PT PMA Registration

Company Registration & Legal Services

PT PMA Registration - Who is it for and what are the benefits

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 to 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!

Steps to Register A PT PMA in Indonesia

Register the company name to the Notary. Name must contain 3 words
The Notary will make a draft Deed of Establishment
Decree Approval will be issued by the Ministry of Law & Human Rights
Obtain the Registration Number (NIB/Nomor Induk Berusaha)
Obtain the Business License through the Online Single Submission System
Obtain the Commercial License (if applicable)

Benefits of Setting Up a PT PMA in Indonesia

If you are a foreigner looking to set up a business in Indonesia, registering a PT PMA (foreign-owned limited liability company) offers several advantages over registering a local PT (Perseroan Terbatas) company. Here are some benefits of PT PMA compared to PT:

Foreign Ownership:

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.

Market Access:

PT PMAs have 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.

Legal Protection:

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.

International Image and Reputation:

Operating as a PT PMA can enhance the international image and reputation of a foreign investor’s company. It demonstrates a commitment to long-term investment in Indonesia and signifies compliance with local regulations. This can lead to increased trust from business partners, customers, and stakeholders, facilitating business growth and partnerships.

Minimum Requirements to Register a PT PMA in Indonesia

To register a PT PMA (Foreign-owned Limited Liability Company) in Indonesia, a business should have:

Minimum 2 Shareholders
Identity and contact details of Company Shareholders, with requirements as follows:
Indonesian Individuals would require KTP (ID Card) and NPWP
Foreign individuals will require a valid passport
In addition, Indonesian Companies will require a copy of the Article of Establishment, the Approval letter from the Ministry of Law and Human Rights, a Domicile Letter, a Tax ID, and other supporting licences. To understand more about the documents you need to register your PT PMA, kindly contact us here for a free consultation.
Foreign Companies should also provide a copy of the Article of Association in English or its translation in Bahasa Indonesia from a certified translator.
Identity and Contact details of Company Directors and Commissioners:
Indonesian Directors and Commissioners must provide KTP, NPWP, email and phone number
Foreign individuals should provide a valid passport, email and phone number.
Copy of Lease Agreement between company and building management.

Be at Ease With Company Registration Indonesia Package at LetsMoveIndonesia

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!

Want to know more about setting up a business in Indonesia? Then check out our useful guides!

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