Company Registration Blog

cost of company registration in the philippines by emerhub

Everything you need to know about the cost of registering a company in the Philippines

Looking to start a business in the Philippines? Here is a complete breakdown of the cost of registering a company in the Philippines.

Indonesia

Virtual Office in Jakarta

Why use a virtual office? All companies in Indonesia must have a business address in a building that allows commercial activities. There are many advantages to using virtual office address such as: Virtual office in Jakarta with Emerhub Emerhub offers a simple and cost-effective solution to get a business address that meets legal requirements in […]

Virtual Office in Jakarta

A virtual office serves as the registered address of a business. It is an easy way to fulfill legal requirements to register a company in Indonesia.

Why use a virtual office?

All companies in Indonesia must have a business address in a building that allows commercial activities. There are many advantages to using virtual office address such as:

  • Lower overhead costs. The fees to use a virtual office address costs less than renting out a commercial space. If your business does not need a physical location to operate, a virtual office is the better option for you.
  • Enter the Indonesian market faster. Finding an appropriate commercial space from abroad is time-consuming and difficult. Expand to Indonesia faster by registering your business using a virtual office address.

Virtual office in Jakarta with Emerhub

Emerhub offers a simple and cost-effective solution to get a business address that meets legal requirements in Indonesia. With our virtual address service, you can register your business using an address that has all the necessary permits in Jakarta.

Enter the Indonesia market faster with our virtual office services. We can complete your company registration in Indonesia in as little as 4 days when you use our address.

You won’t need to use any of your time and resources trying to find an office that meets legal requirements because our virtual office address has the necessary building permits.

By using our virtual office services, you can keep your overhead costs low even if your company is not fully remote. We can provide desks for your on-site staff in our office.

Start your business in Indonesia with Emerhub’s virtual office service.

Virtual Office in Jakarta

  • Meet legal requirements to register and operate a private company in Indonesia

  • Station employees at Emerhub’s office (additional USD 250/desk per month)

  • Business address in Jakarta

USD 600
per year

Get Started with Establishing a BUJKA

Tell us about your business and an Emerhub consultant will get in touch to bring your business to the Indonesia

Indonesia

Construction representative office (BUJKA)

Requirements and Prerequisites for BUJKA Only foreign “large-scale” construction companies may open a BUJKA. The process to open a BUJKA starts with applying for a preliminary permit by obtaining the following sublicenses: After getting the preliminary permit, the parent company can proceed with setting up the BUJKA by preparing the following: The location of the office of a […]

Opening a construction representative office (BUJKA) in Indonesia

A representative office is an office set up by a company overseas. Representative offices take care of their parent company’s business locally. It’s also an easy way to enter a foreign market. In Indonesia, there is a specific representative office for construction companies called Badan Usaha Jasa Konstruksi Asing (BUJKA).

Requirements and Prerequisites for BUJKA

Only foreign “large-scale” construction companies may open a BUJKA. The process to open a BUJKA starts with applying for a preliminary permit by obtaining the following sublicenses:

  • ◉ Membership of Indonesian Contractors Association (Kartu Tanda Anggota/KTA)
  • ◉ Certificate of Expertise (Sertifikat Keahlian /SKA)
  • ◉ Certificate of Business in Constructions (Sertifikat Badan Usaha/SBU)

After getting the preliminary permit, the parent company can proceed with setting up the BUJKA by preparing the following:

  • BUJKA license, obtained from the One Single Submission (OSS))
  • Tax registration

The location of the office of a BUJKA is not specified by the law. You can open a BUJKA office anywhere as long as it is in a commercial building. There is also no set minimum capital requirement for a BUJKA.

Timeline to set up BUJKA

Setting up a BUJKA involves getting some documents together. The timeline in the table below shows how long it would take to establish a BUJKA with Emerhub.

Documents obtainedTimeline
Initial licenses of SBU, KTA, and SKA from Constructions association1 month
Review of application and issuance of Government Levy to be paid5 working days
Representative Office of Construction Company License/ BUJKA3 working days
Tax registry2 working days
TOTAL1 month and 10 working days

Allowed activities for BUJKA

BUJKAs can conduct typical business activities like:

  • ◉ Hire foreign experts
    • * A BUJKA can apply for work permits for its foreign employees
  • ◉ Hire Indonesian staff
  • ◉ Open a local bank account

BUJKAs can also perform construction-related activities including:

  • ◉ Contact companies and institutions and collect information about available construction projects in Indonesia
  • ◉ Participate in tenders.

