Opening a restaurant in Bali

Two questions...what part of Bali are you considering, and what is your target of patrons?

The current availability of cuisine varies drastically between say, Amed, Lovina, Ubud and the South.  And, the cuisine you should be considering should obviously be based on your primary objective in patronage, viz, locals, tourists (including particular ethnic groups of tourists), expats...etc.

Another factor relative to cuisine choice is the availability of food product by the distributors in the particular area of Bali you are thinking of.

Thank you so much for the insight.

Should have noted location but is on Jl. Drupadi in Seminyak and yes.. how do I find out about all different food distributors in Bali. Is there a special company handling it?

Would a coffee shop/appetizer/desert place be a good choice for tourists? Bar on second floor?  What do Bali tourists want to eat? :-)

hi.. i am an executive chef and consultant. My name is Rachid.
Right now I am working in jakarta. If you need a information you can call me in this number
***thank you.

In reply to Rachid...have you run a restaurant in Bali?  If not, and your experience is limited to Jakarta, what possible help can you offer?  Seriously...Jakarta versus Bali is like night and day. 

@Nprasetyo

Seminyak is already a highly saturated market for bars and restaurants.  They ebb and flow like the tide...and I am not exaggerating.  With that in mind, you need to be here in person and begin to network with other expat restaurant/bar owners. 

If you want, I can send you the name via private message of one of the most highly successful expat restaurateurs on Bali who happens to be located in Ubud.  He is very helpful to others and generous with his expert advice. 

In any event, good luck with your endeavor.

Hi,

i would like to know what are the steps needed in order to open a restaurant (beach bar) in bali.

i am trying to collect some valuable information that would help me puting my plan/dream into action.

i have also received an email from a company saying that the whole process (which i have no idea what this process includes yet) will cost me around me 10Billion IDR and it will take up to 6 month to make it happen. I think the cost is a bit too high and not realistic to me.

Appreciate the help here.

Thank you

Yes Openeing a Multi cuisine Reaturant in Bali with bar and Launge is having very Good Market inspite of giving a specialize country cuisine.

Hi there saw your posting and would love to chat with you as this is a business venture I am very interested in too. Dont think you have to spend 116 billion rupiah honestly so let me know when we can chat?

Please provide whats app number.

Thank you

Nita

The investment rules are in place to stop foreigners opening up a million small businesses that would take trade away from local people.

***

It is not much expensive. Contact me i will guide you through all the steps and services.

Vikash004 wrote:

It is not much expensive. Contact me i will guide you through all the steps and services.

If the person is not Indonesian, it is that much expense.
The minimum investment rules are in place to protect Indonesian small business, not for people to attempt to get around.
If someone managed to open up illegally, the first complaint from a local would see them closed down, probably deported, and absolutely losing all their investment.

Basically, nobody should get into schemes - there's always a schemer behind them.

Please dont try to scare any foreign investor. Speak genuinely. When we do investment in indonesia, it brings jobs also to few indonesian needy people.

Always give true information and if you are not having any update of govt. Policies then for self interest dont try to scare any investor.

First go and check all the rules and regulations, any expats not do any illegal activities only they get cheated by some of you who is working for personal interests.

What is schemer behind and for what, now for opening a company no need local indonesian also. For whose interest you are talking about ?? Tell me ??

I have given my number call me it is local number of indonesia. Call me i am waiting.

This is easy enough.
Foreigners wanting to open a business in Indonesia have a strict set of rules, and that involves a large minimum investment.
Anyone suggesting there's a way around those rules is wrong or up to something.

Pretty simple stuff.

That changes if you have an Indonesian spouse and everything is in their name, you not officially working or owning anything.

Even if you managed to open a small business, you'd need a visa to remain in Indonesia, and how can you get that to do something illegal?

Vikash004 wrote:

I have given my number call me it is local number of indonesia. Call me i am waiting.

You've given your number but it was deleted as contact details are not allowed on the open forums.

***

Thank u for the input - I don't see ur contact details, however, please tell me do u live in Bali? And what do u do exactly?

kiki1111 wrote:

Thank u for the input - I don't see ur contact details, however, please tell me do u live in Bali? And what do u do exactly?

Contact details are always removed for safety reasons.

Also read up on minimum investment rules before you give a penny to anyone and, if they suggest there's  a way to avoid those rules, run away fast because it's probably a scam.

As a general note, it's always worth finding out about the person offering suggestions, things like are they using a photo from linkedin that isn't theirs, or perhaps using a false name on a forum.
Worth a look in case someone is trying a scam. You might also want to check their immigration status as that could also be in question, especially if they claim to have  arrived for work but no longer have that job, something that usually means leaving to country.

Hi Fred- if I will proceed with my plan I wil go to Bali and do my research and business plan before doing any step further. I asked for help because I would love to know details that might help since other people here might already have went through this and can share some tips.

Thank u for the insight. Appreciated

kiki1111 wrote:

Hi,

i would like to know what are the steps needed in order to open a restaurant (beach bar) in bali.

https://www.expat.com/forum/viewtopic.p … 59#4385389

Vikash004 wrote:

It is not much expensive. Contact me i will guide you through all the steps and services.

