HR and Payroll Overview
05/08/2025
Setting up HR and payroll for PT PMA in Indonesia requires navigating legal and compliance challenges. This guide outlines key requirements for foreign investors.
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Indonesia offers a promising investment landscape for foreign businesses. For international investors, establishing a Foreign Investment Limited Liability Company (Perseroan Terbatas Penanaman Modal Asing/PT PMA) can provide opportunities in various sectors. However, complying with the foreign ownership rules, capital requirements, and operational procedures can be challenging without suitable local expertise.
Putranto Alliance provides comprehensive guidance for foreign investors to establish and manage a PT PMA in Indonesia, ensuring a smooth process.
Foreign investors may face several challenges when establishing a PT PMA in Indonesia:
When entering the Indonesian market, selecting the appropriate business structure is a crucial decision that impacts operational flexibility, regulatory compliance, and long-term growth. Foreign investors can choose between a Representative Office, other limited-purpose entities, or a full PT PMA (Foreign Investment Company), depending on their objectives and the scope of their operations.
A Representative Office is limited to liaison, marketing, and feasibility studies, and is not authorized to generate revenue.
On the contrary, a PT PMA allows full operational activities but requires compliance with investment and ownership regulations.
At Putranto Alliance, our expertise in Indonesian corporate law, investment regulations, and tax compliance ensures foreign investors can focus on business growth without being hindered by regulatory complexities.
Avoid costly delays and rejected business registration applications.
Contact Putranto Alliance today to secure your PT PMA in Indonesia with confidence from day one.
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