The types of projects a BUJKA can work on must be complex, high-risk, and/or highly technical. Only local construction companies can work on smaller projects.

A BUJKA can work on construction projects if it has a local construction company (BUJK) as its partner. The construction company must be a limited liability company and 100% Indonesian-owned meaning it cannot have any foreign shareholders.

BUJKAs can participate in bidding even if they have not found a local partner for their prospective projects. Additionally, BUJKAs can partner up with different BUJKs for each project.

Get Started with Establishing a BUJKA

Tell us about your business and an Emerhub consultant will get in touch to bring your business to the Indonesia

Indonesia

Representative office for trading (KP3A)

Business Activities for KP3A KP3As can act as the parent company’s selling, manufacturing, and buying agent in Indonesia. The parent company may also delegate tasks related to establishing branch offices in Indonesian cities to its KP3A. However, because representative offices cannot generate income in Indonesia or issue invoices, all transactions should be under the parent company’s name. Opening […]

Representative office for trading (KP3A) in Indonesia

Representative offices are offices set up by companies abroad. It is a simple and fast way to establish a legal entity in a foreign market. Representative offices handle business activities for their parent companies locally. One type of representative office in Indonesia is the representative office for trading (KP3A). This type of representative office can conduct trading activities for its parent company.

Business Activities for KP3A

KP3As can act as the parent company’s selling, manufacturing, and buying agent in Indonesia. The parent company may also delegate tasks related to establishing branch offices in Indonesian cities to its KP3A.

However, because representative offices cannot generate income in Indonesia or issue invoices, all transactions should be under the parent company’s name.

Opening a KP3A is a good choice for a company with plans to create a network of agents and distributors in Indonesia.

Requirements and Prerequisites to Open a KP3A

Requirements and Prerequisites to Open a KP3A

  • ◉ The parent company must exist outside of Indonesia
  • ◉ The main business activities of the parent company should involve trading
  • ◉ The parent company must be the principal of products, not a broker
  • ◉ There must be an appointed Chief Representative Officer (CRO)
    • * The appointed CRO can be an Indonesian national or a foreigner but must be a resident of the country.
    • * If the CRO is a foreigner, the KP3A can apply for his or her work permit after establishment.
  • ◉ Its office must be in a commercial office building
    • * A KP3A can establish its office anywhere and does not need to be in a capital city.
  • ◉ The parent company should also prepare the following documents:
    • * Letter of Appointment
    • * Letter of Intent
    • * Letter of Statement

Timeline to set up a KP3A in Indonesia

The process to open a representative office in Indonesia is quicker and simpler than opening a limited liability company. The table below shows how long it takes for Emerhub to acquire the documents necessary to establish a KP3A.

Documents obtainedTimeline in working days
KP3A license1
Tax registry3
TOTAL4

Compliance for KP3A

KP3As cannot earn income but will still need to report withholding taxes on a monthly basis. The KP3A pays withholding tax on:

  • Employee salaries
  • ◉ Office rental fees
  • ◉ Other administrative expenses.

The representative office must submit an activity report once a year to the Investment Coordinating Board (BKPM) of Indonesia. The activity report will be the basis for a license extension. 

KP3As with more than 10 employees must also have an Institution of Social Security for Manpower (BJPS) registration.

Open a KP3A in Indonesia

Tell us about your business and an Emerhub consultant will get in touch to bring your business to the Indonesia

Indonesia

Limited liability company (PT PMA)

Key requirements for PT PMAs Here are the key requirements for company registration in Indonesia: Company registration timeline in Indonesia Process Timeline in working days Approval of company name 1 Minute of the Deed of Establishment Deed of Establishment 1 Ratification from MOLHR on Deed of Establishment Tax card 1*-5 NIB and Commercial License/Operating License […]

Limited liability (PT PMA) company registration in Indonesia

Limited liability companies with foreign ownerships (abbreviated as PT PMA) are the most common types of legal entities in Indonesia for foreign businesses.

Key requirements for PT PMAs

Here are the key requirements for company registration in Indonesia:

  • ◉ At least two shareholders.
  • ◉ As long as even one share is owned by a foreign shareholder the company is considered a PT PMA.
  • ◉ A registered address
  • ◉ Many business classifications (KBLI) are in the Negative Investment List (DNI) which limits the maximum allowed foreign ownership. Classifications not in the negative list can be owned up to 100% by foreign shareholders.
  • ◉ Minimum paid-up capital is Rp. 10 billion (~700,000 USD) which is committed with a capital statement letter.
  • ◉ Some business activities require additional licenses and/or capital. For example, import or construction licenses.

