Insights

Latest News

    Trending Topics

      Products

      Products


      Brand Protection

      IP Intelligence

      Litigation Analysis

      Case Management

      Nunc Orci


      Products Case Studies

      People

      Careers

      About

      Announcements

      • About Us
      • The Rouse Network
      • The Rouse Difference
      • Rouse Connect

      Grass Roots

      • Climate Change
      • Mitrataa
      • Rouse Cares

      Thank You

      Your are now register subscriber for our Rouse

      Indonesia franchise rules improvements

      Published on 24 Oct 2019 | 1 minute read

      Like many countries, Indonesia has special franchising rules. Some are common, others more localized.  See here for the background. The consensus has been that that franchising complexity is a challenge and restricts franchise growth. 

      A new regulation called Regulation of Minister of Trade Number 71 of 2019 on Franchising was issued on 4 September 2019. It makes several changes:

      1. Clearer details about franchise business criteria are set out (uniqueness, track record, written manual, clear business model, ongoing support and IP).
      2. Providing a prospectus for 2 weeks applies to all forms of Franchiser 
      3. Franchisers appoint more than one Franchisee provided there are clear separate zones.
      4. The new MoT Regulation 71/2019 does not include the previous (challenging) obligation to source of 80% domestic products, but only prioritizes raw materials from Indonesia.
      5. Reporting requirements are changed. 
      6. Franchises must use the regulatory application system called the Online Single Submission (OSS) for all trading licenses.

      Many prior franchising regulations are being revoked and declared invalid. 

      30% Complete
      Deputy CEO, Principal
      +62 811 870 2616
      Deputy CEO, Principal
      +62 811 870 2616