Most business owner wants to establish a company in Thailand but doesn’t meet the initial requirements. Below are the list of the types of company structure in Thailand that you should consider before you proceed with your Company Registration in Thailand process.
What are the types of company structure in Thailand?
In Partnership, there are three types of business structures. The Thai and Western concepts of partnership are mostly similar.
Company Registration in Thailand for the Limited Companies
The limited company has two types: the private or the closely held companies and public companies. The private company is ruled by the Civil and Commercial Code unlike the public one that is ruled by the Public Company Act. The advantage of having such company is that the director can apply for the work permit himself/herself.
The Private Limited Companies in Thailand have basic style similar to Western corporations. They are required to have the Memorandum of Association (Article of Incorporation) registration and the Articles of Association. The director’s liability may be unlimited if it is provided in the companies memorandum of association or their articles of incorporation. Company Registration in Thailand under the Limited Private Company category is handled by the board of directors according to their company’s laws and charter. The shares that are subscribed must be paid up by at least 25%.
There are a minimum of three shareholders that are required most of the times. The Private Limited Company can be a completely owned by foreign people. However, there are activities only for the Thai nationals, wherein the two shareholders must be Thais. The Company Registration in Thailand fee for a Private Company is 5,500 baht for every million baht of capital. The shares should be at least 5 Baht per share. Thailand’s duration of processing is 7 working days provided that all of the documents are ready.
The Public Limited Companies is subject to the conformity with their prospectus, offer their shares, authorization, other requirements, bond and warrants to the public and can apply to have their securities listed on the Stock Exchange of Thailand (SET). They are required to have a minimum of 15 promoters for the arrangement of the memorandum of the association of the Limited Public Company. The Company Registration in Thailand fee for the Public Limited Company is 2,300 baht for every million baht of capital. The process duration is about 30 working days in Thailand provided that the documents are ready.