Under BKPM Regulation No. 5 of 2025, Indonesia cut the minimum paid-up capital for foreign-owned companies by 75 percent to IDR 2.5 billion, while PT PMA government formation fees under PP No. 30 of 2026 generally start at just IDR 1.5 million.
Setting up a foreign-owned limited liability company (PT PMA) in Indonesia involves three cost pillars: mandatory capital thresholds, modest government fees, and professional coordination expenses. Knowing how much it costs to set up a foreign-owned company in Indonesia is essential for budgeting your market entry. Getting these numbers right early avoids registration delays, capital lock-up surprises, and compliance penalties down the line.
We provide a detailed line-item view of the cost of establishing a PT PMA in Indonesia for 2026. This separates recoverable capital from non-recoverable fees. It also highlights the regulatory changes under BKPM and AHU rules. With accurate budgeting, businesses can commit their investment confidently and meet all statutory requirements from day one. We also link to the official AHU tariff schedule and BKPM guidance to strengthen trust and transparency. To see the authorised-capital tariff bands and risk-based licensing steps in detail, refer to the AHU portal and the BKPM investment procedures.
For first-time investors, key acronyms include:
- AHU: Directorate General of General Legal Administration under the Ministry of Law and Human Rights
- PNBP: Non-Tax State Revenue
- OSS: Online Single Submission, the integrated government licensing platform
- NIB: Nomor Induk Berusaha, the Business Identification Number
- LKPM: Laporan Kegiatan Penanaman Modal, the quarterly investment activity report filed with BKPM
In this blog, we cover the full cost picture, including paid-up capital, AHU PNBP charges, notary and advisory fees, and first-year compliance, so foreign investors can plan with clarity.
How Does Capital Structure Determine Your PT PMA Setup Cost Indonesia 2026?
Cost structure for a foreign-owned company in Indonesia starts with the IDR 2.5 billion minimum paid-up capital. The total investment plan must exceed IDR 10 billion per KBLI code, excluding land and buildings.
Under BKPM Regulation No. 5 of 2025, foreign-owned limited liability companies known as PT PMA must meet two distinct capital thresholds. Paid-up capital of at least IDR 2.5 billion must be declared at incorporation and deposited into an Indonesian corporate bank account. This amount can later support operations, subject to a 12-month retention rule except for asset purchases, construction or verified business use.
The broader investment plan remains above IDR 10 billion per five-digit KBLI (Klasifikasi Baku Lapangan Usaha) business activity and project location. This figure covers equipment, working capital and expansion over time and excludes land and buildings in most cases. Sector-specific rules may impose higher thresholds.
Shareholders must prepare a capital statement letter during registration. Actual deposit follows company establishment and bank account opening. Failure to meet these rules can block NIB (Nomor Induk Berusaha) issuance or trigger administrative sanctions through the OSS (Online Single Submission) system.
We help clients structure capital correctly from the deed stage so the investment commitment aligns with both BKPM and practical cash-flow needs. For deeper detail on these thresholds, review the minimum capital of a PT PMA in Indonesia.
1. Paid-up capital versus investment plan
Paid-up capital is the cash or appraised assets injected and recorded in the deed. The investment plan is the total project value committed over a multi-year horizon. Confusing the two leads to under-budgeting or compliance flags.
2. Deposit timing and lock-up rules
Deposit occurs after the deed receives Ministry of Law approval and the company opens a local bank account. The 12-month lock-up under BKPM rules restricts early extraction except for approved operational uses.
3. Sector variations
Certain industries such as finance or specific logistics activities may require higher capital. Always verify the relevant KBLI against the positive investment list and any ministry overlays.
What Government Fees Apply to Foreign Company Registration in Indonesia?
AHU PNBP formation fees range from IDR 1.5 million to IDR 5 million depending on authorised capital. OSS licensing itself carries no core platform charge. Official AHU and BKPM sources confirm the current tariff bands.
The Directorate General of General Legal Administration (AHU) under the Ministry of Law and Human Rights levies Non-Tax State Revenue (PNBP) for company establishment. Under PP No. 30 of 2026 effective 1 August 2026, tariffs for registration of a capital company (Perseroan Persekutuan Modal) follow authorised capital (modal dasar) bands.
Bands are: up to IDR 25 million at IDR 300,000; above IDR 25 million to IDR 1 billion at IDR 600,000; above IDR 1 billion to IDR 5 billion at IDR 1.5 million; and above IDR 5 billion at IDR 5 million. The usual PT PMA range sits between IDR 1.5 million and IDR 5 million. This is because most foreign-owned companies set authorised capital at or above the IDR 2.5 billion paid-up minimum. This places them in the upper two bands. Lower bands apply only to entities with very small authorised capital, which are rare for foreign investment.
Name reservation checks are free or low-cost. OSS-RBA (Online Single Submission Risk-Based Approach) issuance of the Business Identification Number (NIB) and risk-based licenses is free at the platform level, though certain sector or local permits may attract separate charges. Tax registration (NPWP) through the Directorate General of Taxes is also free.
