Doing Business in Phuket

Phuket’s economy is heavily service-oriented, driven primarily by tourism, hospitality, real estate, and healthcare. With Phuket International Airport handling over 9 million passengers annually, the island is well-connected to major Asian and European cities (Airports of Thailand). The “Phuket Sandbox” model also demonstrated the island’s resilience and innovation in economic recovery.

Tourism and Hospitality: Phuket remains one of Asia’s top travel destinations, famous for its stunning beaches, luxury resorts, and vibrant nightlife. The sector supports thousands of businesses and jobs, contributing significantly to the island’s GDP (Tourism Authority of Thailand). In 2024, tourism generated significant revenue and underpinned Phuket’s economic resilience.

Real Estate and Property Development: The real estate sector in Phuket has experienced consistent growth, driven by demand from international investors, expatriates, and retirees. Luxury condominiums, villas, and commercial properties are highly sought after, particularly in areas like Patong, Kata, and Kamala.

Healthcare and Medical Tourism: Phuket is a rising hub for medical tourism, offering world-class healthcare services. Hospitals like Bangkok Hospital Phuket provide international-standard treatments, attracting medical tourists from around the globe and contributing heavily to the local economy.

Marine and Yachting Industry: Phuket is Southeast Asia’s yachting capital, with modern marinas like Royal Phuket Marina and Ao Po Grand Marina. The marine industry supports tourism, leisure, and a growing international boating community, cementing Phuket’s global reputation in the sector (Thailand Yachting Business Association).

Starting a business in Phuket involves registering with the Department of Business Development (DBD) under the Ministry of Commerce (DBD Thailand), obtaining a Tax Identification Number, and registering for VAT if applicable. The process is straightforward and typically completed within a few weeks. Learn more about our Company Registration services.

Businesses in Phuket must comply with Thai Financial Reporting Standards (TFRS), ensuring transparent and accurate reporting. Compliance supports regulatory approval and boosts investor confidence (Federation of Accounting Professions Thailand). Explore our Accounting and Tax services for full compliance support.

Thailand’s business taxation includes:

Incentives are available for businesses in targeted industries such as tourism, wellness, and technology (Thai Revenue Department).

The Thai government actively promotes Phuket through initiatives like the “Andaman Wellness Economic Corridor” and “Thailand Riviera” projects. These programs offer a range of incentives to attract foreign investment, including tax holidays, grants, visa facilitation, and support for strategic sectors such as healthcare, tourism, and digital services. Our Business Visa and Work Permit services can assist you in leveraging these opportunities.

Intellectual Property: Thailand has established robust protections for intellectual property (IP) rights. Safeguarding your trademarks, patents, and copyrights is crucial for maintaining your business’s competitive advantage. Businesses are encouraged to register their IP with the Department of Intellectual Property (IP Thailand). Utilize our Intellectual Property services and our Trademark Registration services to ensure your assets are secure.

Labor Laws: Employers in Phuket must comply with Thai labor laws, which regulate employment contracts, minimum wages, working hours, benefits, and termination procedures. Compliance with the Labor Protection Act is mandatory and ensures a fair working environment for both local and foreign employees (Ministry of Labour Thailand). We assist businesses in drafting compliant Employment Contracts.

Environmental Regulations: Due to Phuket’s ecological significance and focus on sustainable development, businesses must adhere to strict environmental standards concerning waste management, pollution control, and resource conservation. The Phuket Provincial Government and national agencies enforce these laws to protect the island’s environment (Pollution Control Department Thailand). We offer Business Contracts and Compliance Services to help you meet these requirements.

Phuket’s position in the Andaman Sea makes it a key node for trade, tourism, and investment. Infrastructure highlights include:

Phuket offers a skilled, service-oriented workforce, boosted by international education institutions and hospitality training centers. With continuous urban expansion, new opportunities arise in real estate, healthcare, and tourism (National Statistical Office of Thailand).

Phuket presents strong rental yield opportunities, especially in areas like Patong, Kata, Karon, and Kamala Beach. The high demand from tourists, expats, and retirees ensures stable returns (Thai Real Estate Association). Explore our Property Management Services to secure your investments.

Foreigners can purchase condominiums (up to 49% foreign ownership) and lease land through long-term contracts. Compliance with Thai property laws is essential (Thailand Land Department). Learn more about our Property Acquisition Services.

These companies reflect the agility and entrepreneurial momentum emerging in Phuket from healthtech and recruiting platforms to natural product innovation offering proof that the island is more than just a tourist destination.

1. Andaman Medical Hub Co.Ltd: Founded in 2018 by a group of young Thai healthcare professionals, Andaman Medical Hub provides concierge-style health services to digital nomads and retirees living in Phuket. The startup quickly scaled by integrating telemedicine, personalized care plans, and multilingual support. It’s now regarded as a pioneer in patient-focused healthtech solutions on the island, showing how Phuket’s expat base can fuel niche service growth.

2. GoPhuket Jobs: Launched in 2020, GoPhuket Jobs is a local employment platform designed to connect hospitality, F&B, and wellness employers with skilled workers. Focused on Phuket’s recovery after COVID-19, it became the go-to recruitment solution for SMEs. Through digital tools, resume optimization, and job-matching AI, this small tech team positioned themselves as essential infrastructure for local business hiring.

3. Shark Tank Thailand Winner, Phutawan Herb: Though founded in Bangkok, Phutawan expanded to Phuket with a flagship eco-retail store and organic skincare lab. After gaining exposure through Shark Tank Thailand, the brand’s Phuket operation became its R&D and sustainable product testing center. Their success has attracted collaborations with local farmers and hotels, cementing Phuket as a launchpad for natural cosmetic innovation.

Economic Forecast and Development Projects: Phuket’s economy is projected to grow steadily, fueled by expansions of the airport, infrastructure investments, and government support for wellness, tourism, and technology industries (Eastern Economic Corridor Office).

Challenges and Opportunities: Challenges include managing environmental sustainability and dependency on tourism. However, opportunities in healthcare, eco-tourism, digital nomad services, and smart infrastructure projects are expanding (Thailand Board of Investment).
By understanding the local dynamics and accessing expert support, entrepreneurs can thrive in Phuket. Contact us to start your business journey in Phuket today.