Founding business in Indonesia is one of the favourite options for foreign investors looking to expand their business. Indonesia has an estimated 270 million population and is the largest economic powerhouse of South East Asia. With their rich natural resources, the country is known for producing mining goods and displaying a beautiful natural landscape for the tourism industry.
Aside from the businesses that utilize the rich natural environment, the recently growing technology industry of the country is also of great interest. For example the ride-sharing company, GoJek and the marketplace business, Tokopedia. Moreover, other technology giant companies have also invested in the country. Some of the well-known ones are Shopee, Grab, and many more. The interest of these companies is a testament to Indonesia’s robust economic environment.
Founding Business in Indonesia: How?
Founding business in Indonesia requires foreign investors to understand the process of company establishment in the country. A lot of foreign investors mistakenly engages with lawyers to help them to establish their company in Indonesia. In other countries, this is the right step. However, unlike most countries, Indonesia still applies a Dutch system. Therefore, services like company establishment as well as legalizing documents falls in the hands of the notary.
Like any other purchase, it is important to compare and contrast the options. The same goes for notary services. There are a lot of notaries offering their services. However, it is important to find a trustable and responsible one. Many foreign investors fell for the price trap and ended up with dissatisfying results.
To ensure a smooth company establishing process, it is crucial to find a trustable source. One of the options is to use MESO Serviced and Virtual Office Legal Services. MESO has been assisting hundreds of companies both local and foreign, in establishing their businesses in Indonesia. The company has been providing their services since 2013. Furthermore, the company also offers a virtual office and serviced office service.
With those services on top of their legal services, the company needs to maintain a good reputation to maintain its large client base. In addition to those services, MESO also provides a corporate tax service to help clients to report their taxes. All of these services provide clients with an A to Z office solution. Hence, MESO is a great option for foreign investors looking to start their business in Indonesia.
New Regulations for Investments
Establishing a business in Indonesia is not difficult. Especially with the introduction of the Omnibus Law that heavily discusses facilitating foreign investment. Many regulations are changed to make it easier for foreign investors to invest and establish companies. For instance, before the most recent regulation change, foreign companies are not able to invest in supermarkets.
High-risk industries like food and oil are considered key strategic businesses. To prevent possible food shortages, the government used to reserve the business for local companies only. However, in the new regulation, the industry is open for foreign investments as long as they collaborate with micro businesses. The government understands that with more foreign investment, the nation’s economy might gain a significant boost. Plus, collaborating with foreign investors will give the local micro-businesses a higher chance to grow.
Another set of regulations that benefits foreign investment is the document requirements. Previously, most foreign companies are not allowed to have full ownership of their business. At the time, local companies must have partial ownership of the business. Furthermore, foreign investors need to submit various documents and apply for numerous permits to run the business. With the current rule, everything is much more simplified.
The requirements for foreign investments in founding a business in Indonesia are mainly company legal documents and capital.
Check www.meso.co.id to find out more about our services, or live chat our agent through our Whatsapp account at +62812-1315-4189.