Hi Vikas,
I am interested to open a small restaurant in Jakarta, please help me with the initial procedure.

parveenballyan wrote:

Vikash004 wrote:

It is not much expensive. Contact me i will guide you through all the steps and services.

Hi Vikas,
I am interested to open a small restaurant in Jakarta, please help me with the initial procedure.

Get Rp10 billion ready, then read the thread

Hello,
thank you Fred for all your post. I read them for more than 6 years.
You know very well about Indonesia. Please give links to double-check informations.
You undertsand that foreigner cannot invest 10Billions Idr, just on top of a belieth.
Thanks for feeding.

Hello,
everything is possible, just follow the rules and the law.
Running a business is not so difficult. Please understand that you are a foreigners and the local governement has to protect the local laws and citizens.

https://magnitudeconstruction.com/en/re … nvestment/https://www.indonesia-investments.com/https://www.investir-a-bali.com/

Try to contact your embassy in Indonesia, also.

I looked at the last one, its prices being illegally stated in Euros. Only Rupiah transactions are legal here.
However, just to remake the usual point, there's no way foreigners can buy legally in Indonesia without a PT PMA company or being married to an Indonesian and having a prenup.

I'm well aware of why many foreigners want to open a hairdressers, massage place, yoga studio, or whatever, but the dream is only ever a dream because the law is deliberately designed to stop you.
The law is built to protect Indonesians, no other reason.

However, as a consequence, it also protects foreigners and their cash as the vast majority have absolutely no clue what they're getting into.

Hi everyone,
I live in Bali as a medical psychology spec, so I know a lot of people and Indonesian laws, sometimes better than a lawyer.  First of all I want to congratulate Mr Fred, because he gives suggestions based on experience and knowledge of laws and the market.  About opening a restaurant in Bali, I dont agree, because apart from the legal aspects, which entrusting u to a multi-service office, carry out all the work that u should do in person (losing a lot of time and also t knowing the  bahasa, u will find urself handicapped in signing documents u dont understand) u will have to look for the furniture, the kitchen etc, but also the best suppliers that will provide u with fresh goods, the staff (of which u will not know the level of knowledge of ur dishes and which could  firing from one day to another, the cook anyway) and I hope I haven't forgotten anything.  So I advise u to take over a restaurant and in Bali right now u will find many, that if there are accounting books (which they are all required to keep, because you go to pay taxes) u can check the business on paper and see for yourself  for a month / two how it works.  The main part of the speech is that in every activity u have to be a business man / woman and not improvise because u have X money as they currently do in several people.  If u are not, it is better to opt for quieter activities, rent rooms or similar, which does not involve buying.  Beware of those who tell u that it is easy to do this or that, when u dont know it is not simple, u are at the mercy of other people who ultimately manage u and then ur management is nullified.  I often meet people who, with € 30,000, want to do business, and with this figure u do nothing, a treaty could be made about this.  Starting a new business ONLY involves risks of all kinds.  Certainly those who opened an activity 20 years ago can now afford everything, but u start with a European mentality, which CANNOT be applied here and the reasons are many, first of all the Indonesian mentality and the imprecise laws.  What to do then: see, listen, learn, being here more than 6 months, which will not be thrown away, but will be ur basis for a probable success, luck certainly plays an important role.  I hope I was clear.
Greetings

parveenballyan wrote:

Vikash004 wrote:

It is not much expensive. Contact me i will guide you through all the steps and services.

Hi Vikas,
I am interested to open a small restaurant in Jakarta, please help me with the initial procedure.

For future posters as this gentleman hasn't replied.

Jakarta and Bali have some similarities in so much as both are expensive places in terms of rent, and both have a lot of competition for available footfall.
The rents have easily gotten to, and commonly past, the point where it's impossible for most small businesses to make anything. Bali has fewer empty shops that some bits of Jakarta because of the tourist trade bringing a lot of clueless visitors with more cash than brains, but don't expect business to be easy.
Add the chances of you being ripped off royally until you get into the swing of things, and that further limits your chances. Someone in Vietnam once said the best way to get to a million bucks over there is to invest 2 million and wait, that very possibly  being a good warning for inexperienced entrepreneurs here.

I apologize but I forgot one thing.  I read that some people talk about opening a bar / restaurant on the beach, I'm sorry, but this is reserved for Indonesians ONLY and u will not be able to take over the business (of course with a nominee u do everything, but know that it is illegal)

gianload wrote:

