If you have never started your own business before and your venture into Indonesia is the first time that you have dipped your toes in a business enterprise then there is a lot that you need to learn about and a lot that you need to know. We live in a very digital business world where e-commerce and brick-and-mortar stores operate together to provide customers with more access to goods and services. It is up to you to find a niche in the local market where a service or product is not being provided currently and so this is where you will make your mark.
There are many different things that need to happen before any business can even open its doors and you have to figure out where you’re getting your start-up capital, what is your marketing plan, how will you hire local employees and most importantly, if you will carry out business registration. Nobody can expect you to know how things operate in Indonesia and so this is why it always makes sense to make contact with a commercial representative office in Indonesia. This particular representative will be able to guide you in the right direction so that your business journey is a lot more manageable. They will first tell you about the importance of registering your business when operating in Indonesia and the following are the reasons why.
- For opening a business bank account – This is one of the most important things that you need to set up when trying to operate a business in Indonesia because it’s obvious that you’re going to need to carry out a number of different financial transactions and to also be able to secure credit conditions for your new business. The local banks however will require you to have a business registration before they will let you open such an account and so this is why it is essential.
- For getting essential finance – Clearly you will want your business to be successful and to grow in order for that to happen you’re going to need additional finances. By registering your business with the state, it can make the boring process so much easier. You will be provided with a business registration certificate so this can only have a good influence on getting any can of loan are getting someone to invest in your business.
- For paying your taxes – Much like in your own country, you will have responsibilities when it comes to paying your business tax and so by registering your business, it will help to legitimise the whole enterprise and it will make the taxation process that happens every year much easier for everyone. You want to be paying your business taxes on time so that your business remains in good standing in the local area.
It is also important to separate your business from yourself and to set it up as a legal entity in itself. This will help to protect the private assets that you might have so that they are not put at risk.