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Job Creation Law Increases Start Up Investment

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By: Zakaria) *

The Job Creation Law is a law made for all sectors, from the economy to investment. In the investment cluster, foreign investors are given the convenience of doing business. So that they are interested in entering Indonesia, and working with Start Up companies.

In less than 10 years, the growth of startup companies in Indonesia has been very good. They are engaged in various fields, ranging from IT, transportation, to marketplac . The existence of Start Up is very good because many young people are eager to become modern entrepreneurs, who take advantage of technology for marketing.

But unfortunately when Start Up business people have a brilliant idea, they run into capital. Because to make a good company, it takes a large injection of funds, to create sites, applications, office maintenance costs , etc. This is where the role of investors is needed, so that there is a symbiosis of mutualism between the two.

Foreign investors will enter Indonesia and buy shares in start-up companies . They want to join because there is a cluster of ease of doing business and investing in the Job Creation Law. So that there is easy licensing for them, so they can work with start-up companies in Indonesia.

Apart from direct share purchases , there are also other methods, namely through investment management institutions. Recently the Sovereign Wealth Found (SWF) was inaugurated, which manages foreign investor funds so that their management and distribution are correct. Minister Luhut Bnsar Panjaitan was asked by President Jokowi to persuade foreign investors to invest in Indonesia, and managed by SWF.

Handito Djoewono, General Chair of the Indonesian Technology Startup Association, stated that the implementation aspect of the Job Creation Law is a more effective factor in boosting investment in start-up companies The prediction is that in 2021 investors will enter and trust startup companies to work together.

The licensing guarantees in the Job Creation Law make foreign investors smile again. The reason is because u saha permit can be obtained in just 7 working days. the arrangement can also be via online , so that only gadget investors can get legality quickly and precisely.

Investors are happy because once the permit is issued easily and quickly, they do not have to bother with bureaucracy. Because in the past they had to take care of from service to service and when they were obstructed by unscrupulous people, they had to pay facilitation money so that the permit was quickly issued. But now it doesn’t exist anymore, because the online system also prevents KKN.

They finally believe in the regulations given by the government through the Job Creation Law. Then choose a start-up company because they have great potential for the future. Radju Munusamy, PwC Indonesia’s NextLevel Leader stated that the Job Creation Law and the corona vaccine provide fresh air for start-up entrepreneurs to grow.

However, he continued, to grow certainly requires capital. Therefore, start-up entrepreneurs need help from investors to be able to expand their business. This mutually beneficial cooperation makes start-ups able to compete with other companies, and increases employees, thereby helping the government reduce unemployment in Indonesia.

An example of a start-up that has developed because of investors is one of the local marketplaces . He was able to achieve achievements as a Decacron, because his capital was more than 1,000 USD. There are also other start-ups in the transportation sector, which have become pioneers in the online motorcycle taxi business and have posted huge profits.

The ease of doing business and licensing in the Job Creation Law attracts investors to invest in Indonesia. They choose to invest in start-up companies because they have great potential and can develop rapidly in the future. Start-up company entrepreneurs will benefit because their business continues to advance.

) * The author is a citizen living in Bogor

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