What is the difference between PT and CV
What are the differences between PT and CV? Let's take a look at it so you don't choose the wrong one.
Some people still ask about PT (Limited Liability Company) and CV (Commanditaire Vennootschap), what is the difference between PT (Limited Liability Company) and CV (Commanditaire Vennootschap), Let's see the review below so as not to be confused anymore and add to our insights once more.
Limited Liability Company (PT) and Commanditaire Vennootschap (CV) are two different types of business entities. From various aspects, the following are the differences between PT and CV:
1. In the form of the company.
o PT: Is a form of company that is incorporated and its establishment is regulated under Undang - Undang No. 40 of 2007 concerning Limited Liability Companies (UU PT).
o CV: Is a form of business that is not incorporated because there are no specific regulations governing it.
2. By the provisions of its establishment.
o PT: Requires at least 2 (two) persons involved in its establishment and both are Indonesian Citizens (WNI), but under the rules of Foreign Investment (PMA), Foreign Nationals (FOREIGNERS) are allowed as founders.
o CV: Does not allow foreigners as its founder and requires at least 2 (two) indonesians to be involved in its establishment.
3. By the naming of the company.
o PT: The naming of a PT, in accordance with Article 16 of the PT Law, must be preceded by "Limited Liability Company" or PT and the name of PT must not be the same or similar to the name of an existing PT and stands in the territory of the Republic of Indonesia in accordance with the provisions of Government Regulation No. 26 of 1998 concerning the Use of The Name of a Limited Liability Company.
o CV: There are no specific naming rules, so it could be that a CV has a name similar to or even the same as another CV.
4. From the capital of the company.
o PT: The basic capital is at least Rp. 50.000.000,- unless otherwise determined by the laws or regulations governing the implementation of such business activities. From the capital, at least 25% must be deposited by the founders of PT as shareholders.
o CV: The amount of initial capital is not specifically determined so that the deposit of capital can be determined and recorded independently. CV also does not have a shareholding system.
5. By the management.
o PT: Minimum has 2 (two) administrators acting as Directors and Commissioners. Especially for PT Terbuka, it is required to have at least 2 (two) members of the board of directors.
o CV: Management in a CV is carried out by at least 2 (two) people, namely Persero Aktif and Persero Pasif.
6. By its business activities.
o PT: Can conduct all business activities in accordance with the purpose and purpose of its establishment. Examples are Trade, Contractors, Agriculture, Press Companies, Private Broadcast Radio, Tourism, Shipping, and others.
o CV: Only limited to Trade, Contractor up to Grade 4, Industry, Workshop, Agriculture, Printing, and Services.
7. By the establishment process.
o PT: It takes a long time because the establishment of a PT requires the ratification of the Minister of Law and Human Rights of the Republic of Indonesia as well as various other procedures that are quite long.
o CV: The establishment is shorter because it does not require special authorization and the cost required is much cheaper.