How to Change Your Business Structure in Thailand
Updated on Monday 20th February 2017
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Foreign entrepreneurs interested in establishing their presence on the Thai market have the possibility to set up partnerships, limited liability companies or joint ventures. But they also have the option to change the business structure after a few years, if they have developed and implemented new strategies. Our experts in company formation in Thailand are ready to provide you with the necessary information about how to change the business structure in the country, according to the rules stipulated in the Thai Company Act and about how to open a company in Thailand.
Change the sole proprietorship into an LLC in Thailand
The sole proprietorship in Thailand means 100% control and advantages, the business and the entrepreneur being the same entity. Changing the sole proprietorship into a limited liability company in Thailand is an easy process which can be adopted if the business meets other visions and activities, and no changes related to the way the business is run should be made. If you are interested in changing the business structure in Thailand, from a sole proprietorship into limited liability company, you can receive suitable guidance from our company formation agents in Thailand. There are particular requirements are considered, and here we remind the following:
• the minimum share capital needs to be at least THB 2,000,000 or THB 1,000,000 as a holding company, and prepared when changing the business structure and the documents;
• you must mention the new business name, if changed, to the Thai Trade Register;
• you need to provide information about the shareholders of the new business structure;
• in order to properly function with the new business, it is recommended to apply for the needed licenses in Thailand.
Change the private company into a public one
One should know that a private company can change into a public one if a specific business plan which contains details about the funds and the justifiable development is provided. The financial consultants are the ones who will verify the complete documentation, then the financial advisors will be appointed at the time the company structure will be changed. The new board will receive the business and the activities of the current board of executives and the entire process will be registered with the Thai Ministry of Commerce.
As a reminder, the company registration in Thailand can be done within seven working days, after preparing the mandatory documents, with the help of our consultants, who can also provide you with complete information about how to open a company in Thailand.
Advantages when changing the business structure in Thailand
There are many advantages for overseas entrepreneurs who choose to do activities as a limited liability company in Thailand instead of a sole proprietorship. First of all, the business will increase and develop in many other areas of interests. Besides that, you can benefit from different incentives available for the new type of business structure.
Make sure to contact our team of company formation representatives in Thailand for additional information about how to change the business structure in Thailand.