Below we will specify that the process is certainly comprehensive, but easy to understand; actually only require a lot of paperwork and specific duties.
what kind of expatriates wants to set up a company in Indonesia? There are several groups; we name the most common. See if you belong to one, and if not, you can still use this article to get an idea of the process:
- Expats at the end of their contracts and do not want to leave Indonesia again, for their own reasons.
- Expats already legally living in Indonesia who want to start their own business as a side job.
- Foreign (investors) still abroad, who want to invest in Indonesia.
- Expats who want to own a house or apartment without candidates.
There are two different types of suitable companies for expatriates. Both are legal liability limited companies, namely PT with the abbreviation (Perseroan Terbatas).
- The PT PMA or foreign direct investment company, for expatriates who want to invest their own money to hold the shares themselves, work in the business themselves and do not want not having to deal with candidates or other legal constructions. In short, expatriates who want a transparent and direct ownership.
- The PT PMDN or local company, for expatriates who do not use local Indonesians candidates. In this article, we address only the LDCs.
On the Internet, one can find many articles on how to create a business with some details, and if you want more, simply surf your new business together. We recognize four phases in setting up a business.
Overview of the company's configuration phases and the respective documents (licenses, permits, registrations) necessary.
* This article is for expats with the desire to create small and medium enterprises, so we cease to discuss key business requirements and special documents companies need. We use abbreviations, like most Indonesians responders will know that these Indonesian abbreviations.
Realize how many documents are actually needed; 11 for the establishment of the company and 24 if expatriates are hired. All applications will have attachments and this is only for normal business
Phase 1.Planning
- Application and company name registration (BP Nama)
- investment demand presentation with BKPM
- investment Presentation
- BKPM initial Approval (Izin Prinsip)
2. phase implementation
- Draft Articles of Association (AoA)
- notary establishing Act (Akta Perusahaan)
- Approval and legalization of the act and AoA of the Minister of Justice (SK)
3. registration phase
- home Letter from company (LOD)
- tax Identification number (NPWP)
- Letter registration tax
- company registration (TDP)
4. if hiring expatriates
- report on compulsory job (WLK)
- Shot foreign employees Companies (RPTKA)
- statement of the obligation to pay and proof of payment DPKK
- declaration of health insurance (certificate BPJS)
- Actual work permits ( IMTA)
- approval of the Chief of immigration at work (approval Telex)
- limited stay visa to work (VITAS)
- residence permit (KITAS)
- multiple exit and re-entry permit for Indonesia (MERP)
- registering your address with the local police (STM)
- temporary ID card (SKTT)
- temporary resident registration certificate (SKPPS)
- Saving the existence of the employee (LK)
lA lIST nEGATIVE for foreign direct investment
Where, in all this, is not the new negative list. 44 of 2016, published May 24, 2016, for foreign direct investment in?
The negative list is a regulation that determines which areas are open to investment and under which restrictions. Nothing more and nothing less.
* An English translation of this list is available online by SSEK, a firm of Indonesian Legal Consultants: www.ssek.com/download/document/Presidential_Regulation_44_of_2016_ (2016_Negative_List) _English_151. pdf )
forbidden fields (closed) are areas where a small town may not only be involved in, such as casinos and gambling, historical and archaeological remains, telecommunications things, and manufacture of chemicals and alcohol (alcohol). Although alcohol we are still allowed to drink!
The following business areas are allowed with restrictions in the sense that you have a local partner with certain actions. The decisive factor is the number of KBLI the field of activity.
- Agriculture
- Forestry
- Maritime and Fisheries
- energy and mineral resources
- Industry
- Defence and Security
- Construction
- trade
- Tourism and creative economy
- Transport
- Communications and IT
- Finance
- Bank
- Manpower
- education
- Health
If the specific field of activity (look for the number KBLI ) where you want to be active is not the activity is free.
Using the negative list is simple and does not need to see this list as a major obstacle to investment in Indonesia. Just choose the area of activity in which you operate in the Indonesian Standard Classification of Business Fields ( KBLI ).
* ( www2.bkpm.go.id/images/uploads/prosedur_investasi/file_upload/KBLI-2015.pdf and the English file: /// C: /Users/DELL/Desktop/ISIC%20business%20fields%20list.pdf )
your agent can help you satisfactorily if you have done your homework and determined what business field is applicable.
Some activities such as direct sales are squeezed, so companies can legally operate as 100 percent foreign companies. Other sectors, such as distribution warehouse, travel agencies and telecommunications services have had their level of maximum allocation of foreign investment has increased to 67 percent; important, because now abroad gaining full control.
Our motto for this article: If you decide to start your own business and need the assistance of an agent, it is wise and useful if you have an idea of what the agent is doing and where in the process you really are. Show it to your agent or representative and let him point out where you are in the respective phase.
Well ... this is Indonesia. There is no such thing as :.
The average costs of about Rp.45,000,000 including a staff member expatriates, according to the agency