Question To Ask Before Opening Company In Thailand
It is not easy to establish a new business anymore. The competitive forces in the market are increasing day by day, and it has become quite complicated to prove edge online.
Those who are going to set up a business for the first time may be more concerned about where to place the headquarters and setup, etc. Well, we advise you to start a business from Thailand: One of the most reliable and suitable places to take the new business to a whole new level. No matter even if you belong to some other country, it is also possible to set up a business for foreigners as well. The Thai government has already decided rules and regulations, and the list appears easier to follow.
Beginners may have loads of questions in their mind, but it is not that easy to find answers to them. We advise you to go through the details below. Here we have highlighted some common questions that are asked by new age business owners that are interested in setting up a business in Thailand:
What laws protect business setup in Thailand?
All foreign businesses in Thailand are governed by the Foreign Business Act 1999. It lists out all the authorities, possibilities, and penalties as well. In general, the non-compliance may lead to serious offense and can take you behind bars as well. Hence, before registering your company, it is better to take an overview of set rules and regulations.
What are the different types of companies in Thailand?
There are three major options for setting up a business in Thailand: One can go for a limited company, branch office/ regional office/ representative office, or for the Limited Partnership. Each one of these has its own pros and cons and must be chosen carefully. In most cases, experts recommend a limited company that poses minimum difficult during the registration process. The task can be completed with ease, and such companies also find it easier to grow in the market.
Do I need to buy capital for company registration in Thailand?
Well, it usually depends on several factors. The minimum capital need for some Thai majority shareholder limited company is somewhere around 2 million Baht. The government set up fee is roughly around 7000 Baht. In case if you are lucky to have a Thai spouse, the requirement can be easily reduced to 1 million Baht only. Some businesses may also require approval from Foreign Business License as per FBA. In this case, the minimum capital requirement is somewhere around THB 3 million for all business activities.
Can I own 100% of some Thai company?
As per a common rumor in the market, a foreigner is not allowed to own 100% of some Thai company; however, this is false. In actual, there are few tough methods that are followed to decide how much share foreigner can have. Some of the most common techniques are to obtain a foreign business license, and board of investment promotion.
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