Choosing a company name is one of the first, and often most strategic, steps in establishing a company in Indonesia.
The name of your company reflects its identity, communicates its values, and shapes how customers, investors, and business partners perceive your brand.
Whether you are setting up a local business or a company with foreign direct investment in Indonesia, selecting the right name requires careful consideration of Indonesia’s corporate naming regulations.
While many entrepreneurs assume they are free to use English or other foreign-language names, the answer depends largely on the ownership structure of the company and the applicable legal framework.
General Rules for Naming an Indonesian Company (PT / PT PMA)
Indonesia’s Company Law (Law No. 40 of 2007 on Limited Liability Companies) establishes the basic requirements for naming a Limited Liability Company or Perseroan Terbatas (PT). Regardless of ownership, every company name must comply with several legal restrictions.
A proposed company name in Indonesia cannot:
- Be identical or substantially similar to an existing registered company name;
- Contradict public order or morality;
- Resemble the name of a government institution, state agency, or international organisation without prior approval;
- Consist solely of the company’s purpose or business activity without a distinctive name;
- Be composed only of numbers or letters that do not form meaningful words; or
- Misrepresent the company’s legal status or imply another form of legal entity.
These provisions are intended to promote legal certainty, prevent public confusion, and ensure that every company registered in Indonesia has its own unique corporate identity.
When choosing a corporate name, business owners should also consider whether the proposed name conflicts with an existing trademark or established brand name. Although company name approval and trademark registration are separate legal processes, conducting both checks can help reduce future legal disputes and branding challenges.
When Must a Company Name Be in Indonesian?
More detailed provisions are set out under Indonesia Government Regulation No. 43 of 2011 concerning the Procedure for Applying for and Using Limited Liability Company Names.
Under this regulation, a Limited Liability Company whose shares are entirely owned by Indonesian citizens and/or Indonesian legal entities is required to use Bahasa Indonesia when selecting its company name. In other words, wholly Indonesian-owned companies are generally not permitted to register company names using foreign-language words or expressions.
The regulation also requires company names to be written using the Latin alphabet. Where abbreviations are used, they may consist of initials or acronyms derived from the company’s registered name.
What About a Foreign Company in Indonesia (PT PMA)?
The Indonesian language requirement applies specifically to companies that are wholly domestically owned.
For a Foreign company in Indonesia established as a PT PMA (Foreign Investment Company), the regulations provide greater flexibility. Because a PT PMA is a company with foreign direct investment, it is generally permitted to use English or other foreign-language terms when selecting the name of your company, provided the proposed name complies with Indonesia’s corporate naming regulations and receives approval from the relevant authority.
This flexibility enables international businesses to maintain global branding while operating legally in Indonesia.
However, even for PT PMA companies, the proposed company name must remain distinctive and cannot use the same name as another company that has already been approved and registered.
Company Registry: Additional Guidance Under Presidential Regulation No. 63 of 2019
The obligation to use Bahasa Indonesia for locally owned companies was reaffirmed through Presidential Regulation No. 63 of 2019 on the Use of the Indonesian Language.
The regulation confirms that the Indonesian-language requirement only applies to companies whose shares are fully owned by Indonesian individuals or Indonesian legal entities.
Nevertheless, limited exceptions are recognised. Business entities possessing historical, cultural, customary, or religious significance may use regional languages or foreign-language names, provided they are written using the Latin alphabet.
Why Your Company Name in Indonesia Matters
Selecting the right Indonesia company name is more than a branding exercise—it is a legal requirement during the incorporation process.
Before a business can be legally established, the proposed company name must be reviewed and approved by the relevant authorities. If the proposed name does not comply with Indonesian regulations or attempts to use the same name as an existing registered company, the application may be rejected, resulting in delays to incorporation and additional administrative procedures.
For this reason, entrepreneurs—particularly those establishing a PT PMA or other Foreign company in Indonesia—should verify both the availability of their preferred company name and any potential trademark conflicts before submitting incorporation documents.
A carefully selected brand name not only strengthens your market presence but also supports a smoother registration process.
FAQs
How is the name of your PT PMA approved during incorporation?
During the incorporation of a PMA company, the proposed name of your PT PMA must first be reserved and approved through the company registration system managed by the Ministry of Law and Human Rights. The authority will verify that the proposed name:
- Is not identical or substantially similar to an existing registered company;
- Does not violate public order or morality;
- Does not resemble the name of a government institution or international organisation without permission; and
- Complies with the applicable legal requirements for company names.
After the company name is approved, the incorporation process may continue with deed preparation, BKPM (or the relevant investment authority under the current OSS framework) registration requirements, business licensing, and other regulatory procedures.
Can I use an abbreviation or acronym as my PT name?
Yes. Indonesian regulations allow a company name to include an abbreviation or acronym, provided it forms part of the company’s registered name and is written using the Latin alphabet.
The abbreviation may consist of the initials or an acronym derived from the company’s full legal name. However, it must still comply with the general naming requirements and receive approval from the Ministry of Law and Human Rights before the company can be incorporated.
Can two companies have similar names in Indonesia?
No. To avoid public confusion and protect legal certainty, a company in Indonesia cannot register a PT name that is identical or substantially similar to an existing registered company. Businesses also cannot use the same name as another company that has already received approval. Before incorporation, it is advisable to conduct a company name availability search and review any existing trademark registrations to improve the likelihood of approval.
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Register Your Business in Indonesia with Lets Move Indonesia
Whether you are establishing a PT PMA in Indonesia, incorporating a local Limited Liability Company, or expanding as a Foreign company in Indonesia, selecting a compliant company name is one of the first and most important decisions during the incorporation process.
At Lets Move Indonesia, our experienced business consultants provide comprehensive assistance with company registration, PT PMA incorporation, company name reservation, KBLI selection, OSS registration, business licensing, and ongoing corporate compliance.
We help ensure the name of your company complies with the latest regulations in Indonesia while supporting a smooth and efficient incorporation process from start to finish.
If you are planning on establishing a company in Indonesia, contact Lets Move Indonesia today and let our team guide you through every stage of incorporation, from choosing a corporate name and securing company name approval to obtaining the licences your business needs to operate with confidence.
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