Legal Services
Operating a business in Indonesia requires adherence to various legal reporting and registration obligations. Understanding the types of permits and licenses required is essential for foreign-owned companies (PMA), where strict compliance with laws and regulations is often mandated by the head office. Additionally, knowing the conditions that must be met for business expansion can help make better decisions. To ensure smooth and secure business operations, we offer the following legal support services.
Permit Application Services to Ministries
Indonesia has implemented online systems in almost all ministries, including the Ministry of Investment, Ministry of Trade, Ministry of Industry, and Ministry of Labor. However, the requirements for obtaining permits can be complex and time-consuming, making it challenging for companies to handle the application process on their own. We provide comprehensive support, including guidance on requirements, document preparation, and application submission.
Articles of Incorporation Drafting Services
In Indonesia, key company details, such as name, address, business activities, board composition and terms, and shareholding structure, are processed through the creation of articles of incorporation. There are two types of articles of incorporation: the “establishment articles”, which cover all key matters at the time of company formation, and the “amendment articles”, which are created as changes occur. We provide comprehensive support starting with the preparation of minutes from shareholder meetings related to the articles of incorporation, drafting the articles of incorporation, obtaining approval from the Ministry of Law and Human Rights for the drafted articles, and submitting necessary amendments to related documents as required.
Bonded Permit Application Services
We assist with the application for permits related to bonded factories, bonded warehouses, and bonded logistics providers (PLB).
Other Application and Support Services
- Support for applications related to preferential treatments for importing equipment and raw materials (master list)
- Assistance with the creation of land sale and purchase certificates, building construction permit applications, and construction rights renewals
- Drafting and legal review support for various contracts
- Legal due diligence for target companies in M&A
Labor Management Services
Issues from labor management are unavoidable in Indonesia. Labor-related regulations, including labor laws, are generally favorable to workers, making it difficult to dismiss employees even if there are issues. Additionally, foreigners are prohibited from engaging in human resource management tasks, which can complicate governance and lead to audits by labor authorities due to misunderstandings about the scope of these restrictions. Our company provides advice to prevent such problems and support in dealing with any issues that may arise.
Support for Creating and Submitting Employment Regulations
Companies with 10 or more employees are required to create employment regulations, which must detail various aspects, including violations and retirement benefits. It is common for foreigners who are not familiar in Indonesian regulations to register employment regulations without proper verification, resulting in regulations that favor employees. Our company explains the points to consider when creating employment regulations and checks existing regulations to ensure they do not include terms unfavorable to the company. We also support the creation of wage tables and the submission of employment regulations to the labor authorities.
Support for Labor-Management Issues
Our qualified legal staff supports various labor-management issues, including termination notice representation for employee misconduct, conducting bilateral negotiations, facilitating tripartite consultations with labor authorities, and mediating through arbitration agencies.
Support for Company Status Changes and Liquidation
We assist in notifying employees of mergers, business sales, and liquidations on behalf of management. We also support the calculation of severance pay for retirees, the creation of termination agreements, and the registration of these agreements with mediation agencies to prevent future issues.
Other Support Services
- Payroll calculation support for employees
- Support for BPJS social security, health insurance, and JSHK overtime work-related accident coverage
- Assistance with creating employment-related documents such as employment contracts