NIB Indonesia: Getting Your OSS Business License as a Foreign-Owned Company
How the NIB and risk-based licensing in OSS work for PT PMA founders, what foreigners get wrong, and what you must report after the NIB is issued.
On this page
- What is an NIB and who needs one?
- The four risk levels in OSS RBA and what each one requires
- Choosing the right KBLI code (now KBLI 2025)
- Rules that apply only to foreign-owned companies (PT PMA)
- What foreigners most often get wrong
- After the NIB: the LKPM reporting obligation
- Timeline and cost with IzinBeres
What is an NIB and who needs one?
An NIB (Nomor Induk Berusaha, Business Identification Number) is the registration number every business in Indonesia receives through the OSS RBA system at oss.go.id. It is the legal identity of your company as a business actor. For low-risk activities it is also the only licence you need; for anything riskier it is the first step, not the last.
Under BKPM Regulation 5 of 2025, which implements Government Regulation (PP) 28 of 2025 on risk-based licensing, the NIB is defined as proof of registration of a business actor and its identity when carrying out business. In practice, banks, BPJS enrolment, tenders and sector licences all ask for it.
Who needs one: essentially every business entity, from individual traders and local PTs to a PT PMA (foreign-owned limited liability company). A foreign representative office also registers in OSS. A foreign individual who is simply employed by an Indonesian company does not need an NIB; the employer does.
- PT PMA: the NIB is issued after the company's deed is approved by the Ministry of Law (AHU), with the business field checked against the investment rules for foreigners.
- Existing companies: a change of address, activity or new branch is handled as a data change inside the same NIB, not a new NIB.
- Validity: the NIB does not expire and is not renewed. Some Standard Certificates and sector licences carry their own validity periods.
The government charges no fee for the NIB itself. If you are setting up the company from scratch, see our company registration service.
The four risk levels in OSS RBA and what each one requires
OSS rates every 5-digit KBLI business code as low, medium-low, medium-high or high risk. The rating decides what you need on top of the NIB: nothing, a self-declared Standard Certificate, a verified Standard Certificate, or a full licence (Izin). Picking the code therefore decides your real timeline and cost.
| Risk level | What you receive | Typical examples | Typical timeline (our experience) |
|---|---|---|---|
| Low | NIB only | General retail trade, management consulting, computer programming | Same day to 3 working days |
| Medium-low | NIB + Standard Certificate by self-declaration | Small restaurants, certain wholesale trade, advertising services | 1 to 5 working days |
| Medium-high | NIB + Standard Certificate verified by the ministry or regional office | Processed food manufacturing, construction, certain warehousing | 2 to 6 weeks, depending on the verifying agency |
| High | NIB + Izin (licence), often with environmental documents | Mining, hospitals, chemical industry, hazardous waste transport | 1 to 3 months or longer |
Standard certificate vs licence. A Standard Certificate (Sertifikat Standar) is a statement or proof that you meet the operating standards for an activity. At medium-low risk you declare it yourself and it is issued without inspection. At medium-high risk it is only effective after verification. An Izin is government approval for high-risk activities and is only issued after the requirements are checked.
Two basic requirements sit underneath all of this. First, KKPR, confirmation that your location fits the spatial plan; non-small businesses, which includes every PT PMA, need a KKPR issued by the government rather than a self-declaration. Second, an environmental approval scaled to impact: SPPL, UKL-UPL or AMDAL. Some activities also trigger PB-UMKU, supporting licences such as a BPOM product registration, which OSS lists after you choose the code.
The timelines in the table are our working estimates, not statutory deadlines.
Choosing the right KBLI code (now KBLI 2025)
Choose the KBLI code by reading its full description, not its title, and match it to what the company will actually do in its first year. OSS accepts whatever code you select; it does not check whether the code fits your business. Mistakes surface later, when a bank or sector licence rejects you.
Since mid-June 2026, OSS uses KBLI 2025, set by BPS (Statistics Indonesia) Regulation 7 of 2025, alongside KBLI 2020 during the transition. BPS has stated that licences issued before the switch remain valid and that codes are converted automatically where the business substance has not changed. Where an old code was split into several new ones, you must choose manually through a data change.
For a foreign-owned company the code also decides three things beyond risk:
- Whether foreigners may invest at all, and up to what percentage, under the Positive Investment List (Presidential Regulation 10 of 2021 as amended by Presidential Regulation 49 of 2021).
- How the minimum investment is counted, because the Rp 10 billion threshold applies per code per project location (see below).
