Set up a foreign-owned company (PT PMA) in Indonesia with full compliance and investment approval.
Open a Representative Office (KPPA) for market research, promotion, or liaison activities — without direct sales.
Register a foreign trading representative office (KP3A) to engage in trade-related activities under Indonesian law.
With over 275 million people and a rising middle class, Indonesia offers strong demand across key consumer sectors.
Pro-business reforms and simplified licensing make it easier for foreign investors to set up and operate.
As an ASEAN member, Indonesia provides strategic access to over 600 million consumers with reduced trade barriers.
High-potential industries like tech, manufacturing, logistics, and F&B are open to foreign investment and primed for growth.
This comparison helps you understand the legal structure, permitted activities, and key differences between PT PMA, KPPA, KP3A, and BUJKA — so you can align your setup with your business goals in Indonesia.
| Criteria | PT PMA | KPPA | KP3A | BUJKA |
|---|---|---|---|---|
| Purpose | Commercial business operations | Representative office for liaison only | Trade promotion & representation | Construction project execution |
| Allowed to generate revenue | Yes | No | No | Yes |
| Ownership | 100% foreign or joint venture | Fully owned by foreign parent | Fully owned by foreign principal | Licensed foreign construction company |
| Legal status | Legal entity (limited liability company) | Not a legal entity | Not a legal entity | Project-based licensed entity |
| Minimum capital | IDR 10 billion (paid-up min IDR 2.5 billion) | Not required | Not required | Based on project value & regulation |
| Business activities | Varies, must align with allowed sectors | Market research, networking, reporting | Product representation, promotion | Construction only (project-specific) |
| License/permit required | Business License (OSS) | KPPA License from BKPM | KP3A License from Trade Ministry | BUJKA License from Construction Authority |
| Duration | Unlimited (as long as compliant) | Max 5 years, extendable | Max 3 years, extendable | Project-based, temporary |
| Tax obligations | Full corporate tax obligations | No revenue tax (but must report) | No revenue tax (but must report) | Taxed per project and income generated |
To start a business in Indonesia, please share your planned activities. We’ll recommend the right legal entity, business classification (KBLI), and required documents for company registration.
After collecting the necessary informations, we will proceed with submitting your company registration to the relevant Indonesian authorities.
The Articles of Association (AoA) define your company’s core structure and must be notarized and ratified for legal recognition in Indonesia.
With a valid NIB (Business Identification Number), your company can legally operate in Indonesia, register for taxation, and apply for the required business licenses.