What a PT PMA is
PT PMA (Perseroan Terbatas Penanaman Modal Asing) is an Indonesian limited liability company with foreign shareholding. It can hold Hak Guna Bangunan (HGB) — the right to build — which covers most warehouses, shophouses, factories and industrial land listed on this site. It cannot hold SHM (freehold), which stays reserved for Indonesian citizens and wholly Indonesian-owned entities.
Why buyers use one instead of personal Hak Pakai
Hak Pakai (used by individuals) is meant for residential property. Commercial and industrial property is normally held through a company structure instead, both because of how the certificates work and because it separates the business's liabilities from the owner's personal assets.
Setting one up, in broad strokes
- Decide the business classification (KBLI code) matching what the company will actually do — this affects licensing and, for some sectors, whether 100% foreign ownership is even allowed.
- Register through Indonesia's online licensing system (OSS) and complete the notarial deed of establishment.
- Meet the minimum investment/capital requirements for your business classification and location.
- Obtain the business licenses your KBLI code requires before the company can legally hold the property or operate.
Ongoing obligations
A PT PMA has annual reporting duties (LKPM investment reports, tax filings) whether or not the company is actively trading — factor this compliance cost in alongside the property price itself.
Where to start
Most buyers set up the PT PMA in parallel with shortlisting property, using a corporate lawyer or licensed company-registration agency — this is a separate service from the property purchase itself, and A&A Indonesia agents can point you to partners who handle it.
General information, not legal, tax or investment advice. KBLI classifications, minimum capital rules and foreign-ownership limits by sector change — confirm current requirements with a corporate lawyer before committing funds.