How much does a PT PMA cost in Indonesia?

Foreigners who want to start a business and generate income in Indonesia can establish a PT PMA. This foreign-owned company allows foreigners to invest foreign capital in Indonesia. Establishing a PT PMA costs money, so it’s essential to be aware of the PT PMA costs and prices involved in establishing a business in Indonesia.

How much does it cost to establish a PT PMA in Indonesia?

The costs to establish a PT PMA in Indonesia vary depending on several factors, such as the type of business sector the PT PMA is in, the way the PT PMA is established, and the location of the establishment. It can be cheaper to start a PT PMA in Jakarta than in Bali. In general, expect to pay between IDR 15 million ($945) and IDR 35 million ($2,205) to establish a PT PMA in Indonesia.

PT PMA costs in Bali

Establishing a PT PMA in Bali costs between IDR 25 million ($1,575) and IDR 35 million ($2,205) on average.

PT PMA costs in Jakarta

Establishing a PT PMA in Jakarta costs between IDR 15 million ($945) and IDR 30 million ($1,890) on average.

Establish a PT PMA in 8 steps

Foreigners can set up an Indonesian PT PMA in eight steps:

1. Approval for the company name: Ensure the company name is unique and allowed according to the requirements.
2. Legalizing the Deed of Incorporation: A public notary must legalize this document, which typically takes around two days.
3. Obtain approval of legal entity status: After the notary submits the Deed of Incorporation, the Ministry of Law and Human Rights must approve the legal entity status. This approval usually takes close to ten days.
4. Register for a Tax ID (NPWP) and secure Taxable Entrepreneur Confirmation (PKP): Visit the tax office to get issued the NPWP and PKP, which are needed for opening a bank account, complying with tax duties, and acquiring business licenses. Expect this step to take around three days.
5. Acquire a domicile letter: Get this letter from the local district authority to confirm the business location. The processing generally spans about three days.
6. Obtain the Company Registration Certificate (TDP): This certification authenticates the company’s establishment. It typically takes nearly 14 days to obtain the TDP.
7. Apply for NIB: Upon registration, the company will be granted the NIB, Business License, and Location Permit.
8. Submit applications for additional licenses: You can now apply for various licenses depending on the company’s range of activities.
9. Pay the PT PMA cost fee: After establishing, you pay the PT PMA costs to the legal expert who helped you with the establishment. The PT PMA cost can differ per location and legal service provider.

By following these steps, foreigners can establish a PT PMA and start their business in Indonesia.

Minimum investment and paid-up capital for PT PMA in Indonesia

According to Perka BPKM No4 Year 2021, foreign investors need to have the intention to invest at least IDR 10 billion ($630,000). The paid-up capital is set at 25% of the minimum required investment, which is IDR 2.5 billion ($157,500) and needs to be transferred to an Indonesian bank account. In reality, it’s not needed to invest these sums at the moment of establishment.

Start your PT PMA with Own Property Abroad

Looking to establish a PT PMA in Indonesia? Own Property Abroad can assist you seamlessly and hassle-free, thanks to our extensive knowledge and experience in the Indonesian market and regulations.

With our expert team, you won’t have to navigate the complexities alone. If you’re serious about setting up your PT PMA successfully and efficiently, contact us today. We can help you turn your vision into reality. For further information, kindly drop your details below or email us at [email protected]. Let’s start working on your success story!

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