Starting a business in Indonesia can be one of the most rewarding decisions for foreign investors. With its growing economy, strategic location, and welcoming business environment, Indonesia especially Bali offers excellent opportunities for entrepreneurs.
In this guide, we’ll walk you through how to register a company in Indonesia, step by step, and help you understand the legal requirements for foreign-owned companies (PT PMA).
Why You Should Register a Company in Indonesia
Before diving into the process, it’s important to know why registering your business properly matters.
Setting up a legal entity ensures:
- Compliance with Indonesian investment and tax regulations.
- Easier access to business banking, contracts, and permits.
- Eligibility for work and investor visas (KITAS or KITAP).
- Long-term operational stability and credibility.
Types of Companies Foreigners Can Establish
Foreign entrepreneurs generally choose one of these legal entities:
1. PT PMA (Foreign-Owned Company)
This is the most common option for foreign investors. A PT PMA allows foreign ownership according to Indonesia’s Negative Investment List (DNI) and requires approval from BKPM (Investment Coordinating Board).
2. Local PT Company (Nominee Structure)
A local partner holds shares on behalf of the foreign investor. This structure is faster but legally sensitive and must be handled carefully.
3. Representative Office
Ideal for market research or liaison purposes. It cannot engage in direct sales or revenue-generating activities.
Step-by-Step Process: How to Register a Company in Indonesia
Follow these essential steps to legally register your company:
Step 1: Choose a Company Name
Select a unique company name following the Ministry of Law and Human Rights (Kemenkumham) guidelines.
Step 2: Prepare Legal Documents
Draft the Deed of Establishment, Articles of Association, and obtain a Notarial Deed in Bahasa Indonesia.
Step 3: Obtain Approval from the Ministry
Your notarial documents must be submitted to Kemenkumham for official approval.
Step 4: Register for Tax and Business Identification
Apply for a Tax ID (NPWP) and Business Identification Number (NIB) through the OSS (Online Single Submission) system.
Step 5: Open a Company Bank Account
Once your company is legally established, open a corporate bank account in Indonesia to manage business transactions.
Step 6: Apply for Necessary Licenses
Depending on your industry, you may need operational permits such as tourism, construction, or trading licenses.
Step 7: Register for BPJS (Government Insurance)
Register both BPJS Kesehatan and BPJS Ketenagakerjaan for your employees to ensure compliance with labor laws.
Common Challenges Foreign Entrepreneurs Face
Many expats struggle with:
- Understanding the legal framework for foreign ownership.
- Language barriers during documentation.
- Bank account setup and capital verification.
- LKPM (Investment Activity Report) compliance.
Partnering with a local expert like Bali Pro Solusi ensures the process is accurate, compliant, and stress-free.
Why Work with Bali Pro Solusi
At Bali Pro Solusi, we specialize in helping foreign entrepreneurs establish and manage their businesses in Indonesia with confidence.
Our company setup services include:
- Business registration (PT PMA / Local PT).
- Legal document assistance.
- Company bank account setup.
- Tax and accounting compliance.
- Immigration services (KITAS, investor visa).
We ensure accuracy, compliance, and peace of mind, so you can focus on growing your business.
Final Thoughts
Learning how to register a company in Indonesia doesn’t have to be complicated — as long as you have the right partner.
With professional guidance and transparent legal processes, your business can thrive in one of Southeast Asia’s most dynamic markets.
Ready to Start Your Company in Indonesia?
Contact PT. Bali Pro Solusi today to discuss your company registration needs.
We help you build the right foundation. legally, efficiently, and stress-free.
