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You're wrong here. For certain businesses, foreign ownership can be the full 100%. When we opened our business here, we actually had the change to go this route

by mjnaus 16y ago

You're wrong here. For certain businesses, foreign ownership can be the full 100%. When we opened our business here, we actually had the change to go this route, but choose not to because it would have been more hassle though. But I am also wondering how accurate this list is. And what qualifies as a "business"? Here in Thailand, many small businesses don't requite any form of legal entity and opening a small shop for example would be as easy as renting some space, putting in inventory and open your doors.... doens't get much easier then that. Imagine trying that in the US or UK... The ease of opening a small business here in Thailand beats any country that comes before Thailand on that list...

lionhearted 16y ago
> You're wrong here. For certain businesses, foreign ownership can be the full 100%. When we opened our business here, we actually had the change to go this route, but choose not to because it would have been more hassle though. Could you elaborate on how it went with your business? I'd like to learn more because I like some parts of Thailand, but I always heard differently. Here's the top google result, for instance: "A foreigner can form or buy a Thai company, and even be the sole director of it, but Thai citizens must jointly own at least 51% of its shares – meaning a majority is technically under Thai control. Currently it is possible to allocate shares to several unrelated people, who could have no combined effect on the company's business, and this can be arranged by the lawyer, but along with most things connected with business in Thailand, there are considerable risks involved." http://www.retire-asia.com/thaibiz.shtml http://www.retire-asia.com/thaibiz.shtml Actually, the whole article is generally very cautionary and negative against a foreigner owning a business in Thailand, which jives with what I've heard people who spend time there say. Maybe it's only businesses with real estate ownership or leases that come under these terms? EX, no real estate, then don't worry about it? I think regardless, you'd be fine working from your laptop. Anyways, I'm curious if you want to elaborate more. International business law is one of those things that every little bit you know becomes more helpful in understanding the broad picture of how markets work, imports/exports work, etc. It's something I try to pay attention to, research, and ask questions about when I'm visiting a place.
- mjnaus 16y ago
  The way described in the article is indeed the way it has been until a few years back, but recent governments have made some attempts to become more open for foreign entrepreneurs; granted, it's still hard sometimes but I do have the feeling it's getting better. As far as our own company goes: we registered our first company a few years (2?) back and when we went into the process, we were also still under the impression that the foreign shareholders can only hold up to 49% of the shares. However, we quickly found out it was indeed possible for foreigners to fully own the company (according to the government official the regulations changed about a year before that). But we also quickly learned that this route would mean tons more paperwork and it would become more costly. We also needed to present our paperwork to the BOI, pay extra fees and hope they would accept the paperwork. And according to the government official, we would expose our company to tighter control from the government (which would probably mean more "tea money" as well). So, in the end we decided against full foreign ownership, although it was an option we considered. I realize many people are negative against owning a business here Thailand, perhaps due to bad experiences. I can only speak for myself (and a few relations who enjoy doing business here as well). Maybe I should mention I don't actually do business here, we pretty much only work with customers abroad. I love living and working here and wouldn't want it any other way for the time being!
  - lionhearted 16y ago
    Thanks for the feedback, very good info. If you happen to stop by Saigon before the end of the month, shoot me an email if you'd like to grab a coffee. I'm in Kuala Lumpur in November too, feel free to reach out. Godspeed and much prosperity in your business.
davidw 16y ago
> what qualifies as a "business" One would hope that it would be a "real", limited liability company of some kind, that exists as a legal entity separate from that of its owners. (Edit: I mean in terms of the survey, not that people without limited liability companies aren't "real" businesses)
- mjnaus 16y ago
  I am curious as to why one would hope that... Around the world there are plenty of small businesses which are in no need of any kind of limited liability, however they still make money by turning a profit so I'd still call them a business.
  - davidw 16y ago
    Because it's more of an apples-to-apples comparison for purposes of the survey and a more useful metric for people interested in creating and growing a business. It's also something of a clearer distinction from someone who just starts "doing business" by selling apples on the street corner or something. That takes nothing away from small businesses that don't need that form of incorporation. Of course they are businesses - I was just talking about the survey itself.

by mjnaus 16y ago

lionhearted 16y ago

> You're wrong here. For certain businesses, foreign ownership can be the full 100%. When we opened our business here, we actually had the change to go this route, but choose not to because it would have been more hassle though. Could you elaborate on how it went with your business? I'd like to learn more because I like some parts of Thailand, but I always heard differently. Here's the top google result, for instance: "A foreigner can form or buy a Thai company, and even be the sole director of it, but Thai citizens must jointly own at least 51% of its shares – meaning a majority is technically under Thai control. Currently it is possible to allocate shares to several unrelated people, who could have no combined effect on the company's business, and this can be arranged by the lawyer, but along with most things connected with business in Thailand, there are considerable risks involved." http://www.retire-asia.com/thaibiz.shtml http://www.retire-asia.com/thaibiz.shtml Actually, the whole article is generally very cautionary and negative against a foreigner owning a business in Thailand, which jives with what I've heard people who spend time there say. Maybe it's only businesses with real estate ownership or leases that come under these terms? EX, no real estate, then don't worry about it? I think regardless, you'd be fine working from your laptop. Anyways, I'm curious if you want to elaborate more. International business law is one of those things that every little bit you know becomes more helpful in understanding the broad picture of how markets work, imports/exports work, etc. It's something I try to pay attention to, research, and ask questions about when I'm visiting a place.

mjnaus 16y ago
The way described in the article is indeed the way it has been until a few years back, but recent governments have made some attempts to become more open for foreign entrepreneurs; granted, it's still hard sometimes but I do have the feeling it's getting better. As far as our own company goes: we registered our first company a few years (2?) back and when we went into the process, we were also still under the impression that the foreign shareholders can only hold up to 49% of the shares. However, we quickly found out it was indeed possible for foreigners to fully own the company (according to the government official the regulations changed about a year before that). But we also quickly learned that this route would mean tons more paperwork and it would become more costly. We also needed to present our paperwork to the BOI, pay extra fees and hope they would accept the paperwork. And according to the government official, we would expose our company to tighter control from the government (which would probably mean more "tea money" as well). So, in the end we decided against full foreign ownership, although it was an option we considered. I realize many people are negative against owning a business here Thailand, perhaps due to bad experiences. I can only speak for myself (and a few relations who enjoy doing business here as well). Maybe I should mention I don't actually do business here, we pretty much only work with customers abroad. I love living and working here and wouldn't want it any other way for the time being!
- lionhearted 16y ago
  Thanks for the feedback, very good info. If you happen to stop by Saigon before the end of the month, shoot me an email if you'd like to grab a coffee. I'm in Kuala Lumpur in November too, feel free to reach out. Godspeed and much prosperity in your business.

davidw 16y ago

> what qualifies as a "business" One would hope that it would be a "real", limited liability company of some kind, that exists as a legal entity separate from that of its owners. (Edit: I mean in terms of the survey, not that people without limited liability companies aren't "real" businesses)

mjnaus 16y ago
I am curious as to why one would hope that... Around the world there are plenty of small businesses which are in no need of any kind of limited liability, however they still make money by turning a profit so I'd still call them a business.
- davidw 16y ago
  Because it's more of an apples-to-apples comparison for purposes of the survey and a more useful metric for people interested in creating and growing a business. It's also something of a clearer distinction from someone who just starts "doing business" by selling apples on the street corner or something. That takes nothing away from small businesses that don't need that form of incorporation. Of course they are businesses - I was just talking about the survey itself.