Establishing a Representative Office in Thailand

A representative office is the ideal business entity for foreign investors who are exploring the Thai market. The RO can be 100 percent foreign-owned and can provide up to two work permits for foreign employees.

The entity is not allowed to earn income while operating in Thailand and thus is not subject to corporate income tax. The RO’s activities are restricted to market research, finding new partnerships, and other forms of information gathering.

Establishing a representative office (RO) in Thailand is a relatively simple process compared with setting up a foreign-owned company. The RO can be 100 percent foreign-owned and is often the popular choice of business entity for foreign investors who are still exploring the Thai market. The RO can assist the parent company in finding new partnerships or opportunities.

A major advantage of establishing a representative office in…