SIUP (Surat Izin Usaha Perdagangan) is an official trading business license issued by the Government of Indonesia that grants legal authorization for companies and individual entrepreneurs to conduct commercial trading activities. This mandatory license applies to business entities such as Limited Liability Companies (PT), Limited Partnerships (CV), and sole proprietorships operating within Indonesia’s trade sector. SIUP functions as formal proof of business legality, regulatory compliance, and state recognition, enabling companies to participate in activities such as procurement tenders, exhibitions, import–export operations, and commercial partnerships. As a core business permit regulated by the Ministry of Trade, SIUP plays a central role in Indonesia’s business licensing system and legal trade governance.
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Understanding SIUP
The definition of SIUP is a document or permit that is mandatory for entrepreneurs, whether based on a Limited Liability Company (PT), Limited Partnership (CV), or Sole Proprietorship (PO), and is issued directly by the state. Both existing and prospective entrepreneurs are required to have this licensing document. Not without reason, SIUP serves as a document that ensures a business is fully protected by the state, and at the same time, it is proof that the business is legally recognized. In the future, SIUP may be a requirement for entrepreneurs to participate in exhibitions, export and import activities, as well as to participate in auctions or tenders. The legal basis stating the obligation for every entrepreneur to have SIUP is recorded in the Minister of Industry and Trade Decree Number 289/MPP/Kep/10/2001, which discusses the Standard Provisions for Issuing Trading Business Licenses.
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Types of SIUP
Based on the amount of business capital owned, SIUP is divided into several categories, including:
Micro-scale SIUP
This licensing document is given to micro-scale entrepreneurs or those with net worth or capital of more than IDR 50 million and up to a maximum of IDR 500 million.
Small-scale SIUP
Meanwhile, the Small-scale Trading Business License is given to entrepreneurs with a minimum net worth of IDR 50 million and a maximum of IDR 500 million.
Medium-scale SIUP
To obtain a medium-scale permit, entrepreneurs must have capital between IDR 500 million and IDR 10 billion.
Large-scale SIUP
Lastly, the SIUP for large-scale businesses is given to entrepreneurs with net worth exceeding IDR 10 billion. However, the regulation from Minister of Trade Regulation Number 46 of 2009 Article 4 paragraph 1 emphasizes the exception from the state regarding ownership of micro-class trading business licenses, with criteria including: (1) businesses in the form of partnerships; (2) business activities managed by the family; (3) net worth maximum of IDR 50 million net, excluding buildings and land.
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Stages and Procedures for SIUP Issuance
Before obtaining a Trading Business License, entrepreneurs must know the required requirements. The requirements are as follows:
- Copies of required personal documents, such as identity cards (KTP or SIM), Family Cards (KK), and Taxpayer Identification Numbers (NPWP). At least, provide five copies of each to prevent shortages.
- Original and copy of the original PBB payment.
- If the business is established on leased land, include a copy of the lease agreement.
- If the business is located on privately owned land, include a copy of the personal property certificate.
- Include 3×4-sized passport photos, ranging from 3 (three) to 5 (five) copies.
The procedure for obtaining SIUP is as follows:
Obtaining the Registration Form
First, entrepreneurs must obtain the SIUP registration form. This form can be obtained at the Trade Office or Licensing Service Office that corresponds to the business’s domicile. Afterward, fill in the required data completely and correctly. Don’t forget to sign on the stamp priced at IDR 6,000. Later, this form will be duplicated and combined with other required documents.
Preparing the SIUP Issuance Fee
The documents received by the local officer will be processed. Usually, there will be a certain fee that entrepreneurs must pay. The amount of the fee depends on the location of the issuance of this permit.
Obtaining SIUP
The SIUP issuance process usually takes between 10 to 14 working days. If the permit is ready, the officer will contact the entrepreneur and inform them that the SIUP can be collected at the office where the SIUP was applied for
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Should SIUP Be Renewed?
Based on Minister of Trade Regulation (Permendag) Number 7/M-DAG/PER/2/2017 Article 7, it is stated that SIUP must be renewed every 5 (five) years. However, new policies have determined that SIUP no longer needs to be renewed. Now, the process of obtaining a new SIUP or replacement can be done online without having to fill out multiple forms. So, that was an overview of the meaning of SIUP and everything else you need to know. If you need services for SIUP creation, establishing a PT or establishing a CV that is credible and reliable, trust and contact immediately at voffice.co.id
