As a foreign business looking to expand Business into Indonesia, it’s important to understand the ins and outs of the local regulations, as well as the process of setting up a PT PMA Company Incorporation in Indonesia for Foreigners.
PT PMA Company Incorporation for Foreigners, is an exciting and beneficial way for foreign entrepreneurs to begin a business in Indonesia. With the proper guidance, a foreigner can easily register a company and start a business in Indonesia.
Below, we’ll outline five crucial things you should know about Indonesia PT PMA company setup for foreigners so that you can ensure a successful start-up in Indonesia.
Companies in Indonesia must have a minimum capital of 10 billion Indonesian Rupiah, equivalent to around US$680,000 for foreign company setup. It’s also essential to ensure that all the required documents are available and valid for the company registration process. It should be noted that this can be detailed as a business plan to spend the paid-up capital and not necessarily having that amount invested immediately in the bank account.
PT PMA Company
A PT PMA Company is the only type of company that is available for foreigners to establish in Indonesia. A PT PMA Company is a foreign-owned limited liability company incorporated in Indonesia. It allows foreign entities to conduct more activities in Indonesia than in a local company.
Company Incorporation Specialist
To complete the incorporation of a PT PMA Company, it is recommended that a foreigner appoint an incorporation specialist. This company will be a consultant and guide the foreigner throughout the registration process. The incorporation company will be responsible for filing the necessary documents and obtaining the business license for the PT PMA Company and applying for the necessary licenses, visas, etc. One such incorporation specialist in Indonesia is Paul Hype Page Indonesia – they specialize in helping foreign expats to set up companies in the country.
Revenue in Indonesia
The primary purpose of a PT PMA Company is to generate revenue in Indonesia. The company can engage in trading, manufacturing, and service businesses. Any profits generated from these activities must be reported to the Indonesian tax authorities. The company can also receive income from outside of Indonesia; however, it must pay taxes on that as well.
However, not all industries are open to foreign investors. You should check the Positive Investment List for the prohibited industries.
Shareholders and Directors
To form a PT PMA Company, the shareholders must appoint a minimum of two directors and one commissioner. The company directors will have the same legal rights and responsibilities as a director of a local Indonesian company. They will be responsible for managing and directing the company’s activities.
These are just a few key points to consider when looking at Indonesia PT PMA company setup for foreigners. It is important to understand the Indonesian regulations and ensure that all the necessary documents are in order. With some research and preparation, your business can be up and running.
If you have any questions, reach out to an experienced incorporation company for assistance.
With their expertise and help, you can be sure that your business will be legally established and compliant with the Indonesian government regulations. So if you want to start an online business in Indonesia, don’t hesitate to contact Paul Hype Page Indonesia and let them help you get your business up and running.