Outline of Thai Company Limited: Key Points to Know

If you’re considering establishing a Thai Company Limited, it’s important to be well-informed about the process. Here are the essential details you need to know:

1. Shareholders and Directors

  • A minimum of 3 shareholders is required for your Thai Company Limited.
  • You must appoint at least 1 director to oversee operations.

2. Capital Requirement

To facilitate work permits for foreign directors or employees, your company needs a minimum capital of 2 million THB.

3. Thai Ownership

To comply with regulations, a Thai national or entity must hold at least 51% of the company’s shares.

4. Timeframe for Registration

Typically, the registration process for a Thai Company Limited takes approximately 2-4 weeks. However, the duration may vary based on effective communication between LCS and our clients and decisions made before registration.

Pre-Registration Decisions

Before commencing the registration process, you must make the following important decisions:

  • Company name: Choose a unique and catchy name for your company that aligns with your brand.
  • Corporate address: Determine the official registered address for your company.
  • Registered capital: Set the specific capital amount for your company, considering your operational needs.
  • Registration documents: Prepare necessary documents such as the Articles of Association and Memorandum of Association based on the determined shareholder structure.

The Registration Process (1 week)

The registration process consists of the following key steps:

  1. Online reservation of the company name: Utilize the Department of Business Development, Ministry of Commerce’s online platform to reserve your company name efficiently. This step typically takes around 2 days.
  2. Deposit paid-in capital in the bank: Allocate 1 day to complete the capital deposit process at a reputable bank.
  3. Register memorandum of association, legal entity status, and obtain a TIN: Visit the Partnerships and Companies Registration Office, Department of Business Development, Ministry of Commerce to register your company’s essential documents and obtain a Thai Tax Identification Number (TIN). This step usually requires 1 day.
  4. Register for Value Added Tax (VAT): Allocate 1 day to complete the VAT registration process at the Revenue Department.
  5. Register employees with the Social Security Office: Ensure compliance with employee regulations by registering your employees with the Social Security Office within 1 day.

Visas and Work Permits

Once your Thai Company Limited is registered, you can proceed with the necessary visa and work permit applications:

  • Visa application: Apply for a 90-day Single Entry Non-immigrant Business Visa for foreign directors and staff through the Thai Embassy abroad to facilitate their entry into Thailand.
  • Work permit application: If you have registered 4 Thai employees for Social Security Funds, you can proceed with the work permit application process through the Labor Department in Thailand.
  • Visa extension: Apply for a one-year visa extension with multiple re-entry at either the Thai Embassy abroad or the Immigration Office in Bangkok, ensuring your employees’ legal stay in the country.

Operating in Compliance

After successfully registering your Thai Company Limited, it is crucial to operate in compliance with Thai rules and regulations. Pay particular attention to the following areas:

  • Financial compliance: Ensure your company’s financial practices align with Thai regulations.
  • Social security contributions: Fulfill your obligations by making timely social security contributions.
  • Tax returns and payment of taxes: File your tax returns accurately and pay taxes promptly to avoid penalties.
  • Secretarial and administrative functions: Maintain proper documentation and fulfill administrative requirements as mandated by Thai law.

For expert guidance and further assistance in registering and operating your Thai Company Limited, please don’t hesitate to contact us. Our team is dedicated to helping you navigate the process smoothly and ensure compliance with all legal requirements.