In addition to business capital, there are other important things to think about when you want to start a company, namely the legal of your business. Legality is one of the legal foundations of a business that must be considered since you want to start a business.
In addition to protecting your business, legality also has many benefits, such as protecting personal assets, developing your business, making it easier for you to get business capital loans, increasing credibility, and much more.
In Indonesia, there are several company legal documents that must be owned by companies such as deed of establishment , Decree of the Minister of Law and Human Rights , Taxpayer Identification Number (NPWP) , Trading Business Permit (SIUP) , Company Domicile Certificate (SKDP) , Company Registration Certificate ( TDP) , and other legal documents depending on each type of business. Below HeyLaw will describe one by one regarding the types of legal documents required to be owned by the company, check it out!!
Business Establishment Act
The deed of establishment of a company is one of the documents made by a notary as the first step to establish a company, whether firm, CV, or PT , the three business entities are made based on the deed of establishment . Basically, the deed of establishment contains the name of the business entity, the capital, the type of business field, the domicile of the business entity, the composition of the management, as well as the rights and obligations of each party in the business entity. This one legality document is important for your company to have as a condition that must be met when you want to take care of other legalities.
NPWP Business Entity for legal
Another legality that must be owned by the company is the corporate NPWP. Like an individual, a company also has an obligation to take care of its taxes, from calculating, paying, to reporting taxes. Not only to take care of your company’s taxation , the Corporate NPWP is also one of the mandatory documents that is a requirement when you want to take care of other legalities, such as SIUP, company accounts, submitting capital to banks, to the opportunity to get business projects from private and government companies.
Trading Business Permit (SIUP)
SIUP is a permit issued by the regional government to entrepreneurs to be able to carry out business in the trade and services sector. To apply for a SIUP, you don’t need to wait for your startup business to become big first, because the Indonesian government has issued a policy that stipulates that every company, partnership, or individual company that carries out trading business activities is required to administer a SIUP issued based on the company’s domicile and valid in Indonesia. throughout the territory of the Republic of Indonesia.
Based on the Regulation of the Minister of Trade No. 07/M-DAG/PER/2/2017 , SIUP is valid as long as the company carries out its business activities. In other words, you don’t have to bother applying for an extension, because this document does not have a business license expiration period.
Company Domicile Certificate (SKDP)
Not only managing SIUP, as an entrepreneur who obeys applicable laws and regulations, you are also required to take care of SKDP as a certificate stating that the company has domicile at the address stated in the SKDP.
The SKDP requirements for each domicile are different, for example for the DKI Jakarta Region based on DKI Jakarta Regional Regulation No. 1 of 2014 , SKDP cannot be issued to PT that uses a home domicile address or that is not in the office zone. Therefore, to obtain an SKDP, a domicile address is required in the office zone.
Keep in mind, this document can only be submitted when you already have a company deed. In addition, SKDP also has a validity period and must be extended. If your type of office is a joint office, then the SKDP is generally valid for 5 years. However, this validity period depends on the rental agreement between your company and the office owner. Meanwhile, if you choose to use a virtual office, the SKDP is only valid for 1 year and can be extended.
Company Registration Certificate (TDP)
Before the government issued Government Regulation no. 24/2018 concerning Electronically Integrated Business Licensing Services (PP 24/2018) , TDP can only be managed after you make a deed of establishment, SKDP, NPWP, and SIUP. However, now you can directly apply for TDP through the Online Single Submission (OSS) system after you have made the deed of incorporation.
Trademark
When you decide to have a startup business , trademark is an important thing that you should think about. Apart from being able to differentiate your business from other businesses, brands also make it easier for your business to be remembered and known by your target market and consumers.
By registering a trademark, indirectly, you are also protecting your business legally to avoid misuse by irresponsible parties. For example using your company’s trademark as its own trademark, and it can affect the reputation of your trademark.