Business Permits and Licenses in Indonesia
Securing Business Permits and Licenses in Indonesia
To conduct general trading, handle goods, or provide various services as a business entity in Indonesia, you must accomplish two key steps. Firstly, establish your business and obtain an Indonesian business license. In addition to a general business license, certain businesses may require specific permits to operate legally, such as a commercial alcohol license.
For instance, a manufacturing company operating outside the realms of oil, gas, and geothermal energy is mandated to possess an industrial business license, while a construction company should acquire a construction business license.
Commercial and Operational Licenses
The Ministry of Investment (BKPM) is the governing body overseeing the licensing process for various sectors in Indonesia. The Ministry of Investment exclusively processes licenses pertaining to certain sectors and cannot be obtained through the Online Single Submission System (OSS). As such, direct application to the Ministry of Investment is required for the acquisition of these licenses.
Sectors Requiring Licensing by the Ministry of Investment/BKPM:
- Electricity
- Mineral and Coal
- Oil and Gas
- Public Housing and Work
- Customs and Taxation
- Capital Investment
For the registration of your business, the Online Single Submission System (OSS) is the designated platform. Functioning as an all-encompassing hub for business licenses, the OSS streamlines the application procedure for a business identification number (Nomor Induk Berusaha, or NIB), business license, and diverse commercial and operational permits.
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