Local Company (PT)
One of the most well-known company types in Indonesia is the local company, which is also known as a PT. It is commonly used by local entrepreneurs but may also be used by foreign investors.
Many business owners in Indonesia choose to establish a PT because owners of a PT are allowed to conduct any business activity of their choice. There is also no obligation to produce a large initial capital investment. On the other hand, those who own a foreign company (PMA) might not be legally permitted to conduct certain business activities. They must also produce a large initial minimum investment.
Information about PTs
A local PT (Perseroan Terbatas) company is a limited liability company established according to the laws of Indonesia. In a local PT, only Indonesian citizens and Indonesian legal entities are allowed to hold shares as registered shareholders. Local PT companies have several features that separate them from other business entities.
Local PT Company Registration Process
(Total time required: approximately 39 days)
The following is the registration process for a local PT company:
|No. ||Procedure ||Duration |
|1 ||Application for company’s name at Indonesia’s Ministry of Law and Human Rights ||1 |
|2 ||Preparation of Article of Association from public notary ||3 |
|3 ||Approval of Deed of Establishment at Indonesia’s Ministry of Law and Human Rights ||3 |
|4 ||Acquisition of Certificate of Domicile from local government ||10 |
|5 ||Obtaining of Taxpayer Registration Number (NPWP) ||2 |
|6 ||Obtaining of Trading Business License (SIUP) ||10 |
|7 ||Obtaining of Company Registration Certificate (TDP) ||10 |
Every local PT company must be completely owned by Indonesian citizens. Foreigners who plan to own a PT will therefore need a local nominee director who has a notarized nominee agreement. Through the use of a local nominee director, the foreigner may retain complete ownership of the PT. In this way, the foreigner may own and run the local PT company so that they are able to expand their business in Indonesia without being constrained by ownership limits in certain business areas.
The minimum requirements to establish a local PT company include two shareholders, one director, and one commissioner.
The required amount of paid-up capital is dependent on the size of the company. Small companies require between 50 million and 500 million rupiah, medium-sized companies require between 500 million and 10 billion rupiah, and large companies require more than 10 million rupiah. PTs which plan to hire foreigners must be medium-sized companies and have a paid-up capital of 1.1 billion rupiah.
Paul Hype Page & Co – OSS service provider and Asean Chartered Accountant.
Paul Hype Page & Co. have 3 physical offices in Singapore, Malaysia and Indonesia
Our Firm Goal is to assist Foreigner and Foreign Companies to set up business in Asean.
How we can help you:
We will call you back, please click below link and make appointment with our Sales consultant:
Step 1- Listen to your Business plan and Relocation needs.
Step 2- Analysis your Tax Planning
Step 3- Recommend the most suited type of Company Incorporation, Open Bank account and Work Visa
Step 4- Arrange for your Spouse and Children Visa
Step 5- Assist as your company to hire staffs and handle all HR matters
Step 6- Every financial year end, we assist you with your yearly OSS Finanical and Tax Complianc
Step 7- Assist you to expand business to Malaysia, Indonesia, Vietnam and Thailand.
Get in Touch with Us Today.
Paul Hype Page
HELIOCENTRIC PTE. LTD.
— Nayagam Zora
Another Successful Company setup with Employment pass.
Happy Client, Zora, HELIOCENTRIC
Zora started her career in media production …