Based on the new regulation, there a slight different to form a company in Indonenesia. The above graphic, source from BKPM showing the flow chart of establish a company including PMA Company / foreign direct investment company.
1. First, business owner forms a company through notary by signing the Establishment Deed of Company Business owner should inform and define the business activities and the structure of the company (shareholders, Board of Directors and Commissioners, structure capital)Based on the regulation, business owner should invest above USD 1 million or refers to IDR 10 billion for their investment plan. The minimum paid-up capital of USD 250,000 (IDR 2.5 billion).
2. After signing the deed of establishment, the notary will process for ratification from The Minister of Law and Human Rights of The Republic of Indonesia (KUMHAM) and obtain the “SK Pengesahan” (Minister of Law Approval for Coompany Establishment)
3. After the Approval from KUMHAM, the next process should be the registration of Business Activities in OSS (Online Single Submission) to obtain Operational License, Commercial license and other related license