These official fees form only a small fraction of total outlay. Always separate PNBP from notary and advisory costs when reviewing quotes. Official tariff information is available via the AHU portal (PNBP schedule under PP 30/2026, verified August 2026) and BKPM investment procedures (foreign investment rules under BKPM Regulation No. 5 of 2025, verified August 2026).
1. AHU formation PNBP bands
Select the correct band based on the authorised capital stated in the deed of establishment. Higher authorised capital triggers the IDR 5 million tariff.
2. OSS and related licensing
The Online Single Submission Risk-Based Approach system issues the NIB and basic licenses without a platform fee. Medium or high-risk activities may require additional verified certificates or ministry approvals that carry their own costs.
3. Other minor government charges
Stamp duty, profile downloads or later amendments generate small PNBP amounts. Beneficial ownership reporting and annual notifications also fall under AHU processes.
PT PMA Capital Thresholds 2026
| Item | Amount (IDR) | Notes |
|---|---|---|
| Minimum paid-up capital | 2.5 billion | Deposited after bank account opening; 12-month retention applies |
| Minimum investment plan | >10 billion per KBLI | Excludes land and buildings in most cases; progressive realisation |
| Authorised capital (typical) | Varies, often ≥2.5–10 billion+ | Determines AHU PNBP band |
How Much Do Professional Services and Notary Fees Cost for PT PMA Setup?
Professional packages for end-to-end PT PMA incorporation typically range from IDR 25 million to IDR 100 million depending on complexity, and most providers include notary fees within the quoted price.
Notary fees for drafting and executing the bilingual deed of establishment usually form the largest single professional line item. Indicative notary charges fall between IDR 5 million and IDR 20 million, varying by location, document volume and translation needs. In most end-to-end packages, the notary fee is bundled into the total quote rather than billed separately.
Corporate Services Providers handle name checks, deed coordination, AHU submission, OSS registration, tax ID, bank account support and initial licensing. Full packages commonly sit in the IDR 25–100 million range. Using an indicative exchange rate of USD 1 = IDR 15,500 (as of early 2026), this equates to approximately USD 1,600 to USD 6,500. Simpler low-risk activities cost less; multi-KBLI or regulated sectors cost more.
Quoted professional-fee ranges are indicative and may vary by KBLI, location, document readiness, and permit risk level. Additional items include legalised translations, powers of attorney for remote signing, virtual or physical registered office arrangements, and post-setup compliance onboarding. These should appear as separate line items rather than buried in a single lump sum.
In practice clients achieve cleaner timelines when the provider coordinates notary, AHU and OSS in one workflow. Choosing a provider familiar with both local Company Law and foreign investment rules reduces rework. Free Indonesia company name check tools help start the process efficiently.
1. Notary and deed preparation
The notary prepares the articles of association, share structure and capital clauses. Bilingual versions and remote execution add modest cost but save time for overseas shareholders.
2. End-to-end incorporation packages
These cover government liaison, document management and licensing. Compare what is included versus optional add-ons such as visa support or accounting setup.
3. Office address and ancillary costs
A compliant registered office is mandatory. Virtual arrangements may suit certain activities; others require physical premises. Annual costs vary widely by city.
AHU PNBP Formation Fees under PP 30/2026
| Authorised Capital Band | PNBP Tariff (IDR) | Relevance to PT PMA |
|---|---|---|
| Up to 25 million | 300,000 | Rare for foreign investment |
| Above 25 million to 1 billion | 600,000 | Uncommon for PT PMA |
| Above 1 billion to 5 billion | 1.5 million | Common for standard structures |
| Above 5 billion | 5 million | Applies when higher authorised capital is set |
What Other Costs and Timelines Should Investors Expect?
Beyond capital and setup fees, budget for bank account opening, tax registration, potential sector permits, and first-year compliance; typical timelines run 4 to 8 weeks when documents are complete.
After the deed is approved, the company obtains its NPWP, opens a corporate bank account and deposits paid-up capital. Banks may request additional KYC materials for foreign shareholders. Sector-specific permits or environmental documents can extend the schedule for higher-risk KBLI codes.
First-year running costs include corporate secretarial filings, quarterly LKPM (Laporan Kegiatan Penanaman Modal Asing) investment reports through OSS, bookkeeping and tax compliance. For example, basic corporate secretarial packages start at IDR 4 million per year, and quarterly LKPM filings cost IDR 1.5 million each report. These recurring items often exceed one-time formation fees over time.
Total cash required at launch therefore comprises the IDR 2.5 billion paid-up capital plus IDR 30–120 million in combined government, notary and professional outlays. This estimate excludes registered-office lease, sector-specific environmental permits, and document translation or legalisation. First-year compliance such as secretarial filings, LKPM and tax returns is additional. The paid-up capital remains company property and is not a fee paid to government or advisers.
For a full process overview see the steps to open a company in Indonesia and how long company setup in Indonesia takes. Early alignment on KBLI selection and foreign ownership limits under the investment list prevents costly restarts.
1. Bank and tax onboarding
Corporate account opening and NPWP issuance usually complete within days once the legal entity exists. Capital deposit confirmation closes the OSS investment commitment.
2. Sector and local permits
Medium- and high-risk activities require verified certificates or additional ministry clearances. Timelines depend on completeness of supporting studies.
