PMA (Foreign Investment) Company

This type of business license is considered as most populer in Bali and safest for foreign investor. Suitable for medium- and large-size businesses in Indonesia.

Bali Business Cinsulting | Company Registration

What is considered a foreign-owned company in Indonesia?

All foreign-owned companies in Indonesia are PT PMAs which stands for a limited liability company with foreign direct investment. A company is a PMA as long as any of the shares are held by a foreign national or a foreign company. Therefore, it doesn’t matter if it’s 100%, 51% or even 1% – if there are foreign shareholders, you are a foreign-owned company.

However, if you aim to only represent an overseas company in Indonesia and you will not generate any income from local activities, you can set up a representative office instead.

Foreign ownership limitations

The maximum allowed foreign ownership depends on your business classification. It can range from 100% open to closed to foreign investment. The document regulating the restricted industries is the Negative Investment List (DNI) and it is usually revised every 3 years.

Full International Ownership

To attract more foreign investors and multiple investments critical to the Indonesian economy, Indonesia has been relaxing the limited foreign ownership lately. Wholly-owned foreign companies became less rare, and it is, therefore, likely that you can start an international company without any partnership or local shares of your property.

Working for such an enterprise, a foreigner can obtain a work visa KITAS for CEO position.

Joint Venture

In case, the business sector in which you intend to incorporate a company does not offer independent international ownership, we suggest opting for a limited liability company registration through a joint venture with a local partner — Bali Business Consulting.

This process will give investors the full control over the management of their company, no restrictions related to business fields, and minimise risks of setting cooperation with an unreliable partner.

Assistance and Consultancy

Whether additional licences are required in your business field, the government issued a new regulation related to your business plan, or if the joint-venture agreement contains all crucial points, you will get to know it straight away with the assistance of Bali Business Consulting. We will not only advise you on the incorporation process but also lead the whole procedure independently on your behalf.