PLANNING TO START A NEW BUSINESS IN INDONESIA?
This article will inform about how to start businesses in this country, particularly in its Capital City of Jakarta. Here are some detailed information on what you should prepare before operating your business in Jakarta.
Initial Preparation
Below this subtitle are things that every company must prepare to start doing business in Jakarta.
Having A Clear Business Activity
The very first thing you need to make sure is to decide a clear business activity. Before you register your company, you need to know the classification of your business activity. Whether it goes under negative investment list or not. It is because not all businesses are eligible to be fully owned by foreigners. Some businesses allow full or partial foreign ownership, whereas some others forbid foreign ownership. For your information, some business can also fall under several business classifications. Whatever your business activity is, it is always best to consult to the trusted consulting firm so that you will not register your company under the wrong classification—which in turn will waste your time and money.
Read: Company Registration in Indonesia (PT PMA): 10 Most Common Mistakes Done by Foreign Investors
Finding Business Location
It is also important to state the location of your business. To be able to register your company, you need to obtain a letter of domicile—either you own a land/property or rent it. Therefore, before registering the company, choose your location carefully because changing business location needs complicated procedures and costs pretty much.
Preparing Your Capital
Next, you also have to count your capital since it will determine the size of your business when you register your company.
Find out about the latest regulation regarding capital submission proof.
Registering Your Company
The next is legalizing your business by registering your company. In order to do this, it is highly advisable to contact a reputable consulting firm to help you during the process. Although you can do it yourself, the government policies regarding to FDI are often changed. In addition, bureaucracy in Indonesia is a bit slow and confusing, so seeking for a professional help is always the best option.
Read: Company Registration in Indonesia
For your information, there are several steps that you need to go through—especially in obtaining certain documents—from the lowest government level (RT/RW or local community leader) to the highest one (the ministry level). It is another reason why hiring a professional help will make the process easier (and quicker).
Obtaining Taxpayer Registration Number (NPWP)
After you have your company registered, you must have a Taxpayer Registration Number (NPWP). As a foreign investor, paying the tax from the beginning of the operation is a must. It’s needed to prevent unwanted situations in the future.
Read also: Opening a Bank Account in Indonesia
Serviced Office as a Solution for New Businesses
We will discuss in depth on your business location. As a new company, there are many advantages that you will get from using the service of the serviced office. Here are some of them:
Cost Effective
As a starter company, you need to allocate your capital wisely. Especially in a new emerging market like Indonesia, you can’t be so sure how fast your company will grow and reap all of the benefits and profits from this fourth most populated country in the world. To prevent you from investing too much capital on a land or property, having a serviced office is considered more cost effective. You can pay the rent in monthly or yearly basis, depending on the resources you have.
Flexible
Having a serviced office offers you flexibility in terms of rental agreement as well as facilities. You can always upgrade your office to the bigger one if you find that you need more people or staff and your business grow well. You can also rearrange your working space to your needs.
Personal and Secure Office Space
One great advantage of having a serviced office, is you can have your personal office space with excellent security system. You can get them all without additional charges.
Pay Only for Things You Really Need
Talking about facilities, there are countless of options you can choose, ranging from furnished office, meeting room, technology, office equipment, high-speed internet connection, shared or private pantry, parking space, to the smallest thing like refreshments, cafeteria, and office supplies or stationery. You can communicate in detail about your needs, so the provider can prepare the suitable package for you.
How Cekindo Can Help You
Cekindo can help any starter company who want to do business in Indonesia. We can assist you from the very initial preparation until the real implementation. We offer a prestigious office location to rent. There are serviced office and virtual office, you can choose based on your business needs.
Read: The Differences Between Virtual Office and Serviced Office
Contact us for more information, and we would be happy answering your questions and providing your company with anything you need.
References:
http://www.doingbusiness.org/data/exploreeconomies/indonesia/sub/jakarta/topic/starting-a-business
http://www.miltonbusinesscentre.com.au/top-10-reasons-to-choose-a-serviced-office
