Advantage of starting a business in Thailand

Thailand is located in Southeast Asia. Thailand is a country that has never been subjected to any types of foreign rules and the people of Thailand have a strong and independent sense of identity. Currently, Thailand is the 2nd largest economy in Southeast Asia. The economy of Thailand depends on the tourism industry. Every year huge number of visitor’s flock to Thailand to enjoy its beaches and to experience its culture.

People who want to establish a business in Asia finds that Thailand is one of the best countries to start a business. Compared to other places in Asia, Thailand offers many business advantages. Some advantage of starting a business in Thailand are: –

Strategic Location

The location of Thailand is between India and China. Many foreigners find that the location of Thailand is ideal for penetrating the booming Asian Market.  The strategic location of Thailand attracts many foreigners to establish a business in the country and to access the Asian free trade.

Support of Government

The Thai government is very supportive to all business sector in Thailand, including foreign-owned business. The government provides various type of business opportunities to attract more foreign direct investment. Thai government makes the company registration process pretty straight forward. Therefore, foreign investors can easily set up their business without any Hassel. The Tai government also take some initiative to enhance the business environment such as –

• Utilization of digital technologies to enhance business environments.
• Creating new innovation.

Cost-Efficient Workforce

Thailand has 69 million population (as of 2017), this means there is more workforce available. The literacy rates of Thailand are above 90%, who shows that Thailand has a more educated workforce. The workforce is also cost efficient in terms of daily wage. The average daily wages of Thailand ranges between $6 to $8.

Ease of Doing Business

According to the World Bank’s annual rating, Thailand current ranked 17^th among 190 economies in the world.  The rank shows that it’s really easy to start a business in Thailand. The ease of doing business in Thailand averaged 25.82 from 2008 to 2018, which is a positive signal for foreign investors.

Thriving Tourism Industry

Thailand is one of the best tourist destinations in the world. It is considered as one of the most visited countries in the world.  It’s very advantageous to the business that is based on the international customer. Business like- hotel and restaurant are mostly benefited from the tourism industry.

Less Hassle in Setting Up Regional Head Office

Many foreign companies want to move their head office to Thailand because of the following advantages—

• The regional head office will be taxed 10% on their income received from their branch office or other international companies.
• No Thai corporation tax is charged against dividends received from international businesses.
• It is free of any currency controls and overseas remittance restrictions.

Pros and Cons of Running Business in Thailand

Conclusion

Thailand has one of the fastest growing economies in the world. The revenue from Thailand tourism industry helps Thailand become the 2nd largest economy of Southeast Asia. There are lots of foreigners who want to start a business in Thailand because they find Thailand as a profitable business hub. This is details article about the advantages and disadvantages of setting up a business in Thailand.

As a foreigner, you might not be familiar with company requisition process in Thailand. Therefore, to ease the process of company registration, it’s better to contact a business consulting firm. S & F Consulting Firm is one of the reputed business consulting firm who is ready to assist you with all the paperwork’s required to register a company. Contact us for any business solution.

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