Did you know that launching an educational business in Thailand requires Thai nationals to hold at least 51% ownership, as mandated by current regulations?

With Thailand’s education sector growing over 5% annually, clarity and compliance are critical to avoid delays and build trust with parents, students, and regulators.

Start educational business Thailand ownership licensing costs registration

Each licensing step is governed by the Private School Act B.E. 2550 (2007) and enforced with thorough inspections and detailed paperwork.

Set your school up for success by understanding regulatory benchmarks: from Thai-majority shareholding to securing the right permits before hiring your team or launching your first classes.

Key Takeaways

  • Majority Thai ownership is essential: At least 51% of shares or capital must be held by Thai nationals to register most education businesses, following the Private School Act B.E. 2550 (2007).
  • Premises must meet strict facility standards: Your school site requires dedicated educational use, minimum space of 100-200 sqm, and full compliance with fire safety and accessibility codes before approval.
  • Registration involves multi-step compliance: Expect to reserve your company name, file a Memorandum of Association, and register with the DBD, with all key documents prepared for tax and social security agencies within 60 days.
  • Obtaining a school license is mandatory before operating: Submit a detailed application to the Ministry of Education with verified staff credentials, facility documents, and clear license category to avoid costly application resets.
  • Start-up costs typically range from 700,000 to 1.5 million THB: Factor in company registration, licensing fees, facility setup, and at least 2 million THB in capital per foreign employee, plus marketing and payroll.
  • Principals and most staff must be Thai nationals: Foreign teachers are allowed with proper work permits and Non-immigrant B visas, observing a 4:1 Thai-to-foreigner staff ratio and verified qualifications.
  • Strict ongoing compliance protects your license: File annual business and tax reports, gain official curriculum approvals, and maintain up-to-date student safety protocols to avoid fines and license suspension.
  • Effective marketing combines digital and local outreach: Use targeted social media ads, alumni testimonials, and community events to attract students and establish your school’s trusted reputation.

Ownership & Licensing Requirements

Starting an Educational Business in Thailand: Step-by-Step Guide begins with legal ownership. Foreign ownership is restricted. Over 50% of shares or capital must be held by Thai nationals for most education businesses.

To qualify as an individual licensee, you must:

  • Be a Thai national
  • Be at least 20 years old
  • Hold a bachelor’s degree or higher
  • Show good moral standing and no criminal or bankruptcy record
  • Have never had a previous school license revoked

For company applicants:

  • Thai directors and majority Thai shareholding are required
  • Company objectives must explicitly state “providing education”
  • If your company’s address is also the school, only educational activities are permitted

Regulation is governed by the Private School Act B.E. 2550 (2007). License approvals include criminal background checks and Ministry of Education review.

Explore official requirements: Ministry of Education Thailand

Meeting Regulatory Standards

Clear facility rules help schools meet Ministry of Education standards and avoid costly delays. Your premises must:

  • Be independent from other businesses (no shared uses)
  • Comply with fire exit and safety codes
  • Hold proof of building title or a long-term lease (minimum three years)

Space requirements include:

  • Minimum 100 sqm for courses under six months, 200 sqm for longer programs
  • Study rooms of at least 20 sqm (minimum width 3.5 meters)
  • Restrooms: one per 35 students, with one more for every 20 additional students
  • Full accessibility and safety compliance

Before classes begin, verify your building meets the latest codes: Office of the Private Education Commission

Use these rules to guide site selection, lease negotiation terms, and layout planning, ensuring your school is compliant before you submit your application. Majority Thai ownership and Ministry-approved premises are required foundations for all future licensing steps.

Step-by-Step Education Business Registration

Thai Registration Workflow

Starting an educational business in Thailand involves precise steps, strict document requirements, and interactions with key government agencies.

The registration process typically includes:

  • Company name reservation with the Department of Business Development (DBD) (1-2 days)
  • Filing the Memorandum of Association (MOA) detailing objectives and shareholders
  • Holding a statutory meeting to appoint directors and approve company rules
  • Official company registration with the DBD (within three months, fees beginning at 5,000 THB)
  • Tax and social security registration required within 60 days

Essential documents include identification for shareholders and directors, proof of address, and the MOA.

Common pitfalls often stem from incomplete paperwork, mismatches between company objectives and documents, or missed deadlines, all of which can lead to costly delays.

Visit the Department of Business Development (DBD) for current application forms and guidance.

Required School Licenses & Permits

After company registration, all education businesses must secure a school license before enrolling students.

Key steps include:

  • Selecting the correct license type: language school, preparatory/supplementary course provider, or professional training institution
  • Submitting an application through the Office of the Private Education Commission or local provincial education office
  • Providing a full list of directors, teachers, and supporting staff, with verifiable qualifications
  • Supplying facility documents: building permit, floor plan, lease or ownership agreements
  • Applying for ancillary permits such as fire safety, building, and environmental certifications (approval periods vary by location and scope)

Expect a typical review period of 3-6 months from complete submission to final license or permit approval.

Thorough preparation will minimize delays and support a smooth school launch, allowing you to focus on building Thailand’s next educational success story.

Financial Planning for Schools

Startup & Operating Costs

Starting an Educational Business in Thailand: Step-by-Step Guide requires both initial and recurring investments.

