Expats can choose from the below-mentioned types of company;
ü Registered Ordinary or Limited Partnership;
ü Representative Office, Regional Office or a Branch Office;
ü Limited Company;
1. Limited Partnership
In a limited partnership, one partner’s liability is limited, whereas other is unlimited. Limited partnerships should be registered, unlike Thai partnership.
2.
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Branch Office |
Regional Office |
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Allowed to contact customers/clients and enter into contracts on behalf of the head office, but can’t make sales. |
Allowed to conduct a wide range of activity, like buy and sell goods, render services, sign contracts and build things. |
It supports other sister companies |
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It can; (a) Contact customers to introduce its head office to them (b) Research commercial information and provide the information to the head office (c) Do market research. (d) Market goods at trade fairs (e) Rent an office and employ staff (f) Enter into contracts with local clients/customers on behalf of the head office |
It can; (a) Do everything that a representative office does. (b) Regularly buy and sell goods and services (c) Get involved in manufacturing, processing, and construction like any other local company provided Thai laws doesn’t prohibit it from doing.
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It can; (a) Communicate, coordinate and direct, on behalf of the head office (b)The operation of branches and affiliates which are located in the region (c)Provide services in consulting and management (d)Training and personal development (e)Financial management (f)Marketing control and sales promotion planning (g)Product development (h)Services in research and development |
3. Limited Company
In here, there are two options;
i. Privately or closely held (have a limited number of shareholders): The process involves registration of a Memorandum of Association and Articles of Association.
ii. Public company: A minimum of fifteen promoters is required to form and register a memorandum of association of a public limited company. The promoters must hold their shares for at least two years before transferring.
The Board of Directors of a public limited company must have at least 5 members and half of them must be Thai nationals. And the registration fee for the same is around 2,000 Baht per million baht capital.
