Articles of Association and Bylaws are mandatory foundational documents required for establishing and operating a company in Indonesia. These documents must comply with Law No. 40 of 2007 on Limited Liability Companies and related regulations, requiring notarization and approval from the Ministry of Law and Human Rights. They establish the company's legal framework, including capital structure, management organization, shareholder rights, and governance procedures. The documents are essential for company registration, opening bank accounts, obtaining business licenses, and serving as reference for all corporate actions. They need to be carefully drafted to ensure compliance with Indonesian regulations while providing sufficient flexibility for business operations and future growth.
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1. Name and Domicile: Company name, legal domicile, and office locations
2. Purpose and Objectives: Company's business activities and objectives in accordance with KBLI (Indonesian Standard Industrial Classification)
3. Duration: Period of establishment of the company
4. Capital Structure: Authorized, issued, and paid-up capital, number and classification of shares
5. Shares: Share types, rights, and transfer provisions
6. General Meeting of Shareholders: Procedures, authority, and implementation of GMS
7. Board of Directors: Appointment, duties, authorities, and responsibilities of directors
8. Board of Commissioners: Appointment, duties, authorities, and responsibilities of commissioners
9. Annual Reports and Financial Statements: Provisions for financial reporting and annual reports
10. Use of Profits and Dividend Distribution: Procedures for profit allocation and dividend distribution
11. Dissolution and Liquidation: Procedures for company dissolution and liquidation
1. Corporate Social Responsibility: Required for companies dealing with natural resources or having significant social impact
2. Audit Committee: Required for public companies or those planning to go public
3. Electronic GMS Provisions: For companies wanting to enable virtual shareholder meetings
4. Share Buy-back Provisions: For companies planning to implement share buy-back programs
5. Subsidiary Governance: For holding companies with subsidiaries
6. Foreign Investment Provisions: Required for companies with foreign ownership
7. Shareholder Tag-Along Rights: For companies with multiple substantial shareholders requiring protection
1. Shareholder Details: List of shareholders with their respective shareholdings and classes of shares
2. Initial Board Composition: First appointment of Directors and Commissioners
3. Share Certificate Specimen: Format and specifications of share certificates
4. Company Logo and Seal: Official company logo and seal specifications
5. Business Activities Detail: Detailed KBLI codes and business activities description
6. Internal Audit Charter: Terms of reference for the internal audit function
7. Board Charter: Detailed governance rules for Board of Directors and Commissioners
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