Bali Visa Guide
How to Set Up a PT PMA in Bali: 2026 Step-by-Step
To set up a PT PMA in Bali, a foreigner chooses the right KBLI business codes, signs a notarial deed of establishment, obtains Ministry of Law approval through AHU, then registers on OSS for an NIB and risk-based licence. Budget IDR 2.5 billion paid-up capital, a >IDR 10 billion investment plan, and roughly 4–6 weeks before you can layer an investor KITAS on top.
The company-formation rules on this page are checked against the official government portals oss.go.id (the OSS risk-based licensing system) and ahu.go.id (the Ministry of Law legal-entity registry), with the investor-visa steps confirmed against imigrasi.go.id. Investment regulation changes often — confirm against official sources before you commit capital.
A PT PMA (Perseroan Terbatas Penanaman Modal Asing) is the only clean, legal way for a foreigner to own and run a company in Indonesia — the platform beneath a villa-management business, a café, an agency or a consultancy, and the sponsor that makes an investor KITAS possible. Plenty of Bali agencies list “company setup” as a service; very few explain the process honestly, and almost none clear up the single question that confuses every first-time investor: how much money you actually have to put in. This guide walks the whole path in plain English, kills the capital myth, and shows where the villa-rental case behaves differently.
PT PMA vs local PT vs representative office
Before any paperwork, get the structure right — the wrong entity wastes months. Three vehicles exist, and only one lets a foreigner legally own the business:
| Structure | Foreign ownership | Can earn revenue? | Capital | Best for |
|---|---|---|---|---|
| PT PMA | Up to 100% (sector-dependent) | Yes | IDR 2.5B paid-up; >IDR 10B investment plan | Foreigners running a real business and sponsoring an investor KITAS |
| Local PT | Indonesian shareholders only | Yes | No fixed minimum | Indonesian partners — not a legal route for a foreign owner |
| Representative office (KPPA/KP3A) | Foreign parent company | No — liaison and market research only | None | Testing the market before you commit |
One warning the trust-brand agencies will not give you: a “local PT” held for you by an Indonesian nominee is not a shortcut, it is a liability. Nominee arrangements are unenforceable under Indonesian law, your name is on nothing, and a fallout can cost you the whole business. If you are the owner, the PT PMA is the structure that actually protects you. A representative office is genuinely useful only when you want a legal presence to scout the market without trading — it cannot invoice clients.
Capital requirements demystified: IDR 2.5 billion vs IDR 10 billion
This is where most investors get scared off by bad information, so read it once, carefully. There are two separate figures, and confusing them is the classic mistake:
- Paid-up capital: IDR 2.5 billion. This is real money issued into the company at establishment. Under Minister of Investment / BKPM Regulation No. 5 of 2025 it was lowered from the old IDR 10 billion, and it counts as part of your investment plan below.
- Investment plan (nilai investasi): more than IDR 10 billion, calculated per five-digit KBLI code, per project location (regency/city), and for most sectors excluding land and buildings. This is a plan you declare on OSS — not cash you must deposit on day one.
So the honest headline is: you fund IDR 2.5 billion in paid-up capital, and you commit — on paper — to a total investment exceeding IDR 10 billion for each business line in each regency. There is a twelve-month practical lock: that paid-up capital stays inside the company and is spent on genuine operating uses (assets, fit-out, construction, running costs), not withdrawn to your personal account. These figures are verified July 2026 against BKPM Reg. 5/2025 and Government Regulation No. 28 of 2025 on risk-based licensing; the exact treatment shifts by sector, which is why the KBLI you choose matters so much.
How to set up a PT PMA: the step-by-step
Once the structure and capital are clear, incorporation is a defined sequence. Here is the real order of operations, from choosing your codes to holding a live company:
- Choose your KBLI business codes. The five-digit KBLI classification decides what you may legally do, how much foreign ownership the sector allows, the risk level, and therefore the licences you will need. Pick too narrow and you cannot expand; pick a restricted code and your ownership is capped. This is the step to get right with advice, not guesswork.
- Reserve the name and sign the deed of establishment. A notaris (notaris) reserves your unique company name and drafts the Akta Pendirian — the deed setting out shareholders, directors, commissioners and capital. You sign it before the notary; overseas founders can arrange power of attorney.
- Obtain Ministry of Law approval through AHU. The notary submits the deed to the Ministry of Law via ahu.go.id, which issues the SK Kemenkumham approving the legal entity. At this moment your PT PMA legally exists.
- Register on OSS and get your NIB. On the Online Single Submission system (oss.go.id) you obtain the NIB (Nomor Induk Berusaha, the business identity number) plus the risk-based business licence tied to your KBLI. Low-risk activities are effectively licensed with the NIB itself; medium and high-risk ones require further approval.
- Complete tax and banking. Register the company NPWP (tax number), open the corporate bank account, and fund the IDR 2.5 billion paid-up capital. Your accountant sets up monthly and annual reporting from here.
