A company is a business organization, either commercial or industrial, managed by an association and a group of people to work together in achieving a common goal.
According to Law No. 8 of 1997, the definition of a company is any form of business that carries out activities permanently and continuously for profit, whether organized by individuals or business entities in the form of legal entities or not legal entities established and domiciled in the territory of Indonesia.

In Indonesia, there are companies that are registered with the government and those that are not. For companies that are registered, they will have a business entity for their company.

What are the types and characteristics of business entities in Indonesia?

PT
1. Based on the labor copyright law, there is no minimum capital in establishing a PT, which is up to 1M for micro businesses.
2. Shareholders are only liable to the extent of their shares;
3. Based on certain laws and regulations, it is required that a business entity be in the form of a PT.

Foundation
1. Engaged in social, religious and humanitarian fields that do not have members;
2. The wealth of the Foundation is separated from the wealth of the founders of the foundation.

Cooperative
1. Members are individuals or legal entities of the Cooperative by basing their activities on Cooperative principles as well as a people’s economic movement based on family principles.
2. The nature of cooperative membership is voluntary that there is no coercion to become a member of the cooperative and open that there is no exception to become a member of the cooperative.

CV
A CV consists of two to five people who act as active allies (complementary allies) and passive allies (committal allies). Active allies are the ones who take care of all the operational and management interests of the company. Meanwhile, passive allies only act as investors.

Firm
1. A firm can be established formally or underhand with an agreement between the members of the firm.
2. Firma does not have a legal basis, unlike PT or Limited Liability Company.
3. Firma does not fulfill the requirements of a legal entity, namely that the wealth is separate from the wealth of each manager.

Civil partnership
1.An agreement in which two or more people bind themselves to put something into a partnership with the intention of sharing the profits that occur because of it;
2.The allies are personally liable for the Civil Partnership.