Thread: the right company to facilitate the business visa...

Hello All,

I myself am another who is planning to start a business with a Balinese partner in Bali. Actually it will basically be an extension of a company that I already run in America, but because of legal issues and the logisitics of our plan we want to start a brand new company in Indonesia. I will be a partner in ownership with a close Balinese friend, and I will be living there in Ubud myself, within the next few months. I've noticed from many of the previous posts that the whenever the idea of establishing a business arises it is always suggested that PT Bali IDE is the place to go. But what of other companies that work in this field? When last I was in Bali I did indeed go to visit PT Bali IDE in Denpasar. It seemed very legitimate and helpful. But what happens if the authorities start giving you trouble for unreasonable taxes, or you have legal problems with the Indonesian business partner, or the local banjar? What would PT Bali IDE do for you at that point? Or are they basically there to help you do the paperwork and thats it? I also consulted with some other similar businesses, some of whom seem legit. And these also seemed more convenient (located in Ubud where I plan to go, and not down some impossible to find gang in Denpasar) with more seeming concern about problems that might arise after all the paperwork is finished. Other convenient services for security were also offered. The price was, however, a little steeper. Actually, there is one particular company that I am interested to know anything you guys know about, but I will refrain from naming names just to test the water and see if anyone finds it innapropriate to talk about specifics. I also understand that by the fact that it is linked on this page that there might be some bias towards PT Bali IDE. That is to be expected. But anything anyone may offer to this inquiry is wholeheartedly accepted...thanks in advance!

Dawn

OM NAMAH SHIVAYA

Bert...I can defnitely agree with you that I got a great impression from Bali IDE when I went there...very professional and experienced it seemed...but the benefits of a closer location and seemingly more of a guided and supported business relationship with the company in Ubud helps the cause...and the fact that it took a good deal of running around and questioning locals before we could even find the place several hours after our departure from Ubud...I am not sure if anyone else has experienced this problem...

anyway, as for the setup of the company...well essentially we will have a location on an Ubud street conducting a daily retail operation while we also have people working in America to sell our products and be ready to receive shipments from Bali and myself...the American business is already established, but because the Bali side of things will include a physical location and potential daily sales to tourists, we will need to have an Indonesian partner and set up a separate Indonesian operation. I have a great friend from Ubud that I have known for several years, and will actually be moving into the same village as, and he will be my partner on the Bali side of the business. That situation itself gets a little sticky, at least in my mind, but maybe I'll save that for a different email. I do trust him 99.99999%, but I am just a little wary of other stories I've heard about these things going sour, on this forum included.

But anyway, essentially I was most concerned with future legal hassles including handling crooked local authority figures and dealing with immigration bribe type things. I kind of extended the banjar help thing on, as I have heard of issues that arise in that area, but actually the company I spoke with in Ubud did not mention much about it. Anyhow, we plan to get permission from the banjar to setup in their jurisdiction before the whole things goes down. We would very much like to be on good terms with our neighbors, as well as even try to give something back to the community as a whole.

So thats it for now. Hope this explains the situation. Any thoughts or perspectives are most welcome...

Dawn

OM NAMAH SHIVAYA

"But what happens if the authorities start giving you trouble for unreasonable taxes, or you have legal problems with the Indonesian business partner, or the local banjar?"

If all three of these scenarious would happen simultaneously i'd start packing my bags... :oops:

hey...thank you for the advice Driver....it seems that I am going to have consider an evacuation scenario and plan accordingly...I suppose for all those things to happen at the same time the stars would have to align in an inauspicious way, so I'll have to keep checking the skies...seriously though I would really appreciate to know a little about anyone's experience with other companies, or just experiences with any of the issues and hazards that I brought up in general...I will be making a serious decision on this in the next few days and any advice would really be helpful...thanks to anyone!

Dawn

OM NAMAH SHIVAYA

Doc!…you took the words right out of my mouth! Sorry to say, but this all sounds to me like another one lining up to “bite the dust.” As is often quoted, my famous words, “they ebb and flow like the tide.”

Sorry Dawn In retrospect, I think I owe you more than my last post. Bali Ide is essentially a visa expeditor…and that’s about it. They can offer some legal services, but frankly, as I’ve read your posts, you’ll likely need a bloody good attorney.

I’m really not kidding about my famous quote regarding expats, viz, “they ebb and flow like the tide” as I have personally known many expats who just show up on Bali…money, dreams, and their business plan in hand, only to exit in a year or two with their wallets significantly lighter.

Having no idea what your plan is for your business in Ubud, all I can say is HATI, HATI. Be very careful.

I’ve met a lot of people like you over the years here in Bali, over drinks and sashimi at Nuris, and I’ve said the same thing, only to learn some months or a year down the road….that they left.

Nothing in your previous posts indicates to me that you really know “what’s up” here. If you asked my advice…I would suggest you live here for at least a year before you invest in any business. That’s from the heart advice from an ex-New Yorker…OK? Otherwise, likely it is, I wouldn’t bother with this second post.

"I would suggest you live here for at least a year before you invest in any business."

The best advice i've read so far! Now why didn't i think of this.... ;)

Well,

Thank you guys for your cautionary words. I do take all that you said very seriously, and am in no rush to get into an ugly situation. That being said, I believe the major positive for my operation is that the financial success of my company would be less based on what happens in Bali as much as what happens in America with what I am sending from Bali, and other parts of Asia as well. A large part of the responsibility for keeping us alive in Bali will fall on the success of my business partner's and employees in New York. The retail operation in Bali is more of a side project/investment that I will try to make the best of while I am here. i know I will learn from all of the problems that will arise, and I will do my best to work with them with all the good energy and ability that I have. The larger value of my presence in Bali is to eliminate, or at least reduce the concept of "jam karet" in the movement of goods and the procuring of new and fresh items for our inventory. As well as Bali's proximity to other Asian countries (which would thereupon be my own proximity) which are also sources of what we sell. I do agree that to open a shop in Ubud is a seriously risky affair. Roy, you mentioned that I might need an attorney based on my posts...well, my concerns that I listed were kind of a worst case scenario, as I most definitely do not anticipate having to deal with all these things to a debilitating extent. I accept that the first few years may be operating at a loss, but I am confident that our operation in the States will be able to keep us afloat, if not more. And who knows, maybe I can be that one in ten! I fully intend to work within Balinese guidelines and not step on the wrong toes. Approach the culture and spiritual life with the fullest respect. After all, that is a major reason that I chose to be the operating partner in Bali. I love the culture, the lifestyle, the people, the land, and the spirituality. And I want to know more about all those things, and I will. I will be living in a small village just outside of Ubud, where I am close with village chief and his son. i am not necessarily a newbie to Bali (maybe compared to you guys I am), having spent about four months of my life there. The experience alone of finally living in such a place will far outstrip the possible financial losses (or gains), and I am young enough and have few enough dependents (none) to risk it. So again, thanks for your insight and advice, Roy and Driver. I am always up to hear anything you fellows might have to express. Sampai jumpa, ya?

Dawn

OM NAMAH SHIVAYA