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Establishing or expanding a franchise in Indonesia: What you need to know!

David Lang
Founder & CEO, Viettonkin; FDI and Fortune 500 Consultant
Trường (David) Lăng, Founder & CEO of Viettonkin, is a distinguished FDI advisor and Fortune 500 consultant, spearheading thousands of successful investment projects to connect ASEAN economies with the world.
Trường (David) Lăng, Founder & CEO of Viettonkin, is a distinguished FDI advisor and Fortune 500 consultant, spearheading thousands of successful investment projects to connect ASEAN economies with the world.


Due to the spending power of the Indonesian middle class, Indonesia is a good place to establish or expand a franchise. It is a safer alternative option to start your business.
Although the demand for a franchise business is high, the franchising regulatory is still complex. Investors need to go through bureaucratic procedures. There are some points you need to know before starting this business!

Best Possible Franchise businesses:

  • Food
  • Entertainment
  • Coffee joints
  • Beauty & Fitness
  • Retail
  • Digital Agencies
  • Education
  • Language centers!

Conditions to start the franchising business

Franchise Franchisor
Have specific business characteristics 5 years experience in the business
Has been proven to generate profits Does not necessarily need a legal entity
Have easy to learn & applied SOP on quality and service Must have SOP
Must have registered Intellectual Property Rights Capable to provide continuous support to the franchises
Needs to apply for licenses according to the activities  
Can sell supporting service or products, under 10% from the actual given license  

Settle franchise agreement

  • Provide prospect of an offer to franchisee 2 weeks before signing
  • The prospect offer and agreement have to be in Bahasa Indonesia
  • Based on Indonesian Law

Obtain a Franchise Registration Certificate (Surat Tanda Pendaftaran Waralaba/STPW)

If you want to know clearly the procedure to set up your company in Indonesia, feel free to contact us!
 

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About the Author
David Lang
Founder & CEO, Viettonkin; FDI and Fortune 500 Consultant
Trường (David) Lăng, as Founder and CEO of Viettonkin, dedicates his extensive expertise to fostering robust trade and investment bridges between Southeast Asia and global partners. With over 17 years of experience, he has successfully guided over 3,000 FDI projects and advised Fortune Global 500 corporations on complex market entry and expansion strategies. His impactful work includes providing technical assistance to governments, developing innovative initiatives like Viettonkin's 'FDI Desks,' and maintaining strategic relationships with central authorities and NGOs. David's thought leadership in economic development and policy advocacy empowers businesses worldwide to confidently navigate and thrive in emerging markets.

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Founded in 2009, Viettonkin Consulting is a multi-disciplinary group of consulting firms headquartered in Hanoi, Vietnam with offices in Ho Chi Minh City, Jakarta, Bangkok, Singapore, and Hong Kong and a strong presence through strategic alliances throughout Southeast Asia. Our firm’s guiding mission is aimed towards facilitating intra-ASEAN investments and connecting investors in Southeast Asia with the rest of the world, thus promoting international business relationships and strengthening inter-nation connections.
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