Primary Business Licenses

The primary business licenses are the most frequently utilized permits for businesses. In Indonesia, companies commonly opt for one of three main licenses, which include:

• General Business License (NIB)
  The General Business License, also known as NIB (Nomor Induk Berusaha), is a versatile license that covers a wide range of general business activities. If you’re involved in trading, consulting, or providing services, the NIB is your go-to license. It’s the foundation for many businesses and simplifies the licensing process.
  
  
• Industrial Business License (IUI)
  For businesses engaged in manufacturing activities, the Industrial Business License (IUI) is essential. Whether you’re producing goods or processing materials, this license ensures that your operations align with safety and quality standards.
  
  
• Construction Business License (SBU)
  Businesses in the construction sector must obtain a Construction Business License (SBU). This license is mandatory for companies involved in building, infrastructure development, and related activities. It ensures that construction projects adhere to regulations and safety measures.
  
  

Non-Primary Business License

Non-primary licenses are required for specific business activities, such as operating a restaurant, hotel, or transportation company. Some examples of non-primary licenses include:

• Restaurant License
  If your business involves the sale of food and beverages, obtaining a Restaurant License is a must. This license ensures that your establishment follows hygiene standards and other regulations, guaranteeing the health and safety of your customers.
  
  
• Hotel License
  For those venturing into the hospitality sector, the Hotel License is indispensable. This license applies to businesses providing accommodation services to guests. It covers various aspects, including safety, hygiene, and guest comfort.
  
  
• Transportation License
  Operating a transportation business, whether taxis, buses, or trucks, demands a Transportation License. This license oversees the safety of passengers, the proper maintenance of vehicles, and adherence to transportation laws.

Another difference between primary business licenses and non-primary business licenses is that the application process for primary business licenses is generally simpler than the application process for non-primary business licenses. This is because primary business licenses are more common and the government has a more streamlined process for processing them.

If you are planning to start a business in Indonesia, it is important to determine which type of business license you need. For a simpler registration process, you can rely on Ruyi Consulting services