The United States and Thailand have enjoyed a special commercial relationship under the United State and Thailand Treaty of Amity and Commerce. Under the treaty, with the exception of a few businesses according to the Foreign Business Act, B,E. 2542 (1999). U.S. companies are able to operate the business in Thailand almost as same as Thai companies.
Criteria according to the United State and Thailand Treaty of Amity and Commerce
Qualifications of Persons who have the Right to Request for Business Operations Certificate under the US-TH Treaty of Amity and Commerce must have the following qualifications:
- The ordinary person must be an U.S. citizen either by birth or naturalization.
- The American juristic person must be
- established under the Thai Law or the United State Law
- american majority shareholding
- more than half of its directors must be Thai and/or American
- only Thai and/or American authorized directors who can sign binding the company
- In case of there are many authorized directors who can sign binding the company, more than half of authorized directors must be Thai and/or American
- 100% shareholding by American people or American juristic person are allowed under the US-TH Treaty of Amity and Commerce.
6 Prohibited Businesses are not allowed under the US-TH Treaty of Amity and Commerce
The US company who established in Thailand under the Treaty of Amity are able to operate in any business activities except the prohibited businesses as follows
- Communications
- Transport
- Fiduciary functions
- Banking involving depository functions
- The exploitation of land, or other natural resources
- Domestic trade in indigenous agricultural products
Request for Business Operations Certificate
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Requirements
- Form to request the certificate Tor.6
- Explanations of type of business
- Evidence of juristic person registered in Thailand demonstrating names, capital, objective, location, name and nationality of directors and authorized directors
- Letter to inform the proportion of shareholding between Thai people and foreigner, number of shares, type of shares that people with American nationality hold.
- In case that the shareholders or major partners of persons who request for certificate are juristic person, shall submit the evidence or documents for proof of juristic persons demonstrating name, capital, objective, location, name and nationality of directors and authorized directors, name and nationalities of shareholders or details of partners.
- Notarized and CNationality certificate of shareholders who request for certificate in order to ask for the right from the Embassy of the country that is the party.
- Copy of passport or foreigner’ s ID card
- Map of business locations in Thailand
- Letter of power of attorney in case that other persons perform the duties
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Procedures
- Provide the company’s documents and requirement documents (At least 2 weeks)
- Prepare the application (At least 2-3 working days)
- Submit the application and supporting documents to US embassy (1-2 working days)
- Obtain the US certificate (1-2 working days)
- Submit the US certificate, application and requriement documents to DBD (1-2 working days)
- The issuance of certificate must be within 30 days from the date obtaining the letter from foreigners
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Government Fees
22,000 THB