Many foreigners who start a company in Indonesia choose to start one which is completely foreign-owned. Such companies are known as PT PMAs. There are various laws and requirements which govern PT PMAs in Indonesia; these will be discussed in the text of the following article.

PT PMA Legal Requirements


Many people from all over the world consider Indonesia to be a viable location in which they may live and work. Some even of their own there. of their own there. Foreigners who do so must first and foremost adhere to all of the laws and regulations which govern foreign-owned companies, which are also known as PT PMAs, based in Indonesia. Those who do so will soon find that their business activities will soon thrive as they take advantage of the burgeoning Indonesian market as well as the many business opportunities which present themselves to foreigners who conduct business activities in Indonesia.

Among the most important legal requirements imposed on PT PMAs in Indonesia is that of the paid-up capital requirement. Every PT PMA in Indonesia is required to have at least 2.5 billion rupiah’s worth of paid-up capital. There are two methods by which an owner of a PT PMA may provide verification of this paid-up capital. One of these methods is the signing of a capital statement letter. Such a letter specifies that the shareholders of a PT PMA cumulatively possess at least 2.5 billion rupiah’s worth of usable income and will inject this income into the company once it has been incorporated. Another method which could be used as evidence of paid-up capital is through the transfer of the money to be used into the company’s bank account. It ought to be mentioned, however, that this option is only available to PT PMAs which have already been incorporated because only such companies could have a corporate bank account.