With over a hundred companies successfully supported in expanding to Indonesia, Accura has gathered valuable insights into what works, what doesn’t, and what every business should know before taking the leap. Indonesia is not just an emerging market—it is a diverse, fast-growing economy with increasing digital adoption, strong domestic consumption, and rising interest from foreign investors. However, every opportunity comes with a set of challenges, and entering a new market like Indonesia requires more than enthusiasm. It takes preparation, compliance, and the right guidance.
Misconceptions Many Companies Start With
When foreign entrepreneurs first approach the Indonesian market, they often bring assumptions from their home countries. Common misconceptions include:
- “We can register a company in just a few days.”
- “A local partner isn’t necessary.”
- “All sectors are open for 100% foreign ownership.”
These assumptions, although understandable, can lead to frustration and delays. Indonesia’s business landscape is governed by unique laws, sector restrictions, and sometimes unwritten business customs. For instance, while some sectors are open to full foreign ownership through a PT PMA (foreign-owned company), others are partially restricted or closed. Failing to understand the Positive Investment List (Daftar Positif Investasi) can result in selecting the wrong business model or investment path.
Key Challenges We Helped Clients Overcome
Our experience has shown that the most common obstacles include:
- Regulatory complexity: Navigating BKPM (Indonesia Investment Coordinating Board), OSS (Online Single Submission), tax registrations, and licensing procedures across multiple ministries can overwhelm even experienced executives.
- Visa and work permit delays: Misunderstandings about who qualifies for a KITAS (limited stay permit) or business visa can jeopardize operations. Some assume that a business visa allows them to manage daily operations, which is not the case.
- Entity type confusion: Choosing between a representative office, local PT, or PT PMA depends on ownership, activity, and future expansion goals. The wrong choice can cause long-term compliance issues.
Accura’s legal and advisory team provides clear roadmaps and localized strategies to help clients move through these layers with confidence.
What Successful Clients Did Differently
Some companies stood out by doing the following:
- Planning well ahead: Starting the legal process before physically entering Indonesia gave them a head start in hiring, registering tax IDs, and scouting locations.
- Engaging local expertise: Our clients who brought Accura into the process early on received valuable advice on labor regulations, lease agreements, and how to structure their company for tax efficiency.
- Staying adaptive: Indonesia’s regulatory environment changes frequently. Those who stayed flexible and updated their approach were able to scale faster and avoid fines or rework.
In particular, companies that sought cultural understanding and built relationships with local stakeholders experienced smoother integration into the market. Indonesia remains a relationship-driven environment where trust, communication, and reputation still hold immense value.
Real Mistakes, Real Lessons
- A tech startup chose a local PT when a PT PMA was required—delaying their launch by months.
- An e-commerce company imported products before securing an import license, resulting in penalties and detained shipments.
- A founder tried to apply for a work permit without a local sponsor, which was rejected and flagged in the immigration system.
These are just a few examples where early consultation would have saved time and expense. Each misstep, while recoverable, often cost thousands of dollars and months of lost time. In an evolving and competitive market, that could be the difference between first-mover advantage and playing catch-up.
Indonesia offers immense opportunities—from fintech and e-commerce to manufacturing and renewable energy. But these opportunities are reserved for businesses that do their homework. After assisting over 50 businesses across various sectors and countries, we’ve learned that success comes from informed decisions, cultural sensitivity, and the right partners.
At Accura, we don’t just provide services—we offer a partnership grounded in real-world experience and regulatory mastery.
Want to avoid the most common expansion mistakes? Let’s talk and build your entry plan the right way.