🇮🇩 Indonesia · reviewed 2026-10-09
Trademarks and IP for franchisors in Indonesia
In Indonesia the trademark is not only protection, it is a condition of franchising: PP 35/2024 requires the IP to be registered or recorded before you can qualify as a franchisor. And because the system is first-to-file, the mark belongs to whoever files first.
First to file
- Indonesia uses a first-to-file trademark system under Law 20/2016 on Marks and Geographical Indications. Secondary · SIP Law Firm on licence recording
- Under PP 35/2024 the franchise's intellectual property must already be registered or recorded; a pending application no longer satisfies the franchisor criteria. Secondary · Linklaters, 10 things on PP 35/2024, 2024-10-04
Recording the licence
- Trademark licence agreements must be recorded with the Minister of Law through the Directorate General of Intellectual Property (DGIP). An unrecorded licence has no legal effect against third parties. Secondary · SIP Law Firm on licence recording
Checklist before you sign an Indonesian partner
- File the word mark and logo in Indonesia in the franchisor's own name before any public announcement or partner search.
- Wait for registration before applying for the STPW: a pending application does not meet PP 35/2024.
- Record the licence with DGIP once the franchise agreement is signed.
- Register Bahasa Indonesia descriptors or local product names you plan to use on menus.
More on Indonesia
Franchising in Indonesia: the 2027 guide for foreign franchisorsFranchising into Indonesia under PP 35/2024: STPW registration, the 14-day prospectus, foreign ownership, trademarks and royalty tax, with sources.Franchise law and registration in IndonesiaIndonesia's franchise law PP 35/2024 explained: franchisor criteria, STPW registration, the 14-day prospectus, annual reporting and sanctions.Can foreigners own a business or franchise in Indonesia?Can a foreigner own 100% of a franchise business in Indonesia? The Positive Investment List, PT PMA capital under BKPM Reg. 5/2025, and structures.Tax on royalties and franchise fees in IndonesiaIndonesian tax on franchise royalties paid abroad: 20% Article 26 withholding, treaty relief under PMK-112/2025, and VAT self-assessed by the franchisee.Finding a master franchisee in IndonesiaHow to find and vet a master franchisee in Indonesia: STPW duties for master franchisees, the prospectus they must give, and a vetting checklist.ASEAN franchise law comparatorSeven ASEAN markets side by side, from Vietnam to Singapore, with sources.
