HOW TO ACQUIRE A REAL ESTATE IN THAILAND?
| To start, here are some useful information concerning the rights of ownership for a foreigner in Thailand: |
| What can a foreigner have with his own name? - a building, but without the ground - an apartment in a condominium. WHAT ARE THUS the POSSIBILITIES FOR a FOREIGNER? |
| As a foreigner, you can now effectively have a ground in Thailand, without risk and firmly recorded to the Service of the Land register of the thailandese government (Land Office) while passing by the means of a company with limited thailandese liability. |
| Technically speaking, a foreigner can thus acquire a house and furnished goods on a property, but cannot have in proper name the act of property to the ground. |
| The various means: By taking a Thai associate, or by forming a thai company (company limited) you can circumvent this requirement. In light, it is thus offered to you 3 possibilities: 1- you melt a thai company (most current) 2- make a contract of leasing over 30 years, renewable 3- you take a thai associate |
| You can now have the house of your dreams in a tropical paradise where the cost of living is quite less there than what it is in Europe - while paying much less than you would have imagined . How to create a company in Thailand? We work in close cooperation with a well-known thai law firm. We have an office in Samui. The major part of their customers is foreign. They are specialized in the fields having for object the law on the foreigners and particularly with regard to the two following points: 1. the creation and the recording of a company with limited thai liability ("Company Limited") and effectively controlled by foreigners 2. transactions of real estate goods by foreigners carried out by the means of a company |
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| EXPLANATIONS ABOUT HOW A COMPANY FUNCTIONS(company limited) |
| Percentage of the shares between the foreigners and the thaïlandese: - 51 % for the thailandese associates - 49 % for the foreign partners. Number of people in the company: 7 people minimum to assemble a company (e.g. 5 thaïlandese and 2 foreigners) How can the foreigner effectively control a company? First, the foreigners are named as "Director" in this company, maximum 2 foreign directors. The foreigners can obtain "preferential" shares which count for 10 votes (or votes) during any general assembly. Whereas the thailandese partners (ready-names in general) will have "ordinary" shares worth 1 vote each. Example: at the time of a vote, the foreigner having 49 % is 49 X 10 (voices) = 490 votes; the thailandese partners having 51 % is 51 X 1 (voice) = 51 votes |
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| You will thus understand easily why you are the principal decision makers. Second, some papers will be given to you concerning the shares in the company (share holder), and will be pre-signed by your thailandese associates , not dated, and specifying that the latter yield them to you or sell to you. Therefore, you will have the double guarantee to entirely control your company. This system is completely legal, and these laws are recorded at the Chamber of Thailandese Commerce Expenses for the creation of a company (company limited): 35.000 bahts |
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| ADDED COSTS |
| dormant" company |
| For a company known as dormant (e.g. used with the aim of a real estate purchase simply), 15' 000 bahts per year only, payable each year in January for the services provided during the previous year, including the expenses of annual accountancy for this type of company. |
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| Active company |
| For an active company, i.e. with an aim of assembling a business there, and of thus being able to work legally in the country with a work permit, it is necessary to count 2 million Baht of capital by work permit (included in the 35' 000 bahts), and per additional million capital in order to obtain more than 1 work permit, 15' 000 bahts, that is to say if you wish an additional work permit, 30' 000 bahts of additional expenses during the creation of the company. |
| Example: creation of a company with an aim of obtaining 2 work permits 35' 000 + 30' 000 = 65' 000 bahts |
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| Work permit |
| 20' 000 bahts, payable with the signature of official papers for obtaining the permit. 15' 000 bahts for the renewal, payable with the signature of the documents which lead to a renewal. |
| Accounting department |
| Starting at 3' 000 bahts per month (the rates depend on the volume of the businesses), payable each year in January for the services rendered during the previous year. That only concerns the companies which engage in real businesses. Note: the fees above are established and sent by our lawyer office, there can be modifications or changes without notice. |