Overview:

Thanks to its continuous economic progress, efficient taskforce, and consistent infrastructure, Thailand has become one of the most interesting destinations for business and investment.

If you are thinking about incorporating a company in Thailand, you can do that within several weeks, by just completing some legal procedures of establishing a corporate entity under Thai law.

Process:

In order to incorporate your company in Thailand, you will need to:

1. Reserve Corporate Name:

You have to make sure to choose a unique name that is not reserved or close to other companies’ names. Also, you have to check the reservation guidelines of the Department of Business Development of the Ministry of Commerce, since certain names are not allowed and.

Note: The approved corporate name is valid for 30 days.

2. Fill the memorandum of association:

You will need to fill the memorandum of association with the Department of Business Development, and it must include:

• The reserved company’s name
• The province where the company will be located
• The company’s business objectives
• The capital to be registered
• The promoters’ names and information

In the capital information, the number of shares as well as the par value must be included.

3. Convene a statutory meeting:

As soon as the share structure is defined, a statutory meeting will be called in order to:

• Get the articles of Incorporation and by-laws approved
• Elect the Board of Directors
• Appoint an auditor
• Pay a minimum of 25 percent of the par value of each subscribed share

4. Register the company:

You can Register your company in the Department of Business Development, in around 1-3 days depending upon each case.

Note: The registration timeline varies depending on various factors including the business activity type, the cooperation of the promoters in complying with the required documents, as well as the directors’ availability to sign the incorporation documents.

5. Do the Tax Registration:

Businesses liable for income tax will need to get a tax I.D. card for the company from the Revenue Department.

In case the business’s gross income in the same fiscal year has reached 1.8 million baht, the business will generally be required to be in the VAT (Value-added-tax) system.

Cost:

• There are no minimum capital requirements for your company incorporation in Thailand, but you should have a respectable capital amount that is adequate for the intended business operations.
• Your company incorporation in Thailand, in the 1st year, costs the amount of US $ 5,475.
• The setup fees that also include the corporate bank account opening and all government fees, ranges between US$14,000 and US$35,000 depending on the entity type.
  You can find the average fee and engagement period per entity, here!

References
1. ThaiEmbassy.com, accessed November 2020, https://www.thaiembassy.com/ 2. Healy Consultants Group PLC, accessed November 2020, https://www.healyconsultants.com/