Complete Guidelines For Company Registration in Thailand

Complete Guidelines For Company Registration in Thailand

Company Registration in Thailand

Company registration in Thailand is increasing day by day. Thailand is known to have good economic growth. Also, there is a big demand for foreign company registration in Thailand.

If you are a foreigner and want to set up a business then this article is the best guide for you. Furthermore, we will go through steps and processes on how to register a company in Thailand.

Foreign investors are preferring this country because of the strong government support and incentives. Doing business in Thailand opens up lots of opportunities.

Moreover, this country has good policies, social and political stability, and the country is located in a suitable place in Asia.

Business Registration structure:

  • Thai Limited Company
  • Thai Partnership / Limited Thai Partnership
  • branch office or Thai Representative Office

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Register a Limited Company in Thailand

A private Limited Company is one of the best forms of business in Thailand. It is required that 3 shareholders are in place. A private limited company must hold at least 51% share to register their company in Thailand. The requirements to incorporate a Private Limited Company are:

  • Minimum of three Thai nominee
  • At least one director
  • An auditor
  • A memorandum of association
  • Statutory meeting
  • Registration of the incorporation papers
  • Obtain an Income Tax Registration ID number

Registered companies need to hire auditors who will audit their financial statements once a year. Moreover, the auditor must submit audit reports to the Revenue Department.

Company Registration Process in Thailand

If you wish to register your company then the process is almost the same for all businesses.

  • Company name search
  • Registration of the company name
  • Prepare and submission of Memorandum of Association
  • Prepare and submission of Article of Association
  • Fixing a Statutory Meeting
  • Submission of necessary documents for company registration
  • Registering for VAT or Tax

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Registration of Thai Partnership Company

There are two types of Partnership in Thailand.

  • Ordinary Partnership
  • Limited Partnership

The requirement for a partnership company is two. In addition, both partners are joint partners who will share unlimited liability for all the partnership obligations. Additionally, the partner can register the company if they wish to.

In contrast, it is not mandatory for the registration of an ordinary partnership company. Without the consent of all partners, no one can become a member of the Thai partnership company.

A limited partnership company requires registration. Regardless, foreigners are restricted to operate a partnership according to the foreign business act. Likewise, in a limited partnership company, the liability of a partner is limited while the other partner is unlimited.

Thai Representative Office or Branch Office

The Thai government permits the foreign company to establish a representative of their country. Although, the limitation is that you cannot perform earning-related activities. If you choose for a representative office then you are restricted to conduct the following tasks:

  • Searching for a local source of goods for sending to its head office
  • Reporting about local business activities to its head office
  • Promoting the business of the mother country
  • Passing information of any new product or service to the parent company

Required documents to register a Representative Office in Thailand

  • Name of the representative office
  • Nationality, age, the gender of company director
  • Address of the registered office
  • Total number of shareholders
  • The total amount of paid-up capital

Once the company is registered, you have to apply for a Tax ID. As a matter of fact, the initial government fee is 2000 THB. After approval of the application, you have to pay five THB for each one thousand THB paid-up capital.

In addition, the minimum government fee is twenty thousand THB and the maximum is two hundred and fifty thousand THB.

It takes four weeks to complete the whole process. Identically, most time is taken for the preparation of the documents. 

In-depth company registration process in Thailand

Company Name Registration

Choose a unique company name. The name cannot have any term relating to’ Investment.’ The name must end with ‘Limited.’ The name can be in English but it will be converted and registered in the Thai Language.

Registering the company

After registration of the Memorandum of Association, you are eligible to lodge an application to the Ministre of Commerce for company registration.

Not to mention, the company must be registered within three months from the date of MoA registration. Information to include in the application are:

  1. Total number of companies shares
  2. The total amount of money receipt from the shares
  3. Name, NIC, address of directors
  4. Address of the registered office or branches
  5. Mention period for which the company is registered

Registering for VAT and Tax

After successful registration, the company has to register for tax and vat with 60 days of incorporation. Furthermore, you can get your corporate tax ID from the Thailand Revenue Board. Moreover, this process can be easily done online. The table below shows the government fees for the company registration:

ITEM THAI GOVERNMENT FEES STAMP DUTY
COMPANY NAME REGISTRATION FREE OF CHARGE 10 THB
STATUTORY MEETING FREE OF CHARGE NIL
COMPANY REGISTRATION 5000-250000 THB FOR PER MILLION BAHT OF CAPITAL MAXIMUM 400 THB
REGISTRATION FOR TAX ID FREE OF CHARGE 10 THB
FILLING MOA 50 BAHT FOR 100000 THB OF CAPITAL / 500 THB FOR 25000 THB MAXIMUM 200 THB
VAT REGISTRATION FREE OF CHARGE 10 THB

Limited Partnership

A Limited Partnership requires at least 7 shareholders on a business. Identically, one of the seven shareholders must have the authority to sign all documents on the company’s behalf.

Equally important, a minimum registration of three hundred thousand is required for a Thai Company with no foreign employee. Of this at least 30k must be paid up at the time of registration.

Official Company Registration fee

One Thousand baht is the official registration fee for one million baht of registered capital for a Public Limited Company. Additionally, twenty-five thousand baht is the maximum fee. However, there is no limit on the amount of capital.

Estimation of company registration in Thailand fees are provided below

  • Service fee- 17000 Baht
  • Company Stamp- 500 Baht
  • Tas identification- free of charge
  • A service fee of 7% VAT
  • Subtotal with VAT is around 25000 to 31000 Baht
  • VAT registration- free of charge
  • Government fee- 6500 Baht for first 1 million Baht and 6000 Baht for every 1 million Baht increase
  • Company registration cost is around 24000 to 30000 Baht

If you wish to know more in-depth information on Company Registration Fee in Thailand, then this article will help you.

Further Company registration in Thailand Costs:

Particulars Fees
Prepare application for Company Registration 20000
Preferred Share Structure 4900
Director’s Personal Tax ID 1450
Prepare applications for Social Fund Registration 5000
Prepare application for VAT Registration 5000
Set of Shareholders’ Certificate and Registration Book 5000
Company Seals (x2) 1000
Shareholder Agreement 8500
Minutes of the Meeting to Open Bank Account  4000
Translation of Company Documents (That-to-English) 5000
Transport fee - Company establishment 3400
Transport fee - Social Fund 900
Transport fee - Tax and VAT 1000
Sub-Total for Professional Services 65150
Plus VAT 7% 4560
Total for Professional Services 69710

Government Company Registration Fees

Fee - Capitalization of 2 Million Baht Baht (5500 Baht per 1 Million)  11000
Fee - Certification of Documents / update company documents 2500
Fee - Social Fund 1500
Fee - Duty Stamp 2000
Total Government fees 17000
Total Fees in Thai Baht 86710

Conclusion

Registering a company can be hard but we can make the process easy for you. If your goal is to start a business in Thailand or if you want to register a company in Thailand then we can provide you with the best service.

In this article, we have covered all the major information needed for company registration in Thailand. Moreover, we have covered all the fees required for set-up.

If you are a foreigner and want to do business in Thailand then there are easy steps which we have covered above. 

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