Important Information on Thailand Company Registration

The number of foreign visitors in Thailand has increased tremendously over the past few years. This has been attributed to the unprecedented economic growth in Thailand, strong support from the Thai government, adequate infrastructure and skilled work force. These are the same reasons why registering a company in this South East Asian country is an attractive investment.

Thailand company registration has considerably increased over time. Registration is normally open for three types of companies, namely Thai limited company, Thai Partnership and Thai representative office. The most common business form exploited by foreign investors is the Thai limited company.

Registration Process

For successful company registration, the majority of the company shares have to be held by Thai citizens. Registration of a limited company requires at least 3 shareholders and a minimum of one director. The process of company registration in Thailand is mostly straightforward, but foreigners may often experience a few difficulties. The entire process takes 2-4 weeks depending on the nature of workforce at various levels of the process. The registration process involves the following legal requirements and steps.

Registering the Company Name

Firstly, the company needs to apply for the permission to use the reserved name of the company, which must not be similar or close to that of other companies. It is usually recommended that you reserve 3 company names in the order of priority to increase the odds of success. Registering the company name can be done either through websites or at the Department’s Registrar.

Filing the Memorandum of Association

The next step is filling the Memorandum of Association, an agreement signed by the promoters of the company. Getting approval for memorandum of association to make the company a legal entity is usually done at the limited companies registrar. The memorandum has to be signed by at least three promoters and two witnesses. The application is required to contain information such as company name, nature of business activities, number of shares, the address, signature and ages of the promoters, and so forth.

The Statutory Meeting

The statutory meeting is an important step of the company incorporation. It can be held immediately after registering the Memorandum of Association. The purpose of this meeting is to adopt the company regulations, fix the amount to be paid to the promoters, approve any contracts signed by the promoters or any expenditures incurred in promoting the company. Disappointingly, this meeting is almost always a paper meeting.

Filling the Company Registration Documents

At this stage of registration, the Thai company shareholders may have to reveal their investment sources if some conditions are satisfied. All documents related to the registration of Vat Certificate and Tax ID Card should be submitted to the revenue department. Registration of Tax ID must be completed within 60 day after incorporation of the company. In addition, the process of getting a VAT Certificate requires you to get permission from the landowner of the company address that is if the company does not own the land completely.

The greatest advantage of Thailand company registration is less difficulty, besides the great speed of the registration process. Sometimes it is best to obtain legal assistance from a professional lawyer who will take care of all the legal entities involved in the company registration and make the process even much easier.

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