by | Mar 9, 2025 | Business
Have you set your sights on expanding your business to the vibrant Indonesian market? Establishing Penanaman Modal Asing (PMA), or a Limited Liability Company with Foreign Direct Investment (“called as “PT PMA”) can be a strategic move for entrepreneurs seeking complete control of their operations. This comprehensive guide dives deep into everything you need to know about PT PMA. We’ll explore the key features of this company structure, including foreign ownership percentages, minimum investment requirements, and the benefits associated with it. Additionally, we’ll guide you through the PT PMA establishment process, highlight factors to consider before making a decision, and even explore alternative company structures suitable for specific business goals. By the end of this article, you’ll be armed with the knowledge to confidently navigate the PT PMA landscape and make an informed decision for launching your successful foreign-owned venture in Indonesia.
Indonesia, a Southeast Asian powerhouse, boasts a thriving economy, strategic location, and a welcoming environment for foreign investment. If you’re an entrepreneur with sights set on this dynamic market, establishing a PT PMA, can be a strategic move. This comprehensive guide delves into everything you need to know about PT PMA, empowering you to make informed decisions for your business venture in Indonesia.
Understanding the Structure of PT PMA
A PT PMA is the most common legal structure chosen by foreign investors seeking complete control over their Indonesian operations. Here’s a breakdown of key features of a PT PMA:
Foreign Ownership:Allows for 100% foreign ownership, ideal for complete control by foreign investors.Paid-Up Capital:Requires a minimum capital of IDR 10 billion (approximately USD 680,000+)Shareholding:While 100% foreign ownership is allowed, regulations require a minimum of 2 shareholders in a PT PMA which can be an entity or an individual.
Benefits of Establishing a PT PMA
Choosing a PT PMA structure offers several advantages for foreign investors:
Full Control:PT PMA provides complete decision-making authority for foreign investors over the company’s operations.Limited Liability:Shareholders’ liability is limited to their investment in the company, offering protection for personal assets.Access to Local Market:A PT PMA allows direct participation in the Indonesian market, facilitating sales and distribution.Tax Benefits:Depending on the industry and location, PT PMAs might qualify for specific tax incentives offered by the Indonesian government.
Things to Consider Before Establishing a PT PMA
While PT PMA companies offer a compelling structure for foreign investors seeking complete control in Indonesia, there are crucial factors to consider before diving in. Let’s delve deeper into these considerations to ensure you make an informed decision for your business venture:
Minimum Investment Threshold:The minimum investment requirement of IDR 10 billion (approximately USD 680,000+) can be a significant hurdle for some businesses, particularly startups or those with lower initial capital requirements. Carefully assess your budget and projected growth trajectory to determine if a PT PMA aligns with your financial resources.Compliance Burden:Foreign investors establishing PT PMA need to adhere to various regulations and reporting requirements. These can include ongoing compliance with investment regulations, tax reporting, labor laws, and environmental regulations. Navigating these complexities can be time-consuming, and seeking assistance from legal and accounting professionals might be necessary.Market Knowledge and Local Partnerships:The Indonesian market has its unique characteristics and cultural nuances. Partnering with a reputable local company can provide valuable insights into consumer preferences, business practices, and navigating bureaucratic processes. This collaboration can streamline operations and enhance your company’s success in the Indonesian market.Long-Term Commitment:Establishing a PT PMA is a significant undertaking, and success hinges on a long-term commitment to the Indonesian market. Thorough market research, a well-defined business plan, and a commitment to navigating the legalities and cultural landscape are essential for a thriving venture.Alternative Company Structures: Depending on your specific business goals and industry, alternative company structures might be better suited. Consider options like a Perusahaan Penanaman Modal Bersama (PMDN), a joint venture with Indonesian partners, which might have lower minimum investment requirements depending on the sector. Alternatively, a Representative Office (RO) might suffice if your primary focus is market research and promotion. (contact us for discussing the alternative company structure by clicking this link)
The PT PMA Establishment Process
Setting up a PT PMA involves several steps:
Company Name Reservation:Reserve your desired company name with the Ministry of Law and Human Rights (MOLHR).Articles of Association (AOA) Drafts & Notarization:Draft and notarize the AOA outlining company structure, purpose, and governance.Deed of Establishment:Prepare and notarize the Deed of Establishment, formally establishing your company.Company Registration:Register your company with the MOLHR after obtaining investment approval.Tax Registration:Register for tax purposes with the Indonesian tax authorities.Business License Application:Apply for the necessary business licenses (business identification number (NIB), etc.) through the Online Single Submission System (OSS).
