PT (Perseroan Terbatas)

The Indonesian limited liability company, the default entity for a startup.

Also known as: PT, Perseroan Terbatas, Indonesian limited company

A PT (Perseroan Terbatas) is Indonesia’s limited liability company — separate legal person, shareholders liable only to their capital, the default entity for any startup operating in Indonesia. If you hire employees, sign contracts, open a business bank account or take investment locally, this is almost certainly the vehicle.

founders → notarial Akta Pendirian → ministry approval → NIB + NPWP → operating PT

Formation runs through a notary (Akta Pendirian), then ministry legalisation, then the NIB business license and NPWP tax number. Foreign shareholders change the picture substantially — that is a PT PMA with its own capital and sector rules, not a regular PT with a foreign name on it.

The classic mistakes:

Operating as individuals while “testing the market”. Revenue without an entity means personal liability, no deductible expenses structure, and IP owned by no company. Form before real traction.
Wrong classification (KBLI). Business codes decide licenses, foreign ownership limits and tax treatment. Pick them with advice, not guesses — reclassification later is slow.
Founder IP outside the PT. Code written before formation needs written assignment into the company (IP assignment), same as anywhere.
Assuming a PT suffices for regional fundraising. Local PT for operations plus a Singapore holding structure for the raise is the common pattern — set up the second when investors require it (see incorporation).

Talk to a notary (notaris/PPAT) for your case. Formation details, capital rules and sector restrictions change; this page describes the shape, not your filing. Solo micro-business founders should also look at PT Perorangan.