Cost of Starting a Business in Bali For Foreigners

If you’re planning to start a business in Bali as a foreigner, your setup costs will look very different from a local entrepreneur’s. You’re legally required to establish a PT PMA (Indonesia’s foreign-owned company structure), which comes with higher setup costs, stricter licensing pathways, and specific capital obligations.

The overall cost of setting up a PT PMA generally falls into three key parts:

• One-Time Filings: Initial government fees for reserving your company name and processing the incorporation. This stage also requires the minimum paid-up capital deposit into the company’s bank account.
• Mandatory Local Requirements: Mandatory local appointments such as a resident Director or Commissioner as well as KITAS for the foreign director to complete essential tax registrations.
• Sector-Specific Licenses: Permits and approvals required based on your KBLI codes (planned business activities).

This article provides a breakdown of these costs to help you budget accurately for your PT PMA setup in Bali.

Breakdown of Key Company Incorporation Costs in Bali

We’ll begin with the most significant cost component you’ll have to address when establishing your PT PMA: your capital obligation. 

Indonesia’s foreign investment framework has become more accessible following BKPM Regulation No. 5 of 2025, which restructured how capital requirements apply to foreign-owned companies. While the overall investment commitment remains in place, the regulation eased the initial cash injection required at incorporation.

• Total Investment Plan: Your PT PMA must still declare a total investment plan of more than IDR 10 billion (~USD 600,000), which is realized progressively over the life of the business. This figure reflects the projected scale of your operations rather than an upfront payment. 
• Minimum Paid-Up Capital (The Reform): Under the current framework, the minimum paid-up capital that must be injected into the company’s Indonesian bank account is now IDR 2.5 billion (~USD 150,000). This amount forms part of the broader IDR 10 billion investment plan, rather than an additional requirement.

We cover this in more detail in our guide on Minimum Capital Requirements in Indonesia for a Foreign-Owned Company (PT PMA).

With the capital framework clarified, the rest of your setup budget will go toward the professional and government fees needed to legally activate and operate your company. These costs typically fall into three distinct phases, which we break down in the sections below.

1. Company Name Reservation Cost

The first mandatory administrative step in every PT PMA setup is reserving your company name through AHU, the legal-administration system under the Ministry of Law and Human Rights (MOLHR). This must be submitted by a licensed Indonesian Notary before your Deed of Establishment can be drafted.

Most corporate service providers bundle this step into their incorporation package, but if handled separately, your costs generally include:

• A government filing fee of about IDR 200,000 (~USD 12) for the AHU name check and reservation.
• The notary’s service fee for preparing and submitting the reservation, coordinating with AHU, and handling the preliminary documentation for foreign shareholders. This typically ranges USD 300–1,000, depending on the notary and the complexity of your ownership structure.

2. First-Time Company Incorporation Costs in Bali

The incorporation stage covers all the necessary steps to legally establish your PT PMA. This begins with the drafting and execution of your Deed of Establishment to secure your core government approvals: the SK Kemenkumham (legal entity decree), your NIB (Business Identification Number), and your company’s tax registrations.

For foreign-owned companies, the incorporation process is not something you can complete independently. By law, only a licensed Notary Public (Notaris) can:

• Draft and notarise the Deed of Establishment
• File your company’s deed and incorporation documents via the OSS
• Secure your Decree of Establishment (SK Kemenkumham) from MOHLR

Moreover, the OSS and foreign investments involve layered requirements (from ensuring the correct KBLIs to fulfilling domicile requirements). This is why foreign investors generally work with a full-service consultant to avoid filing errors and costly setbacks.

Here’s a general overview of the incorporation costs you can expect during this stage.

