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   FAQ

Q. Can foreigners own a business in Thailand?
A. Yes, foreigners can own a business in Thailand in two ways:
    1. Form a Limited Liability Company - this form of purchasing a business is the most popular with foreign investors as the Articles of Association can be varied to allow greater protection for foreign minority shareholders where majority Thai ownership is required under the Alien Business Law. Thai law requires that 51% of the shares be held by Thai juristic persons. With the recommended changes to the Articles of Association, the foreigner can be the only director of the company, and the only officer of the company who can commit or bind the company in any contractual dealings - effectively giving the minority shareholder control over the company.
    2. Buy the business through a Thai national (spouse, trusted partner).

Q. Why should I buy an existing business?
A. There are advantages to buying an exisiting business:
    - Business can begin immediately
    - Business has an existing track record
    - You inherit an existing customer base
    - Employees already in place
    - Vendors are already set up
    - Legal documents already in place
    - Instant cash flow with existing inventory

Of course, there are some disadvantages to consider as well:
    - The cost can be higher than starting your own business
    - You could inherit problems
    - Not all the inventory may be usable

Q. What type of visa do I need?
A. A non-immigrant visa is required to get the required work permit which is needed to operate a business. See www.thaivisa.com for complete details.

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