MGL simplifies the process of setting up your iGaming business in Indonesia, ensuring compliance with local regulations while preparing you for market entry. Their step-by-step guidance ensures everything runs smoothly from start to finish.
Step 1: Initial Consultation and Document Preparation
The incorporation process kicks off with a thorough consultation and document preparation. During this stage, MGL works closely with you to understand your business goals, target market, and operational needs within the iGaming industry. This phase typically takes about 2 to 4 weeks and involves gathering all the documents required by Indonesian authorities.
One key task in this stage is reserving your company name. Indonesian naming rules require the name to include at least three unique words. If you're setting up a foreign investment company (PT PMA) - a common choice for iGaming businesses - the name can be in English or other languages. You'll also need to draft and notarise the Deed of Establishment, which outlines essential details like your company's name, address, business activities, capital structure, and shareholders. For a PT PMA, the minimum paid-up capital requirement is IDR 10 billion (around AU$1 million), alongside other identification documents.
Once these steps are complete, you’re ready to move to the formal registration and licensing stage.
Step 2: Company Registration and Licensing
The next step is registering your company with the relevant Indonesian authorities and obtaining the necessary licences. This starts with applying for a Business Identification Number (NIB) through the Online Single Submission (OSS) system. The NIB acts as your company’s registration certificate, import licence, customs ID, and proof of participation in social security programs.
The registration process, including tax formalities, is typically completed within 3 to 7 business days. However, companies operating outside Jakarta must also secure a Domicile Letter (SKDP). This requires submitting documents like rental agreements, community reference letters, proof of property tax payment, and director photographs with a red background. Jakarta-based companies benefit from more relaxed regulations introduced in May 2019. For iGaming businesses, additional licences may be needed, and expert advice can help you navigate the varying approval timelines.
After registration, you can proceed to set up your financial systems and prepare for launch.
Step 3: Bank Account Setup and Business Launch
The final phase focuses on establishing your financial foundation and getting your business ready to operate. This includes opening a corporate bank account and handling visa and work permit arrangements for key personnel. These tasks, which rely on your registration documents, typically take a few weeks to complete. For iGaming companies, integrating reliable payment solutions is essential, and MGL can help you connect with providers that align with both your operational needs and compliance standards.
Visas and work permits for your team are another critical step, often requiring several weeks to process. If all documents are in order, the entire incorporation process for a PT PMA generally takes 1 to 1.5 months. However, companies based in Jakarta may be ready to operate in as little as four weeks.
Government fees for basic registration usually fall between IDR 25 million and IDR 60 million (approximately AU$2,000–5,000). On top of that, professional service fees can range from AU$4,000 to AU$11,000, depending on the complexity of the setup. Recent regulatory changes, such as the shift from a Negative Investment List to a Positive Investment List, now allow for 100% foreign ownership in many sectors, providing greater opportunities for international iGaming businesses.
