Opening a restaurant in Thailand
You might already thought about opening a restaurant in Thailand to contribute your unique taste in the “Kitchen of the World”. Well, that’s a good idea, but here are some pitfalls you should wonder about.
No matter what type of business you are attempting to run, Thai company registration laws apply to you and vary depending on your type of business.
The bad news that you can’t just easily and legally run a 100% foreign owned restaurant in Thailand, because the bar and restaurant ownership in Thailand is subject to the rules and regulations contained within the Foreign Business Act.
The only one way is to find Thai partner who you can trust and open a Thai company. That means the majority of shares in this company must be owned by that Thai citizen. And you as a foreigner can only own up to 49% of that company. This limit can be exceeded or exempted for certain business activities, if a Foreign Business License is granted, but not in this case.
The process of opening a restaurant in Thailand
The process begins with reserving the name of the company with the Department of Business Development. You have to submit a minimum of three company names which follow current ministry regulations. The DBD will choose then one out of the three.
Next, the promoters must file a Memorandum of Association with the Commercial Registration Department. If you are going to have foreign workers, some requirements must be met: 2 million baht minimum registered capital and 4 Thai employees per one work permit for foreigner.
After filling a Memorandum of Association directors should submit an application within 3 months to register the company.
Once registration is finished, the company can begin the process of getting business licenses and start the operation of its new business. For restaurant, you have to get food license from FDA Thailand as well as alcohol license, in case you want to sell beer and other sprits.
If you have personal questions, don’t hesitate to contact ThaiLawyers – qualified English speaking lawyers that can help you to go through entire process of registration step by step.