Company Registration & Legal Services
PT PMA registration refers to the process of establishing a foreign-owned limited liability company (PT PMA) in Indonesia. PT PMA stands for Perseroan Terbatas Penanaman Modal Asing, which translates to “Limited Liability Company with Foreign Direct Investment.”
PT PMA registration is specifically designed for foreign investors who intend to establish a company or expand their business operations in Indonesia. It provides a legal framework for foreign investors to participate in various sectors of the Indonesian economy, subject to certain restrictions and regulations.
Foreign investors can engage in PT PMA registration to set up new companies or acquire existing local companies. The registration process allows them to operate in various sectors such as manufacturing, services, trading, construction, agriculture, and many others, depending on the prevailing investment regulations and restrictions.
It’s important to note that PT PMA registration is subject to specific eligibility criteria, including minimum capital requirements, sector-specific regulations, and compliance with foreign ownership restrictions. The process involves various steps, such as obtaining licenses, and permits, and fulfilling administrative requirements, all of which are overseen by the Investment Coordinating Board (BKPM) in Indonesia.
At LetsMoveIndonesia, we have experts to help you set up a PT PMA registration and navigate the process, ensuring compliance, and maximizing your investment opportunities in Indonesia.
LetsMoveIndonesia’s expert teams are located across Jakarta & Bali, ready to assist you completely with a hassle-free company registration process!
One of the primary advantages of PT PMA is that it allows for foreign ownership in various sectors. While local PT companies are typically restricted to Indonesian ownership, PT PMAs enable foreign investors to have a majority or 100% ownership, depending on the sector and prevailing regulations. This provides greater control and flexibility for foreign investors in managing their businesses.
One of the primary advantages of PT PMA is that it allows for foreign ownership in various sectors. While local PT companies are typically restricted to Indonesian ownership, PT PMAs enable foreign investors to have a majority or 100% ownership, depending on the sector and prevailing regulations. This provides greater control and flexibility for foreign investors in managing their businesses.
PT PMA has access to a broader range of business sectors compared to local PT companies. Certain sectors, such as telecommunications, transportation, healthcare, and e-commerce, may have restrictions on local PT companies but are open to foreign investment through PT PMAs. This expands the market opportunities for foreign investors in Indonesia.
As a registered foreign-owned entity, PT PMAs benefit from legal protection under Indonesian law. This protection includes property rights, intellectual property rights, contractual agreements, and access to dispute resolution mechanisms. PT PMAs provide a recognized legal framework that safeguards the interests and rights of foreign investors operating in Indonesia.
As a registered foreign-owned entity, PT PMAs benefit from legal protection under Indonesian law. This protection includes property rights, intellectual property rights, contractual agreements, and access to dispute resolution mechanisms. PT PMAs provide a recognized legal framework that safeguards the interests and rights of foreign investors operating in Indonesia.
To register a PT PMA Company(Foreign Investment Limited Liability Company) in Indonesia, a business should have:
The following specific provisions apply to Foreign Direct Investment Companies (PT PMA) if they are keen to invest in Indonesia:
Yes, Indonesia does have a Negative Investment List (DNI). This list outlines the business sectors that are either closed to foreign investment completely, partially closed with certain conditions, or fully open. The Indonesian government regularly reviews and updates this list to attract foreign investment while protecting certain industries. You can find the latest version of the DNI online or consult with a legal professional for details.
No, a foreign business doesn’t need to register a PT PMA (Foreign LLC) to own a Representative Office (RO). An RO is a simpler structure primarily for market research and promoting the parent company’s products/services. It cannot engage in commercial activities that generate revenue.
The question of ownership representation in a foreign investment company is complex and depends on the specific regulations in Indonesia. While nominee arrangements are flexible in some cases, certain restrictions exist, especially for industries on the Negative Investment List. It’s essential to consult with legal and business professionals familiar with Indonesian law to navigate this issue properly.
To make your life simpler, LetsMoveIndonesia offers fully serviced packages to get your business off the ground. The Magnate Package includes PMA Establishment, a virtual office and an Investor KITAS! To find out more details about the Magnate Package, click here!
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