The Foreign Business Act of 1999 has identified 3 lists of activities in which foreigners may be prohibited or restricted.

Business activities in List 1 are designated as “businesses prohibited to foreigners to operate due to special reasons. Meaning, foreigners or foreign owned companies are completely restricted from engaging in the activities in List 1. Such business activities are as follows:-

1. The Press, radio broadcasting station or radio and television station business
2. Rice farming, plantation or crop growing
3. Livestock farming
4. Forestry and timber processing from a natural forest
5. Fishery, only in respect of the catchment of aquatic animals in Thai waters and specific economic zones of Thailand
6. Extraction of Thai medicinal herbs
7. Trading and auction sale of antique objects of Thailand or objects of historical value of the country
8. Making or casting Buddha images and monk alms-bowls
9. Land trading

Although other activities that are not mentioned above may be permitted to foreigners, Section 6 of the Foreign Business Act states that foreigners may not operate any business within Thailand if he/she has been deported or whose deportation is pending or if he/she is entering and staying in Thailand without permission under the Immigration law or other laws.

Learn more about the Foreign Business Act and the business activities that you may be able to do in Thailand. Contact Thai Lawyers now for an online consultation.

The Thai Social Security Fund is the government-administered fund by the Social Security Office which provides social security coverage to the insured persons with source of fund coming from employers, employees and the government. The SSF covers only non-work-related contingencies with benefits covering medical care, sickness, maternity, invalidity, death, old age, child allowance and unemployment.

Hence, when a company in Thailand starts hiring 1 or more employees, it has to register the employees in the system and submit the social security fund to the Social Security Office within 30 days from the first day of employment. The employer or an authorized person can submit the Registration Forms as follows:

• The Employer/Company Registration Form (SSO 1-01)
• The Employee/Insured Person Registration Form (SSO 1-03)

For the case of Burmese employees, they must obtain the work permit first before the company can register them in the system. However, if a Burmese has been employed by the company as a director or in case he/she holds a different job position but at the same time, he/she is a shareholder of the company, he/she is not required to be in the Social Security Fund system because he/she is considered as an owner of the company.

The company should also note that when an employee resigns or has had his/her employment contract terminated, the company must notify the SSO that the said employee is no longer employed within 15 days of the following month. The form to submit is the Notification Form for the Cessation of Being an Insured Person (SSO 6-09)

Moreover, when an employee changes his/her given name or family name or any other information pertaining to his/her family status, or the number of children of the said employee’s family, the company must notify the SSO these changes within 15 days of the following month using the form for making notifying of Changes of Employee Information (SSO 6-10).

Thai Lawyers can help register the Myanmar companies and its employees into the Social Security Fund system. We also process work permit & visa applications for Burmese employees before we register them with SSO. Contact us now for more information and expert advice.

Many foreign companies want to enter the Thai market to sell their software or platform. Some want to just hire an employee in The Kingdom and do the business. Others want to set up 100% foreign owned company to sell software in Thailand. Both violate the Foreign Business Law. If you want to retail or wholesale your software and do not want to have majority Thai partners in your company, you will need to obtain a Foreign Business License for your 100% foreign owned company to sell software in Thailand. Most likely you will not get approved because Thai majority companies can sell software too. You need to be able to prove why Thailand needs your foreign majority company to do the business that Thai people can do.

Now we want to point out the law; Numbers 14 and 15 from Schedule 3 annexed to Thailand Foreign Business Law, are about retail and wholesale of goods:

14. Retail of goods of all kinds having the total minimum capital less than Baht 100,000,000 or having the minimum capital of each shop less than Baht 20,000,000; and

15. Wholesale of goods of all kinds having the minimum capital of each shop less than Baht 100,000,000.

If you can have Baht 100M capital, then you can have 100% foreign owned company to sell software in Thailand. However, most likely, you do not want to set up a company with Baht 100M capital. That means you will not be able to own the majority of your company in Thailand for doing such business.

Now, if you want to develop software or platforms in Thailand, you may be eligible to apply for the Board of Investment promotion, which will allow you to sell the software you make. Read here for how we answered questions about Thailand BOI companies for software developers.

Talk to MSNA Group today to discuss many solutions that we have for you.