Done in the right order with complete documents, incorporation typically runs about four to six weeks — the deed and AHU stage moves quickly, while KBLI decisions and any medium/high-risk sector approval are what add or save time.
Licences after incorporation: sector, building and alcohol
An NIB makes you a company; it does not automatically make you fully operational. Depending on your KBLI, expect a second wave of permits after setup:
- Sector and operational licences for regulated activities — food and beverage, tourism services, construction and others each carry their own approvals layered onto the NIB.
- Building and premises permits — the PBG (building approval, successor to the IMB) and SLF (certificate of function) matter if you build or substantially alter premises, and they are non-negotiable for accommodation and hospitality.
- Alcohol licence — a bar, restaurant or villa that serves alcohol needs the specific alcoholic-beverage permit; it is separate from your F&B licence and one of the most common things new operators forget until an inspection.
None of these is exotic, but each has documents and lead time. Map the full licence stack against your KBLI before you sign a lease, so you are not paying rent on premises you cannot yet legally trade from.
The villa-rental special case
Villa businesses are the single most common PT PMA in Bali — and the sector where the capital rule flips. For property, real estate and accommodation activities, land and buildings are counted toward the >IDR 10 billion investment plan, unlike the general “excluding land and buildings” rule. Short-term villa rental typically falls under an accommodation KBLI (commonly 55130), and the threshold is still assessed per accommodation KBLI per regency. There is a further nuance: a whole building or integrated complex counts land and building inside the >IDR 10 billion; a single unit that is not part of a whole complex is measured excluding land and building.
The practical trap is different from the numbers, though. A foreigner who “buys” a villa through a nominee and then rents it out is running an unlicensed accommodation business on land they do not legally control — the exact arrangement Indonesian authorities have been unwinding. The compliant route is a PT PMA that holds the property on a proper title (leasehold or HGB) and trades under the right accommodation KBLI. We map the property-plus-visa options end to end in our guide to buying property in Bali and the visa options for owners; read it before you commit to a villa you intend to let.
Adding an investor KITAS on top of your PMA
For most foreign founders, the company is the means and the visa is the goal: a live PT PMA can sponsor an investor KITAS (E28A) for its director or qualifying shareholder, giving you legal stay tied to your own business rather than an employer. The company must be genuinely capitalised and active — the investor KITAS is granted on the strength of a real PMA, not a shell. If you want to explore the market first, a pre-investment visa is the lighter on-ramp: our D12 pre-investment visa lets you spend time setting up before you incorporate, then convert up. For the full mechanics of how the company and the visa fit together, see our detailed walkthrough on the investor KITAS via PT PMA in Bali.
FAQ
How much does it cost to set up a PT PMA in Bali?
Two costs sit side by side. First, capital: IDR 2.5 billion paid-up, inside a declared investment plan exceeding IDR 10 billion per KBLI per regency. Second, the professional setup fee for the deed, AHU approval, OSS/NIB and licences — which we quote transparently in USD before you commit, with government requirements listed separately from our service fee.
What is the minimum capital for a PT PMA in 2026?
Under BKPM Regulation No. 5 of 2025, paid-up capital is IDR 2.5 billion (reduced from the old IDR 10 billion), while the minimum investment plan remains more than IDR 10 billion, calculated per five-digit KBLI code per project location and generally excluding land and buildings. Property and accommodation businesses are the exception, where land and buildings do count.
How long does PT PMA setup take?
Roughly four to six weeks with complete documents. The notarial deed and Ministry of Law (AHU) approval move quickly, and the NIB issues through OSS once your KBLI and paperwork are in order. Medium and high-risk sectors that need extra operational or building licences add time, so the KBLI you choose largely sets the timeline.
Can a PT PMA own a villa in Bali?
Yes. A PT PMA can hold property on a proper commercial title such as HGB or a registered leasehold, which is the legal alternative to risky nominee ownership. For accommodation activities the land and building count toward your investment plan, and you must trade under the correct accommodation KBLI. Getting the code and the title right is what keeps a villa-rental business compliant.
Do I need a PT PMA to get an investor KITAS?
Effectively yes — an investor KITAS is sponsored by a PT PMA, so the company comes first and must be real and capitalised. If you are not ready to incorporate, the D12 pre-investment visa gives you legal time in Indonesia to set things up, then you convert to an investor KITAS once the PMA is live and sponsoring you.
Set up your PT PMA with a licensed team
Company formation is the wrong place to learn by trial and error — a wrong KBLI or a nominee shortcut can cost far more than doing it right. Tell us what you want to build, whether property is involved, and whether you need an investor KITAS, and we will map the codes, capital and licences for your case. Message a licensed consultant on WhatsApp for a written USD quote and a realistic timeline. To see the full service and what is included, visit our PT PMA company setup page, and pair it with the investor KITAS that turns your company into legal residency. Bali Visa Trusted is Bali’s official visa agent since 2015, a Bali Premium Trip company — we handle the paperwork so you can build the business.