RISK-BASED BUSINESS LICENSE
IN INDONESIA
These legal services are focused on the process of obtaining licenses through the Online Single Submission Risk-Based Approach (OSS-RBA) system for all business industries, including trade and construction license, environmental and operational permits. Its main purpose is to assist business owners to comply with applicable legal requirements in order to operate legally.
Business license is required from every business actors in Indonesia, both individual and legal entities, as a form of legality. Current business licensing applies a risk based approach system. Further, in Indonesia, the Implementation of Risk-Based Business Licensing is regulated in the Government Regulation No. 5 of 2021 (PP No. 5 of 2021) resulting in the implementation of risk-based business licensing through OSS-RBA.
Aspects of Risk-Based Business Licensing
Health Aspect
Safety Aspect
Environmental Aspect
Natural Resources Aspect
Below are the classification of Risks as regulated in Government Regulation No. 5 of 2021
(PP No. 5/2021)
Requires submitting an application to OSS-RBA system to obtain a Business Identification Number (NIB)
Requires submitting an application to OSS-RBA system to obtain NIB and Standard Certificate. The Standard Certificate will be issued upon submitting a statement containing the commitment to to meet business activity standards and environmental management efforts and environmental monitoring efforts (UKL-UPL), if needed, in the form provided at OSS.
Requires submitting an application to OSS-RBA system to obtain NIB and Standard Certificate. The Standard Certificate will be required to be verified by the related governmental institutions, such as:
- Related ministries/agencies
- Regional authorities
- Regency / city regional apparatus (SEZ), or
- KPBPB Business Entity
Business actors will be required to comply with business activity standards through OSS to obtain a verified Standard Certificate. If it does not meet the requirements, it is given 1 year to complete it. Otherwise, the NIB and Standard Certificate may be revoked automatically.
Requires submitting an application to OSS-RBA system to obtain NIB and specific Business Permit/License. The Business Permit/License serves as approvals from the central government or local government that is required to be issued upon the business actors before running their business.
STAGES:
1. | Compliance Document Research & Review |
2. | Develop the Compliance Plan |
3. | Implementing the Policies |
4. | Acquire Licenses and Ensure Operational Compliance |
5. | Monitor, Adapt, and Communicate |