Registering a Representative Office in Indonesia

Representative Office (KPPA) provides a solution for foreign companies to establish their presence in Indonesia without opening a physical office. Representative office in Indonesia also can be utilized for activities such as sales, marketing, market research, and others.
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The Benefits of Representative Office in Indonesia

Low Incorporation Cost

A Representative Office is a cost-effective alternative for foreign entrepreneurs who want to enter the Indonesian market. If you are still uncertain about your target market or business partners, a Representative Office can help you to comprehend the Indonesian market.

Visa Sponsorship

Representative Offices in Indonesia have the capability to sponsor both residence and work permits for foreign employees. Furthermore, they can also act as business visa sponsors for business partners who intend to visit Indonesia for business purposes.

Organizational Structure

Representative Office can be an alternative for employers with a more flexible organizational structure, where only one chief executive is required.

a foreign worker in a representative office in indonesia

Representative Office Registration Process in Indonesia

The process of registering a representative office in Indonesia involves various stages, such as documentation administration and specific requirements in accordance with the applicable regulations.

worker in a meeting

Obtaining A Representative Office (KPPA) License

Representative office permits can be obtained by submitting an application to the Ministry of Law and Human Rights of the Republic of Indonesia (Kemenkumham RI), then registering at the local Tax Service Office (KPP) and the Investment Agency and Integrated Licensing Services (BPMPT).

Domicile Letter

Foreign investors must provide a domicile letter to indicate the location of your business.

Registration of Tax ID (NPWP)

A valid NPWP is required for securing other companies’ licenses, banking activities, and fulfilling tax obligations.

Company Registration Certificate (TDP) Acquisition

After that, you can apply for another permission (if needed).

Representative Office Registration with InCorp Indonesia

InCorp Indonesia offers services throughout the representative office formation process, starting from document administration, determining the best type of representative office, and carrying out company incorporation.

With experienced professional consultants, InCorp Indonesia helps you to focus on business cores and leaves administrative and licensing issues to the experts. Currently, there are four types of Representative Offices in Indonesia, including:

Indonesia recognizes four types of Representative Offices:

Foreign Company Representative Office (KPPA)

This type of Representative Office is established by a foreign company to oversee and manage its interests in Indonesia. It serves as a liaison for the foreign company’s activities and is involved in coordination and supervision.

Foreign Trade Company Representative Office (KP3A)

KP3A is a Representative Office specifically designated for foreign trade companies. Its primary role is to represent and manage the interests of foreign trade-oriented businesses in Indonesia.

Representative of Foreign Construction Company (PBUJKA):

PBUJKA is a Representative Office set up by a foreign construction company. Its activities include overseeing and managing the interests of the foreign construction company in Indonesia, potentially preparing for future construction projects.

Representative Office of Foreign Oil and Gas Company (KPPA Migas):

KPPA Migas is established by foreign oil and gas companies. This type of Representative Office is dedicated to representing and managing the interests of foreign companies in the oil and gas sector within Indonesia. It may involve activities related to exploration, production, and development in the oil and gas industry.

Pandu Biasramadhan

Senior Consulting Manager at InCorp Indonesia

An expert for more than 10 years, Pandu Biasramadhan, has an extensive background in providing top-quality and comprehensive business solutions for enterprises in Indonesia and managing regional partnership channels across Southeast Asia.

Get in touch with us.

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Disclaimer: The information is provided by PT. Cekindo Business International (“InCorp Indonesia/ we”) for general purpose only and we make no representations or warranties of any kind.

We do not act as an authorized government or non-government provider for official documents and services, which is issued by the Government of the Republic of Indonesia or its appointed officials.

We do not promote any official government document or services of the Government of the Republic of Indonesia, including but not limited to, business identifiers, health and welfare assistance programs and benefits, unclaimed tax rebate, electronic travel visa and authorization, passports in this website.

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