Introduction
Indonesia is one of the fastest-growing economies in the world, and it has attracted many foreign investors to invest in the country. If you are planning to invest in Indonesia, you need to know the requirements for setting up a Pt PMA business. In this article, we will discuss the requirements for Pt PMA business in Indonesia.
What is Pt PMA?
Pt PMA stands for Perseroan Terbatas Penanaman Modal Asing, which means a limited liability company with foreign investment. A Pt PMA is a type of company that is established by foreign investors who want to invest in Indonesia.
Requirements for Pt PMA Business
There are several requirements that you need to fulfill when setting up a Pt PMA business in Indonesia. Here are some of the requirements:
1. Shareholders
A Pt PMA must have at least two shareholders. At least one of the shareholders must be a foreigner, and the other shareholder can be a local or a foreigner. The foreign shareholder must hold at least 10% of the shares in the company.
2. Minimum Investment
A Pt PMA must have a minimum investment of IDR 10 billion or its equivalent in other currencies. The investment can come from the shareholders or other sources such as loans.
3. Business Plan
You need to prepare a business plan that outlines your business objectives, strategies, products or services, target market, and financial projections. The business plan must be in Indonesian language and must be approved by the Investment Coordinating Board (BKPM).
4. Company Name
You need to choose a unique name for your company that is not already registered. The company name must be in Indonesian language and must reflect the nature of your business.
5. Deed of Establishment
You need to prepare a deed of establishment that contains all the necessary information about your company, such as the name, address, shareholders, directors, and the amount of capital. The deed of establishment must be notarized by a public notary in Indonesia.
6. Tax Identification Number (NPWP)
You need to obtain a Tax Identification Number (NPWP) from the tax office in Indonesia. The NPWP is required for paying taxes and opening a bank account.
7. Business License
You need to obtain a business license from the relevant government agency in Indonesia. The business license is required for operating your business legally in Indonesia.
8. Foreign Manpower Utilization Plan (RPTKA)
If you plan to hire foreign employees, you need to obtain a Foreign Manpower Utilization Plan (RPTKA) from the Ministry of Manpower in Indonesia. The RPTKA is required for obtaining a work permit (IMTA) for your foreign employees.
9. Investment Registration
You need to register your investment with the Investment Coordinating Board (BKPM) in Indonesia. The registration is required for obtaining a business license and other necessary permits.
Conclusion
Setting up a Pt PMA business in Indonesia requires fulfilling several requirements, such as having at least two shareholders, a minimum investment of IDR 10 billion, preparing a business plan, choosing a unique company name, preparing a deed of establishment, obtaining a Tax Identification Number (NPWP), a business license, a Foreign Manpower Utilization Plan (RPTKA), and registering your investment with the Investment Coordinating Board (BKPM). By fulfilling these requirements, you can operate your business legally in Indonesia and take advantage of the country’s growing economy.
