Complete Guide to Music Licensing in Indonesia
Ardi Setiadharma
Founder, eJukebox
Playing music in a commercial venue in Indonesia without the proper license can result in hefty fines and legal action. This guide covers everything you need to know about staying compliant while keeping your guests entertained.
Understanding LMKN and Music Rights in Indonesia
The Lembaga Manajemen Kolektif Nasional (LMKN) is the national body that oversees collective management of music royalties in Indonesia. Under Indonesian Copyright Law (UU No. 28/2014), any business that plays music publicly — whether through speakers, a jukebox, or live performance — must obtain the appropriate licenses.
LMKN coordinates two types of rights organizations:
- LMK Hak Cipta — manages rights for songwriters and publishers (e.g., WAMI, RAI)
- LMK Hak Terkait — manages rights for performers and record labels (e.g., ARDI, PAPPRI)
Who Needs a Music License?
If your business plays music that customers can hear, you need a license. This includes:
- Restaurants and cafes with background music
- Bars and nightclubs
- Hotels and resorts (lobby music, pool areas, event spaces)
- Retail stores and shopping malls
- Karaoke venues (KTV)
- Fitness centers and spas
- Event organizers for weddings, corporate events, and concerts
License Fee Structure
License fees are typically calculated based on several factors:
- Venue capacity — larger venues pay higher fees
- Venue type — karaoke venues and nightclubs have different rate structures than cafes
- Location — Jakarta and Bali venues may have different rates than smaller cities
- Usage type — background music vs. featured entertainment
Annual license fees for a typical mid-sized cafe in Jakarta range from Rp 2–6 million, while nightclubs and karaoke venues can expect Rp 10–50 million depending on capacity and operating hours.
How eJukebox Helps with Compliance
eJukebox simplifies licensing by working directly with LMKN and rights organizations. When you use eJukebox for your venue:
- All music in the eJukebox catalog is pre-cleared for commercial use
- Royalty payments are handled automatically through your subscription
- You receive detailed play reports that serve as compliance documentation
- Our legal team stays current with regulatory changes so you don't have to
Steps to Get Licensed
- Register your venue with LMKN through their online portal or regional office
- Provide your venue details: type, capacity, operating hours, and music usage
- Receive your fee calculation and make payment
- Display your license certificate prominently at your venue
- Renew annually before expiration
Don't risk your business over music licensing. The penalties for non-compliance include fines up to Rp 500 million and potential criminal charges. Getting licensed is straightforward, affordable, and essential for any professional venue operation.
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