Indonesia Company Name Requirements for Foreign Founders

Company Name Regulation in Indonesia

This content is for educational purposes only. Regulations and licensing requirements are subject to change at any time. For specific legal matters related to your business, please consult with InvestinAsia’s legal team.

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Endah Wahyuningsih - Account Manager of InvestinAsia

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Endah Wahyuningsih

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Before signing a PT PMA deed, screen the proposed company name against Indonesia’s naming rules and the AHU database. Review similar names, wording, ownership, and business purpose with the notary.

Key Takeaways

  • Government Regulation No. 43 of 2011 bars a PT name that is already used or substantially similar to another PT name.
  • The Indonesian-language requirement applies when all shares are held by Indonesian citizens or Indonesian legal entities. It does not automatically apply to a PT PMA.
  • AHU’s public name check is free, but its result reflects the database only at the time of the check.
  • Give the notary a ranked shortlist, any proposed abbreviation, the intended ownership, and a plain description of the activities before preparing the deed.

Which Proposed PT Names Can Be Rejected?

Company Name Regulation in Indonesia
Company Name Regulation in Indonesia (pexels.com)

Article 5 of Government Regulation No. 43 of 2011 sets the main screening rules. A name can fail even when an exact spelling does not appear in an initial search.

Article 16 of Company Law No. 40 of 2007 also requires the legal name to begin with “Perseroan Terbatas” or “PT”. The same article prohibits names that clash with other companies or misstate the business.

Names That Clash With Another Company

A proposed name cannot already be lawfully used by another PT or be substantially similar to it. The regulation’s explanation includes similarities in prominent words, spelling, and pronunciation, even when the owners are the same.

Changing one letter or adding a routine word is therefore a weak fix. Ask the notary to review the similar names returned by AHU, not only the exact-match result.

Names With Restricted Words Or Characters

Article 5 requires Latin letters. It also bars names made only of numbers or letter strings that do not form words, and wording that implies another legal form.

A name cannot conflict with public order or decency. Names resembling a state body, government agency, or international organisation need that body’s permission.

Names That Misstate The Business

A PT name cannot consist only of its business purpose or activities. If an activity appears in the name, Article 5 requires it to fit the company’s actual purpose and activities.

Match activity-related words against the proposed deed and our guide to KBLI business classifications. A name check cannot resolve whether a proposed activity is open to foreign investment.

Can A Foreign-Owned PT Use An English Name?

Government Regulation No. 43 of 2011 does not impose its Indonesian-language rule on every PT. Article 11 requires Indonesian wording when all shares belong to Indonesian citizens or Indonesian legal entities.

For a PT PMA with foreign shareholders, that specific requirement does not apply. English wording still has to satisfy Article 5 and pass the actual AHU review.

Do not infer the language rule from a foreign director or an overseas parent alone. Confirm the proposed shareholder structure first, including whether a corporate shareholder is an Indonesian legal entity.

Our Indonesia market entry strategy guide explains when an operating PT PMA fits the planned activity.

How Should You Check A Company Name Before The Deed?

Company Name Regulation in Indonesia
Company Name Regulation in Indonesia (pexels.com)

Use AHU’s public PT name check for an initial screen. Have the notary repeat it during incorporation. The public result is a snapshot, not an approval or a name held for you.

  1. Enter the proposed PT name and any intended abbreviation in AHU’s PT name check.
  2. Read the similar-name results as well as the exact availability message.
  3. Apply the Article 5 restrictions to each candidate, including sound-alike names and activity-related wording.
  4. Give the strongest candidates to the notary for the electronic establishment filing.

AHU’s published guidance says its general name check has been free since 17 August 2021 and warns that results can change. Its establishment guide treats the name check as part of the incorporation flow.

Minister of Law Regulation No. 49 of 2025, effective 17 December 2025, governs the current establishment filing through a notary and the electronic legal-entity system. It replaced the 2021 ministerial establishment regulation.

Notes From InvestinAsia Consultants

Send the notary the exact spelling of each candidate, not just a brand concept. Keep a second and third option ready, then record which AHU similarities need a closer review before deed wording is settled.

What Should A Founder Prepare For The Name Review?