- What must appear in the deed. OSS pulls company data from AHU, so every code must be covered by the purpose and objectives clause of your articles of association.
Our rule: one precise main code plus the supporting codes you genuinely need. You can check codes and their risk levels with our free KBLI 2025 checker.
Rules that apply only to foreign-owned companies (PT PMA)
A PT PMA is always treated as a large business. That means a minimum investment plan above Rp 10 billion per KBLI per location, minimum issued and paid-up capital of Rp 2.5 billion, quarterly LKPM reporting and a government-issued KKPR. These rules come from BKPM Regulation 5 of 2025, in force since 2 October 2025.
| Requirement | What the regulation says |
|---|---|
| Minimum investment value | Total investment above Rp 10 billion, excluding land and buildings, per 5-digit KBLI per project location (Art. 26(2)) |
| Exceptions to the per-code count | Wholesale trade and construction: per first 4 digits of the KBLI. Food and beverage services: per first 2 digits per location (per regency/city). Industry: per production line (Art. 26(3)-(4)) |
| Land and buildings counted | For property, accommodation, agriculture, plantations, livestock and aquaculture, the Rp 10 billion includes land and buildings (Art. 26(5)) |
| Minimum capital | Issued/paid-up capital of at least Rp 2.5 billion per company, unless other laws set otherwise (Art. 26(10)) |
| Capital lock-up | Paid-up capital may not leave the company account for at least 12 months, except for buying assets, constructing buildings or operations; you commit to this by self-declaration in OSS (Art. 27) |
Before 2 October 2025 the paid-up capital requirement was Rp 10 billion, which many older guides still quote. The Rp 10 billion figure now refers to the investment plan, not the cash that must be paid in on day one. Special Economic Zones follow their own thresholds.
What regulation does not allow: holding shares on behalf of a foreigner. Article 33 of Law 25 of 2007 on Investment declares nominee agreements null and void. We do not arrange nominees; if a field is closed or capped for foreigners, we tell you before you pay.
What foreigners most often get wrong
Most problems are not system errors. They are early choices made quickly: a code picked by its title, an address in the wrong zone, or the belief that the NIB means the company can operate. These are the patterns we see most often with foreign founders.
- Treating the NIB as the finish line. For medium-high and high-risk codes, OSS shows the licence as not yet effective until verification is done. The company exists, but it may not operate that activity yet.
- Adding codes "just in case". Each medium-high or high-risk code adds a Standard Certificate, environmental documents and supervision, and each code can raise the minimum investment you must show.
- Using a virtual office for a physical activity. A virtual office can work for many service and trading codes in a suitably zoned building. Manufacturing, warehousing and restaurants need a real site that passes KKPR.
- Relying on the old Rp 10 billion paid-up rule, or the reverse: paying in Rp 2.5 billion and forgetting that the investment plan must still exceed Rp 10 billion per code per location.
- Deed and OSS out of sync. A new director or capital change registered at the notary but not updated in AHU makes OSS pull stale data.
- Ignoring LKPM because the company has no revenue yet. A nil report is still a report.
- Letting an agent own the OSS account. It must be in the company's name.
After the NIB: the LKPM reporting obligation
Once the NIB is issued, a PT PMA must file an LKPM (Investment Activity Report) in OSS every quarter, for each business activity and location, whether or not it has started trading. The deadline is the 15th of the month after each quarter. Micro businesses are exempt; small businesses report every six months.
| Period | Medium and large businesses, including every PT PMA | Small businesses |
|---|---|---|
| January to March | By 15 April | No report |
| April to June | By 15 July | First half: by 15 July |
| July to September | By 15 October | No report |
| October to December | By 15 January of the following year | Second half: by 15 January |
Source: BKPM Regulation 5 of 2025, Article 286.
The report covers investment realised, workforce, production, licensing compliance and investor obligations such as training Indonesian staff. Before operations start you file the preparation-stage LKPM; after you submit the ready-to-operate statement in OSS, you switch to the operational-stage report.
Missing reports is not a paperwork detail. Under Articles 373 and 374, failing to file for two consecutive periods leads to a first warning, then a second and third if you keep missing, and finally a temporary suspension of business activities. Reporting no new investment for four consecutive periods also triggers sanctions. If you will also sponsor foreign staff, see our work permit and KITAS service.
Timeline and cost with IzinBeres
For a PT PMA, our NIB service with business-field verification starts at Rp 3,500,000, or is included in the PT PMA setup package from Rp 12,000,000 (14 to 21 working days). The Rp 750,000 tier applies only to low-risk NIBs for individuals and small businesses, typically issued in 1 to 3 working days.
