Creating a company in Thailand – structure, legal form and activity

The key to successful corporate work is a clean legal structure that is adapted to the company’s objectives. The German and Thai lawyers of Sanet Legal in Bangkok have extensive entrepreneurial experience and will be responsible for the establishment.

100 % Subsidiary Company

The Wholly Foreign Owned Enterprise (WFOE), i.e. 100 % owned subsidiary in Thailand, is usually established in the legal form of a “Company Limited”. It is uncomplicated, requires three promotors and can be set up quickly. Costs and minimum capital are low. Good legal advice is nevertheless required, as 100% foreign companies are restricted in their activities.

The “Representative Office” (RO)

Thailand has considerably simplified the establishment of Representative Offices (RO) since 2017. However, it remains unchanged that the RO is not permitted to sell or support sales activities of the parent company. Breach of such condition may lead to serious personal and business consequences. Sanet’s reliable legal advice in Thailand takes over the establishment and advises on legal alternatives for sales activities.

Sales Company in Thailand

The Foreign Business Act (FBA) prohibits for foreigners to conduct sales activities through their own entity or directly employed staff in Thailand. The breach of this act will be subject to criminal and tax law prosecution. However, there are legally sound structures, which comply with the law and allow sales activities. The German-Thai specialized attorneys of Sanet Legal in Bangkok offer secure legal advice for the right solution.

Manufacturing Subsidiary

Foreigners are permitted to establish almost unlimited production facilities in Thailand as a 100% subsidiary. However, it is important to choose the right location and to fulfill the right criteria for the factory license. Professional legal advice for Thailand will simultaneously examine tax advantages for the respective location and explore possible investment incentive.

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Sanet Legal Experts for Company Establishment in Thailand

Dr. Gunter Denk

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Patra Bupawon

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Phi Booranasanti

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Sanet helped us with the smooth establishment of Jetabroad (Thailand) for software development in Thailand. The ASEAN ADVISORS guided us through the BOI investment promotions. This allowed us to get the right foreign staff to help building up and training the local team.

Benjamin Ranck

Chief Technology Officer of JETABROAD Thailand


Get in touch with us for expert advice on every aspect of establishing a company, consultancy on structures, investment promotion, work permits and visas, and the right legal structure for your establishment plans.