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:
||Application for company’s name at Indonesia’s Ministry of Law and Human Rights
||Preparation of Article of Association from public notary
||Approval of Deed of Establishment at Indonesia’s Ministry of Law and Human Rights
||Acquisition of Certificate of Domicile from local government
||Obtaining of Taxpayer Registration Number (NPWP)
||Obtaining of Trading Business License (SIUP)
||Obtaining of Company Registration Certificate (TDP)