Setting up a company in Thailand

You may register a business as Sole Proprietorship, Limited and Unlimited Partnership, Private and Public Limited Company, Branch Office, Representative Office and Regional Office Headquarter.  In most cases, Thai Limited Company is the most popular structure and ideally the first step in setting up a company in Thailand. 

What is a Limited Company?

A limited company is that kind formed with a capital divided into equal shares. The shareholders’ liability is limited to the amount of, if any, unpaid shares held by them.

The structure of a Thai Limited Company has to consist of 1 or more directors. They can either be Thai or foreigner.  Under the new Thai Company Shareholding Structure, the minimum number of shareholders needed to establish a Thai Limited Company and Partnership has been reduced from three to just TWO as of February 7th, 2023.

In Thai Limited Company shareholding, Thais must own the majority company shares. This means that foreign ownership of the company cannot be more than 49%.

Foreigners can hold 100% ownership of businesses in non-restricted categories, such as exporting businesses and certain types of manufacturing businesses. Other methods to obtain 100% non-Thai control are through application for an alien business license, Board of Investment (BOI) promotion or registration through the Treaty of Amity for Americans.

What are the factors to consider when setting up a company in Thailand?

There are various crucial elements to consider while setting up a company in Thailand to guarantee a smooth and effective operation. Here are some important considerations:

Business Structure

Choose the best business structure for your firm.

Legal Requirements

Learn about Thai company laws and regulations. Ensure that all necessary legal requirements, such as registration, licensing, and permissions, are met.

Foreign Business Restrictions

Depending on the company activity, various industries may have limits on foreign ownership. Check to see whether your company is subject to any foreign ownership restrictions.


Learn about the Thai tax system, including corporate income tax, VAT, and other related taxes. Find out available incentives and exemptions.

Visas and Work Permits

If you intend to hire international workers, learn about work permit and visa requirements.

Accounting and Financial Reporting

Establish an accounting system and guarantee that Thai accounting standards are followed. Make yourself familiar with the reporting requirements.

Business Permits and Licenses

Obtain the appropriate Thailand business licenses and permits based on the operations of your firm.

What are the benefits of setting up a company in Thailand?

Setting up a company in Thailand may provide various advantages, making it an appealing destination for both domestic and international businesses. Here are some of the primary benefits:

  • Thailand’s central location in Southeast Asia makes it an attractive platform for reaching markets in the ASEAN area and beyond.
  • The Thai government has been attempting to make doing business in Thailand easier by simplifying procedures and decreasing bureaucracy.
  • Thailand’s economy is stable and developing, with businesses ranging from tourism to manufacturing, agriculture, and services.
  • The Thai government offers a variety of tax incentives to certain types of enterprises, notably those in specified industry or locations.
  • If your company is in the tourist or hospitality industry, Thailand’s flourishing tourism industry might provide considerable opportunity.
  • Thailand is well-known for its expat-friendly atmosphere, which includes a warm culture and a sizeable expatriate population.

Magna Carta Law Firm offers comprehensive services and advice on setting up a company in Thailand

We will advise you every step of the process, whether you are forming a corporation for trading or holding real estate. We can provide thorough advise on the right structure for your company as well as help you with company registration.

Our qualified lawyerys, who have vast knowledge and practical experience, provide business consulting to provide you with comprehensive business legal assistance. Depending on your company’s operations and conditions, our lawyers will advise you on how to launch a business in Thailand. They will provide advice on what is ideal for your future Thai firm. Book an appointment now!