Establishment of PT PMA/PT PMDN

Establishment of PT PMA/PT PMDN

Business Entities in Indonesia have several forms, including Limited Liability Company for Domestic Investment (PT PMDN), Limited Liability Company for Foreign Investment (PT PMA), Commanditaire Vennootschap (CV) and Trading Business/Usaha Dagang (UD)

Meaning of PT PMDN

Limited Liability Company is a legal entity established under an agreement, conducting business activities with share capital which is wholly divided into shares, and fulfilling the requirements stipulated in this Law and its implementing regulations. So it can be concluded that a Limited Liability Company is a form of business that is a legal entity and is jointly established by several people, with a certain capital divided into shares, whose members can own one or more shares and have limited liability up to the number of shares they own.

 

Terms of Establishment of PT PMDN

In the process of establishing a PT, there are a number of requirements that must be met:

 

Documents Required for PT PMDN

Next, you have to prepare a series of documents. Following are the documents in the Establishment of PT:

 

Meaning of Foreign Investment (PMA)

Foreign Investment is only includes foreign direct capital which is carried out according to or based on the provisions of the law and is used to run a business in Indonesia. The elements of Foreign Investment in the above definition can be include:

 

Investor Rights

 

Investment Obligations

FAQ's

Most question asked on this services:

What are the minimum capital requirements for PT PMA/PMDN?

The minimum capital requirements for PT PMA vary based on the business sector and are usually higher for foreign investment compared to PT PMDN. PT PMDN's capital requirements depend on the business sector and are generally lower as they cater to domestic investment.

How long does it take to establish a PT PMA/PMDN?

The duration for establishing a PT PMA/PMDN can vary based on multiple factors, including the completeness of documents, compliance with regulations, and the efficiency of processing. On average, it can take several weeks to a few months to complete all necessary procedures.

What are the advantages of establishing a PT PMA/PMDN?

PT PMA allows foreign investors to access various sectors in Indonesia and benefit from incentives offered to foreign investment. PT PMDN encourages domestic investment, providing opportunities to operate in different sectors of the Indonesian economy, supporting local businesses and economic growth.