Where Can You Find a Thai Business Partner?

Theoretically — at business meetings, forums, and networking events where people usually look for business partners.

In practice, finding a Thai person who is interested in your project and willing to become a co-investor by contributing the majority of the investment or providing the registered capital in the form of assets is, if not impossible, then certainly very difficult.

Suppose You Have Found a Thai Partner

The next question is whether they have funds for investing in the project that meet the relevant requirements.

The funds must be:

“clean” — officially earned income;
received into a bank account;
available for transfer from the Thai partner’s account to the company’s account as registered capital.

There is a Thai partner, they want to work on the project, they have the funds — that’s it, the issue is resolved.

Next come the company formation agreement, articles of association, and registration.

What If the Thai Partner Wants to Work on the Project but Has No Money?

The money must be found.

There is a common belief that it is sufficient for a Thai person to deposit cash into their bank account and, three months later, transfer it to the company’s account as registered capital without any additional questions about the source of the funds.

This is true, but only from a procedural perspective: there may be no questions at the time of company registration.

However, if the company is subsequently subject to an inspection, the question of the source of the funds will inevitably arise. If the source cannot be substantiated, the Thai shareholder may be suspected of being a nominee shareholder.

What Can Be the Source of the Funds?

For example:

salary income;
rental income;
proceeds from the sale of real estate;
dividends.

Can the Thai Partner Borrow Money to Invest?

Yes, but this requires great caution.

It is important to consider who is providing the loan.

A bank loan is an excellent option.

If the money is provided by another person, the loan terms and the ability to document the source of the funds must be carefully assessed.

What If You Cannot Find a Thai Partner?

There are several options.

1. Choose a Business Activity from the BOI List

In this case, you can use the structure provided for activities promoted by the Board of Investment (BOI).

2. Choose a Business Activity Permitted for Foreigners Without an FBL

There are business activities that are permitted for foreigners and do not require a Foreign Business License (FBL).

3. Choose a Business Activity for Which an FBL Can Be Obtained Without BOI

In certain cases, a foreign company may obtain a Foreign Business License to conduct a specific business activity without BOI involvement.

4. Move the Business to Another Country

Another option is to register the business in another country where a Thai partner is not required for such activities and provide services to clients in Thailand from abroad.

However, there is an important condition: the business must genuinely operate and generate income outside Thailand.

If the business is actually conducted in Thailand, such a structure may be regarded as carrying out business activities or maintaining a presence in the country, with corresponding consequences under foreign business legislation.

For tax structuring purposes, it is also advisable to choose a country that has entered into a Double Taxation Agreement (DTA) with Thailand.

The Key Point

If your business requires a Thai partner, finding someone solely for formal participation in the company is not a solution.

The Thai shareholder must be a genuine business partner who actually participates in the business and has funds for their investment that can be substantiated with appropriate documentation.

If you cannot find a suitable partner, you should first check whether the business structure can be changed: choose a different type of activity, obtain the necessary license, or register the company outside Thailand.