Some people who plan to start a company in Indonesia have considered doing so without the selection of any shareholders. They would be interested in finding out if such a move is possible, and if so, how the setup of an Indonesian company which does not have any shareholders is to be done.

Incorporate a company in Indonesia without any Shareholders

Shareholders is required to have a minimum of two shareholders; however, if the PMA is completely owned by foreigners, its owners are to sell at least 5% of its shares to a citizen of Indonesia or a legal entity based in Indonesia. Public companies have by far the most stringent requirement related to shareholders among all Indonesia-based companies; they are to have a minimum of 300 shareholders.

Company Types in Indonesia Which Require Shareholders

The number of shareholders required by any company in Indonesia is dependent on the business entity type of the company in question. One of the business entities in Indonesia which require shareholders is that of the foreign-owned company (PT PMA). Every PT PMA based in Indonesia must have a minimum of two shareholders. The shareholders of a PT PMA may be individuals, corporate entities, or a combination thereof. Individuals who own shares of a PT PMA may either be Indonesian locals or foreigners. A locally-owned limited liability company (PT) is also required to have shareholders. Every PT which has been incorporated in Indonesia is mandated to have at least two Indonesian shareholders. A foreign-owned limited liability company (PMA) is required to have a minimum of two shareholders; however, if the PMA is completely owned by foreigners, its owners are to sell at least 5% of its shares to a citizen of Indonesia or a legal entity based in Indonesia. Public companies have by far the most stringent requirement related to shareholders among all Indonesia-based companies; they are to have a minimum of 300 shareholders.