Expanding your business to a new market is a bold move. It’s a sign that your company is growing, your vision is expanding, and your brand is ready to go global. But with that growth comes new challenges — especially when it involves operating in a country with unfamiliar regulations, a different business culture, and a unique legal environment.
Indonesia is one of Southeast Asia’s most dynamic markets, offering vast opportunities for foreign investors. However, maintaining operational control while scaling into this market requires strategy, foresight, and the right local support.
In this article, we’ll walk you through how to successfully scale your business to Indonesia — without sacrificing visibility, consistency, or compliance.
1. Choose the Right Business Structure
The first and most critical decision is the type of legal entity you establish. For foreign investors, the most common route is forming a PT PMA (Perseroan Terbatas Penanaman Modal Asing), or a foreign-owned limited liability company.
While PT PMA offers full foreign ownership in many sectors, there are still limitations in certain industries, and some require local partnerships. Choosing the wrong structure could lead to profit-sharing issues, tax complications, or even legal barriers in the long run.
💡 Pro Tip: Consult a corporate service provider who understands Indonesian regulations to help you navigate the Negative Investment List and sector-specific rules.
2. Establish Clear Governance and Delegation Structures
Operational control doesn’t mean doing everything yourself — it means building a system where tasks are clearly delegated, but outcomes remain measurable and within your oversight.
This includes:
- Drafting clear Standard Operating Procedures (SOPs)
- Setting up internal controls and approval flows
- Appointing reliable directors and commissioners if required by law
Having a well-structured governance model ensures that even from afar, you maintain influence over your business decisions and daily operations.
3. Implement Transparent Reporting and Communication Tools
A major fear for many founders expanding abroad is losing touch with the day-to-day. The good news is — technology can solve this. Establish cloud-based tools and communication routines that keep you connected.
Some essentials include:
- Project management tools like Asana, Notion, or Trello
- Real-time reporting dashboards for finance, HR, and operations
- Video check-ins with local management teams
These tools create accountability and allow you to monitor performance without micromanaging.
4. Secure the Right Permits and Visas
Indonesia requires proper documentation for foreign investors and expatriate workers. This includes:
- Investor KITAS (limited stay permit for shareholders)
- Work permits (IMTA) for employees
- Domicile letters, NPWP (tax IDs), and company registrations
Failure to meet these legal requirements can result in heavy penalties, denied entry, or even shutdowns.
5. Leverage Local Business Process Outsourcing (BPO)
When expanding to Indonesia, many businesses opt for Business Process Outsourcing (BPO) to handle non-core functions like payroll, HR, accounting, and secretarial duties.
This approach:
- Reduces overhead costs
- Ensures local compliance
- Gives you more time to focus on core business growth
Outsourcing doesn’t mean losing control — it means gaining efficiency and tapping into local expertise.
6. Understand and Respect the Local Business Culture
Doing business in Indonesia isn’t just about legal setup — it’s about building relationships, understanding hierarchy, and navigating cultural nuances. Success often depends on trust and communication style as much as it does on contracts and processes.
Tips to maintain control without overstepping:
- Build relationships with trusted local advisors
- Respect local decision-making processes
- Be flexible, but establish clear boundaries and expectations
7. Work With a Long-Term Local Partner
A common mistake foreign companies make is treating local service providers as short-term vendors. In reality, the right partner should function like an extension of your team — aligned with your goals, proactive in solving issues, and invested in your success.
At Accura, we’ve helped hundreds of foreign entrepreneurs scale into Indonesia with confidence, by offering more than just compliance — we provide insight, strategy, and peace of mind.
Your Expansion Should Empower You — Not Limit You
Scaling into Indonesia is full of opportunities — but only if you can maintain the operational standards, legal compliance, and visibility that made your business successful in the first place.
With the right structure, technology, and local support, you can expand with full control and confidence.
Let’s Scale Together
At Accura, we specialize in helping international businesses set up, operate, and thrive in Indonesia. From company formation and visa assistance, to corporate compliance and business outsourcing, we are your on-the-ground partner for every step of the journey.
Visit www.accura.co.id to explore how we can support your expansion — without you ever losing control.