PT Company Registration

What is a PT?

PT stands for Limited Liability Company. PT is a business entity in the form of a capital partnership, where the capital consists of shares and the responsibility of each shareholder is limited only to the shares he owns.

Requirements for establishing a PT in Indonesia

The following are the requirements for establishing a PT in Indonesia:

• At least 2 founders
• Deed of establishment of PT made by a notary public
• A copy of the founder's identity
• NPWP of the founder
• Certificate of domicile
• Certificate of not being in a state of bankruptcy or insolvency
• Certificate of not being bound by a cooperation agreement
• A statement that the founder has never been sentenced to imprisonment
• Proof of initial capital deposit

Pros and cons of PT

Here are the advantages and disadvantages of PT:

Advantages of PT:

• Large venture capital
• Limited liability
• Long business life
• Easy transfer of ownership
• Easy to capitalize

Disadvantages of PT:

• Relatively expensive establishment costs
• Relatively complicated establishment procedures
• Relatively strict legal requirements

Types of PTs

Based on its capital, a PT can be divided into:

PT Terbuka (Tbk)

PT whose shares can be traded on the stock exchange.

PT Tertutup

PT whose shares cannot be traded on the stock exchange.

 Based on their responsibilities, PTs can be divided into:

• PT Perseroan Terbatas: PT whose shares can be traded to the public.
• PT Perseroan Terbatas Terbuka: PT whose shares can be traded to the public through the stock exchange.
• PT Perseroan Terbatas Tertutup: A PT whose shares can only be owned by certain specified persons.
   

How to set up a PT in Indonesia

Here is how to set up a PT:

• Making the deed of establishment of PT by a notary.
• Validate the deed of establishment of the PT by the Ministry of Law and Human Rights.
• Registering the company with the Company Registration Office.
• Make a PT announcement in the mass media.
• Make the NPWP of the PT.

Tips for choosing a PT creation service in Indonesia

Establishing a PT in Indonesia can be done independently or by using a PT establishment service. If you choose to use a PT establishment service, there are several things to consider in choosing the service, namely:

• Reputation: Make sure the PT establishment service you choose has a good reputation. You can find information about the reputation of the service through the internet or ask friends or acquaintances who have used the service.
• Price: The cost of setting up a PT varies depending on the services offered. Choose a PT creation service that offers affordable prices, but still provides good quality services.
• Services: Make sure the PT creation service you choose offers a complete range of services, from making the deed of establishment of the PT, legalizing the deed of creation of the PT, registering the PT with the Company Registration Office, to announcing the PT in the mass media.
• Process: Make sure that the PT establishment service you choose has a fast and easy PT establishment process. You can ask about the process of establishing a PT to the service before deciding to use their services.

Here are some tips for choosing a PT creation service in Indonesia:

• Do your research: Before deciding to use a PT establishment service, do some research first. You can find information about PT establishment services through the internet or ask friends or acquaintances who have used these services.
• Compare prices: Compare the prices of several PT creation services before deciding to use them. Make sure you get the best price with good service quality.
• Make sure the service is registered: Make sure the PT creation service you choose is registered with the Ministry of Law and Human Rights. This is to ensure that the service is legal and reliable.

3 Steps to Establish a PT via vOffice

By using vOffice's PT creation service, you only need to go through the following three steps:

1. Consult the PT/CV that you want to establish with our legal consultant.

2. Complete all required documents.

3. Once the documents are processed, your business entity is complete.

Is a PT a company?

Yes, PT is a company. PT is one of the forms of business entity recognized by Indonesian law.

What are the characteristics of a PT?

The following are the characteristics of PT:

• Formed as a business entity
• Capital is divided into shares
• The liability of each shareholder is limited to the shares they own
• Unlimited business life
• Easy transfer of ownership
• Easy to capitalize
   

What are some examples of PTs?

Here are some examples of PT:

• PT Astra International Tbk
• PT Unilever Indonesia Tbk
• PT Bank Mandiri (Persero) Tbk
• PT Telkom Indonesia (Persero) Tbk
• PT Pertamina (Persero)
   

Here are some examples of what type of business PT:

PTs can run various types of businesses, including trading businesses, service businesses, and industrial businesses.

Function of PT

PT has several functions, namely:

• Conduct business activities
• Make a profit
• Provide employment
• Improve the welfare of the community

What is the difference between a PT and a CV?

Here is a further explanation of the differences between CV and PT:

1. Form of business entity: CV is an unincorporated form of business entity, while PT is an incorporated form of business entity.
2. Business capital: The capital of a CV does not have to be divided into shares, while the capital of a PT is divided into shares.
3. Liability: The liability of CV members is unlimited, while the liability of PT shareholders is limited to the shares they own.
4. Business life: CV's business life is limited to the period specified in the deed of establishment, while PT's business life is unlimited.
5. Transfer of ownership: The transfer of ownership of a CV is difficult, while the transfer of ownership of a PT is easy.
6. Capitalization: CV capitalization is limited, while PT capitalization is larger.

Can a CV become a PT?

Yes, a CV can become a PT. The process is called CV to PT conversion. CV to PT conversion can be done by following the procedures stipulated in Government Regulation Number 7 of 1992 concerning Limited Liability Companies.

Can a PT be established by one person?

Yes, a PT can be established by one person. However, a PT established by one person is called an individual PT. Individual PTs have some special provisions, namely:

• The name of the PT must begin with the word “PT” followed by the name of the founder.
• The liability of the founder of an individual PT is unlimited
• Individual PT cannot issue shares
   

Where to register a company?

A PT must be registered with the Company Registration Office (KPP) whose area covers the domicile of the PT. The KPP will check the completeness of the PT establishment documents. If the PT establishment documents are complete, the KPP will issue a Certificate of Registered (SKT) PT.

Why does a PT name have to be 3 syllables?

There is no regulation stipulating that the name of a PT must be 3 syllables. However, in practice, many HEIs use names with 3 syllables. This is done to make the name easy to remember and pronounce.
 

Can the name of the PT be your own name?

Yes, you can use your own name. However, the name must begin with the word “PT”. In addition, the name of the PT must not be the same as the name of another PT that has been registered with the Ministry of Law and Human Rights.