Setting Up a Company in Thailand

1.

Before Thailand incorporation, all Thai private limited companies must have at three shareholders, none of whom can be corporations.

2.

Prior to Thailand incorporation, a statutory meeting must be convened during which the articles of incorporation and by laws are approved, the Board of Directors is elected and an auditor appointed. A minimum of 25% of the par value of each subscribed share must also be paid.

3.

There are no minimum capital requirements to set up a company in Thailand. However a foreign company is required to pay capital that is adequate for the type of company being registered.

4.

When incorporating in Thailand, the company's Memorandum of Association must be filed with the Thai Business Development Office. The Memorandum includes details of the company name, the province where it will be located, its business objectives, the capital to be registered, and the names of the three shareholders (for Private Limited company).

5.

Those incorporating in Thailand can obtain tax relief via the double taxation agreements which Thailand has signed with almost 54 countries around the world. A list of the countries can be found at The Revenue Department website.

6.

Entrepreneurs investing in Thailand and who have set up a company in Thailand are liable to a corporate tax of 30% on income sourced in Thailand and internationally. However, some types of company are entitled to a rate reductions.

7.

Investors are required to keep a register of shareholders at the company premises having set up a company.

8.

Having set up a company in Thailand, annual tax returns and audited financial statements must be submitted to the Thai Department of Revenue and Commercial Registration.

9.

Thailand's Board of Investment (BoI) provides a range of incentives to investors who set up a Company in Thailand.

10.

The intellectual property (patents, trademarks and copyrights) of investors incorporating in Thailand is protected by law.

11.

Clients investing in Thailand should be aware of potential changes to the country's Foreign Business Act, as proposed in 2006 by the country's military government. These changes sought to limit foreign ownership of Thai companies. However, conversely clients wishing to set up a company in Thailand should note that the limits of foreign shareholding have been relaxed in certain sectors such as manufacturing.

12.

Clients who set up a company in Thailand potentially gain access to a regional market of 500 million people, since Thailand is a member of the Association of Southeast Asian Nations (ASEAN).

13.

Thailand's abundant natural resources, including oil and gas, and its cost-effective labour force are attractive to foreign entrepreneurs investing in Thailand.

14.

Clients incorporating in Thailand should note that according to the World Bank's Doing Business 2011 Survey, Thailand is the world's 19th easiest place to do business. The survey measures factors including company registration procedures, time, cost and minimum capital required for company formation.

15.

Clients incorporating in Thailand should note that a 2011 survey conducted by the UN Commission for Trade and Development (UNCTAD) ranked Thailand as the 12th most attractive foreign direct investment (FDI) location in the world.

16.

Thailand is a world-renowned tourist destination, as evidenced by Travel + Leisure magazine's World Best Awards readers survey. When asked which city in the world provided the best tourist experience, the magazine’s readers voted Bangkok as the best in the world. Setting up a company in Thailand enables entrepreneurs to capitalize on Thailand’s world-class tourist economy.

17.

Clients incorporating in Thailand should note that other incentives/assistance provided by the Board of Investment (BoI) to support those investing in Thailand include helping foreign staff of Thai-incorporated companies to obtain work visas and long-term visit visas in three hours or less.

18.

Prior to investing in Thailand, Healy Consultants can arrange a tailored orientation programme in Thailand. Our orientation programmes typically include familiarisation tours of key points of business interest in the country, industrial parks, as well as government ministries and other useful services.

19.

Clients wishing to set up a company in Thailand should note that Thailand encourages foreign investment, especially in sectors which contribute to the development of skills, technology and innovation.

20.

Setting up the correct corporate structure is important in order to successfully invest in Thailand. Healy Consultants can advise on and engineer a structure to meet your exact needs. Kindly visit Thailand company formation for further information on incorporating in Thailand.

21.

Opening a corporate bank account is crucial to support the activities of entrepreneurs who set up a company in Thailand. Healy Consultants can assist in opening a corporate bank account either in Thailand or in another jurisdiction, according to your needs. Kindly view Thailand corporate bank account for further information on international corporate bank accounts.

22.

One of the keys to successfully investing in Thailand is developing a reliable network of business contacts and service suppliers. Healy Consultants has, over the years, established an impressive client base in Thailand and the region, across a wide range of industries. Subject to their mutual agreement, we are able to provide introductions to key businesspeople in Thailand who can assist you after incorporating in Thailand.

23.

For entrepreneurs who, having set up a company in Thailand, plan to move to the country to oversee their investments, Healy Consultants can help provide a comprehensive relocation service. Working with a leading relocation agent in Thailand, we can assist with all aspects of the move. Services include obtaining Thai employment and residence visas for the investor and his/her family; obtaining Thai Employment and residence visas for staff; introductions to real estate agents in Thailand; introductions to banks in Thailand or the region for mortgages, personal bank accounts etc; and assistance with locating a suitable school in Thailand for the family.

24.

Having set up a company in Thailand, entrepreneurs investing in Thailand can avail of certain tax and non-tax incentives. Provided by the country's Board of Investment (BoI), these incentives include i) exemption or reduction of import duties on machinery and raw materials; ii) corporate income tax relief and exemptions; iii) permission to employ expatriate workers; iv) no local content requirements for manufacturing industries and v) unrestricted repatriation of foreign currency out of Thailand. For more information on the incentives available for entrepreneurs investing in Thailand, kindly visit Thailand company incorporation.

25.

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