Company registration timeline in Indonesia

ProcessTimeline in working days
Approval of company name1
Minute of the Deed of Establishment
Deed of Establishment1
Ratification from MOLHR on Deed of Establishment
Tax card1*-5
NIB and Commercial License/Operating License1
Total4-8 working days

*Getting the tax card within a day is possible if your company is registered using our virtual office service.

The above timeline applies to businesses registered in Jakarta. Registration usually takes longer in other places and would depend on the local government of that area. Please also note that the timeline may be longer for more complicated business classifications.

Corporate structure of a PT PMA company

All companies with foreign investments follow the regulations of large-sized companies in Indonesia. The key requirements for the corporate structure are the following:

  • ◉ Minimum two shareholders.
  • ◉ Both individual and corporate shareholders are allowed.
  • ◉ PT PMA is governed by directors that are in charge of the daily operations of the company and that are supervised by the commissioners.
  • ◉ At least one director needs to have the local tax card (NPWP) but does not have to be an Indonesian citizen.
  • ◉ Directors and commissioners can also be shareholders of the company and are eligible to apply for the non-permanent residence permit (KITAS).

Regional differences for company registration

While most of the company registration processes are centralized, they also include approvals from the local municipality. This causes some differences in company registration timelines and requirements. Here are some common examples:

Open a representative office in Indonesia

Tell us about your business and an Emerhub consultant will get in touch to bring your business to the Indonesia

Indonesia

General representative office (KPPA)

Allowed activities for KPPA It can perform tasks to support its parent company and can act as a liaison or coordinator for the parent company in Indonesia. Some business functions KPPAs can do include: Another reason for a company to open a representative office is to create business relationships and better understand a foreign market […]

General representative office (KPPA) in Indonesia

A representative office is an office set up by a company, usually in a foreign country. Representative offices handle the parent company’s business in its location.  Indonesia has several types of representative offices and one type is the general representative office (KPPA).

Allowed activities for KPPA

It can perform tasks to support its parent company and can act as a liaison or coordinator for the parent company in Indonesia.

Some business functions KPPAs can do include:

  • ◉ Open a local bank account
  • Hire employees (both local and foreign)
    • * KPPAs can apply for work permits for foreign employees so they can work and stay in Indonesia legally.
  • ◉ Conduct back office activities, for example:
    • * Accounting
    • * Data Entry
    • * Payroll management

Another reason for a company to open a representative office is to create business relationships and better understand a foreign market it wishes to enter. Opening a KPPA is a suitable option for companies who want to do market research or conduct feasibility studies in Indonesia.

Restrictions for KPPA

This type of legal entity may only conduct activities for the interest of its parent company or companies affiliated with the parent company. There are limits to the activities a KPPA can do.

KPPAs cannot:

  • ◉ Conduct activities that generate income in Indonesia
  • ◉ Cannot issue invoices
  • ◉ Cannot own land or property

Should you wish to do any of the above activities, you will have to open a limited liability company with direct foreign investment (PT PMA).

Requirements and Prerequisites to Open a KPPA

There is no minimum capital requirement for KPPAs so the parent company can open one with any reasonable amount relevant to the planned business activities of the office. However, the parent company must meet the following prerequisites to set up a KPPA in Indonesia:

  • ◉ The parent company must be a legal entity that exists outside of Indonesia
  • ◉ The appointment of a Chief of Representative Office (CRO)
    • * The appointed CRO may be an Indonesian national or a foreigner as long as he or she is a resident of Indonesia.
    • * If the CRO is a foreigner, his or her KPA can apply for a work permit upon completion of the establishment of the representative office.
  • ◉ A registered office address
    • * The KPPA must be in a dedicated commercial office address in the capital city of an Indonesian province.

Timeline to set up a KPPA in Indonesia

Setting up a KPPA is simpler and does not take as long as setting up a limited liability company. In the table below, you will see a list of the documents obtained in the process to set up the KPPA along with how long it takes for Emerhub to gather them.

Documents obtainedTimeline in working days
KPPA license1
Tax registry3
TOTAL4

Open a representative office in Indonesia

Tell us about your business and an Emerhub consultant will get in touch to bring your business to the Indonesia

Indonesia

Company registration in Indonesia

Unsure which business registration is best for you in Indonesia? Get in touch with Emerhub for a free consultation today. Emerhub is a market entry and HR services organization with a 10+ year history of delivering success in emerging markets Experience 10+ years of experience assisting clients to expand in Southeast Asia. Multinational Presence Apart […]

Get company registration services in Indonesia with Emerhub

Emberhub’s business registration and corporate compliance services help you incorporate your business in Indonesia.

