Thailand attracts many foreign investors with its dynamically developing market and strategic position in Southeast Asia. Registering a company in this country opens up wide opportunities but requires an understanding of local laws and procedures.

Choice of legal form

There are several forms of companies in Thailand, each with its own characteristics and suitable for different business purposes.

The most popular form for foreign investors is the Thai Limited Company. This structure is similar to a limited liability company and provides an optimal balance between control and responsibility.

Another form is a public limited company, which can issue shares and bonds for public trading. This form is suitable for large enterprises planning to go public.

For small businesses or individual entrepreneurs, there is a sole proprietorship form. However, this form is rarely used by foreigners due to restrictions on certain types of activities.

Partnership is also a possible form of business organization in Thailand. There are three types of partnerships: unregistered ordinary partnership, registered ordinary partnership, and limited partnership. Each type has its own characteristics in terms of partner liability and taxation.

Shareholder structure

• Minimum number of shareholders: 3.
• 51% of shares must belong to a Thai resident.

Foreign investors often use the services of nominee shareholders to comply with the 51% Thai ownership requirement. However, it is important to structure this agreement correctly to avoid legal risks.

Company's registered capital: The minimum size depends on the type of business but is usually at least 1 million baht.

Office: It is necessary to have a physical address in Thailand.

The registration process usually takes from 2 to 5 weeks. Costs include government fees, legal services, and minimum registered capital.

How to register a company in Thailand?

Registering a Thai Limited Company is an effective way for foreigners to start a business in Thailand. Despite some difficulties with the requirements for the shareholder structure, this form provides many advantages and opportunities for business development in the country. However, for successful completion of the process, we recommend contacting IT-OFFSHORE specialists who will help mitigate the complexities of Thai legislation and ensure compliance with all requirements.