How to Start a Small Business in Thailand

Updated on Wednesday 03rd August 2016

How to Start a Small Business in Thailand Image
Are you a former visitor of Thailand who fell in love with its sandy beaches, low costs of living, great food and welcoming culture? If you decided to relocate to the Land of Smiles, what better way is there to earn your living then by starting a small business in Thailand. In this article we analyze a few important aspects on how to do just that. 

Profitable industries for small businesses in Thailand

First and foremost, you should decide in which industry you would like to operate in. Here are a few of the most profitable industries to start a small business in Thailand:

•    The restaurant business: Due to the fact that Thailand is being visited all year round by numerous tourists, the large number of expats and the locals being busy throughout the day working, the restaurants, be it the traditional one or offering foreign delicacies like Chinese, Italian, French or British menus, are very successful in the country;
•    Selling jewelry: Because of the high demand for jewelry and fashion products, this can also be a profitable industry to start a small business in Thailand. You have the option to start with low costs, by importing these items and selling them or linking with Thai manufacturers;
•    The agriculture business: The oldest occupation in the world still proves to be profitable, as food products are always in high demand. Starting from a low budget, you can open for example a farm of poultry, and if you dispose of higher funds, you can develop a large scale farm.

Forms of legal entities for small businesses in Thailand

The majority of foreign investors who make the decision to open a small business in Thailand choose the legal entity under the form of a Private Limited Company. In order to open such a company in the country, the following criteria have to be met:

•    The business should have minimum three shareholders, also called promoters. More than 50% of the company shares have to be owned by Thai citizens if you are looking for exemptions from the Foreign Business Act and its limitations. Our company formation advisors in Thailand can offer more details on what these limitations can consist of;
•    After you begin hiring employees, you must have a capital of THB 2,000,000 (USD 57,240) for each foreign work permit you are applying for. 
•    You have to form articles of incorporation and articles of association under the business law in Thailand. You also have to organize an official inaugural meeting with all the company shareholders.
•    Furthermore, you must register for tax purposes in maximum 30 days from the date the business was founded and apply for a tax number;
•    You must have the appropriate accounting  taken care of.

Our Thai company formation firm offers assistance with all the aspects regarding the company registration process in Thailand which can be entirely taken care of by our specialists. Please contact us if you need assistance regarding setting up and registering a small business in Thailand.

There are no comments

Please note that URLs are not allowed in the message.