OVER 100 COMPANIES SUCCESSFULLY INCORPORATED BY EMERHUB IN INDONESIA

Set up your business in indonesia with Emerhub

Entity setup without physical appearance
We set up the whole company without the physical presence of the owners, including the opening of a corporate bank account
Assistance in entity selection
Emerhub provides assistance in choosing the right company type for your business needs – including secondary licenses if required
Corporate secretary & Nominee Treasurer
We provide Corporate Secretary and Nominee Treasurer services – These are positions in a company required to be held by Filipinos
Post-establishment services
We provide post-establishment services like payroll management and employee handling.
Hybrid Setups via virtual offices
Emerhub also helps companies set up hybrid businesses for industries where remote work is suitable.

Select the right company type for your business in indonesia with Emerhub

Registering a company in Indonesia allows you to run full-scale operations and own up to 100% of foreign share.

Most Popular

Limited liability company (PT PMA)

A limited liability company allows you to earn revenue in Indonesia. Your company will be able to apply for various business licenses to further diversify your business portfolio or investments.

Representative office for trading (KP3A)

This type of representative office can conduct trading activities for its parent company. KP3As can act as the parent company’s selling, manufacturing, and buying agent in Indonesia.

Virtual Office in Jakarta

A virtual office serves as the registered address of a business. It is an easy way to fulfill legal requirements to register a company in Indonesia.

General representative office (KPPA)

This type of company represents the overseas company in Indonesia. KPPA cannot earn revenue in Indonesia but can hire employees and issue work permits.

Construction representative office (BUJKA)

This company registration type is employed for performing construction-related activities. A BUJKA is best suitable for larger foreign construction companies since they are only allowed to engage in large-scale construction projects while small-size projects are reserved for local construction companies.

Unsure which business registration is best for you in Indonesia?

Get in touch with Emerhub for a free consultation today.

company registration bali

How does Emerhub’s company registration service work in Indonesia?

1

Get in touch with us to discuss your planned business activities in Indonesia

2

Emerhub identifies the best type of business structure for your company, and collects the required documents from you

3

Our consultants prepare the required documentation for your company registration, and submit it to the relevant authorities as per your chosen company type

4

If required, our team also submit documentation to set up your company bank account

5

Once all submissions are made, the authorities confirm your company registration in Indonesia

company registration bali

Emerhub is a market entry and HR services organization with a 10+ year history of delivering success in emerging markets

Experience

10+ years of experience assisting clients to expand in Southeast Asia.

Multinational Presence

Apart from Indonesia, we have offices located in Indonesia, Vietnam, the Philippines, and Pakistan.

Expertise

We have dedicated and highly qualified project managers that assist our clients throughout the whole incorporation process.

Client Testimonials

We regularly use Emerhub for various licensing and permitting processes in Indonesia and the service has always been superb. For our latest project Chona and the rest of the Emerhub team have assisted us with a complex import licensing process, which was completed in the middle of the Covid-19 lockdown – far above and beyond expectations! We look forward to working together with the Emerhub team on future projects, and would not hesitate to recommend their services, which are unmatched in the Indonesian market.

Filipp Levin
flevin.com

They were very reliable and helpful in understanding the company registration process in Indonesia.

Melissa Lou
Delegate.SG

Frequently Asked Questions

With Emerhub, it takes almost 4 weeks to establish a company.

For company registration in Indonesia, you’re required to have at least two shareholders and a capital statement letter.

For foreign companies in Indonesia, there must be a minimum of 2 shareholders. In most cases, Indonesian legislation allows 100% foreign ownership but there are some exceptions.

The standard incorporation price for company registration in Indonesia is $2000. Contact us for a custom quote.

The number of KITAS you can sponsor is not regulated by law. Any shareholder who fulfils the legal requirements is entitled to receive an investor KITAS.

No, there is no limitation. A company can have as many shareholders or directors as they want.

No, a capital statement letter from Emerhub is sufficient to register a foreign-owned company in Indonesia. The capital can be transferred once the company is registered and a bank account is opened.

The tax rates for foreign-owned companies are based on the company’s revenue and profitability, just like the tax rates for local companies. Therefore, tax rates are the same for Indonesian and foreign companies.

