“The business field of Commercial Web Platforms in its classification includes various website operations with profit purposes but does not include financial technology.”
The Commercial Web Platform is regulated in Government Regulation Number 5 of 2021 concerning Implementation of Risk-Based Business Licensing (“PP 5/2021”). The scope of the commercial web platform is divided into general business fields and business fields included in the Electronic Trading System Operator (“PPMSE”). The arrangements and licensing requirements for these two scopes are also different, so this article will explain the scope of the commercial web platform and its business requirements and permits.
A. Overview of Commercial Web Platform
Commercial Web Platform is contained in KBLI 63122, this classification includes operating a website with commercial purposes that uses a search engine to generate and maintain a large database of addresses and internet content in an easy-to-find format; operation of the website as a portal to the internet, such as a media site that provides regularly updated content, either directly or indirectly for commercial purposes; operating digital platforms and websites/web portals that carry out electronic transactions in the form of business activities facilitating or mediating the transfer of ownership of goods or services or other services via the internet or electronic devices or other electronic system methods carried out for commercial purposes (profit) which includes activities either one , part or all of electronic transactions, such as ordering, payment, delivery of these activities. Included in this group are websites/web portals and digital platforms with commercial purposes (profit), which are applications used to facilitate or mediate electronic transaction services, such as marketplaces, digital advertising, and on-demand online services.
The business sector on the commercial web platform in its business classification does not include financial technology (Fintech), Fintech Peer to Peer (P2P) Lending, and Fintech payment services. The scope of this business sector is divided into two, the first is the general business sector as previously described, and the second is the business sector included in PPMSE. PPMSE is a Business Actor providing Electronic Communication facilities used for Trade transactions.
Foreign investment in this business sector is not regulated so that there are no restrictions on foreign investment in the commercial web platform business. However, if there is foreign capital in a business, what must be established is a foreign investment limited company (PT PMA) with a minimum capital of IDR 10 billion and is classified as a large business scale.
B. Requirements and Licensing for Commercial Web Platform
The business sector requirements on the general commercial web platform for micro, small and medium scale businesses have a low level of risk so that the business licensing requirements are sufficient with the NIB (Business Identification Number). Large industrial business scale based on Regulation of the Minister of Industry No. 9 of 2021 (“RMI 9/2021“) concerning Standards for Business Activities and Products in the Implementation of Risk-Based Business Licensing in the Industrial Sector, it is regulated that general requirements and business licensing are:
- Have a National Industrial Information System account;
- Submitting industrial data through the National Industrial Information System;
- Located in an Industrial Estate or can be located outside an Industrial Estate in accordance with the provisions of Government Regulation Number 5 of 2021 (“GR 5/2021“);
- Have a Certificate for Large Industries that are exempt from the obligation to be located in an Industrial Estate;
- After obtaining a business license, business actors according to their respective needs must have a business license to support business activities in commercial-operational activities in accordance with the provisions of laws and regulations in the industrial sector.
The requirements for the business sector on the commercial web platform, which includes PPMSE for micro and small scale businesses, have a low level of risk, so the business licensing requirements are sufficient with the NIB (Business Identification Number). However, a medium and large industrial business scale based on GR 5/2021, stipulates that business requirements and permits are:
- Intermediary Facility Operators (PSP) who are not excluded and domestic PPMSE;
- Medium and Large Enterprises;
- Companies or business entities in the form of legal entities or non-legal entities that are established and domiciled within the jurisdiction of the Unitary State of the Republic of Indonesia who carry out business activities in the PMSE sector fulfill commitments in the form of
- Certificate of Registration of Electronic System Operators issued by the competent authority;
- Website address and/or application name;
- Consumer complaint services in the form of contact numbers and/or e-mail addresses;
- A consumer complaint service that contains contact information for consumer complaints from the Directorate General of Consumer Protection and Commerce.
Author: Adam Kausar
Gaffar & Co. is an Indonesian Boutique Law Firm specializing and focusing on Investment Regulatory, including Corporate Secretarial Services.
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