TNC & FRIENDS LAW FIRM
Free Consultation: 15 mins
Share your needs with us, get contacted by law firms.
Free. Takes 2 min.
Free Consultation: 15 mins
Under the Indonesian law, every business, whether a small enterprise or a multi-million business corporation, must be registered. Businesses in Surakarta, like anywhere else in Indonesia, need to undergo the same process as stipulated by the country’s regulations. The primary regulatory body responsible for all business-related affairs is the Ministry of Law and Human Rights. The guideline for business registration falls under the act of Law Number 40 Year 2007 regarding Limited Liability Company.
While the process of business registration may seem straightforward, the legal intricacies can be complex and may require professional assistance. Situations where a lawyer's help could be essential include: when determining your business legal structure, dealing with any sort of real estate, drafting and reviewing legal documents, and ensuring overall legal compliance. A lawyer also becomes necessary when your business involves foreign investment, considering the complexity of Indonesian foreign investment regulations.
Business Registration in Surakarta, Indonesia follows national law that is also applicable on a local level. Important aspects include the legal requirement for every business to be registered, the necessity of a Deed of Establishment, endorsement from the Ministry of Law and Human Rights, and securing business licenses that could include business domicile letter, tax registration number, and company registered number. Furthermore, foreign businesses are required to have a minimum investment plan of above IDR 10 billion.
The initial process involves submitting a Deed of Establishment containing the firm's articles of association approved by a notary. The company needs to be legalized by the Ministry of Law and Human Rights and also registered with the local municipality to obtain a company registration certificate.
Yes, a foreigner can register a business in Surakarta, but they must comply with the foreign investment laws in Indonesia. The minimum foreign investment plan should be over IDR 10 billion.
While it is not mandatory, it is highly advisable to have a lawyer to ensure accurate paperwork, adherence to all necessary procedures and prevent potential legal issues in the future.
Failing to register your business could lead to your business being deemed illegal which can lead to penalties or possible clousure.
Businesses in Surakarta are usually subjected to corporate income tax, withholding tax, value added tax (VAT), luxury-goods sales tax, and payroll tax.
For additional resources related to Business Registration, one can refer to the website of the Ministry of Law and Human Rights. Other helpful bodies include the Indonesian Investment Coordinating Board (BKPM) for foreign investors, and the OSS (Online Single Submission) system for business licensing.
If you require legal assistance for Business Registration in Surakarta, begin by finding a reputable local lawyer with expertise in Indonesian business law. Seek initial consultation to understand what your requirements will be. Follow their guidance throughout the registration process to ensure legal compliance, accurate documentation, and to handle any unforeseen legal issues. Consider securing legal representation for any dealings with the local or national government or other business entities.