How to register a company in Indonesia

Choose your KBLI codes and check foreign ownership

Every Indonesian company operates under five-digit KBLI codes, the national business classification. Each code sets four things. The foreign ownership cap under the positive investment list. The risk level that decides which licenses you need. The investment commitment you sign up for. And what the company can legally do. No other choice carries as much weight, so we put it first.

Indonesia moved to KBLI 2025 in December, with new codes for AI, crypto-assets, carbon markets, and platform businesses. New companies register directly under the 2025 codes. Code lists written for KBLI 2020 are now out of date. Every revenue-generating activity, including supporting ones, needs a code in your Articles of Association. Operating outside your registered codes is a compliance breach.

We map your planned activities to the right codes, check the ownership caps and risk levels for each, and flag where a different code choice would mean fewer licenses or a lower investment commitment.

Structure the capital and shareholding

A PT PMA needs at least two shareholders, individuals or companies of any nationality. It needs at least one director and at least one commissioner, who supervises the board on behalf of the shareholders. Foreign nationals can hold every role. In practice the company needs a director who can hold an Indonesian tax number, which a relocating founder gets through their stay permit.

The capital rules changed in October 2025 under BKPM Regulation 5/2025. The minimum paid-up capital is now IDR 2.5 billion, around USD 150,000, down 75% from the old IDR 10 billion. Separately, the investment plan must exceed IDR 10 billion per five-digit KBLI code per project location, excluding land and buildings in most sectors. You realize it progressively as the business grows. At incorporation, shareholders sign a capital statement letter. The deposit happens after the bank account opens, and the funds stay usable for business during their 12-month lock-up.

We design the structure with you. How the shares split, who holds which role, and how the choices affect investor visas, control, and a future exit or new investor.

Notarize the deed and obtain the ministry decree

The company name is reserved with the Ministry of Law first. PT PMA names must contain at least three words of at least three characters each, in Latin script, and unlike local companies they can be in English. We verify availability and reserve your preferred name from your top three choices.

The Deed of Establishment is the founding document. It holds the Articles of Association, the KBLI business activities, the capital structure, and the shareholder details. It is drafted in Indonesian and signed before an Indonesian notary. Shareholders abroad sign through a power of attorney, which is how most of our clients incorporate without flying in. We draft the deed, arrange the notary, and submit it to the Ministry of Law. Its decree (SK) ratifies the company as a legal entity. This is the moment your PT PMA legally exists.

Register for tax (NPWP)

With the ministry decree issued, the company registers with the Directorate General of Taxes for its tax identification number (NPWP). The DGT now processes this through its Coretax system. The NPWP is the company's identity for every transaction, invoice, and filing. It is also a prerequisite for the OSS licensing step that follows.

Registration ties to the company's registered address, so the address decision matters here. The address determines your tax office, and a compliant virtual office works for many KBLI codes. We handle the registration with your local tax office. We also set up the tax account credentials you'll need for monthly filings later.

Obtain the NIB through the OSS system

The Business Identification Number (NIB) is issued through the Online Single Submission system. OSS runs on a risk-based model, overhauled by Government Regulation 28/2025, in force since June 2025 and fully live in OSS since October. The NIB does several jobs at once. It serves as your import license. It enrols the company in the BPJS social security programs. And for low-risk classifications it is the business license itself, so you can operate the moment it's issued.

Medium-risk classifications need an additional standard certificate, and high-risk ones a full license. Both carry defined service timelines, with automatic approval if the authority misses its deadline. This is the "fictitious-positive" principle the 2025 regulation formalized. Location suitability (KKPR) and environmental approvals run electronically through the same system where the activity requires them. We prepare the OSS submission, manage the risk-based requirements for your codes, and chase the sectoral approvals where your activity needs them.

Open the bank account and deposit the capital

With the company documents and NIB in hand, the corporate bank account opens at a local or international bank in Indonesia. Banks run KYC on the directors, shareholders, and beneficial owners. Most want the full incorporation pack plus a clear description of expected activity. Director presence requirements vary by bank. Several work with video verification, and we match clients to banks that fit how remote their setup is.

Once the account is open, the IDR 2.5 billion paid-up capital is deposited. The funds are locked against withdrawal for 12 months. They stay fully usable inside the business during that period: buying assets, fitting out premises, covering payroll and operations. The deposit also evidences the capital statement signed at incorporation, which BKPM can verify against.