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Buying a Bed & Breakfast in Bali.

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Margaux7593

Hello everyone!
I am French , I’ve been to Bali about 15 times in the last 15 years.
I now would love to buy a bed and breakfast in Bali and would love your piece of advice.
Which kind of Visa do I need ? Which kind of company do I need to set up ? Is it easy or will it be a burden to obtain those ?
Do you think Bali is done or is it still good to be there as a business etc .. ?
I know that the law of Badung and Ganyar and Kuta forbidden supply any new accommodation structures but the idea would be to buy an existing one and run it.
Thanks you !
Have a great day ,

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Fred

You'd need to set up a PT PMA and, if it's accepted (That's a big if), you get get a KITAS year long renewable visa.
Minimum investment Rp10 billion (About 641,000 Euro), 25% paid up.

Given land/property prices in much of Bali, that's not an unrealistic number, but you might well have problems recovering your outlay.

Fred

Margaux7593 wrote:

Do you think Bali is done or is it still good to be there as a business etc .. ? ,


Bali is the only place in Indonesia I've visited and was glad to leave, but a lot of people still like the place so there's business to be had. I gather the occupancy rate for Bali hotels is about 60 to 75%, depending on which sites you look at. The professional hotel management sites suggest there's a likely 11% increase in available rooms over the next five years, mostly mid to high end, but visitor growth figures have not been hit.
Assuming you can get the PT PMA running, your next problem will be the almost total lack of similarity between running a business in the EU against running one in Asia.
Finding English or French speaking staff is also likely to give you a headache as French is rarely found in schools here, and English language training is commonly very poor.

Ubudian

"Bali is the only place in Indonesia I've visited and was glad to leave,..."

Ah my friend, and as I've told you 100 times...you need to visit more of Bali than southern Bali.  Sorry to say, but you have yet to see the real Bali.   ;)

Our gate is always open whenever you want to "expand your horizons"  :top:

Margaux...to your question.   A lot of what you need to know depends on what regency of Bali you want to settle into with your B&B. 

You should come back to Bali again...this time for a long visit and get to know some expats here that have already done what you plan to do.  I think you'll find most expats here to be very friendly and more than willing to share their experience and offer their best advice. 

My best overall advice is to take things very slowly...step by step and whenever a deal looks too good to be true...it never is true. 

Good luck!  :)

Margaux7593

Thank you for this very constructive message. I really like the region of lovina and Pemuteran , I like the peace of it.

Ubudian

You're welcome.

As you know, both Lovina and Pemuteran are in the Buleleng Regency.  In a very real sense, they have their own way of doing things there.  Moreover, there are many distinct "adat" rules which vary from one banjar to another. 

Thus my prior advice to spend some significant time there is even more important for you. 

Once again, good luck!

Fred

Ubudian wrote:

"Bali is the only place in Indonesia I've visited and was glad to leave,..."

Ah my friend, and as I've told you 100 times...you need to visit more of Bali than southern Bali.  Sorry to say, but you have yet to see the real Bali.   ;)


Fate stopped me.
I was there to meet a mate more than anything and only had a few days so was very limited as to where to go. Kuta, as I know you're aware, is a dump for what I gather Australians know as Bogans, something I would be forced to agree with. It was an alcohol fuelled mess with bule, nissed as pewts, on motorbikes that had no hope of riding safely, full to the brim of rip off artists selling every service they could at hyper-inflated prices and, worst of all, drug dealers on the streets. The far south was far better but time didn't allow me to go north. I mentioned fate, that uncontrollable creature's twisting of our lives meaning the job I was supposed to be doing on the Java side of the island never happened - Ho hum, perhaps another time.

Ubudian

Regarding Kuta, you have nothing but 100% agreement from me.  If I go there only once a year…it’s far too often for me. 

The trick is not to judge Bali by its one and only ugly flaw.  But on that, you’ll have to take my word until you get to see what I mean for yourself.

Happy New Year, Amigo…to you and all your family!

Fred

A happy new year to you too.

Ash Burn

Om Swasti Astu.
And a Happy Chinese New Year also Fred & Ubudian.
Remember you guys still the "go to" for Bali forum.

ladivo779

I think Kuta is alright for what it is, tons of hotels, shop, restaurants and beaches. Lots of families sty there too and you are somewhat sheltered from drunk Aussies if you don't head into Legian at night. But it is crowded and I can still enjoy being there. I also like to stay in Sanur and further north. Lots of different places to stay all over the island. Each to his or her own.

Yes there have always been people selling drugs in Kuta, but back in the 80's we were always told by locals that these are often undercover police waiting to nab people. Not sure how true that is.

Bali is not done. There is still lots of business and money to be made and a nice lifestyle, especially away from Kuta and the south. Most important is knowing the regulations of what you can and cannot do and the cost of setting up a business. And of course to always ensure you will not get cheated as so many people have been.

Low Man

My two cents, while Bali is still a big investing paradise, I am strongly believe it has been starting as an overcrowded in some areas up to the regulation that no more "rooms" (Read: hotel) allowed to be created in the island.

So, better start research on neighboring areas (Lombok, Komodo island) and start from there.

Ubudian

Low Man, the original poster covered this concern you raise in his opening post:

"I know that the law of Badung and Ganyar and Kuta forbidden supply any new accommodation structures but the idea would be to buy an existing one and run it."

No need to run off to Lombok or Komodo.

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