The name reservation is very fast and can be done in one day. You must choose a company name in Thai and English. This can be done online at the Department of Business Development (DBD) website by searching and reserving the company name, then printing and signing the reservation notice, which will be valid for 30 days.
The company name cannot be the same as an existing registered name. You must reserve 3 names in case your first choices are already registered.
Once your company name has been registered, you must file a Memorandum of Association (MOA) available online with DBD within 30 days of approval. This document must include:
|➤ Company's details and share capital|
|➤ Shareholders details and responsibility|
|➤ Value and number of shares|
The next step is to organize and attend a statutory meeting with all the shareholders to designate the actors of the company and its general organization. At this meeting, the company’s articles of association, the appointment of the board of directors and auditors of the company, the ratification of business activities, the creation of preferred shares (if necessary) and the number of shares to be distributed must be approved. Foreigners can have control of a Thailand company, even with the allocation of 49% of the shares, using ordinary and preference shares.
Within 3 months from the date of the statutory meeting, companies are required to register at the office of the Department of Business Development (DBD) under the Ministry of Commerce located in the same locality as the company’s address. The founders submit the company registration form, company documents and fees (500 baht per 100,000 THB of registered capital for a Private Limited Company) as the final procedure for registering the company.
Once your company is incorporated, you must obtain a tax identification number and card from the Revenue Department within 60 days. You must submit the registration documents and tax identification number to the central filing office of the Revenue Department.
Within this time frame, if your company’s turnover is more than 1.8 million baht, you must register for value added tax (VAT) within 30 days.
Social security registration must be carried out when the company hires at least one employee in its workforce.
To work in Thailand, you will need a business visa (Non-immigrant “B” visa), which will ensure that you can legally work in the country. Business visas are issued by Thai embassies and consulates abroad. They are issued for a period of 90 days and then extended for one year.
The employing company must employ 4 Thai employees for each work permit. In addition, during the first year of a new business, the Ministry of Labor may allow a ratio of only 1 to 2 Thai employees per foreigner working in the business.
In conclusion, the procedure to register a company in Thailand can be done in 3 days with Themis Partner.
However, before proceeding to the creation of your structure, it is essential to analyze your activity in order to make sure of the regulation framing it and of the licenses which can be required.
Finally, it is useful to find out if you are eligible for a BOI or FBL license in order to obtain full ownership of your structure.
While this may seem a bit complicated, with the right advice, you will find the process relatively easy. This advice should come from an expert, such as a business lawyer.
Anyone who lives in Thailand or is considered a tax resident in Thailand is subject to tax on all income, regardless of its source, inside or outside the country. Your accountant should also be able to help you. Contact us if you need accounting services including in your company registration package.