Simple Advice on How to Start a Business in Indonesia

Understanding Crowdfunding
Understanding Crowdfunding
Photo by RODNAE Productions from Pexels.

By Nadhifah K. Agusalim, Seven Stones Indonesia

Starting a business in Indonesia can be a challenging but also a rewarding experience. As the world’s fourth most populous country, a member of the G20 and currently holding the presidency of ASEAN, Indonesia offers a large and expanding market for businesses of all sizes. If you’re interested in setting up a business in this amazing country, here’s some simple advice on some of the key things to consider:

Choose The Right Business Structure

There are several options for business structures in Indonesia, including:

  • a limited liability company (PT)
  • a representative office
  • a foreign investment company (PMA), and
  • a cooperative.

Each structure has its own benefits and drawbacks, so it’s important to carefully consider your options and choose the one that best fits your needs.

Getting The Necessary Licenses And Permits

Depending on the nature of your business, you may need to obtain various licenses and permits from the Indonesian government. This process can be time-consuming, so it’s important to start early and work with a local lawyer or consultant to ensure that you have all the necessary permits and licenses in place.

Register Your Company

To operate legally in Indonesia, you must register your company with the Ministry of Law and Human Rights. This process involves submitting various documents, including proof of ownership, a business plan, and financial statements.

Hiring Local Staff

We advise hiring qualified local staff as they will be familiar with the nuances of the local business environment and customs. Indonesia has strict labour laws, so it’s important to familiarize yourself with these regulations to ensure that you’re in compliance.

Consider Cultural Differences

Indonesia is a diverse country with a rich cultural heritage, and it’s important to respect and understand these differences when doing business in the country. This may involve adapting your business practices or products to fit local preferences, or simply being mindful of cultural sensitivities.

Online Single Submission System

Even though anyone is free to access the Online Single Submission System (OSS), which the government introduced to centralize all aspects of setting up a business in Indonesia easier, we are here to help you navigate to the right sections for the right information. OSS is also where you apply for a business identification number, called a Nomor Induk Berusaha, (NIB.)

Overall, starting a business in Indonesia requires planning and a willingness to adapt to local conditions. However, with the right partner, hard work and determination, it is possible to succeed in this vibrant and rapidly-growing market.

If you’re planning to establish a company in Indonesia, Seven Stones Indonesia (SSI) is here to help you set up and create a business roadmap to help you navigate to success. SSI can offer you a company registration service to start your own business in Indonesia legally and efficiently.

Already own a company in Indonesia and need to process your licenses? Seven Stones Indonesia can help you with the entire process from OSS registration to determining the most appropriate licenses for the business you’re in.

Want to discuss further with our team? Contact Seven Stones Indonesia by email via hello@sevenstonesindonesia.com

Latest Article
Govt Allocates More Subsidies for Electric Motorcycles
According to reporting from Antara News, Dadan Kusdian, Indonesia’s Secretary General of the Ministry...
Netherlands Consider Easier Visas for Indonesians
Citing Antara News, Tempo is reporting that Indonesia and the Netherlands discussed strengthening consular...
Ministry to Implement KRIS at 3,060 Hospitals by 2025
Indonesia’s Health Ministry is targeting to get more than 3,000 national hospitals to implement...
Hospital-based Specialist Doctor Program Launched
Speaking at the launch of a hospital-based specialist doctor program on Monday (6/5/24,) Indonesia’s...
Indonesia Anticipates Prabowo’s Cabinet
Prabowo Subianto and Gibran Rakabuming Raka will be sworn in as the country’s new president and vice...

Andrzej Barski

Director of Seven Stones Indonesia

Andrzej is Co-owner/ Founder and Director of Seven Stones Indonesia. He was born in the UK to Polish parents and has been living in Indonesia for more than 33-years. He is a skilled writer, trainer and marketer with a deep understanding of Indonesia and its many cultures after spending many years travelling across the archipelago from North Sumatra to Irian Jaya.

