Indonesia is a country with a large market and a growing economy. If you are interested in starting a business in Indonesia, it is important to know the process for registering a business in the country. In this article, we will discuss the steps you need to take to register a business in Indonesia.
Table of Contents
Determine the Business Structure
The first step in registering a business in Indonesia is to determine the type of business structure you want to establish. There are several options available, including a limited liability company (PT), a cooperative (Koperasi), a partnership (CV), a sole proprietorship (UD), and a foreign representative office (KPPA).
Obtain Approval from the Indonesia Investment Coordinating Board (BKPM)
Foreign investors who want to establish a company in Indonesia must obtain approval from the Indonesia Investment Coordinating Board (BKPM). This process involves submitting a business plan and other required documents to the BKPM. Once the BKPM approves the plan, you can proceed with the registration process.
Obtain a Taxpayer Identification Number (NPWP)
All businesses in Indonesia are required to have a Taxpayer Identification Number (NPWP). To obtain an NPWP, you will need to register with the tax office in the area where your business will be located.
Register the Company Name
The next step is to register the company name with the Ministry of Law and Human Rights. The name must be unique and not already in use by another company in Indonesia.
Prepare the Articles of Association (AOA)
The Articles of Association (AOA) is a legal document that outlines the purpose of the company, the rights and responsibilities of shareholders, and other important details. The AOA must be prepared and notarized by a notary public in Indonesia.
Obtain a Deed of Establishment
The Deed of Establishment is a legal document that confirms the existence of the company. This document must be signed by all shareholders and notarized by a notary public in Indonesia.
Register with the Ministry of Law and Human Rights
The final step is to register the company with the Ministry of Law and Human Rights. You will need to submit the AOA, the Deed of Establishment, and other required documents to complete the registration process.
In conclusion, registering a business in Indonesia can be a complex and time-consuming process. However, it is a necessary step for foreign investors who want to do business in the country. Generis Global can help you with the legal part of your business journey in Indonesia. Please contact us for more information.
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