A company can be set up in 3 major forms of business organization. Those are a sole proprietorship, partnership, public limited company or corporate company. A limited company is a company in which the partners have limited liability equal to their number of shares. So this reduces their liability and thus this is the most preferred and recommended form of business. Especially for foreigners because it enables them to have more authority, power and ownership of the company as compared to other forms of business setups. If you want to form a new company we can help you with not only the registration process but also to get a work permit, tax submission, social security payment and other services that are included in our service package. Otherwise, what would be a long and painful process as you may require translating documents into Eng- Thai or Thai- Eng. We can also provide you with information in order to enable you to make the right kind of decision and to take the best course of action available.
Types of public companies.
There are two types of public companies, Private limited company, and public limited company
The private limited company is especially recommended to foreigners in Thailand. Due to the fact that not only are the Shareholders’ liabilities limited to the amount of the shares they possess but a Thai private limited company also allows separation between investor’s body and managerial body.
Procedure for formation of a limited company
File Memorandum of association
Convene a statutory meeting
Registered capital of 100000 Baht minimum
Registered capital of 2000000 baht for companies with foreign shareholders.
A balance sheet must be prepared annually and filed with the Commercial Registration Department, Ministry of Commerce, within five months of the end of the accounting year, and with the Revenue Department, Ministry of Finance, within 150 days of the end of the accounting year. Even though there is no minimum capital requirement, the size of the capital should be adequate for the business you want to run.