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Doing business in Thailand

Foreigners face a different rulebook when setting up or running a business in Thailand. Company structures, foreign ownership limits, visas, and work permits all interact. At Thai Visa Centre in Bangkok, we help you map the immigration side while coordinating with corporate partners on registration and compliance.

A Thai company alone does not give you the right to work or stay long-term. You still need the correct visa and, for most roles, a work permit. Compare structures in our company structures guide.

Standard CIT rate
20%

Corporate income tax on net profits. BOI may reduce or exempt for promoted activities.

VAT rate
7%

On most goods and services when turnover exceeds registration thresholds.

Work authorization
Required

A Thai company alone does not give you the right to work or stay long-term.

Registry authority
DBD

Department of Business Development registers companies nationwide.

Why structure matters

Thailand restricts foreign participation in many business categories under the Foreign Business Act. Your structure determines ownership, tax treatment, and how easily you can hire foreign staff. Choosing the wrong structure early often means costly restructuring later.

Main ways foreigners do business

StructureBest forForeign ownership
Thai limited companyMost SMEs, services, tradingOften limited without BOI or FBA licence
BOI-promoted companyManufacturing, tech, targeted industriesUp to 100% for promoted activities
US Treaty of AmityUS nationals, qualifying activitiesMajority American ownership
Branch officeForeign HQ extending operations100% foreign with parent liability
Representative officeMarket research, liaison, no revenue100% foreign, limited activities
Regional office / ROHRegional HQ, management, supportSubject to specific licence rules

Typical setup sequence

Follow this sequence unless your corporate advisor confirms safe parallel steps. Company registration overview: Thailand company guide.

1

Choose structure

Match business activity to Foreign Business Act, BOI, or treaty options before registering.

2

Register entity

DBD registration for companies. Separate licence for branch or representative office.

3

Tax registration

Obtain Tax ID and VAT registration if applicable. Required before first invoice or hire.

4

Open corporate bank account

Capital injection and remittance evidence for foreign shareholders and BOI applicants.

5

Apply for BOI or FBA licence

If needed for ownership or restricted activity scope.

6

Visa and work permit

Non-immigrant B or SMART/BOI-linked categories plus work permit for working directors and employees.

7

Accounting and compliance

Monthly tax, social security, and annual filings from day one.

Immigration essentials

Working in Thailand without proper authorization is illegal regardless of company ownership. Thai Visa Centre handles visa and work-permit pathways. We connect you with corporate advisors for company registration and BOI.

CategoryDetail
Non-immigrant B visaStandard business visa. Apply at Thai embassy before entry for most foreign directors and employees.
Work permitTied to a sponsoring employer. Required for most roles performed in Thailand.
SMART VisaAlternative for qualifying talent, investors, and startups in targeted industries.

Tax and accounting: Standard corporate income tax is 20% on net profits. BOI may reduce or exempt. Directors and employees on payroll are taxable in Thailand. Start accounting from day one.

Thailand accounting guide

Common pitfalls for foreign founders

  • Registering a company before confirming Foreign Business Act or BOI eligibility.
  • Nominee Thai shareholders. Illegal and high-risk under Thai law.
  • Working on a tourist visa or without a work permit.
  • Assuming 49% foreign ownership is always enough without an FBA licence.
  • Ignoring monthly withholding tax and social security from day one.

Long-stay and lifestyle context

Many readers use this page while scouting Thailand for relocation, visa runs, or extended holidays. Pair your plans with immigration status that matches how long you actually stay. Tourist exemption and short tourist visas are for trips, not for building a life here.

See our Thailand lifestyle guide for visa paths, city choices, TM30, 90-day reporting, and compliance habits that keep long-stay holders out of trouble at immigration.

Bangkok hub advantage

Roles linked to Doing Business in Thailand: Practical Overview for Foreigners (2026) are concentrated in Bangkok where TVC, embassies, and Chaeng Watthana immigration are within reach. Remote-first applicants should confirm work-authorisation rules before relocating on tourist stamps.

Visa alignment

Employment in Thailand requires Non-Immigrant B visas and work permits unless your role qualifies for LTR or Smart Visa. Tourist exemption does not authorise paid work, including remote jobs billed to foreign employers in many cases.

Professional licensing

Legal, immigration, and corporate roles may require Thai bar membership, BOI promotion, or employer sponsorship. Confirm eligibility before resigning overseas positions.

Lifestyle fit

Compare Bangkok versus Chiang Mai cost bands and immigration office access in the Thailand lifestyle guide before you treat a job posting as a relocation decision.

Practical planning matrix

Use this matrix alongside the sections above before you confirm dates, payment, or visa paperwork tied to this stay.

DecisionGuidance
Work authorisationConfirm B visa and work permit path with employer before arrival on tourist stamp
Tax residencyLong stays may trigger Revenue Department filing duties. Coordinate with HR and accountants
90-day reportingMany visa holders must file quarterly unless Elite or LTR annual reporting applies
TM30Landlords must register your address. Verify reporting before signing a lease
Family relocationSpouse and children need separate visa categories. Plan before school enrolment

TDAC reminder: Every Thailand entry requires a fresh Digital Arrival Card within 72 hours of landing, including return trips on Elite, LTR, retirement, or marriage visas. Keep your confirmation offline in case airport Wi-Fi fails.

For entry documents and first-arrival checklists, see our Thailand entry requirements.

Frequently asked questions

General answers for foreigners considering business setup in Thailand. Confirm specific requirements with the relevant authority before you invest.

Q:Can I own a Thai business as a foreigner?

A:Yes, in many structures, but restricted activities require an FBA licence, BOI promotion, or treaty protection. Pure land ownership by foreigners remains limited outside BOI exceptions.

Q:Do I need to live in Thailand to run a company?

A:Not always, but directors who work in Thailand need proper visas and work permits. Passive ownership from abroad follows different rules.

Q:How long does setup take?

A:Company registration can take several weeks. BOI, FBA licences, bank accounts, and visas add months. Plan sequentially unless your advisor confirms parallel steps are safe.

Q:Can one person hold company shares and work legally?

A:Shareholding does not exempt you from visa and work-permit rules if you perform work in Thailand.

Q:What is the Foreign Business Act?

A:Thailand restricts foreign participation in many business categories under the Foreign Business Act. Your structure determines ownership, tax treatment, and how easily you can hire foreign staff.

Q:Does a Thai company give me a visa?

A:No. Company registration and immigration are separate tracks. You still need the correct visa and, for most roles, a work permit to work in Thailand.

Q:What tax rates apply to Thai companies?

A:Standard corporate income tax is 20% on net profits. BOI may reduce or exempt. VAT is 7% on most goods and services when turnover exceeds registration thresholds.

Q:Where do I register a Thai company?

A:Companies register with the Department of Business Development. Branch and representative offices follow separate registration pathways.

Official references