His experience covers Marketing, Branding, Advertising, Publishing, Real Estate and Training for 5-Star Hotels and Resorts in Bali and Jakarta, which has given him a passion for the customer experience. He’s a published author and a regular contributor to local and regional publications. His interests include conservation, eco-conscious initiatives, spirituality and motorcycles. Andrzej speaks English and Indonesian.

Terje H. Nilsen

Director of Seven Stones Indonesia

Terje is from Norway and has been living in Indonesia for over 20-years. He first came to Indonesia as a child and after earning his degree in Business Administration from the University of Agder in Norway, he moved to Indonesia in 1993, where he has worked in leading positions in education and the fitness/ wellness industries all over Indonesia including Jakarta, Banjarmasin, Medan and Bali.

He was Co-owner and CEO of the Paradise Property Group for 10-years and led the company to great success. He is now Co-owner/ Founder and Director of Seven Stones Indonesia offering market entry services for foreign investors, legal advice, sourcing of investments and in particular real estate investments. He has a soft spot for eco-friendly and socially sustainable projects and investments, while his personal business strengths are in property law, tourism trends, macroeconomics, Indonesian government and regulations. His personal interests are in sport, adventure, history and spiritual experiences.

Terje’s leadership, drive and knowledge are recognised across many industries and his unrivalled network of high level contacts in government and business spans the globe. He believes you do good and do well but always in that order. Terje speaks English, Indonesian and Norwegian.

Contact Our Consultants

[wpforms id=”43785″]

Ridwan Jasin Zachrie

CFO of Seven Stones Indonesia, Jakarta

Ridwan is one of Indonesia’s top executives with a long and illustrious career in the financial world. He holds several professional certifications including being a Certified Business Valuer (CBV) issued by the Australian Academy of Finance and Management; Broker-Dealer Representative (WPPE); and The Directorship Certification for Directors and Commissioners, issued by the Indonesian Institute of Commissioners and Directors.

His experience includes being the Managing Director at one of the top investment banking groups in the region, the Recapital Group, the CFO at State-owned enterprises in fishery industry and the CEO at Tanri Abeng & Son Holding. He’s also been an Independent Commissioner in several Financial Service companies and on the Audit and Risk Committee at Bank BTPN Tbk, Berau Coal Energy Tbk, Aetra Air Jakarta as well as working for Citibank, Bank Mandiri and HSBC. His last position was as CFO at PT Citra Putra Mandiri – OSO Group.

Ridwan has won a number of prestigious awards including the Best CFO Awards 2019 (Institute of Certified Management Accountant Australia-Indonesia); Asia Pacific Young Business Leader awarded by Asia 21 Network New York USA (Tokyo 2008); UK Alumni Business Awards 2008 awarded by the British Council; and The Most Inspiring Human Resources Practitioners’ version of Human Capital Magazine 2010.

He’s a member of the Board of Trustees of the Alumni Association of the Faculty of Law, Trisakti University, Co-Founder of the Paramadina Public Policy Institute and actively writes books, publications and articles in the mass media. He co-authored “Korupsi Mengorupsi Indonesia” in 2009, which helps those with an interest in understanding governance in Indonesia and the critical issue of corruption. Ridwan speaks Indonesian and English.

Per Fredrik Ecker

Managing Director of Seven Stones Indonesia, Jakarta

Per is the Managing Director of the Seven Stones Indonesia (SSI) Jakarta office and has more than 25-years’ experience in Indonesia, China, and Western Europe. He previously worked in senior management positions with Q-Free ASA, Siemens AG, and other companies in the telecom sector. Over the last six years, he has been the Chairman of the Indonesia-Norway Business Council (INBC) and recently become elected to be on the board of EuroCham Indonesia.

His most recent experience is within Intelligent Transport Solutions (ITS), Telecom, and other sectors within the Indonesian market. He is today through his position in SSI and by representing Norway Connect, promoting Nordic and European companies that would like to explore business opportunities in the Indonesian market. He’s also playing an active role to help create the Nordic House concept in Jakarta that will provide an excellent platform for Nordic companies entering Indonesia, where they’ll find a community that can offer support with trusted information and affordable services to enter this market.