A short, consistent briefing lets the notary test the name against the legal rules and the planned PT PMA structure. Prepare these details before drafting the deed:

  • A ranked shortlist of proposed full PT names, with identical spelling across all draft documents.
  • Any proposed abbreviation, because Article 5 also regulates abbreviations.
  • The intended shareholders and whether each corporate shareholder is Indonesian or foreign.
  • A plain-language business description and proposed activities for checking activity-related name words.
  • A note of similar AHU results and any existing brand or trademark that warrants separate review.

Article 5 of Government Regulation No. 43 of 2011 does not state the commonly repeated three-word rule. It lists other conditions. Have the notary test your actual candidate against the current AHU form.

Does An AHU Name Check Clear Your Trademark?

No. AHU checks the proposed PT identity, while Indonesia’s intellectual property database supports a separate trademark search. A company-name result cannot establish that a customer-facing brand is available for your goods or services.

In January 2026, Indonesia’s Directorate General of Intellectual Property advised applicants to search its PDKI database before filing. Screen the proposed brand separately if it will appear on products, a storefront, or marketing.

Notes From InvestinAsia Consultants

Put the legal entity name and the planned brand in separate columns when reviewing options. If they differ, check each in the appropriate database before ordering signage, domains, or packaging.

What Happens After A Name Passes The Initial Screen?

The notary handles the formal electronic establishment submission. Under Government Regulation No. 43 of 2011, a PT name needs ministerial approval and appears in the company’s articles of association.

Minister of Law Regulation No. 49 of 2025 requires the establishment application to go through a notary and the electronic legal-entity system. A preliminary AHU search alone does not create the company.

If your shortlist is ready but the ownership and deed details are still unsettled, review InvestinAsia PT PMA Registration Service. It connects the name review with the incorporation documents and filing.

Review Your PT PMA Name Before The Deed

Compare your shortlist with the incorporation scope, or ask a question about a specific candidate.

References
  1. Government of Indonesia. (2007). Undang-Undang Nomor 40 Tahun 2007 tentang Perseroan Terbatas, as amended. Retrieved from
    https://peraturan.bpk.go.id/Details/39965/uu-no-40-tahun-2007
  2. Government of Indonesia. (2011). Peraturan Pemerintah Nomor 43 Tahun 2011 tentang Tata Cara Pengajuan dan Pemakaian Nama Perseroan Terbatas. Retrieved from
    https://peraturan.bpk.go.id/Details/5176/pp-no-43-tahun-2011
  3. Ministry of Law. (2025). Peraturan Menteri Hukum Nomor 49 Tahun 2025 tentang Syarat dan Tata Cara Pendirian, Perubahan, dan Pembubaran Badan Hukum Perseroan Terbatas. Retrieved from
    https://peraturan.bpk.go.id/Details/350901/permenkum-no-49-tahun-2025
  4. Directorate General of General Legal Administration. (n.d.). Syarat dan ketentuan penggunaan nama perseroan. Retrieved from
    https://ptp.ahu.go.id/syarat-ketentuan
  5. Directorate General of General Legal Administration. (2024). Perseroan Terbatas. Retrieved from
    https://panduan.ahu.go.id/doku.php?id=perseroan_terbatas
  6. Directorate General of General Legal Administration. (2024). Pendirian Perseroan Terbatas. Retrieved from
    https://panduan.ahu.go.id/doku.php?id=pendirian_perseroan
  7. Directorate General of Intellectual Property. (2026, January 30). Penelusuran PDKI jadi kunci pendaftaran KI diterima. Retrieved from
    https://dgip.go.id/artikel/detail-artikel-berita/penelusuran-pdki-jadi-kunci-pendaftaran-ki-diterima?kategori=
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About the Accuracy of This Article

This article was compiled by the InvestinAsia editorial team and has undergone a review process to ensure that the information provided is relevant and accurate for business owners in Indonesia.

All information is based on applicable regulations regarding the establishment and management of business entities, including provisions from the Ministry of Law and Human Rights, the OSS system, and other relevant regulations. Business regulations are subject to change at any time. We recommend that readers verify the information or consult with a professional before making business decisions.

This article is published solely for educational purposes and does not constitute professional business advice.

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