Thailand - Apply for Foreign Business License

ProcedureEdit

To apply for a foreign business license, foreigners seeking to engage in List 3 activities are required to apply for and obtain a Foreign Business License prior to commencing operations.
Applications must be submitted to the Department of Business Development, Ministry of Commerce.
Read the guidelines carefully before submitting your application and all other required documents. A download link (for the guidelines) is provided under 'Documents to Use' section.

Required DocumentsEdit

General Documents:

A copy of a certificate or evidence of juristic person status containing particulars of the name, capital, paid-up capital, list of shareholders, objects, place of business, name list of directors and signatories who are authorized to bind the juristic person (AFFIDAVIT).
A copy of the passport, identification document for foreigners or identifications card of the representative appointed.
A certification by the applicant that the applicant, director, manager or representative appointed possesses the qualifications and is not under a prohibition under section 16 of the Foreign Business Act, B.E. 2542 (1999).
A map indicating the approximate location of the place of business operation in Thailand.
A declaration of the details of the type of business for which the license application was made.
A copy of financial statement of the past 3 years with the translation in Thai of head office’s main business .
A power of attorney in the case where another person has been authorized to act on the applicant’s behalf.
In the case where applicant has been holding the license:
- A copy of holding license
- Copies of financial statement in Thailand over the past 3 years and the most recent Form Por Ngor Dor. 50
A letter of appointment of a representative issued by the authorized signatory under (1) as appointer of a representative to have charge and of the business operations in Thailand on behalf of juristic person (POWER OF ATTORNEY).
A copy of the house register, a certificate of residence in the Kingdom or evidence of permission to enter the Kingdom for a temporary stay under the law on immigration of the representative appointed.

Office Locations & ContactsEdit

THAILAND BOARD OF INVESTMENT
Head Office: 555 Vibhavadi-Rangsit Rd.,
Chatuchak, Bangkok 10900, Thailand
Tel.: (+66) 2553 8111, Fax: (+66) 2553 8222,
E-Mail: [email protected]

Department of Business Development

44/100 Nonthaburi 1 Rd. Bangkrasor
Muang Nonthaburi
11000 Thailand

Call Center 1570
Tel. +66 2528 7600

EligibilityEdit

According to the Foreign Business Act of 1999 (FBA), the term foreigner means:

Natural person not of Thai nationality.
Juristic person not registered in Thailand.
Juristic person registered in Thailand having the following characteristics:
Having half or more of the juristic person's capital shares held by persons under (1) or (2) or a juristic person having the persons under (1) or (2) investing with a value of half or more of the total capital of the juristic parson.
Limited partnership or registered ordinary partnership having the person under (1) as the managing partner or manager.
Juristic person registered in Thailand having half or more of its capital shares held by the person under (1), (2) or (3), or a juristic person having the persons under (1), (2) or (3) investing with the value of half or more of its total capital.

The Act identified 3 lists of activities in which foreign participation may be prohibited or restricted, as follows:

Activities stated in List 1 are designated as “businesses not permitted for foreigners to operate due to special reasons”. Foreign companies are completely restricted from engaging in the activities contained in List 1.
List 1 – Businesses that foreigners are not permitted to engage in for special reasons:

Newspaper business, radio-broadcasting station or radio/television business.
Farming, cultivation or horticulture.
Animal husbandry.
Forestry and timber conversion from natural forests.
Fisheries, especially fishing in Thai territorial waters and in specific economic areas of Thailand.
Extracting Thai herbs.
Trade and auction sale of Thai antiques or objects of historical value.
Making or casting Buddha images and alms bowls.
Trading in land.

