Setting Up a Representative Office in Thailand
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- Setting Up a Representative Office in Thailand
What is a Representative Office?
A Representative Office acts as a non-profit extension of your foreign company, providing a valuable base for market exploration, quality assurance, and relationship building without directly generating income.
Are you looking to establish a strategic, non-trading presence in Thailand to support your international business? A Representative Office provides the perfect solution for foreign companies seeking valuable local insights, sourcing opportunities, and effective communication without engaging in revenue-generating activities. At Act & Align Advisor, we simplify the entire process, expertly guiding you through Thailand’s legal landscape and making your business expansion effortless and compliant.
Permitted Activities Rights
Market
Research
Gain comprehensive insights into local market trends, consumer behavior, and competitive landscapes.
Product
Sourcing
Efficiently identify and evaluate local suppliers and manufacturers to enhance your global sourcing strategy.
Quality
Control
Ensure consistent quality by regularly monitoring the standards of local goods and services sourced.
Business Communication
Maintain clear, effective communication between your headquarters and Thai stakeholders, ensuring seamless coordination.
Reporting
Activities
Provide your overseas office with accurate, detailed reports on Thailand’s market developments, economic trends, and investment opportunities.
Benefits
- 100% Foreign Ownership: Retain full control without needing local partners.
- Tax Efficiency: No corporate income tax obligations, keeping your overhead manageable.
- Simple and Streamlined Management: Minimal regulatory requirements.
- Enhanced Strategic Insights: Informed decision-making through detailed local market intelligence.
Requirements for Setup
- Capital Requirement: Minimum capital of 3 million THB, transferred from abroad.
- Documentation: Official documents proving the parent company’s legitimacy.
- Local Address: A physical, registered office location in Thailand.
- Personnel: At least one designated representative based in Thailand.
Step-by-Step Registration Process
1
Personalized Consultation
Understand your unique business objectives to tailor our strategy and approach.
2
Document Preparation
Comprehensive support in gathering, translating, and notarizing essential documents.
3
Application Submission & Review
Expert handling of application submissions to Thailand’s Ministry of Commerce, including thorough follow-ups and interactions with authorities.
4
Approval & Final Setup
Guide your business through the final registration steps, secure permits, and clarify local compliance obligations.
Compliance and Reporting
While non-revenue generating, Representative Offices must adhere to strict guidelines, including:
- Annual financial reporting.
- Accurate record-keeping and accounting.
- Regular audits and compliance submissions.
Comparison with Other Business Structures
Feature | Representative Office | Branch Office | Thai Limited Company |
|---|---|---|---|
Foreign Ownership | 100% | 100% | Up to 49% without FBL |
Revenue Generation | Not permitted | Permitted | Permitted |
Minimum Capital | 2 million THB | 2 million THB | 100,000 up |
Tax Obligations | Limited | Standard Corporate Taxes | Standard Corporate Taxes |
Why Choose Act & Align Advisor?
- Local Expertise: In-depth knowledge of Thailand’s business and legal environment.
- Tailored Support: Customized services precisely aligned with your specific needs.
- Reliable Partnership: Dedicated assistance and guidance, ensuring your compliance and peace of mind.
Client Testimonials
Frequently Asked Questions
Can a Representative Office generate revenue?
No, a Representative Office must not engage in direct revenue-generating activities.
Can we transition from a Representative Office to another business structure?
Yes, transitioning to a Thai Limited Company or Branch Office is straightforward and Act & Align Advisor can fully support you through this process.
Can We close the Representative Office Company
The process of closing a representative office in Thailand is simpler than that of a company. Once the office has fulfilled its purpose, the closing can typically be completed within 60 days.
Your Trusted Partner in Thailand
Start your smooth and confident journey into Thailand’s market today. Reach out to our friendly and supportive team—we’re here to guide you every step of the way, ensuring your Representative Office is established swiftly and effectively.
Contact us
to get personalized guidance and take the first steps toward setting up your entity. We are gladly to support.
📞 Tel/WhatsApp: +66 99 828 8070
📧 Email: inquiries@actandalignadvisor.com
🌐 www.actandalignadvisor.com