Huawei Indonesia

Frequently Asked Questions

If investors intend to conduct business in Indonesia, what kind of organization must they establish?

Within the scope of foreign direct investment in Indonesia, foreign investors can typically do business in two ways:

• Set up a PMA (Perusahaan Modal Asing)

PMA is a local subsidiary in the form of a limited liability corporation for foreign investment reasons

• Set up a RO (Representative Office)

According to Law No. 25/2007 on Investment, foreign investors are required to establish a PMA company in order to make direct investments and conduct commercial and business activities in Indonesia. A PMA firm in Indonesia is a legally recognized business entity that can engage in various commercial and business operations as long as it complies with the current laws and regulations. As for RO, its purposes include conducting market feasibility studies and liaison activities.

What is the difference between PT and CV?

You can find the difference below:

• PT: limited liability company (shareholders are not legally liable for company liabilities)
• CV: a proprietary company where liability falls on the shareholders
Can you provide pricing details for HR outsourcing services?

To provide you with accurate pricing information for our HR outsourcing services, we consider the complexities of your inquiries and the dynamic nature of regulations in Indonesia. As a result, the pricing for the service may vary accordingly. For detailed information, please get in touch with our consultants.

How many incorporation types exist in Indonesia?

In Indonesia, there are three company types that you can establish based on your business nature, requirements, and preferences.

• Local Company (PT): 100% local ownership.
• Foreign Company (PT PMA): can be entirely owned by foreigners; however, restrictions in business sectors apply
• Representative Office: a branch of the parent company overseas whose purpose is to conduct marketing-related activities without generating income or profits