Activities stated in List 2 are designated as “businesses related to national safety or security, or affecting arts and culture, traditional and folk handicraft, or natural resources and environment”. Foreign companies may only engage in the activities stated in List 2 with prior Cabinet approval.
List 2 – Businesses concerning national security or safety that could have an adverse effect on art and culture, customs, or native manufacture/handicrafts, or with an impact on natural resources and the environment:

Group 1 – Businesses concerning national security or safety
- Manufacturing, distribution, repair or maintenance of:
  - Firearms, ammunition, gunpowder, and explosive materials.
  - Components of firearms, ammunition, and explosive materials.
  - Armaments, ships, aircraft, or military vehicles.
  - Equipment or parts of any type of war equipment.
- Domestic land transportation, water transportation, or air transportation, including domestic aviation.
Group 2 – Businesses that could have an adverse effect on arts and culture, customs, and native manufacturing/handicrafts:
- Trading of antiques or artifacts that are Thai works of art or Thai handicrafts.
- Wood carving.
- Silkworm rearing, manufacture of Thai silk, Thai silk weaving, or Thai silk printing.
- Manufacturing of Thai musical instruments.
- Manufacturing of gold-ware, silverware, nielloware, bronzeware, or lacquerware.
- Making bowls or earthenware which are of Thai art and culture.
Group 3 – Businesses that could have an adverse effect on natural resources or the environment:
- Manufacturing of sugar from cane.
- Salt farming, including rock salt farming.
- Mining of rock salt.
- Mining, including stone quarrying or crushing.
- Timber processing for making furniture and utilities.

Activities stated in List 3 are designated as “businesses which Thai nationals are not yet ready to compete with foreigners”. To engage in activities stated in List 3, the foreign company must apply for and obtain a Foreign Business License prior to commencing the activity.
List 3 – Businesses in which Thais are not ready to compete in undertakings with foreigners:

Rice milling and flour production from rice and plants.
Fisheries, specifically breeding of aquatic creatures.
Forestry from re-planting.
Production of plywood, veneer, chipboard or hardboard.
Production of lime.
Accountancy.
Legal services.
Architecture.
Engineering.
Construction, except:
- Construction of infrastructure in public utilities or communications requiring tools, technology or special expertise in such construction, except where the minimum foreign capital is 500 million baht or more.
- Other construction, as prescribed in regulations.
Agency or brokerage, except:
- Brokerage or agency of securities or service related to future agricultural commodities futures or financial instruments or securities.
- Brokerage or agency for the purchase/sale or procurement of goods or services necessary to production or providing services to affiliated enterprises.
- Brokerage or agency for the purchase or sale, distribution or procurement of markets, both domestic and overseas for the distribution of products made in Thailand, or imported from overseas in the category of international business, with minimum foreign capital of not less than 100 million baht or more.
- Other brokerage or agency activities, as stipulated in ministerial regulations.
Auctioneering, except:
- Auctioneering in the manner of international bidding, not being auctions of antiques, ancient objects or artifacts that are Thai works of art, Thai handicrafts or antique objects, or with Thai historical value.
- Other types of auctioneering, as stipulated in ministerial regulations.
Domestic trade in local agricultural products not prohibited by law.
Retailing all categories of goods having of less than 100 million baht capital in total or having the minimum capital of each shop of less than 20 million baht.
Wholesaling, all categories of goods having minimum capital of each shop less than 100 million baht.
Advertising.
Hotel operation, excluding hotel management.
Tourism.
Sale of food and beverages.
Planting and culture of plants.
Other services, except those prescribed in the ministerial regulations.

FeesEdit

Explain the fees structure which is required for obtaining the certificate/document.

ValidityEdit

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e.g. Birth Certificate Valid Forever

Documents to UseEdit

Application Preparation Handbook under the Foreign Business Act B.E. 2542 Bureau of Foreign Business Administration Department of Business Development Ministry of Commerce

Sample DocumentsEdit

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Processing TimeEdit

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InstructionsEdit

Thai government regulates the activities in which companies designated as “foreigner” may engage in. While some activities are completely prohibited, some may be engaged in. Foreign Companies may need to apply for a Foreign Business License.

Required InformationEdit

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e.g.
1. Date of Birth.
2. City or County of Birth.

Need for the DocumentEdit

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Information which might helpEdit

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External LinksEdit

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