Cost Component	Estimated Cost (USD)	What It Covers
Full PT PMA Incorporation Package (depending on business risk classification / KBLI)	1,700–3,500	– Submission of the Deed, issuance of the SK Kemenkumham, and entity recognition in the AHU system. – Typically bundled with NIB activation.
Resident Director	5,000–6,000	– Required if no director resides in Indonesia. – Range varies by scope of responsibility and liability. – Requires mandatory KYC checks.
Resident Commissioner	starts from 5,000	– Mandatory supervisory role. – Requires mandatory KYC checks.
Registered Address / Virtual Office	349–500	Needed for NIB activation and statutory correspondence.
Corporate Bank Account Setup	150–250	Support for bank compliance checks and bank account opening.
Total Estimated Incorporation Set Up (with KITAS application)	12,199–15,250

3. Post-Incorporation Permits and Sector-Specific Licenses

The next set of costs depends entirely on your business’s risk classification and whether it operates with a physical premise. The NIB is generally sufficient to start operating if you’re in a low-risk, non-premise-based sector such as general advisory or consulting work, digital services, or remote services. 

However, the moment your business involves physical premises, regulated activities, consumer-facing services, or importing products, additional permits become mandatory. In practice, these generally include:

• Tourism-related licenses (tour services, cafés, retreats, boutique hotels, and villas): USD 500–5,000+, depending on their KBLI and location.
• Import licences (API-U/API-P): USD 300–1,200, depending on the product.
• Zoning validation (KKPR): USD 130–500 depending on location.
• Building-use approvals (PBG/SLF): vary from USD 500 for small-scale retail or simple spa permits to USD 5,000+ for villas, health, hygiene, and sanitation permits: USD 50–200
• Environmental permits (UKL-UPL/AMDAL): USD 700–5,000+, depending on land size and environmental impact.
• BPJS registration: USD 80–300, depending on whether it is a one-off setup or includes filing assistance.

Additional Compliance and Commonly Outsourced Services 

Once your PT PMA is fully operational, you’ll move into the routine obligations that keep your company compliant. These aren’t optional and serve as the baseline filings every registered business must maintain regardless of size, revenue, or industry.

Most founders outsource these tasks because the filings run across multiple authorities (DGT, OSS, BPJS, and regional manpower offices) with recurring deadlines. Here are the core obligations you should expect: 

• Quarterly and Annual Tax Reporting (PPh, VAT, CIT, PIT): Outsourced fees usually range USD 80–300/month, depending on volume and whether VAT reporting is required. Annual reports like CIT (Corporate Income Tax) generally fall between USD 300–500 per filing.
• Payroll Processing & BPJS Administration: For small teams (up to five employees), payroll and BPJS submissions typically cost USD 50–250/month, depending on complexity and reporting needs.
• Sector-Specific License Renewals: Applies to businesses with licenses that require ongoing renewals (e.g., tourism permits, hygiene certificates, PBG/SLF updates). Average between USD 200–1,000+, depending on the documents required.
• Immigration Compliance and Visa Support: If you plan to sponsor foreign directors or specialists, you’ll need to process KITAS and work permit applications. These involve company-level submissions, manpower approvals (RPTKA), and immigration submissions. Applications generally range between USD 150–800, depending on the type of arrangements you need.

Expert Support for Your PT PMA Set Up in Bali

Emerhub Bali specializes in helping foreign founders, remote-led teams, and expanding businesses set up and operate smoothly across the region. Our incorporation services cover every mandatory requirement, with additional compliance support available as your business grows.

Most of the cost elements outlined in this guide are also available as individual services. However, majority of businesses lean on one of our three core packages:

• Basic Incorporation at USD 1,700: For companies with local support and require only PT PMA registration and state fees to be handled.
• Incorporation + Basic Compliance at USD 2,249: For early-stage companies without employees. Includes PT PMA incorporation, virtual office for 12 months, and quarterly LPKM reporting.
• Incorporation + Full Compliance at USD 4,229: For businesses that want full support. Includes monthly tax reporting, payroll income tax reporting, annual corporate income tax reporting, virtual office, and full compliance coverage.

*Packages above apply to low-risk and medium-low-risk KBLI activities under Indonesia’s risk-based licensing system. If your PT PMA falls under a regulated or premises-based KBLI, we can prepare a tailored quote for the additional licensing required.

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