Company Registration in Thailand
                     

COMPANY 
REGISTRATION 
IN 
THAILAND
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COMPANY REGISTRATION IN THAILAND
Thailand is economically progressing 
country. There is presence of 
sufficient infrastructure and an 
efficient workforce with the support 
from the government.
For setting up business in Thailand 
following are the different Business 
Structures and necessary steps that 
need to be taken.
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TYPES OF BUSINESS 
STRUCTURES
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Partnership
In Thailand, there are three general 
types of partnerships:
•  Unregistered Ordinary 
Partnerships;
• Registered Ordinary 
Partnerships;
• Limited Partnerships.
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Limited Companies
Here are the following types of 
limited companies:
•     Private or closely held 
companies which is 
governed by the Civil and 
Commercial Code and
•     Public companies which is 
governed by the Public 
Company Act.
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Private Limited Companies
In Thailand, Private Limited Companies have 
characteristics which are similar to Western 
corporations. Under this type of company, formation 
process includes registration of a constitutive 
document such as Memorandum of Association which 
is Articles of Incorporation and Articles of Association 
which is also referred as By-laws.
There is a requirement of minimum seven 
shareholders at all times. This type of company may 
be wholly owned by aliens. Aliens participation is 
generally allowed up to maximum 49 percent in case 
of those activities which are reserved for Thai 
nationals
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Public Limited Companies
In Thailand, Public Limited Companies are 
subject to compliance with the prospectus, 
approval, and other requirements, offer 
shares, debentures, and warrants to the 
public.They may apply to list their securities 
on the Stock Exchange of Thailand (SET). For 
the purpose of formation and registration of 
the memorandum of association minimum 15 
promoters are required. There is a 
requirement for promoters that they must 
hold their shares for a minimum of two years 
before they can be transferred. Board of 
Directors must have minimum five members 
and at least half of them Thai nationals.
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Joint Venture
Joint venture is described as a group of 
persons entering into an agreement in 
order to carry on a business together. 
Under the Civil and Commercial Code, 
Joint Venture has not yet been 
recognized as a legal entity. However 
under the Revenue Code, it classifies it 
as a single entity and income is 
subject to corporate taxation.
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Representative Office
Representative office is limited to engaging in 
non-profit activities. Under this, at least one of 
the following purposes would need to be sought 
for the purposes of limited “non-trading” 
activities:
•  Business is related to search for the source of 
goods or services in Thailand for the 
headquarters overseas. 
• It is related to check the quality and quantity 
of the product ordered by the headquarters 
overseas
• Give advice to the headquarters regarding the 
goods to order
• Information supply to the customers in 
Thailand of the headquarters’ products
•  Reporting of the economic movement in 
Thailand to the headquarters
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PROCESS OF 
INCORPORATION
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PROCESS OF INCORPORATION
Step 1: Name Reservation : Proposed name must not be the same or similar to that of 
other companies. The name reservation guidelines should be observed of the Business 
Development Office in the Ministry of Commerce. Approved name will be valid for 30 
days. No extension is allowed.
Step 2: Memorandum of Association : Memorandum of Association must include the 
successfully reserved name of the company and this Memorandum of Association is 
required to be filed with the Business Development Office. Memorandum of Association will 
also mention where the company will be located, business objectives and capital to be 
registered with the names of the seven promoters. It must be noted that capital 
information must include the number of shares and the par value. Authorized capital, 
although partly paid, must all be issued. Under this, there are no minimum capital 
requirements, but the amount of the capital should be adequate enough for the intended 
business operation.
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Step 3: Statutory Meeting : After the above-mentioned steps, a statutory meeting is 
convened in which the articles of incorporation and bylaws are approved and the Board of 
Directors is elected and an auditor appointed. Under this, minimum 25 percent of the par 
value of each subscribed share must be paid.
Step 4: Registration : After this, there is a requirement of submitting an application by the 
directors to establish the company within the period of three months from the date of the 
Statutory Meeting.
Step 5: Tax Registration : Every business liable for income tax must obtain a tax I.D. card 
and number within 60 days of incorporation from the Revenue Department. Each 
business earning more than 600,000 baht per annum must register for VAT when they 
reach the limit 600,000 baht within 30 days.
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PRIVATE COMPANY 
IN THAILAND
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ESTABLISHING A PRIVATE COMPANY IN THAILAND
• Establishing a private limited company is the preferred 
structure for foreign investors looking to have a legal 
presence in the country.
• Foreign investors are generally limited to only 49 percent 
ownership of a private limited company, depending on the 
sector.
• Foreign investors that want to have 100 percent ownership 
of a private limited company will need to obtain a Foreign 
Business License, obtain promotion from the Board of 
Investment, or register through the Treaty of Amity (for US 
citizens only).
Establishing a private limited company is the preferred 
structure for foreign investors looking to have a legal presence 
in the country.In Thailand, a company is considered to be 
foreign-owned if more than half of its shares are owned by 
non-Thai individuals. Investors should then refer to the Foreign 
Business Act (FBA), the main law which dictates the sectors 
‘foreign’ companies are allowed or forbidden to engage with.
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Why foreign investors should seek Board Of Investment promotion 
?
Foreign investors can have 100 percent ownership of a Thai company if the businesses are promoted 
by the BOI.
In order to be promoted by the BOI, the business must engage in one of the following industries:
• Agriculture and agricultural products;
• Chemicals, paper, and plastics;
• Services and public utilities;
• Light;
• Technology and development;
• Electronics;
• Metal products, machinery and transport equipment; and
• Mining, ceramics and basic metals.
Companies that are promoted by the BOI are eligible for a variety of fiscal and non-fiscal incentives. 
These include exemptions and reductions of taxes, reduction in the import duties of machinery, 
permission to bring skilled foreign workers, and the ability to remit money abroad in foreign currency, 
among others.
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THANK YOU
www.pnjhub.in we are aggregator platform where you can list yourself as professional and get leads, you can list for chat with customers and also list empty office space. 
www.licensehub.in we are providing more than 150 license and approval services on one platform. Contact Paras Mittal, Mb 9971002715.