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    Bali Visa > Blog > Legal Services > Start a Trading Business in Bali Indonesia: Legal Steps Foreigners Must Know
Как иностранцам открыть торговый бизнес на Бали, Индонезия
September 23, 2025

Start a Trading Business in Bali Indonesia: Legal Steps Foreigners Must Know

  • By Syal
  • Legal Services, Uncategorized, Legal Services

🅿️ Many foreigners are eager to start a trading business in Bali 🌴 thanks to the island’s booming tourism and retail economy. But the Indonesian legal system isn’t as laid-back as the beach lifestyle. If you don’t follow the legal requirements for trading in Indonesia, you risk license rejection, blocked imports, or even closure.

🅰️ A common mistake among foreigners starting a business in Bali is assuming they can open a store without understanding the KBLI codes for trading or the OSS system for foreign companies. Others fail to apply for a proper import license in Bali or register their NIB in time. These oversights cause major delays—and money loss.

🆂 ✅ The best way to start a trading business in Bali is to legally form a PT PMA trading company in Bali, register through the OSS system, select accurate KBLI codes for trading, and secure your NIB and import license. With the right help, this process is 100% doable.

🆃 📣 “We rushed into business,” says Lina, a German entrepreneur. “We didn’t know how to start a trading business in Bali legally. CCI fixed our KBLI codes and helped us re-register. It saved our launch.”

🅴 📦 Another Australian brand tried importing handmade ceramics without an API-U license. Their shipment was blocked at customs. A small detail—like the wrong KBLI code—can stop your entire business before it begins.

🅰️ 💡 If you’re serious about building a long-term PT PMA trading company in Bali, start with accurate information and professional support. It will save you from expensive legal fixes and ensure you meet all legal requirements for trading in Indonesia.

Table of Contents

  • What Foreigners Must Know Before Starting a Trading Business in Bali 🧾
  • Do You Need a PT PMA to Trade in Bali Legally? 🏢
  • What Are KBLI Codes—and Why Are They So Important? 📊
  • Real Story #1: “We Registered the Company But Couldn't Import Anything” 😖
  • Real Story #2: “We Had the Wrong Business License—And Customs Blocked Us” 🚫
  • What Licenses Are Required to Import or Export in Indonesia? 📦
  • How to Apply for a Business License, NIB, and API-U in Bali 📝
  • Do You Need Translation or Apostille for Your SKCK? 🖋️
  • What Mistakes to Avoid When Setting Up a Trading Company in Bali ❌
  • FAQs About Setting Up a Trading Business in Bali ❓

What Foreigners Must Know Before Starting a Trading Business in Bali 🧾

If you’re a foreigner thinking about how to start a trading business in Bali, it’s important to understand the legal and regulatory landscape. Unlike many Western countries, Indonesia doesn’t allow foreigners to casually register a business under their own name. You must form a PT PMA trading company in Bali to operate legally. 

Without it, your business cannot apply for permits like the NIB or API-U, which are essential for importing goods. Even a home-based online shop requires proper legal setup. Don’t assume Bali’s laid-back image applies to business laws—Indonesia takes its regulations seriously.

Do You Need a PT PMA to Trade in Bali Legally? 🏢

Do You Need a PT PMA to Trade in Bali Legally?

Yes, foreigners must set up a PT PMA trading company in Bali to run a trading business legally. A PT PMA is a foreign-owned limited liability company recognized by Indonesian law. 

It allows you to apply for an import license in Bali, lease commercial property, open a local bank account, and hire staff. Trying to operate through a local nominee is risky and could result in legal action or loss of business rights. A well-structured PT PMA provides legal protection, tax registration, and full control of your operations.

What Are KBLI Codes—and Why Are They So Important? 📊

KBLI codes for trading define the specific business activities your PT PMA is allowed to conduct. When you register your company, you must choose the correct KBLI code based on what you plan to import, export, or sell. 

For example, selling electronic devices has a different KBLI than importing cosmetics. If you select the wrong code, the OSS system for foreign companies may deny your license applications or block customs clearance. Choosing the right KBLI is critical for a smooth and legal trading business in Bali.

Real Story #1: “We Registered the Company But Couldn't Import Anything” 😖

Tom and Mia from the UK registered a business in Bali intending to import eco-friendly packaging. “We didn’t know we had to choose specific KBLI codes for trading,” Tom admitted. Their business deed only included a general consultancy code, not import or wholesale activity. 

When their first shipment arrived, customs refused release due to license mismatch. They had to revise their PT PMA structure, update their KBLI, and reapply through the OSS system. “It delayed our launch by two months and cost us more than $2,000,” Mia said.

Real Story #2: “We Had the Wrong Business License—And Customs Blocked Us” 🚫

Jasmine, a Canadian entrepreneur in Ubud, wanted to sell imported organic skincare. Her Indonesian partner registered the company but didn’t apply for an API-U or proper KBLI codes. “We had the products ready, but customs stopped them,” Jasmine recalled. 

The business was listed as a distributor, not an importer. She had to hire a new consultant to fix her NIB registration in Indonesia. “I wish we’d known the legal requirements for trading in Indonesia from day one,” she said. It took four months to correct everything.

What Licenses Are Required to Import or Export in Indonesia? 📦

To operate a legal trading business in Bali, you’ll need to apply for several licenses. These include a NIB registration in Indonesia, an API-U for general importing, and often additional sector-specific licenses such as BPOM (for food/cosmetics) or MoT approvals (for textiles, electronics, etc.). 

All of this is managed through the OSS system for foreign companies. Don’t skip steps—if one document is missing or invalid, your goods may be held at customs indefinitely.

How to Apply for a Business License, NIB, and API-U in Bali 📝

How to Apply for a Business License, NIB, and API-U in Bali

The application process starts by forming your PT PMA trading company in Bali. Next, you register your business through the OSS system and receive a NIB, which serves as your company ID, tax ID, and base license. 

Then, you apply for your API-U to get import clearance rights. Depending on your business activities, you may need additional licensing. Using a consultant ensures your KBLI codes, OSS entries, and permit flow are done correctly without costly delays.

Do You Need Translation or Apostille for Your SKCK? 🖋️

Top mistakes include:

  • Using the wrong KBLI codes for trading
  • Skipping NIB registration in Indonesia
  • Not applying for an API-U
  • Trying to use a local nominee instead of forming a PT PMA
  • Failing to do monthly tax reporting

These are all avoidable with proper planning. If you’re unsure how to start a trading business in Bali legally, speak with a professional before spending money or importing goods.

FAQs About Setting Up a Trading Business in Bali ❓

  • Can I start trading in Bali as a tourist or on a social visa?

    No. You need a legal entity like a PT PMA to trade. Tourist/social visas don’t allow business activity.

  • How long does it take to set up a PT PMA?

    Usually 3–6 weeks if done properly, depending on the complexity of your business.

  • Do I need a local partner to start a PT PMA?

    No. Foreigners can own 100% of a PT PMA in many sectors, including trading.

  • What is the API-U used for?

    It’s your general import license. Without it, you cannot legally import goods.

  • Do I need to submit monthly taxes even if I haven’t started selling?

    Yes. Every PT PMA must submit monthly tax reports—even with no income.

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Syal

Syal is specialist in Real Estate and majored in Law at Universitas Indonesia (UI) and holds a legal qualification. She has been blogging for 5 years and proficient in English, visit @syalsaadrn for business inquiries.

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