Company
Incorporation
Sole Proprietorship
Established, owned, and managed by a single individual
The owner acts as the primary decision-maker
The owner bears full responsibility for business operations, assets, and liabilities
Limited Liability Company (PT)
A legal entity in the form of a capital-based association established under an agreement
The company’s capital is divided into shares
Commonly used for medium to large-scale businesses
Foreign Investment Company (PT PMA)
A legal entity whose shares are wholly or partially owned by foreign investors, whether individuals or legal entities
Established to facilitate foreign direct investment in Indonesia
Remains subject to applicable Indonesian laws and regulations
Limited Partnership (CV)
A partnership consisting of active partners and passive (limited) partners
Active partners manage the business and bear unlimited liability for the company’s obligations
Passive partners contribute capital only, are not involved in management, and have liability limited to the amount of capital contributed
General Partnership (Firm)
A partnership established by two or more individuals under a common business name
Each partner actively participates in the management of the business
All partners bear joint and unlimited liability for the obligations and debts of the partnership, including liabilities exceeding the partnership’s assets
Association
A non-profit legal entity established by two or more individuals
Operates in social, religious, humanitarian, or similar fields
Members may be individuals or legal entities
Managed democratically in accordance with its Articles of Association and Bylaws (AoA & Bylaws)
Cooperative
A business entity whose operations are based on cooperative principles and the spirit of mutual cooperation
Members act as both owners and users of the cooperative’s services
Aimed at improving collective welfare through democratic business management
Foundation
A legal entity consisting of segregated assets
Established for social, religious, and humanitarian purposes
Operates on a non-profit basis
Founded by one or more persons through the separation of a portion of assets as initial capital
