Our Services
PMA Setups
PENANAMAN MODAL ASING
(Indonesian Foreign Direct Investment Company)
BUSINESS VEHICLES
The main business vehicles in Indonesia are legal entities and business entities. In a legal entity, there is a separation between the assets of the founder(s) and that of the established entity, which is not the case in a business entity. Establishing a legal entity requires the approval of several government entities, while establishing a business entity only requires registration with government entities.
Examples of legal entities include:
• Limited liability companies (Perseroan Terbatas (PTs))
• Co-operatives
• Pension funds
Business entities include:
• Civil partnerships
• Firms (a type of partnership)
• Representative offices
• Permanent establishments
• Limited partnerships
• Comanditer Venootschap (CVs)
The main form of business vehicle used in Indonesia is the PT.PMA. A PT.PMA is a legal entity comprised of shares that must be established by at least two shareholders. The PT.PMA is the most common form of business vehicle because of the limited liability of shareholders and a clear capitalisation regime. A PT.PMA can be a publicly listed company or a privately-owned company. A PT.PMA is the most common form of business entity used in Indonesia and is generally preferred, because the liability of shareholders is limited to their capital contribution. Additionally, the Board of Directors and Commissioners of a PT.PMA cannot be held liable for any corporate decision adopted in good faith, therefore affording greater protection to the parties involved.
ESTABLISHING A NEW PT PMA
The most common option for an overseas company establishing a presence in Indonesia is to set up a Limited Liability Company with foreign ownership (PT. PMA). The first step in establishing a PT.PMA is to determine whether the PT.PMA can be wholly owned or only partially owned by foreign shareholders.
To establish a PT.PMA, the founding shareholders or their proxies must execute a Deed of Establishment containing the PT.PMA’s Articles of Association (AOA), which must be signed before a Notary and filed for approval with the Ministry of Law and Human Rights (MOLHR). The filing process at the MOLHR will be handled by the Notary.
Once the MOLHR approves the AOA, the PT.PMA must register with the Online Single Submission System (OSS), managed by the Coordinating Ministry for Economic Affairs (CMEA). The OSS System will issue a Business Registration Number (Nomor Induk Berusaha or NIB) and Business License. For some sectors of business, companies can immediately start commercial activities after obtaining the Business License. After they obtain a Business License, companies in certain business sectors (such as industry, natural resource management, or energy) must secure a Commercial/Operational License before starting commercial activities. The Commercial/Operational License will only be issued after a company has met or obtained all the standards, certificates, licenses, and/or registrations required for the product and/or service being sold.
The Advantages of Establishing a new PT.PMA are as follows:
• Foreign investors have immediate control over the PT.PMA once it is established.
• Foreign investors control all assets held by the PMA company.
• Management can be set up to suit the investors’ preferences.
The Disadvantages are that establishing a new PT. PMA requires:
• Permits, setting up a physical presence (office) and hiring employees, which is time-consuming compared to acquiring an existing PT.PMA.
• Going through an administrative process with government institutions and agencies.
MINIMUM CAPITAL REQUIREMENTS
To establish a PT. with foreign ownership (PT.PMA), the minimum investment is IDR 10.5 billion (about USD 730,000) and the minimum issued share capital is IDR 2.5 billion (about USD 174,000). In the case where there is more than one investor who obtains an Investor KITAS (Visa), then the capital requirement becomes applicable per investor, which means it is then IDR 10.5 billion per investor holding the Investor Visa. In each business field, comprising equity capital and indicative loans. A company is categorized as a PMA if any of the shares are held by a foreign citizen or foreign company. Therefore, it doesn’t matter if it’s 100%, 51%, or even 1% – as long there are foreign
shareholders, you are foreign-owned company.
STRUCTURE
Indonesia recognizes a two-tiered board structure, Director and Commissioner. The Company Law does not regulate the structure of the Board of Directors (BOD) or Board of Commissioners (BOC), which can be determined by the company’s Articles of Association. However, the laws and regulations relating to specific business sectors may regulate the structure of the BOD and/or BOC (for example, in the insurance and banking sectors).
For more information on setting up a PMA, get in touch with us.
Immigration
We understand that one of the most frustrating parts of moving to or investing in a foreign country is
knowing your Visa options and immigration policies. We have an in-house visa agent working
around the clock to be able to give you the peace of mind when it comes to your Visas for
investment purposes.
We offer:
• Limited Stay Permits (KITAS)
• Permanent Stay Permits (KITAP)
• Investor Visas (Investor KITAS)
• Working Visas (Working KITAS)
For more information on your Visa requirements, get in touch with us.
Disclaimer:
PT. Blue Island Investments t/a Palm View Properties is not an immigration authority, nor do we give immigration advice. We have an Indonesian licensed agent who is authorised to give such advice and who will be doing all visa processing.
Business Consulting
Setting up a business (PT.PMA) in Indonesia as a foreigner has several elements to take in consideration. We will advise you on your set out responsibilities and liabilities as a foreign business owner here in Indonesia and will also be able to give you a full layout of how to manage that business in terms of processes needed to fulfil the Indonesian governments set out regulations in terms of the New Omnibus Law.
