Indonesia is rich in human resources. This is one of the reasons, so many business investors prefer establishing their companies here, especially in big cities like Jakarta. Whether the business is small or big, they all would like to know how to set up a company in Indonesia.
Before you decide to do that, you need to determine the type of your company first. Whether it is a PT (mostly for local companies), a CV, or a PT PMA (involving foreign investors and workers), each has different rules and regulations. Once you have determined which one it is, then you need to know how to set up a company in Indonesia.
If you are a local businessperson, you can choose between a PT or a CV. However, it has been proven that a PT is the most established (and best remembered) company in Indonesia. Plenty of companies in the format of a PT have been around for a long time.
Things To Prepare To Get Your PT Company Established:
- Prepare three names maximum for your company.
- Complete the company founders’ name(s) based on their real IDs.
- The company’s place and position through their complete address.
- The company’s amount of authorized capital.
- The company’s shareholder data and the amount of issued and paid-up capital.
- The business field or the company’s purpose and objectives.
- The company’s board of directors and commissioners.
- The company founders’ ID cards attached to the collection of data.
- The company’s board of directors and commissioners’ tax ID numbers (or NPWP).
- A Power of Attorney to help you in getting the establishment of your company authorized.
The Process of Establishing Your PT Company:
- The founder(s) of the company submit the application for the PT’s establishment. To be on the safe side, they must appear before the Notary with the complete company’s articles of association and the requirements for the Deed of Establishment of your PT company.
- The Notary makes minutes of the copies of the same PT statements. The founders (or their proxies) will sign the deed of incorporation.
- The founders or the power of attorney check for any mistakes on the copies made by the Notary.
- Once the minutes of copies are signed by the founders or proxies and submitted to the Notary, the Notary will make an Authentic Deed of PT Certificate. The Notary will also sign and stamp that certificate.
- The Deed of Establishment must consist of day, date, month, and year as a proof of the PT company’s establishment.
- The Notary will submit the Deed of Establishment to the Minister to have it legalized as the Legal Entity. This is related to The PT Law Number 40/2007 regarding PT Company regulations.
- Your PT Company obtains their Legal Entity status after receiving the legalization through the Decree of The Minister of Law and Human Rights of Indonesia.
- After all of the paperwork above is completed, then your PT Company is officially established.
Although it seems like a long process, doing every step correctly will get your PT Company to be established without a hitch. This is how to set up a company in Indonesia.