SITU

(Surat Izin Tempat USAHA)

• Definition

SITU or ‘surat izin tempat usaha’ 'Surat Permit for Business Place' is a letter issued to a business
entity, company, individual who opens a place of business.

• Condition

1. Make an application letter with a stamp duty of Rp. 6,000.00 complete and then stamped and
stamped by the company;

2. Then a photocopy of the ID card of the applicant (generally the owners, directors or persons in
charge) or a special temporary permit for foreign nationals;

3. After that, make a power of attorney and a photocopy of the ID card from the recipient of the power
of attorney if the SITU drain is authorized to another person;

4. Photocopy of a valid Building Permit (IMBG) in accordance with business activities;

5. Photocopy of Proof of Ownership of Land Rights, including certificates, lease agreements, borrow-
to-use agreements or other agreements;

6. A photocopy of the deed of establishment of the company or the deed of amendment thereto and
also the deed of ratification;

7. Photocopy of Tax Returns Payable (SPPT) and last year PBB Deposit Receipts (STTS);

8. Approval from residents, neighborhood, neighbors within 200 m of radium from the location where
you set up your business that is known to the RT, RW, Village Head and Lurah;

9. Certificate of Business Domicile.

• Manufacturing Procedure

1. Asking permission to
neighbors by making a neighbor's permit and getting a sign

hands of the local community.

2. Get

approval from the RT / RW concerned for later SITU licensing

continued at the village and sub-district levels.

3. After getting

approval, then the SITU application file is sent to the district and follows

administrative payments.

4. Last step

just waiting for SITU to be approved and published.

• SITU Example
 description

==> SIUP is an operational permit for a company or entity that carries out business activities in the
trade sector, namely in the form of buying and selling goods/services.

==> SIUP for trade in services includes the provision of services and leasing. Meanwhile, SIUP for
trade in goods only includes buying and selling activities of goods that do not require processing or
production.

==> Based on the Regulation of the Minister of Trade of the Republic of Indonesia No. 46/2009,
SIUP is required for every business with a net worth of more than Rp. 50 million (excluding land and
buildings for business premises). However, a business with a net worth of less than Rp 50 million can
apply for a SIUP if the business actor wishes, for example in order to fulfill the requirements to obtain
a bank loan or wish to participate in an auction/tender for the procurement of certain goods/services.

Condition

1. Fill out the application form/blank.

2. Photocopy of Business Place Permit (SITU)

3. Photocopy of Disturbance Permit (HO)

4. Data on equipment, production capacity, capital and labor/blank Filling for Trading Business
Permit (SIUP)

5. Stamp of IDR 6,000.00 for 2 pieces

For additional business sub-sectors, by filling in the form for adding sub-fields

For Limited Partnership (CV) business subjects, there are 3 additional requirements:

1. Photocopy of Deed of Establishment

2. Photocopy of Taxpayer Identification Number (NPWP)

3. Initial Balance

For a Limited Liability Company (PT)/Cooperative business subject, there are 4 additional
requirements:

1. Decree of the Minister of Law (especially for PT)

2. Decree of the Minister of Cooperatives (especially for cooperatives)

3. Deed data

4. Photocopy of KTP of Commissioners and Directors

Step

Validity period

While the business is running; renewed every 5 years

Licensing Subject

SIUP can be submitted by all types of business actors - either individuals or entities that are not legal
entities (such as CV/Firma), or legal entities (such as PT or Cooperatives) - during their trading
business.

Vital Records
==> To find out the appropriate SIUP scale to be submitted, SMEs can calculate the net worth of their
business (excluding land and business buildings) with the following formula:

==>Total Value of Business Assets – Total Accounts Payable – Value of business assets in the form
of land and buildings.

==>If the business actor does not own land and building assets due to renting office space, then the
formula for the net worth of his business is:

Total Value of Operating Assets – Total Accounts Payable.

==>In the SIUP document, business actors are required to enter a business field based on the
Indonesian Standard Classification of Business Fields or KBLI (4 or 5 digits). This KBLI must be in
accordance with the business fields listed in the Deed of Establishment of the Company and Company
Registration Certificate. For example, if the Deed of Establishment says Information System
Consulting Services Business Field, the business field listed in the SIUP must be a detail of the
Business Field - for example Information Security Consulting Activities (KBLI number 62021). The
KBLI book (BPS, 2015).

==>It is better if the KBLI is determined not only based on core competencies and the uniqueness of
the services that SMEs want to build but also pay attention to potential opportunities in order to fill
the needs of customers/prospective customers.

==>If SMEs sell goods produced by themselves, an Industrial Business License (IUI) will be required
as an operational permit for processing/production business activities. If the product being processed
is a food product, SMEs will also need to apply for a distribution permit before marketing their
products legally. The Marketing Permit that is managed can be in the form of SPP-IRT or
Certification from BPOM RI.

==>If SMEs use their own trademarks, then trademark registration for legal protection of trademark
ownership should also be carried out at the Directorate General of Intellectual Property (HKI), the
Indonesian Ministry of Law and Human Rights.

==>If a business actor conducts a trading business in the form of modern store management, a
Modern Store Business License (IUTM) will be required.

==>If requested by the SIUP issuing official, the SIUP owner is obliged to submit a report on the
implementation of his business activities based on a form that can be obtained

Example:
Translated from Indonesian to English - www.onlinedoctranslator.com

6. Company Registration Certificate (TDP) in Bahasa: Tanda Daftar Perusahaan

Company Registration Certificate (TDP) is an official document ratifying that a business or

company has carried out its obligations in registering a business or company based on the
provisions of the law or its implementing regulations, and containing matters that must be
registered by each company and ratified by the authorized official.
 Every company is required to have a Company Registration Certificate (TDP) in the form of
a legal entity, cooperative, individual, etc. Every company in the form of a Limited Liability
Company (PT), Cooperative, Limited Partnership (CV), Firm (Fa), Individual, and Other
Business Forms (BUL), including Foreign companies with the status of Head Office, Sole
Office, Branch Offices, Sub-Offices, Subsidiaries, Company Agents, and Company
Representatives domiciled and running their business in the area of The Unitary State of the
Republic of Indonesia must be registered in the company register.

Registration must be carried out by the owner or management of the company, or can be
represented to another person by giving a power of attorney. The Company Registration
Certificate is valid as long as the Company is still operating and must be re-registered every 5
(five) years at the latest 3 (three) months before the expiration date.

 Requirements for a Company Registration Certificate:

1. The company must have a Business Establishment Deed

2. Have and be registered with a company NPWP

3. Have and have taken care of Operational Engineering Permits

4. Have a Trading Business Permit (SIUP)

5. Complete the TDP requirements with the possession of an Industrial Business Permit
(IUI)
6. Submitting a TDP using the reported formula

7. Complete the required additional files, including a scan of the company director's ID
card, a scan of the company's notarial deed of establishment, the latest PBB
document, a full scan of fire fighting evidence, and a scan of the company's articles of
association.
 Procedure for making Company Registration Certificates in Indonesia:
1. Visit the local service office and fill out the TDP form by bringing the required files.
2. Paying administrative fees in accordance with the provisions of the Minister of Trade
Number 286/Kep/II/85. The amount of this fee varies based on the location of the
TDP and the length of time it is made.
3. The officer will check as well as check all the completeness and validity of the data
entered. If all the data is correct and the required documents are complete, the officer
will issue a TDP.
4. Furthermore, the officer will notify the business owner when the TDP has been
processed and is ready to be collected.
Example of Company Registration Certificate