We are able to provide you with a complete consultation on critical aspects of doing business in Indonesia such as, (a)the various business sectors open to 100% foreign ownership (b)The risk level of each business sector (c)operating licenses and permits (KBLI’s) (d)tax consulting and reporting of your company through our partnered companies and many more.
Our in-house legal expert will be able to correctly guide, advise and assist you to be able to get the most out of your business. We will be able to advise you on a vast array of topics for your business, such as employment contracts, minimum wages, foreign employees, employee health insurance (BPJS) and Tax consulting through our partner company.
For more information on this please get in touch with us.
Property Sales & Marketing
Our core focus and expertise lie here. Our Founder & CEO was responsible for bringing the very first licensed real estate brokerage to the Gili Islands and brings years of valuable experience in sales & marketing and Indonesian real estate law.
We thus share a deep passion and expertise in the sales and marketing of various island properties, from private pool villas, vacant plots of land or businesses for sale or lease. We mainly focus on properties within the three Gili islands proximity and parts of Lombok.
We ensure that each and every property listed with us undergoes a due diligence check to ensure all property certification, taxes and zoning are correct and that you as a prospective buyer have peace of mind and have more time to focus on taking in the fantastic moment of becoming a new property owner on Indonesia’s beautiful islands.
We aim to at all times be a transparent link between buyer and seller and provide the best possible outcome for both parties.
To enquire about purchasing or renting property, get in touch with us.
Property Management
The management of your property is the most important aspect when it comes to the success of your property. In a digital age where we eat, drink and sleep on google, its crucial to ensure that guests leave with a 5-star review!
Our property management division currently holds the largest portfolio of luxury villas under our management across the Gili Islands. We bring a dedicated and trusted service to your property and its valued guests, which will leave them longing for a return. On the Gili Islands things are not always as it seems and we face a magnitude of challenges and hurdles daily such as logistics, skills and resources. To ensure a property runs smoothly with minimal challenges, you need to have an entire team behind it, dedicating every possible resource available to ensure guest and owner satisfaction.
Depending on the property and your needs for it as an owner, we will allocate a team of professionals to your property to manage and maintain your gardens, pools, general maintenance, repairs, guest management and concierge. We will ensure you receive weekly and monthly performance and maintenance reports to ensure you are kept up to date with the latest on your property.
Property Development
Palm View Properties is currently the only licensed real estate brokerage on the three Gili Islands. We are licensed to AREBI (Association of Real Estate Brokers Indonesia) and has the KBLI to conduct Development Consulting which essentially allows us to take the role as developer.
Since the rapid increase in the prices of existing villas on the Gili Islands over the past 5 years, a gap in the market emerged evidently, Investors needed someone who could navigate them through the daunting but exciting process of building their dream villa in paradise!
Building in your own country can be challenging, now imagine doing so in a foreign country, where you don’t even speak the language. Indonesia is a beautiful country with beautiful people; however, it remains a developing country and life on the islands is lived according to a motto by the locals which goes “adeng-adeng” or in English “slowly-slowly.” This means that the same level of urgency which you may be accustomed to doesn’t exist here, the level of skills and craftsmanship differs substantially to those of developed countries, hence the importance of ensuring you appoint the correct developer.
Our team has been responsible for building some of the most luxurious tropical villas the Gili Islands has to offer and through our property management division, those villas are showing great rental income returns. We have an expert team of contractors and project manager in place to ensure the successful and smooth delivery of your island dream.
Through our Lifestyle Plus Plan, we offer a turn-key and comprehensive package deal which will allow you to build your dream villa with us. We will take care of the land, your company set up, visas, design and architectural, construction and deliver until completed and you will be handed the keys to your new villa within no longer than 7-8 months. Inquire our Lifestyle Plus Plan today!
Lifestyle Plus Plan
The Lifestyle Plus Plan is a premium, turn-key service designed to make villa ownership effortless and affordable. Backed by our deep expertise and over 20 years of experience, this package allows you to sit back, relax, and let your investment work for you, from company setup and land acquisition to development and earning a passive rental income.
With villa prices across the three Gilis rising rapidly, purchasing or leasing land and building from scratch can be a smarter investment, often costing a fraction of the price of existing villas. However, navigating this process without the right expertise can be daunting. That’s where we come in.
We specialise in the development and management of luxury villas, as well as a range of business services such as company set ups and legal consulting. This provides foreign and local investors with a safe, secure and simplified platform to realise their dream of acquiring property on the Gili islands, Lombok and Bali.
Palm View Properties specialises in developing sustainable villas on prime, well-located land, acting as both developer and guide to deliver a seamless, turn-key experience. The Lifestyle Plus Plan streamlines the entire process, from legal structuring and administrative requirements to villa development, at a total agreed contract amount based on the scale of your investment. Upon completion, your villa will be fully prepared to welcome guests, and you also have the option to appoint Palm View Properties as your property management company, ensuring a smooth and profitable investment experience.