Company registration in Thailand can be done quickly and painlessly with the right advice and guidance. Once you get it done, there is very little regulation, which means less stress and more time to focus on your business' growth potential. The most common legal entity used is the Thai limited company and it is similar to a limited liability company, found in the USA. Under Thai law, a limited company must have at least 51 percent of its shares held by a Thai citizen. The first step is registering a name for the company with the Ministry of Commerce in Thailand. The next step after this is signing the Memorandum of Association, which is a document outlining the new business' contact information and proposed business activities. The third step is to register and submit the company's tax ID card and VAT certification. The fourth step of company registration in Thailand is applying for a work permit, which takes about three days. The final step is opening a corporate bank account with submission of your work permit.
Most Common Types of Registered Businesses in Thailand
The three types of companies in Thailand under which you can register a business name are Sole Proprietorship, Companies Partnership, and Limited Companies. Registration for each of these can be done at Thailand's Ministry of Commerce. The easiest one to do is a limited company and it is the one that foreigners choose the most often. Sole proprietorship is very similar to an individually owned business that can be found anywhere in the world, while partnership companies are slightly more complex and can be categorized into two classes which are ordinary partnerships, and limited partnerships. The ordinary partnership allows all owners to be collectively responsible for any incurred debts, while the limited partnership mandates that each individual stakeholder is responsible for their actions. The company registration laws in Thailand allow foreigners to set up a business in the country as limited companies, with as few as three people on board and an investment of 2,000,000 baht.