Applying Foreign Business License

Fundamentally, applying for foreign business license is a complicated process as there are some business restricted to foreigners. Panwa can assist for applying foreign business license, we will present our working steps and service fee briefly as below.

Service Fee is 100,000 Baht

Timeline and Procedures

Our procedure will start counting from the day that we received all required documents from your side.

Steps
Procedures
Step 1 Preparation of documents around 1 week
Step 2 Appoint with the director of signing
Step 3 Submit the documents to Ministry of Commerce Remarks: This step may take longer if the officer rejected documents, could be 2-3 times
Step 4 Consideration process of sub-committee/ board / cabinet Remarks: 60 days start counting from the day that officer accepted the documents.
Step 5 Waiting for approval 60 days. (The officer will call or send notify letter to us for collecting the license and paying the government fee.)
Step 6 After 3 days of approval, need to duplicate company affidavit.
Step 7 Completed

 

Provision Cost

Apply for Foreign Business License
Baht
Service Fee 100,000
License application fee 2,000
Government fee: Business license list 2 40,000 – 50,000
Government fee: Business license list 3 20,000 – 250,00
   

Remark: The government fee will be varied based on the type of business.  

Required document lists

  • Applicant Name
  • Request business type
  • Registered country
  • Capital structure and financial status
  • Main business in Thailand/Overseas
  • Size of business
  • Technology transfer plan
  • Employment
  • Company’s opinion
  • Nature and process of business
  • Financial statement of last 3 years
  • Certified company affidavit not more than 6 months
  • Certified shareholder lists not more than 6 months
  • Copy of passport/ ID card of director
  • Office map
  • Power of attorney

Further Information for Foreign Business License

Definition of foreigner Foreigner is defined as

  • Natural person not of Thai nationality
  • Juristic person not registered in Thailand
  • Juristic person registered in Thailand which hold shares or invest 50% or more by person mentioned in (1) or (2), or registered partnership with manager or non-Thai manager
  • Juristic person registered in Thailand by person mentioned in (1), (2) or (3) hold shares or invest 50% or more

Restricted business lists Under the Foreign Business Act, there are 3 lists of businesses that are restricted for foreigner.

List 1 : Businesses that are not allowed for foreigners to operate such as

  • Newspaper business
  • Radio station
  • Rice farming
  • Trading land

List 2 : Business related to safety or security, art and culture, tradition and folk handicraft, or natural resource and environment such as

  • Selling / distribution of firearms
  • Domestic land, waterway or air transportation
  • Thai silk weaving

Foreigners who operate list 2 business have to get approval from the Minister of Ministry of Commerce. To operate list 2 business, the business must have at least 2 Thai national or juristic person who hold not less than 40% of shares, except approved by the cabinet but not less than 25% and Thai director shall not be less than two-fifths of total numbers of directors.   

List 3 : Business that Thai national are not ready to compete such as

  • Accounting and legal service
  • Architectural service business
  • Engineering service business
  • Hotel business
  • Guided tours
  • Other service business, with the exception of service business as prescribed in the Ministerial Regulation

Minimum capital and Conditions After the company receive the license, the company has to comply as follow

  • A natural person or juristic person not registered in Thailand must bring in foreign currencies as the minimum capital into Thailand from the commencement date of the business operation or the date of license in satisfaction of the following criteria
    • In case where the period of business operation is less than three years, the minimum capital must be brought or remitted into Thailand within six months.
    • In case where the period of business operation is 3 years or more, the minimum capital must be brought or remitted within 3 years:
      • for first three months, must bring in not less than twenty-five per cent of the minimum capital,
      • within one year, must bring in fifty per cent of the minimum capital
      • for remaining year, must be brought not less than twenty-five per cent of the minimum capital each year.
    • Evidence of bringing or remittance of the minimum capital into Thailand must be submitted to the Department of Business Development within fifteen days from the date of bringing or remittance of minimum capital into Thailand
    • Licensee has duty to comply when competent officers inquire in writing or request to deliver evidence or documents
      • Licensee is under an obligation to submit reports of the operation of permitted business and operations undertaken under technology transfer plan when requested in writing to deliver the necessary documents or evidence for examination
    • Preparation and submission of financial statement
      • A juristic person established under foreign law must submit a financial statement within 5 months starting from the date that closing accounts. For the company limited, must submit financial statement within 1 month starting from the date that financial statement is being approved by the general meeting.