Hi everyone,
I live in Bali as a medical psychology spec, so I know a lot of people and Indonesian laws, sometimes better than a lawyer.  First of all I want to congratulate Mr Fred, because he gives suggestions based on experience and knowledge of laws and the market.  About opening a restaurant in Bali, I dont agree, because apart from the legal aspects, which entrusting u to a multi-service office, carry out all the work that u should do in person (losing a lot of time and also t knowing the  bahasa, u will find urself handicapped in signing documents u dont understand) u will have to look for the furniture, the kitchen etc, but also the best suppliers that will provide u with fresh goods, the staff (of which u will not know the level of knowledge of ur dishes and which could  firing from one day to another, the cook anyway) and I hope I haven't forgotten anything.  So I advise u to take over a restaurant and in Bali right now u will find many, that if there are accounting books (which they are all required to keep, because you go to pay taxes) u can check the business on paper and see for yourself  for a month / two how it works.  The main part of the speech is that in every activity u have to be a business man / woman and not improvise because u have X money as they currently do in several people.  If u are not, it is better to opt for quieter activities, rent rooms or similar, which does not involve buying.  Beware of those who tell u that it is easy to do this or that, when u dont know it is not simple, u are at the mercy of other people who ultimately manage u and then ur management is nullified.  I often meet people who, with € 30,000, want to do business, and with this figure u do nothing, a treaty could be made about this.  Starting a new business ONLY involves risks of all kinds.  Certainly those who opened an activity 20 years ago can now afford everything, but u start with a European mentality, which CANNOT be applied here and the reasons are many, first of all the Indonesian mentality and the imprecise laws.  What to do then: see, listen, learn, being here more than 6 months, which will not be thrown away, but will be ur basis for a probable success, luck certainly plays an important role.  I hope I was clear.
Greetings

gianload wrote:

I apologize but I forgot one thing.  I read that some people talk about opening a bar / restaurant on the beach, I'm sorry, but this is reserved for Indonesians ONLY and u will not be able to take over the business (of course with a nominee u do everything, but know that it is illegal)

Sorry I was wrong in the correction i push double

Hi,

Inam planning to open restaurant in Bali , could you please provide me details how and what permit and license are to be secure.

If you have idea then please also share tentative cost of getting all licenses/ permits.

Is there any limit by government for investment by foreign national.

Thanks
Bharat Sondhi

Mr. FRED,
I not replied on time is not means that what you have tried to show to the expats forum.

Please stop fishing foreigners here and guide them properly without interest. If you have your same business then charge actual cost of your guidance and services but dont make them fool. Everything is online in Immigration department of Indonesia about there charges and procedures.

So please be honest to Expats queries and Mr. Fred i can't be your enemy because i don't know you personally. I have many other works and problems so sometime i missed or not logged in to here.

Thanks!
Vikash Kumar

I engage in no business related to expats and have no interest in doing so, but I can see what a massive mistake it is for so many to try to open a business, especially on the Island of Bali.

Apart from most of the business ideas being impossible because of immigration rules that remove any possibility of the potential entrepreneur operating legally or obtaining legal immigration status, most have no clue about the truck load of problems they are about to encounter and little idea what incomes they can realistically expect the business to produce.

One massive piece of advice is avoid anyone that knows a way around the law, (there are plenty of them) or anyone that says a foreigner can set up a business in Bali on the cheap - You can't so they're either well meaning fools with lousy advice, or they're out to scam you.

As for scaring people off - Absolutely, but only if they need to be scared off in order to save them a whole pile of expensive problems.

For foreigners with the ten billion Rupiah available and the business know how to make things work, fantastic - Go for it.

Hi Vikash Kumar,

Unlike Mr. Fred, who is based in western Java, I am based in Bali, and have been for the past 21+ years, (24/7).  And, I've also opened a restaurant during that time period here in Ubud. 

I totally agree with Fred, and I have tons of personal experience to back up my opinion. 

Unless an expat is married to an Indonesian (particularly, a Balinese), this idea of opening a restaurant in Bali is very tricky business indeed.  I have seen many start ups by foreigners, and the percentage of successful ventures is very low…10 to 15 percent, tops.  Even marriage to an Indonesian is no guarantee of success, as the success of the marriage itself is a determining factor in the successful longevity of the restaurant.

I know Fred personally, and I can assure you that he NEVER has attempted to gain personally in ANY way via his extensive and sage advice offered on endless occasions here on this forum.  He is wise and honest to give his advice, which while that may appear overly cautious and less than enthusiastic, it is 100% dead on accurate. 

The magical appeal of Bali is hard to explain and almost impossible to overstate.  In many ways, Bali is unique to the other 33 provinces of Indonesia, and this magical appeal causes otherwise normal and sane business savvy folks to hemorrhage money.  I have seen this countless times, over and over.  The expression I've always used is “many are called, but few are chosen.”  And that is the undeniable truth.

X brt sodi
Hi opening a new restaurant in Bali involves only risks, because instead of not detecting a restaurant that has already started (check the account books and in person for at least two months) and enter in the purchase clause that the owner, let the owners know and teach them how they should  avvebire management ???  As you know, a PT PMA that has already been set up can be purchased and certainly the practices needed to change the name etc, but the most expensive part is already done.  In any case, a PT PMA more or less costs around 100 million rp (remember that if 100% foreign capital, it must be an Indo administrative director)

X brt_sodi
Hi as for documents, it is better not to go crazy, running from one office to another, so it is better to contact an agency, which will do everything for you.  A friend of mine to make a company alone and save 40 million rp has literally gone mad for 6 months.  Better to stay on the beach for a limited time, until you have the company number (and from this moment on you can work even if the business kit is not yet issued)