 in capital.
Indonesia
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