As the capital of Indonesia, Jakarta is not only playing a role as a governing center but also as the center of Indonesia’s economy. Compared to the other major cities in the country such as Bandung, Surabaya, Medan, or Samarinda, Jakarta remains as the favorite destination of investment for the foreign companies.
If your company is interested in opening a new branch in Jakarta, there are several important steps to be taken care of if you want to establish your company in Indonesia’s capital. Here are the steps:
Company’s Name Approval
To set up your company in Jakarta, firstly you must get the company’s name approval from The Ministry of Law and Human Rights. This process is quite tricky since you are not allowed to use any similar names to other companies. The law in Indonesia also states that your company must be named in three words. The ministry has full authority to deny your company’s name registration if there is any violation of the rules.
Getting Principal Permit from BKPM
Badan Koordinasi Penanaman Modal Indonesia (BKPM) is the institution that is responsible for approving, maintain, and conduct the foreign investment application in the entire country. If your company is interested in running a business in Jakarta, they need to make an investment application which contains the grand plan of their investment with the minimum value no less than 1 million USD. This grand plan will be checked by BKPM, and your company will get the principal permit as temporary investment permission. This document can be extended up to two years.
Set Up the Company’s Charter
If you have the permission from BKPM as well as the company’s name approval from The Ministry of Law and Human Rights, you can start to set up the company’s charter using the notary service. In this process, you can build the company in Jakarta (known as PT PMA).
Getting Tax Identification Number
A tax identification number is an important set of numbers that are not only used to pay your company’s taxes to the government but also a company’s identity which can be used to apply for a bank loan as well as obtain other necessary documents for your company.
Setting the Certification of Company Registration
The final step that you need to do before completing the company registration is setting your company’s certification of registration. In Indonesia, this document is called TDP (Tanda Daftar Perusahaan). TDP can be obtained in the provincial government office, so if you are planning to set up your company in Jakarta, you must obtain the document through Jakarta’s provincial government office.
Finally, setting up a foreign company in Indonesia can take a lot of time to accommodate each step above. To ease the efforts in establishing your company in Jakarta, you can use the service of www.company-registration.co.id. Our company experience in establishing multiple foreign companies in Jakarta will speed up the process and finish your company registration in no time.