Additional Considerations
Local Partner:While not mandatory, partnering with a reputable local company can provide valuable insights into the Indonesian market and navigate bureaucratic processes.Professional Support:Seeking assistance from lawyers, accountants, or company registration consultants can streamline the establishment process and ensure compliance.
Alternatives to PT PMA
In some cases, depending on your business goals and industry, alternative company structures might be suitable:
Perusahaan Penanaman Modal Bersama (PMDN):A joint venture company with both Indonesian and foreign investors. Minimum investment requirements vary by sector.Representative Office (RO):Limited to market research, promotion, and liaison activities. ROs cannot engage in commercial activities.
Conclusion: Launching Your Indonesian Venture with Confidence
In conclusion, your entrepreneurial journey in Indonesia can flourish with a well-established PT PMA. This guide has equipped you with in-depth knowledge about PT PMA, from understanding the structure and its advantages (full control, limited liability, market access) to navigating the establishment process (name reservation, AOA preparation, registration). We explored essential considerations like minimum investment, and compliance, along with alternative company structures (PMDN, RO) for specific scenarios. Remember, with meticulous planning, the potential for professional support, and a grasp of the regulations, establishing your PT PMA can be a stepping stone to a thriving foreign-owned venture in the heart of Indonesia. So, dive into the exciting opportunities this dynamic market offers, empowered by the knowledge you’ve gained from this comprehensive guide.
Looking to dive into Indonesia’s vibrant business landscape? Let us assist you in navigating the complexities of setting up your business entity in this dynamic market. Kickstart your entrepreneurial journey today! Click here to begin.
by | Mar 7, 2025 | Business
RMIT sustainable fashion experts have collaborated with brands to create guidelines aimed at eliminating wasteful designs and promoting durable fashion that supports reuse and recycling.
The global fashion industry is responsible for about 10% of all greenhouse gas emissions.
The new guide, Refashioning: accelerating circular product design at scale, outlines steps for makers to transition from linear to circular design, focusing on maximising the lifespan of products and materials.
Lead author and Dean of RMIT’s School of Fashion and Textiles, Professor Alice Payne, said the guide challenged traditional design thinking with practical steps to enable change.
“This guide provides a systematic and methodological approach to implementing circular clothing design in a way that all organisations can implement, regardless of their size,” she said.
“Based on extensive research with the industry, we’ve created practical steps businesses can take to improve the circularity of their outputs.
“Although other circular design guides are available, Refashioning is unique in providing a systematic methodology that enables designers to both slow the flow and close the loop.”
The dominant production and consumption method used by most brands today creates clothing for a linear economy – a system of take, make and waste.
To switch to a circular method that allows materials to be recycled, critical aspects such as material choices, product purpose and use, durability, and end-of-life options need to be considered early in the design process.
Funded by Sustainability Victoria, the guide’s production was a collaboration between RMIT, Country Road Group brands and two independent partners, circular design expert Courtney Holm and sustainability expert Julie Boulton.
Sustainability Victoria’s CEO, Matt Genever, said the research connected industry, government, and academia to address textile waste.
“It’s an example of how effective cross-sector collaboration can generate impactful results in the transition to a circular economy,” he said.
“By fostering partnerships across sectors, Sustainability Victoria enables meaningful change that moves beyond theory and into real, actionable solutions.”
Applied expertise was central to the design of the guidelines, as they were tested by users on actual products.
For over a year, the team worked with eight product and design teams across four brands within the Country Road Group – Country Road, Trenery, Witchery and Politix – to test and refine the guides in a commercial context.
Country Road Group’s Head of Sustainability, Erika Martin, said working on the guide’s creation has started the Group on a journey towards having a common understanding and approach to circular design across its brands.
“This project delivered a clear vision for circular design, and leveraged the expertise in the industry, academia and our own business,” she said.
“The opportunity to help create guidelines based on real life feedback and challenges and not just academic theory was a key driver for our involvement, alongside our commitment to building a better future.”
Refashioning: accelerating circular product design at scale, with RMIT co-authors Alice Payne, Yassie Samie, Jenny Underwood, Saniyat Islam, Rebecca Van Amber and Regine Abos,is published on refashioning.org.
by | Mar 7, 2025 | Business
Multibook Limited (Headquarters: Shinagawa, Tokyo; CEO: Tadaaki Murayama) announces that its global cloud ERP service multibook now supports e-Invoice, a national requirement in Malaysia.
With this, businesses can use multibook to apply for certification of electronic invoices in batches through multibook on MyInvoisPortal, the Malaysian tax authority’s web application.
