When it comes to Company Registration In Indonesia, a PT is the most popular type of a company people often take. This form of company is actually meant for Indonesians exclusively. However, under certain circumstances, an investor of foreign origin can also choose to set up a company under this category.
For a foreign investor, the PT is one of the three types of company he or she can take, the other two being representative office and PT PMA. Now, while there are the other two, why would someone wants to use a PT?
Here’s the thing; when you want to set up a company under the category of either a representative office or a PT PMA, your choices are limited as they comply with the Negative Investment List. Some business areas are not available for foreigners at all. This makes it hard for you to get a Company Registration In Indonesia unless you establish a local PT company that will operate on your behalf.
To run a PT company you need 2 shareholders, 1 director, and 1 commissioner. Of the three, the director must be of local origin while the other can be composed of foreign individuals or companies.
Upon getting this kind of Company Registration In Indonesia, you need to realize that a PT is originally reserved only for Indonesians.
To be able to establish a PT, you will need a local nominee. A local nominee represents the Indonesian part of the company. In a sense, the company will be regarded as a PT despite its share is spread across locals and foreigners. In actuality, the ownership of the company legally belongs to a foreigner. Setting up a local PT company makes for a more logical and economical solution if your company revolves around a field of business that is excluded on the Negative Investment List.