Get in touch to grow your business in Indonesia

Tell us about your business and an Emerhub consultant will get in touch to bring your business to the Indonesia

Bali

Company registration in Bali

Unsure which business registration is best for you in Bali? Get in touch with Emerhub for a free consultation today. Emerhub is a market entry and HR services organization with a 10+ year history of delivering success in emerging markets Experience 10+ years of experience assisting clients to expand in Southeast Asia. Multinational Presence Apart […]

Hassle-free company registration in Bali with Emerhub

Emberhub’s business registration and corporate compliance services help you incorporate your business in Bali.

OVER 100 COMPANIES SUCCESSFULLY INCORPORATED BY EMERHUB IN BALI

Your reliable partner for expanding your business to Bali

Entity setup without physical appearance
We set up the whole company without the physical presence of the owners, including the opening of a corporate bank account
Assistance in entity selection
Emerhub provides assistance in choosing the right company type for your business needs – including secondary licenses if required
Corporate secretary & Nominee Treasurer
We provide Corporate Secretary and Nominee Treasurer services – These are positions in a company required to be held by Filipinos
Post-establishment services
We provide post-establishment services like payroll management and employee handling.
Hybrid Setups via virtual offices
Emerhub also helps companies set up hybrid businesses for industries where remote work is suitable.

Select the suitable company type for your business in Bali with Emerhub

Company registration in Bali allows you to run full-scale operations and own up to 100% foreign capital in Bali.

Most Popular

Limited liability company (PT PMA)

A limited liability company allows you to earn revenue in Indonesia. Your company will be able to apply for various business licenses to further diversify your business portfolio or investments.

Representative office for trading (KP3A)

This type of representative office can conduct trading activities for its parent company. KP3As can act as the parent company’s selling, manufacturing, and buying agent in Indonesia.

General representative office (KPPA)

This type of company represents the overseas company in Indonesia. KPPA cannot earn revenue in Indonesia but can hire employees and issue work permits.

Construction representative office (BUJKA)

This company registration type is employed for performing construction-related activities. A BUJKA is best suitable for larger foreign construction companies since they are only allowed to engage in large-scale construction projects while small-size projects are reserved for local construction companies.

Unsure which business registration is best for you in Bali?

Get in touch with Emerhub for a free consultation today.

company registration in the Bali

How does Emerhub’s company registration service work in Bali?

1

Get in touch with us to discuss your planned business activities in Bali

2

Emerhub identifies the best type of business structure for your company, and collects the required documents from you

3

Our consultants prepare the required documentation for your company registration, and submit it to the relevant authorities as per your chosen company type

4

If required, our team also submit documentation to set up your company bank account

5

Once all submissions are made, the authorities confirm your company registration in Bali

Emerhub is a market entry and HR services organization with a 10+ year history of delivering success in emerging markets

Experience

10+ years of experience assisting clients to expand in Southeast Asia.

Multinational Presence

Apart from Bali, we have offices located in Indonesia, Vietnam, the Philippines, and Pakistan.

Expertise

We have dedicated and highly qualified project managers that assist our clients throughout the whole incorporation process.

Client Testimonials

The team at Emerhub was highly professional in helping us set up our business in Bali, from incorporation to visas and now trademark registration.

Aaron Turner
Co-founder, Solace Float

Very professional and thorough, and on top of that super nice people that are  pleasant to work with

Daan De Vries
WTM Holdings Ltd

Emerhub has been outstanding in helping us set up business in Indonesia. I would highly recommend them!

Connor Byrne
Milaha

Frequently Asked Questions

With Emerhub, it takes almost 4 weeks to establish a company.

For company registration in Bali, you’re required to have at least two shareholders and a capital statement letter.

For foreign companies in Bali, there must be a minimum of 2 shareholders. In most cases, Indonesian legislation allows 100% foreign ownership but there are some exceptions.

The standard incorporation price for company registration in Bali is $2000. Contact us for a custom quote.

The number of KITAS you can sponsor is not regulated by law. Any shareholder who fulfils the legal requirements is entitled to receive an investor KITAS.

No, there is no limitation. A company can have as many shareholders or directors as they want.

No, a capital statement letter from Emerhub is sufficient to register a foreign-owned company in Bali. The capital can be transferred once the company is registered and a bank account is opened.

The tax rates for foreign-owned companies are based on the company’s revenue and profitability, just like the tax rates for local companies. Therefore, tax rates are the same for Indonesian and foreign companies.

Get in touch to grow your business in Bali

Tell us about your business and an Emerhub consultant will get in touch to bring your business to the Bali

Let's grow your business in Philippines

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