Legal Basis for Limited Liability Company (LLC)

1. UU No. 40/2007 – Perseroan Terbatas / UUPT
This Law is the main legal source for the regulation of Limited Liability Companies in Indonesia

2. UU No. 1/1995 – Pasar Modal
This law sets out the requirements and conditions applicable to parties and capital market instruments.

3. UU No. 25/2007 Penanaman Modal
This law regulates the procedures and mechanisms for investment, both by local and foreign investors.

4. PP No. 27/1998 – Penggabungan, Peleburan, Pengambilalihan PT
This law governs the procedures and methods for mergers, consolidations, and acquisitions of LLC.

5. PP No. 43/2011 – Tata Cara Pengajuan dan Pemakaian Nama PT
This law stipulates that local LLC names must be in the Indonesian language.

6. PP No. 47/2012 – Tanggung Jawab Sosial dan Lingkungan PT (CSR)
This law mandates that PTs engaged in activities related to natural resources must conduct Corporate Social Responsibility (CSR) activities.

7. PP No. 7/2016 – Perubahan Modal Dasar PT
This regulation applies to businesses that meet the criteria of Micro, Small, and Medium Enterprises (MSMEs). The Authorized Capital is determined by agreement, with 25% of this Authorized Capital required to be paid-up and allocated.

8. Permenkumham 14/2020 – Tata Cara Pengajuan Permohonan Pengesahan Badan Hukum dan Persetujuan Perubahan Anggaran
Dasar Serta Penyampaian Pemberitahuan Perubahan Anggaran Dasar dan Perubahan Data PT.

This law regulates the procedures for applying for the approval and amendment of the articles of association, as well as the documents required to be submitted to the Minister through the SABH system.

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