- Free consultation: we map your KBLI 2025 codes, their risk levels and foreign ownership limits, and flag zoning or investment issues before you commit.
- Quote and document list specific to your case.
- Document check: deed, AHU approval, tax ID and passports must match exactly; we coordinate with the notary if the deed needs changes.
- OSS submission: the account is created in the company's name, then we enter business data, codes, location, KKPR and environmental statements.
- Verification follow-up for medium-high and high-risk codes.
- Handover: official PDFs from OSS, the account credentials, and a calendar of your LKPM deadlines.
| Service | IzinBeres fee |
|---|---|
| Low-risk NIB, individuals and small businesses (up to 3 KBLI), 1 to 3 working days | From Rp 750,000 |
| NIB for CV, PT or PT Perorangan + self-declared Standard Certificate | From Rp 1,500,000 |
| NIB for PT PMA + business-field verification | From Rp 3,500,000, or included in the PT PMA package from Rp 12,000,000 (14 to 21 working days) |
| Verified Standard Certificate or high-risk licence | From Rp 5,000,000, depending on sector |
The government charges nothing for the NIB. Official sector fees, notary and environmental consultant costs are quoted separately. See our price list and our money-back guarantee (Indonesian).
Can you do it yourself? Yes, with one or two low-risk codes; OSS is free. A service makes sense when foreign ownership, several codes or higher risk make a wrong choice costlier than our fee.
Frequently asked questions
How much does an NIB cost in Indonesia?
The government charges no fee for the NIB itself in OSS. Our fee for a PT PMA NIB with business-field verification starts at Rp 3,500,000, or it is included in the PT PMA package from Rp 12,000,000. Low-risk NIBs for individuals and small businesses start at Rp 750,000. Verified Standard Certificates and high-risk licences start at Rp 5,000,000 depending on sector.
How long does it take to get an NIB?
For low-risk KBLI codes, the NIB is usually issued the same day to 3 working days after documents are complete. A self-declared Standard Certificate follows within a few working days. Verified Standard Certificates and high-risk licences depend on the ministry or regional office, typically two weeks to three months. A full PT PMA setup with us takes 14 to 21 working days.
Can a foreigner get an NIB as an individual?
In practice, a foreigner who wants to do business in Indonesia does so through a PT PMA, and the NIB is issued to that company. A foreigner employed by an Indonesian company does not need an NIB personally; the employer holds it and sponsors the work permit. We do not use Indonesian nominees to hold a business for a foreigner, because Indonesian investment law declares such agreements void.
What is the difference between a Standard Certificate and a licence?
A Standard Certificate proves you meet the operating standards for a medium-risk activity. At medium-low risk you declare it yourself; at medium-high risk a ministry or regional office must verify it first. An Izin (licence) is government approval for a high-risk activity, issued only after requirements such as environmental documents are checked.
What is the minimum capital for a PT PMA in 2026?
Under BKPM Regulation 5 of 2025, a PT PMA needs issued and paid-up capital of at least Rp 2.5 billion, and a total investment plan above Rp 10 billion, excluding land and buildings, per 5-digit KBLI per project location. Some sectors count differently or have higher thresholds, so check your specific code before planning capital.
Does a PT PMA with no revenue still have to file LKPM?
Yes. Every medium and large business, which includes every PT PMA, files LKPM quarterly by the 15th of April, July, October and January, starting after the NIB is issued. Before operations begin you file the preparation-stage report. Missing two consecutive periods triggers warnings and can end in temporary suspension of business activities.
Does the NIB expire?
No. The NIB stays valid as long as the business operates and is never renewed. What you must keep current is the data inside it: address, KBLI codes, directors and capital, updated through a data change in OSS. Some Standard Certificates and sector licences have their own validity periods and must be renewed separately.
Can I use a virtual office address for my NIB?
For many service and trading codes, yes, provided the virtual office building is in a zone that fits your activity and the provider issues a domicile letter. Activities that need a physical site, such as manufacturing, warehousing or restaurants, cannot use a virtual office because the location must pass the KKPR spatial planning check.
Talk to us about your NIB
Tell us your planned activities and location and we will map your KBLI codes, risk levels and foreign ownership limits for free. Office: Ruko South Sorrento Square No. 18, Gading Serpong, Kabupaten Tangerang. Open 7 days, 09:00-19:00 WIB. WhatsApp +62 856-1963-888, email info@izinberes.com. Serving clients across Indonesia since 2014.