Company Registration in Thailand for Foreigners
If you're a foreign investor looking to start a business in Thailand, you can choose between several different business structures, including a limited company. However, registering a company in Thailand can be difficult and you should seek legal advice to help you with the process. Hiring a corporate lawyer to do the Thai company registration will help you through the process of registering your company in Thailand.
Thai companies are registered in three different categories: Limited, Sole, and Limited Partnership. Limited companies are the most common type, and they can be used to run most types of businesses, including restaurants, bars, hotels, beauty salons, online businesses, and even motorbike rental services. The only limitation to registering a Thai Limited Company is that it can only be run by Thai nationals. Thai Sole Proprietorship companies, on the other hand, are only available to Thai citizens and do not allow foreigners to work.
The name of a Thai company must be unique and cannot be similar to any existing corporation in Thailand. It must end with "limited" and not "investment." The name should be easy to pronounce and should not be too long for non-Thai speakers to understand. Ultimately, the name of your company will be used for incorporation documents.
When registering your company in Thailand, you'll need to provide a physical address for your new company. You'll also need to arrange for an annual general meeting of shareholders. This meeting must be held within four months of the end of the company's fiscal year. You will also need to follow accounting procedures, which include preparing a Thai translation of all documents. In addition, you'll need to register with the Revenue Department to receive a tax number and corporate tax identity card.
The limited liability company is one of the most popular types of business entities in Thailand, as it provides limited liability protection for the company's shareholders. If a foreign investor wants to register a company in Thailand, he should consider this option. However, it's important to remember that a limited liability company will also require a minimum number of shareholders.
A Thai company is an ideal option for foreign investors because it offers tax benefits. The Thai government offers a generous incentive to foreign investors who want to establish a company in Thailand. The Thai government encourages foreign investment, granting tax exemptions to select foreign companies and providing guidance and assistance in getting work permits for their employees.
If you are planning on setting up a company in Thailand, you'll need to register for VAT and the local corporate income tax. You'll also need to get a company corporate tax ID card, which you can obtain within 60 days after establishing your business. The local corporate income tax rate is currently 20%, but you can qualify for a lower rate if you meet certain criteria. Additionally, companies that sell goods or services must register for Value-Added Tax (VAT), which is currently at 7%. Tetra Consultants can assist you with this registration.