Overseas investors cannot legally trade in Mandalika as individuals — commercial activity in Indonesia has to sit inside a registered company, and for foreign shareholders that normally means a PT PMA, a foreign-investment limited liability company formed by notarial deed, approved by the relevant ministry, registered for tax, and licensed through the OSS system for the specific business activities it intends to run. Mandalika Investment coordinates that entire sequence for investors entering Mandalika and Lombok, working alongside the licensed notaries, tax consultants and legal advisers who execute the regulated steps.
Why does the company structure matter more than the asset in Mandalika?
Mandalika is a designated Special Economic Zone on the south coast of Lombok, which means the land, the licensing environment and the incentive framework there are governed by a different layer of rules than a standard plot elsewhere on the island. Investors routinely negotiate a property or a business acquisition first and only then discover that the vehicle they planned to use cannot legally hold the right, cannot obtain the licence, or triggers obligations they had not budgeted for. Structure decided after the deal is structure decided badly.
What does the incorporation package cover?
The scope is built backwards from what you intend to do, because the business classifications you register determine your capital requirements, your permitted shareholding and your ongoing reporting load. A standard engagement covers:
- Structure review — local PT, foreign-investment PT PMA, or a lease-and-operate arrangement, with the trade-offs written down
- Activity and classification mapping against what you actually plan to sell or hold
- Name reservation and preparation of the deed of establishment with a notary
- Ministry approval of the legal entity and issuance of the company identification number
- Tax registration and introduction to a licensed tax consultant for ongoing compliance
- OSS registration and the risk-based business licences matching your classifications
- Corporate bank account preparation — document pack, director attendance, specimen requirements
- Employment groundwork: staff contracts, social security registration, and work-permit routing for foreign directors or staff
- A compliance calendar listing what must be filed, by whom, and when
Which vehicle is right for a foreign investor?
Indonesian law distinguishes between land rights that a foreign-owned company can hold and rights reserved for Indonesian citizens — freehold Hak Milik is not available to a foreign-owned company, while rights such as Hak Guna Bangunan and Hak Pakai operate on fixed, renewable terms. That single distinction reshapes most Mandalika investment plans.
| Vehicle | Typically used for | Points to check with your adviser |
|---|---|---|
| PT PMA (foreign investment company) | Foreign-owned operating businesses and property held on building or use rights | Minimum capital rules, permitted activities, shareholding limits, reporting load |
| Local PT | Businesses with Indonesian shareholders, or joint ventures with local partners | Shareholder agreements, control mechanics, exit provisions |
| Lease structure | Long-term use of land or a building without acquiring a transferable right | Term, extension mechanics, transferability, what happens on death or sale |
| Nominee arrangements | Frequently proposed by informal brokers | Legal exposure — discuss the risks with a licensed lawyer before considering it |
We will not tell you which of these is best for your circumstances, because that is regulated advice. What we do is lay out the mechanics clearly, put the questions in front of a licensed professional, and make sure the answer arrives before money moves rather than after.
How long does incorporation take?
The critical path is almost always documents from the shareholders, not processing at the Indonesian end: passports, proof of address, legalised corporate documents where a company is the shareholder, and clean specimen signatures. Foreign-investment structures with overseas corporate shareholders take longer than a straightforward two-individual company. We sequence the work so that the notarial steps, tax registration and OSS licensing run in the correct order, since restarting a licence because a classification was wrong is the most common source of delay.
Official government charges are set by the relevant ministries and regional authorities and are revised from time to time. We do not publish those amounts here; we show you where each one is officially stated and confirm the current figure before you budget. Our own professional fee is quoted per project and stated separately from official charges and third-party professional costs.
What this service is, and is not
Mandalika Investment is an independent business services and coordination provider. We are not a licensed investment adviser, not a law firm, not a licensed exclusive property agency, and we are not affiliated with, appointed by, or acting on behalf of ITDC, the Mandalika Special Economic Zone administrator, or any government office. Nothing on this page is legal, tax or investment advice, and we make no promise about returns, approvals or timelines. Verify land status with BPN/ATR, land deeds with a notary or PPAT, licensing with OSS, and tax with a licensed consultant.
Related services
- Mandalika investment consulting for foreign investors — entry strategy before the entity is formed
- Mandalika tour company startup packages — if the entity is being built to run a tourism operation
- Mandalika investment ROI analysis reports — scenario modelling on the underlying asset before you commit
Frequently asked questions
Do I have to be in Indonesia to incorporate?
Not for every step, but some stages require original documents, and certain bank and notarial steps commonly require the director in person. Documents executed abroad usually need notarisation and legalisation in the country of origin before they are accepted. We map which steps need your physical presence at the start, so you can plan a single trip rather than three, and we tell you if a requirement changes mid-process.
Can my company own land in Mandalika?
A foreign-owned Indonesian company cannot hold freehold Hak Milik, but it may hold rights such as Hak Guna Bangunan or Hak Pakai, which run for fixed and renewable terms. In the Mandalika Special Economic Zone specifically, land is commonly made available under lease-based arrangements rather than sold freehold. Confirm the exact status of any plot with BPN/ATR and a PPAT before signing anything.
What ongoing obligations does the company have?
A registered Indonesian company carries continuous obligations: periodic tax filings, investment activity reporting for foreign-investment companies, social security registration for staff, and licence renewals tied to your business classifications. Missing them creates penalties and can block later transactions. We hand over a compliance calendar at the end of the engagement and introduce you to a licensed consultant who maintains it.
Can you reuse a company I already own?
Often yes, and it is worth checking before forming a new one. The review looks at whether your existing entity’s registered business classifications cover the new activity, whether its capital and shareholding structure still fit, and whether its filings are current. Amending an existing company is sometimes faster than incorporating; sometimes a dormant entity with arrears is more expensive to repair than to replace.
Set up your Mandalika entity
Send us the intended activities, the shareholder list and the nationality of each shareholder, and we will return a structure comparison and a sequenced workplan. Message our business desk on WhatsApp at https://wa.me/6281139414563 or email bd@juaraholding.com.