Company Registration
All entity types — PT PMA, PT PMDN, and Representative Office.
Use this page as your hub to compare structures, understand setup differences, and move directly to the right incorporation path for your Indonesia market entry plan.
PT PMA, PT PMDN, and Representative Office
Entity Types
This hub connects you to the main incorporation routes used by foreign investors, local structures, and headquarters testing the Indonesian market.
Foreign-Owned
Best suited for foreign investors who need a fully operational Indonesian company for commercial activities.
From IDR 28,000,000
Indicative setup: around 10 working days
Local / Joint Venture
Used for locally structured companies and domestic commercial operations with Indonesian ownership participation.
From IDR 15,500,000
Indicative setup: around 7-10 working days
Market Presence
A non-revenue setup for foreign headquarters that need liaison, research, or market presence before full entry.
From IDR 16,800,000
Indicative setup: around 5-10 working days
Bundled Setup
A faster bundled path combining company incorporation, business address, and optional KITAS support.
From IDR 28,000,000
PT PMA + address + optional KITAS path
Comparison Table
Compare ownership, capital expectations, permitted activities, tax posture, and timeline before choosing your Indonesia company registration route.
| Criteria | PT PMA | PT PMDN | Representative Office |
|---|---|---|---|
| Ownership | Foreign ownership allowed depending on sector and licensing rules. | Indonesian-owned or locally structured company setup. | No Indonesian shareholding structure; the foreign parent appoints a chief representative. |
| Capital | Indicative investment plan from IDR 10 billion per business activity, subject to structure and sector. | Capital needs depend on business scale, ownership plan, and operating scope. | No paid-up capital like a company entity, but parent company support is still required. |
| Activities | Can invoice, trade, hire staff, and run commercial operations in Indonesia. | Can run domestic commercial operations under a local ownership structure. | Limited to liaison, market research, promotion, and non-revenue activities. |
| Tax | Subject to corporate tax, VAT when applicable, and routine compliance reporting. | Subject to corporate tax, VAT when applicable, and routine compliance reporting. | Tax registration can still apply, but its activity scope remains limited and non-commercial. |
| Timeline | Around 10 working days after deed signing, excluding sector-specific licences. | Around 7-10 working days after deed signing, excluding sector-specific licences. | Around 5-10 working days depending on document readiness and permit scope. |
Timelines above are indicative and can change based on deed signing, document readiness, business activity, and sector-specific approvals.
Why InvestinAsia
The main risk is not just filing the wrong form. It is choosing the wrong structure, missing related compliance steps, or underestimating how setup decisions affect operations later.
FAQ
These are the core questions founders usually ask before choosing PT PMA, PT PMDN, or a representative office.
1. Low Labor Wages 2. Trade Agreements 3. Investment Incentives 4. Rich Source of Raw Materials 5. Convenience in Starting and Doing Business 6. Royalties from Technology-Transfer 7. Foreign Investors' Land Ownership
PT, PMA, and KPPA are all types of legal entities in Indonesia that can be used by foreign businesses. PT stands for Perseroan Terbatas, which is a limited liability company. PMA stands for Penanaman Modal Asing, which is a foreign investment company. KPPA stands for Kantor Perwakilan Perusahaan Asing, which is a foreign company representative office. The main difference between PT and PMA is the ownership structure. PT can be wholly owned by Indonesians, while PMA must have at least 1% foreign ownership. KPPA does not have any ownership requirements.
PT PMDN company requirements: - 2 local shareholders - 1 director - 1 commissioner - Projected investment value: Small-scale business (IDR 50 million), Medium-scale business (IDR 500 million), Large-scale business (more than IDR 10 billion) PMA company requirements: - 2 shareholders - 1 director - 1 commissioner - Investment plans must be at least IDR 10 billion for each company activity. - Local registered address in a commercial building KPPA requirements: - Must hire a minimum of one chief representative officer. - Chief representative officer cannot be director - Local registered address in a commercial building
A PT can only be owned by Indonesian citizens following Indonesian law. However, foreigners can establish a company in Indonesia by making a partnership with locals to invest in PT PMA.
Overseas Expansion Made Easy
Hear directly from some of our clients.
“Investinasia has been incredibly helpful in assisting with company formation as well as offering a range of tax and compliance advisory services. Thanks to the excellent support from Investinasia, the company has been able to focus on growing its business with confidence.”
Larissa
PT Enerfusion Technology Indonesia
“We would like to take this opportunity to express our sincere appreciation for the exceptional support from the InvestInAsia team. Their guidance made our business setup in Jakarta smooth and stress-free, and we truly value their continued support for our company.”
Stacey Wong
PT Ultralux Jaya Indonesia
“The InvestInAsia team have been instrumental in helping us set up our PT. During the initial consultation, key information was delivered promptly and clearly. I highly recommend Investinasia for business incorporation support. Thank you Investinasia team, please keep up the good work.”
Nicholas
PT Oma Bumi Hijau
“The Investinasia team is professional, communicative, and transparent. As a client, we only needed to provide the required documents. We're very satisfied and highly recommend this company to assist foreigners in running their business.”
Go Suzuki
PT Terra Charge Indonesia
“Hello, I recently worked with the InvestinAsia Team for my business travel needs, and I must commend the efficiency and seamless process from start to finish. I highly recommend their services to frequent business travellers and extend my appreciation to the team for making everything so smooth!”
Danang Kurniawan
APEC Card
“The InvestinAsia team response was fast and reliable. Their arrangements were clear and well-organized, exactly as explained to me beforehand. Truly professional support for my business travel.”
Diana
APEC Card
“I worked with the team at InvestinAsia to launch my business in Indonesia, and I could not be happier. They were proactive, clear, and delivered everything on time with no surprises. The journey was smooth thanks to their consistent communication and valuable local insights.”
Dr. Richard Satur
PT HUMB Peduli Indonesia
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Get in Touch
Tell us your ownership plan, intended activity, and timeline. We will help map the practical next step.
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