3. Ongoing compliance baseline
LKPM reporting, annual AHU notifications, tax filings and beneficial ownership updates form the minimum compliance calendar. Budget these from month one.
Indicative PT PMA Setup Cost Ranges 2026
| Cost Category | Typical Range | Remarks |
|---|---|---|
| Government PNBP (AHU) | IDR 1.5–5 million | Based on authorised capital band |
| Notary and deed | IDR 5–20 million | Varies by complexity and location |
| Professional coordination package | IDR 25–100 million / USD 2,000–5,000 | End-to-end including OSS and licensing |
| Paid-up capital | IDR 2.5 billion | Company asset, not a fee |
| Office address (annual) | IDR 15–120 million+ | Virtual or physical depending on activity |
| First-year compliance buffer | Variable | Secretarial, LKPM, tax, accounting |
Key PT PMA Setup Cost Categories 2026
| Cost Element | Typical Amount (IDR) | Details |
|---|---|---|
| Paid-up capital | 2.5 billion | Minimum; remains company property after deposit |
| AHU PNBP formation fees | 1.5 million to 5 million | Depends on authorised capital band; PT PMA usually from 1.5M |
| Professional fees including notary | 25 million to 100 million | End-to-end incorporation packages |
| Optional sector permits | Variable | Depends on KBLI risk level and location |
| Recurring first-year compliance | Variable buffer | Includes LKPM reports, tax filings, secretarial |
How Can Businesses Compare Total Foreign Investment Establishment Expenses?
Build a line-item budget that separates capital, government PNBP, notary work, professional coordination and first-year compliance rather than relying on a single headline figure.
A realistic comparison starts with the authorised and paid-up capital figures required for the chosen KBLI. Next list every PNBP charge under the current AHU schedule. Then obtain itemised notary and corporate services quotes that specify inclusions.
Ask providers to confirm whether OSS licensing, tax registration, bank introduction and initial LKPM setup are covered. Clarify treatment of translations, legalisations and office address. Cross-check against official sources such as the OSS portal for process steps.
Businesses that treat capital as working funds rather than a sunk cost and that start compliance processes immediately after NIB issuance usually achieve smoother operations. The right corporate services provider acts as a single coordination point across notary, AHU, OSS and tax authorities.
Understanding the different business structures available in Indonesia helps confirm that PT PMA is the appropriate vehicle before costs are incurred.
1. Line-item budgeting principles
Separate non-recoverable fees from capital that stays inside the company. Flag any optional services clearly.
2. Quote evaluation checklist
Verify capital assumptions, AHU band used, timeline commitments and post-setup support. Avoid single-number quotes that obscure components.
3. Risk factors that inflate cost
Incorrect KBLI selection, incomplete shareholder documents or late capital deposit create rework and extra fees. Early due diligence minimises these.
Conclusion
Setting up a foreign-owned company in Indonesia in 2026 centres on three cost pillars. First is the IDR 2.5 billion paid-up capital that remains company property. Second are modest government PNBP fees under the updated AHU schedule. Third is professional support that typically ranges from IDR 25 million to IDR 100 million depending on scope. Correct KBLI selection, capital structuring and coordinated filings keep both cost and timeline predictable.
The IDR 25–100 million professional package range typically bundles notary fees of IDR 5–20 million. Adding government PNBP charges of IDR 1.5–5 million and minor statutory charges such as stamp duty brings the combined non-capital outlay to approximately IDR 30–120 million. The higher end reflects cases where notary fees are billed separately rather than bundled, or where projects involve multiple KBLIs or regulated-sector permits. To avoid double-counting, investors should confirm whether their professional package includes notary costs before adding them as a separate line item. This estimate excludes registered-office lease, sector-specific environmental permits such as SPPL or UKL-UPL, and document translation or legalisation, which vary materially by business activity and location. Ongoing compliance begins immediately after the NIB is issued.
3E Accounting Indonesia, as a Corporate Services Provider, assists startups, SMEs and multinational companies with company incorporation, corporate secretarial, accounting, tax and business advisory through technology-enabled processes. We support clients across the full lifecycle so they can launch and expand with confidence.
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Frequently Asked Questions
IDR 2.5 billion under BKPM Regulation No. 5 of 2025. This must be deposited into the company’s Indonesian bank account after establishment, with a general 12-month retention period.
No. AHU PNBP formation fees are only IDR 1.5–5 million. The paid-up capital of IDR 2.5 billion and professional packages form the larger cash requirements.
Typically 4 to 8 weeks when documents are complete and the activity is low or medium risk. Higher-risk sectors or incomplete files extend the timeline.
No. It is company capital deposited in the corporate bank account and available for approved business use after any applicable lock-up period.
Registered office, quarterly LKPM reports, tax compliance, corporate secretarial filings and any sector permits. These should be budgeted from the first year.
Abigail Yu
Author
Abigail Yu oversees executive leadership at 3E Accounting Group, leading operations, IT solutions, public relations, and digital marketing to drive business success. She holds an honors degree in Communication and New Media from the National University of Singapore and is highly skilled in crisis management, financial communication, and corporate communications.