Typical startup essentials include:

  • Minimum registered capital: 2 million THB per foreign employee, or 100% Thai-owned schools can start lower
  • Company registration fees: 5,000 THB minimum, based on capital
  • School license application: 10,000-30,000 THB depending on the province
  • Facility setup: renovation, safety equipment, and lease deposit (usually 3 months’ rent)
  • Initial marketing: 20,000-100,000 THB, targeting parents and learners

Ongoing costs to prepare for:

  • Payroll and social security: principal, teachers, admin staff
  • Monthly rent and utilities
  • Insurance (Fire, liability): typically 30,000-70,000 THB annually
  • Curriculum development and staff training

Funding & Budget Strategies

Most new schools fund operations by combining:

  • Thai bank loans or business overdrafts
  • Private investors or local shareholders
  • Grants or Board of Investment (BOI) incentives
  • Venture capital (mainly for technology or innovation-driven education startups)

For a sample budget:

  • Urban schools can expect startup costs of 700,000-1.5 million THB
  • Rural setups may achieve launch with 300,000-800,000 THB

Focus on:

  • Negotiating long-term leases to lock rates
  • Outsourcing non-core functions (accounting, cleaning)
  • Choosing scalable curricula to control upfront expenses

Timely, structured financial planning turns regulatory requirements into business opportunities and gives founders a practical roadmap for sustainable growth.

Hiring, Work Permits & Labor Compliance

Who You Can Hire & Work Permit Essentials

Hiring for educational businesses in Thailand requires strict alignment with local laws. Principals must be Thai nationals, at least 20 years old, and hold a bachelor’s degree with relevant leadership or teaching experience.

Teachers are required to:

  • Hold a valid teacher license from the Teacher Council of Thailand
  • Possess a bachelor’s degree or higher in education or a related field
  • Demonstrate strong moral standing and no recent criminal record

Foreign candidates must have:

  • A Non-immigrant B visa and a valid work permit
  • Meet quotas (typically four Thai staff per one foreign staff)
  • All documentation vetted and maintained for audit readiness

Employment contracts must outline compensation, benefits, annual leave, and insurance. Always register staff with local authorities and social security within 30 days of hiring to comply with labor law.

Recruiting & Retaining Qualified Staff

Identifying top teaching talent starts with:

  • Structured interviews focused on expertise, pedagogy, and character
  • Reference checks covering qualifications, previous experience, and behavior
  • Verification with the Teacher Council for valid licensing (Teacher Council of Thailand)

Build staff loyalty through:

  • Competitive packages and regular opportunities for professional development
  • Culturally appropriate recognition such as Teacher’s Day celebrations
  • Providing mentorship programs for new hires

Recruitment success depends on a transparent process and a positive school culture.

Hiring qualified staff and meeting compliance standards will set your business on a strong, sustainable path. Retain your best teachers by fostering professional growth and celebrating achievements.

Compliance, Marketing & Operational Success

Operating an educational business in Thailand requires strict attention to annual reports, curriculum approvals, and continuous student safety improvements.

Stay compliant by ensuring:

  • Filing annual business and tax reports with the Department of Business Development and Tax Office
  • Gaining official approval for all course materials from the Ministry of Education
  • Conducting regular safety drills and updating student protection policies

Non-compliance can result in significant penalties. Risks include:

  • Temporary suspension of student admissions
  • Inspection failures leading to remedial orders
  • Revocation of the license under the Private School Act B.E. 2550 (2007)

Maintain direct contacts with key authorities to handle inspections efficiently and keep your records audit-ready at all times.

Marketing Strategies to Attract Students

Reach Thai students and parents by balancing digital marketing with trusted local tactics.

For effective enrollment growth:

  • Use targeted social media ads and SEO campaigns on platforms like Facebook and Line
  • Share real parent and alumni success stories on your website and through PR releases
  • Build community trust through open house events and school achievement features in local news

A video tour of your school, featuring testimonials, can engage prospective families instantly. Track trends using the Digital Economy Promotion Agency to optimize your campaigns.

Every decision should strengthen both transparency and reputation, ensuring ongoing compliance while making your school a top choice for learners and parents alike.

FAQ: Starting an Educational Business

What ownership rules must foreigners follow for Thai education businesses?

Starting an Educational Business in Thailand begins with clear rules. Foreigners must partner with Thai nationals, as Thai-majority shareholding is required for most education businesses. Company directors and licensees must also be Thai nationals.

How long does it take to register a school in Thailand?

Expect the business registration and school licensing process to take about 3 to 6 months, provided your paperwork is in order and facilities meet regulations.

How can I speed up my school license approval?

To fast-track your application:

  • Prepare all required documents: ID, educational degrees, lease agreements, staff CVs
  • Secure a building pre-approved for school use
  • Confirm principal and teacher qualifications align with regulatory standards

Can foreigners teach, and what are the work permit rules?

Non-Thai teachers are permitted, but your business must:

  • Maintain a four-Thai-employee-to-one-foreigner employment ratio
  • Ensure all foreign teachers hold valid work permits and visas
  • Follow the Private School Act B.E. 2550 (2007) to avoid penalties such as temporary closure or license suspension

Conclusion

Launching your educational business in Thailand is achievable when you combine diligent preparation with a strategic, compliance-driven mindset.

You can get started today by reviewing your facility for regulatory readiness, assembling a qualified team, clarifying your ownership structure, and building a robust financial roadmap.

Contact us to simplify every legal and business step. Themis Partner brings clarity to regulations, streamline licensing, and empower you to launch with confidence.