- About Malaysia’s e-Invoice System
Aiming to enhance tax regulation efficiency and improve transaction transparency, Malaysia has introduced the e-Invoice system in phases, beginning in June 2024. Under this system, invoice issuers must electronically submit transaction details to the tax authority for authentication. Implementing e-Invoice is mandatory for all businesses from July 1, 2025, making compliance a pressing issue.
There are two primary methods for businesses to authenticate invoices with the tax authority. The first one is by manual submission via MyInvoisPortal, the online portal provided by the Malaysian tax authority. The second one is by API linking MyInvoisPortal with the company’s existing invoice system.
- Multibook e-Invoice compliance features
Multibook has developed a standard file output function that enables batch uploads to MyInvoisPortal. The required upload format consists of 11 sheets, which can be time-consuming when filled manually. By utilizing multibook, businesses can submit authentication requests in bulk, improving operational efficiency, reducing processing time, and minimizing errors.
Multibook remains committed to adapting to regulatory requirements and tax law updates in various countries. Our mission is to make the challenge of international business management more accessible and easier, to “Empower your potential” .
- Overview of Global Cloud ERP “multibook”
Multibook is a cloud-based ERP designed for overseas business operations, prioritizing speed in implementation, processing, and issue resolution. Supporting 12 languages, multi-currency transactions, and multiple account books, it seamlessly integrates business locations worldwide. Currently it has been adopted by over 500 companies across 33 countries, spanning industries such as manufacturing, trading, food & beverage, and construction, catering to both listed and non-listed enterprises.
Key Features: Accounting, logistics, fixed asset management, IFRS lease asset management, expense reimbursement, management cockpit, business process outsourcing cockpit, external integration (e.g., consolidated accounting, warehouse management)
Service: multibook
Website: https://en.www.multibook.jp/
12 Supported Languages: Japanese, English, Thai, Vietnamese, Korean, Burmese, German, French, Spanish, Traditional Chinese, Simplified Chinese and Indonesian.
- Company Overview
Company name: Multibook Limited
CEO: Tadaaki Murayama
Established: September 2000
Headquarters: NMF Gotanda Ekimae Building 5F, 1-1-8 Nishi-Gotanda, Shinagawa-ku, Tokyo, Japan
Overseas offices: Singapore, Thailand, Philippines
Business description: Planning, development and provision of global cloud ERP services, including “multibook.”
by | Mar 7, 2025 | Business
XPRESS Super App is an innovative multi-transport ride-hailing platform in the Philippines that empowers seniors to embrace an active second life. Inspired by Japan’s high senior employment rates, the app offers user-friendly training and design, along with BYD-backed Hybrid/EV loans at 0% commission during a transition period. The Negosyo Program and exclusive financing provide safe, sustainable mobility, with every booking insured for riders and drivers, ensuring reliable transportation solutions daily.
Manila, Philippines – XPRESS Super App, the country’s newest multi-transport ride-hailing platform, is redefining retirement by inviting senior citizens to embrace a vibrant “2nd life” after their careers. Inspired by Japan’s progressive employment model, a recent report by the Japan Business Federation revealed that in 2022, the employment rate for individuals aged 60 and older reached 25.2%, significantly higher than in the United States (18.6%) and the United Kingdom (10.9%). This encouraging data has fueled XPRESS’s mission to ensure that retirement is a time of purpose and renewal.
Designed with simplicity in mind, the XPRESS app features large, easy-to-read icons, and the company provides smartphones along with personalized training for those unfamiliar with modern technology. “We believe everyone deserves a chance to stay active and engaged,” an XPRESS spokesperson stated.
In a groundbreaking collaboration with BYD, XPRESS offers drivers the opportunity to avail Hybrid and EV loans, making sustainable vehicle ownership more accessible. During a limited-time transition period, drivers using electric EV or hybrid vehicles benefit from a 0% commission program, allowing them to maximize earnings while supporting eco-friendly transportation.
Furthering its commitment to inclusivity, XPRESS has introduced the Negosyo Program in partnership with Cebuana Lhuillier. This initiative provides exclusive financing options for driver partners across Metro Manila and key cities nationwide like Bataan, removing barriers to EV adoption.
XPRESS also addresses driver shortages during rush hours by welcoming both senior riders and drivers. With specific age requirements for 2-wheel Moto Taxis (20-60) and 4-wheel Car Taxis (20-65), additional doctor’s fit-to-drive certification for riders or drivers aged 60-65, and an active professional Philippine driver’s license, XPRESS is paving the way for a more inclusive, sustainable future. Every active booking is insured for both the rider/driver and their passenger to ensure top-notch coverage.
