Your small business grows bigger? It may have attracted you to develop it into an enterprise. According to its meaning, an enterprise is a multinational company that has many branches of integrated business in a structured network (information system). In practice, enterprise companies will usually operate at least in two countries.
Also, the enterprise company has a source of funds from direct foreign investment, and the amount is adjusted to the size of the company’s activities. At the global level, the presence of enterprise companies has played a significant role, particularly in engaging in cooperation and making agreements with a country’s government.
Open a New Company Branch
For a company that is expanding its business and is about to open a new company branch, the obstacles are still on how to take care of its licensing. Many are asking about how to open a company in Indonesia Enterprise Company?
Also, many are still puzzled whether the new company branch should apply for the permits as it does at the headquarters or the operational licensing of headquarters is sufficient to support the legality of the new company branch.
How to Open a Company in Indonesia Enterprise Company?
For the procedure of establishing a company branch, there is some applicable standard permission. But again, it depends on the policy in each region.
- Open a branch office of a PMA (Foreign Direct Investment) company, whose permission is from the central government, is done online through the Electronic Information Services and Licensing System (SPIPISE). Meanwhile, the application for the opening of a branch office of a PMDN (Domestic Investment) company whose license comes from the local government is made offline.
- The requirements to be attached are the deed and decree of the parent company; parent company’s NPWP; business license of parent company; deed of the new branch office and appointment of head of branch office; KTP and NPWP of Head of Branch Office; and statement letter about the business location of the branch office.
Following Regulation of the Minister of Trade No. 46/M-DAG/PER/9/2009 (Permendag 46/2009), a branch company is not obliged to make its Trading License (SIUP), but merely use SIUP of its head office.
Regarding the Corporate Registry (TDP), the branch office is required to make a TDP. This is following Article 2 paragraph 1 of regulation in Minister of Trade No. 37/ M-DAG/PER/9/2007 concerning the implementation of company registration (Permendag 37/2007).
Regarding Business Place License (SITU), it is better if your branch office has it which has been adjusted to its domicile. SITU is regulated in the level of local regulations, meaning that each region has different requirements related to SITU. Therefore, in our opinion, SITU should be managed separately for branch offices.
Then based on Investment Coordinating Board (BKPM) explains the opening of Branch Offices. The office shall be issued no later than three working days from the complete and correct application. If the application for opening of Branch Office is rejected, then Head of BKPM will make Rejection Letter no later than five working days.
Taking care of different types of licenses is not easy. It will certainly take up your time. Therefore, you can use the services of Company Registration Co. ID to make things easier. Moreover, this company has had experience in its field for more than 15 years.