For more details, visit www.xpress.ph and follow XPRESS on Facebook, Instagram, and TikTok @XpressPhilippines or e-mail in**@****ss.ph.
by | Mar 7, 2025 | Business
Manila, Philippines – February 26, 2025 – The Kloud Solutions Inc. Launch event was a groundbreaking moment in the Philippine IT and cloud computing industry, marking a new era in telecommunications and business solutions. Among the key highlights of the event was the presentation of OneSuite Business by Mary Olmstead, an emerging leader in IT and cloud communications, who introduced the cutting-edge virtual PBX system designed to revolutionize business communications for solopreneurs, small businesses, and remote teams.
Mary Olmstead: Pioneering Smart Business Communication Solutions and AI Advocacy
Mary Olmstead, a passionate advocate for innovative and cost-effective IT solutions, took center stage to introduce OneSuite Business, an industry-leading pay-as-you-go virtual PBX that empowers professionals, business owners, and remote teams with seamless communication solutions. With her expertise in IT and business communication, Olmstead highlighted how OneSuite Business offers unparalleled convenience for those needing a dedicated US business number while staying in the Philippines for business, vacation, or leisure activities.
OneSuite Business: A Game-Changer for Business Owners, Remote Professionals, and Travelers
Since its inception in 1999, OneSuite has been a pioneer in prepaid integrated telecom services, and with the evolution of remote work and global business operations, OneSuite Business was designed as an upgraded, simplified, and cost-efficient solution tailored for today’s professionals.
Key benefits of OneSuite Business include:
✔ Dedicated Business Number: Stay connected with a US business number wherever you go.
✔ Auto Attendant & IVR: Set up professional call routing to ensure calls reach the right place.
✔ Caller ID Protection: Keep personal and business communications separate while maintaining professionalism.
✔ Receive 2FA & OTP Verification Codes: A secure solution for authentication while traveling abroad.
✔ Scalability for Teams: A flexible virtual phone system for solopreneurs, startups, and growing businesses.
✔ Pay-as-you-go Pricing: Only pay for what you use, making it an affordable option for businesses of all sizes.
✔ Multi-Device & Remote Access: Make and receive calls or send SMS from anywhere in the world via the OneSuite Business App or thru the website.
On <b>February 26, 2025</b>, at the<b> Kloud Solutions Launch</b>, Olmstead had the opportunity to showcase how OneSuite Business can empower professionals with seamless communication solutions.<i></i>
Mary Olmstead emphasized that OneSuite Business is the perfect solution for Filipinos working remotely, managing an international business, or maintaining a presence in North America without incurring expensive roaming or international calling charges. Additionally, OneSuite Business is an ideal choice for U.S. tourists traveling to the Philippines or anywhere else in the world for business, work, or leisure activities. With its cloud-based IPPBX service, OneSuite Business ensures that travelers can maintain seamless communication as if they never left the U.S.This means they can receive and make calls with a dedicated U.S. number, send and receive SMS, and manage business operations without the hassle of costly international fees or unreliable roaming services. Whether in Southeast Asia, Europe, or anywhere else, OneSuite Business provides uninterrupted connectivity, giving travelers the flexibility and convenience of a professional business phone system wherever they go.
A Strategic Moment in the IT Industry
The Kloud Solutions Inc. Launch event was a testament to the growing demand for locally owned, sovereign cloud computing and telecom solutions in the Philippines. As SkyLab’s FusionFlow Cloud Service Platform expands its reach into the region, the partnership between OneSuite Business and Kloud Solutions Inc. underscores the importance of cutting-edge cloud-based communication solutions tailored for modern business needs.
Olmstead’s presentation highlighted the shifting landscape of business communication, ensuring small businesses, entrepreneurs, and remote professionals have the right tools to stay connected, work efficiently, and grow their businesses seamlessly.
Building a Name in the IT Industry
Mary Olmstead is set on making an impact in the IT and cloud solutions space. With her expertise and strategic vision, she aims to continue advocating for smart, affordable, and efficient business communication tools, as well as the integration of AI to drive digital transformation. Her presentation at the Kloud Solutions Inc. launch is just the beginning of her journey toward becoming a recognized leader in IT, AI, and telecom innovations.
For more information about OneSuite Business and how it can help your business stay connected while in the Philippines, visit www.onesuitebusiness.com or contact Mary Joy Custodio-Olmstead at ma***********@**********on.com.
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