Representative Office Setup in Thailand
A Representative Office provides international corporations with a fully compliant, 100% foreign-owned operational base in Thailand. It is the preferred vehicle for companies engaged in procurement, quality control, market intelligence, and head office liaison. UnionSPACE delivers end-to-end registration from document legalisation through to Foreign Business License issuance. All-inclusive from THB 135,000.
What Is a Representative Office in Thailand?
A 100% foreign-owned liaison entity — legally authorised, commercially protected, and free from corporate income tax
A Representative Office (สำนักงานตัวแทน) is a non-trading extension of a foreign parent company, established in Thailand under the Foreign Business Act B.E. 2542 (1999). It carries no separate legal personality from the parent and is accordingly exempt from Thai corporate income tax, as it does not generate revenue from sources within Thailand.
Its permitted activities are defined and circumscribed by the Foreign Business Act: a Representative Office may only provide services that benefit its foreign head office and may not enter into revenue-generating commercial arrangements with third parties. Within those boundaries, however, it offers an efficient, cost-effective, and fully compliant structure for foreign companies seeking to establish a meaningful operational presence in Thailand.
Critically, a Representative Office is exempt from the standard 4:1 Thai-to-foreign employee ratio required for Work Permit purposes — a significant operational advantage over a standard Thai limited company. Depending on the scale of activities, up to five Work Permits may be issued, with higher allocations available for larger operations.
Key distinction: A Representative Office is not a revenue-generating entity. If your business requires the ability to invoice Thai clients, accept local payments, or enter into commercial contracts in Thailand, a Branch Office or Thai limited company would be the appropriate structure. UnionSPACE recommends a consultation before proceeding.
Permitted Activities of a Representative Office in Thailand
The Foreign Business Act defines seven categories of activity a Representative Office is authorised to conduct
Sourcing of goods and services
Identifying and procuring local goods or services in Thailand on behalf of the foreign head office.
Quality and volume inspection
Inspecting and controlling the quality and quantity of goods that the head office purchases from Thai suppliers.
Dissemination of product information
Communicating information about new or existing products and services offered by the head office to Thai-based parties.
Market intelligence and reporting
Monitoring and reporting to the head office on local business developments, market trends, and commercial activities.
Advisory and after-sales support
Providing technical or commercial advice to Thai distributors or end consumers in relation to goods distributed by the head office.
Essential operational contracts only
Entering into contracts that are strictly necessary for the Representative Office's own operations — such as a lease of office premises — but not commercial contracts on behalf of the head office.
Export facilitation
Coordinating the export of products ordered by the head office or its affiliated companies from Thai suppliers.
Activities outside this defined scope are not permitted. The Department of Business Development may audit the Representative Office's operations at any time to verify compliance. UnionSPACE advises clients on the precise boundaries of each permitted activity and assists in structuring internal operations to maintain full compliance.
Representative Office vs Branch Office — Which Structure Is Right for You?
Understanding the critical commercial and legal distinctions before committing to a structure
Non-Trading Entity
Representative Office |
Trading Entity
Branch Office |
|
|---|---|---|
| May generate revenue in Thailand | ||
| May enter into commercial contracts | ||
| 100% foreign ownership | ||
| Subject to corporate income tax | No (non-revenue) | 20% on net profit |
| Work Permit ratio requirement | Exempt — up to 5 WPs | 1 Thai : 1 Foreign |
| Foreign Business License required | ||
| Minimum paid-up capital | THB 3,000,000 (or 25% of 3-yr expenses, whichever greater) |
THB 3,000,000 |
| Typical registration timeline | 2–4 months total | 8–14 months |
| UnionSPACE service fee | From THB 135,000 | From THB 168,000 |
Key Legal & Regulatory Parameters of a Thailand Representative Office
A structured summary of the requirements, restrictions, and obligations under Thai law
| Foreign Ownership | 100% — the Representative Office is wholly owned by and entirely dependent upon the foreign parent company |
|---|---|
| Legal Entity Type | Not a separate legal entity. The foreign parent bears full and unlimited liability for all obligations of the Representative Office |
| Permitted Activities | Restricted to the seven non-revenue-generating activities defined under the Foreign Business Act. The Representative Office may not trade, invoice, or accept payments from Thai third parties |
| Minimum Capital | THB 3,000,000 or 25% of estimated operating expenses for the first three years of operation, whichever is the greater amount. All capital must be remitted into Thailand from overseas in four equal tranches |
| Foreign Business License (FBL) | Issued by the Department of Business Development (DBD) upon approval of the application |
| Corporate Income Tax | Exempt — the Representative Office generates no taxable income in Thailand |
| VAT Registration | Not required — the Representative Office does not engage in taxable supply of goods or services |
| Work Permits | Exempt from the standard 4:1 ratio. Up to 5 Work Permits may be granted depending on the scale of operations. Higher allocations available for offices sourcing more than THB 100 million from Thailand in the preceding year |
| Registration Timeline | DBD approval: 3–6 weeks from complete submission. Total timeline including document preparation and legalisation: 2–4 months |
| Documentation Origin | All head office documents must be notarised in the country of origin, legalised at the Thai Embassy or Consulate in that country, and submitted with certified Thai translations |
Capital Requirements — The Four-Tranche Remittance Schedule
Thai law requires a Representative Office to remit a minimum capital of THB 3,000,000 — or 25% of its estimated three-year operating expenses, whichever is greater — into Thailand from overseas. This obligation is met through four equal instalments as follows:
Within the first 3 months of commencing operations
By the end of the first year of operation
By the end of the second year of operation
By the end of the third year of operation
Each tranche remittance must be evidenced by a Foreign Exchange Transaction (FET) Form issued by the receiving Thai bank. Failure to remit capital on schedule may jeopardise the Representative Office's licence status. UnionSPACE can assist with FET Form compliance as part of our ongoing support services.
How Much Does It Cost to Set Up a Representative Office in Thailand?
THB 135,000 — All-Inclusive
UnionSPACE's Representative Office registration fee covers all professional fees, government filing fees, document preparation, translation coordination, and incidental expenses. There are no hidden charges and no supplementary fees for standard deliverables.
Work Permit and Non-Immigrant B Visa preparation is available as an additional service at THB 80,000 per application.
Guaranteed pricing. The fee quoted at the outset of your engagement is the fee you pay. Should any scope change arise, we will advise you before any additional cost is incurred.
Representative Office Registration
All fees inclusive
Per Work Permit & Non-B Visa Application
(optional add-on)
Navigating the DBD's application process — our structured approach
Step-by-Step: How to Register a Representative Office in Thailand
Eligibility & Scope of Activities Assessment
Before any documentation is prepared, UnionSPACE conducts a detailed assessment of the proposed activities to confirm they fall within the seven permitted categories under the Foreign Business Act. This step is essential: a Representative Office that subsequently conducts activities outside its licensed scope is in breach of Thai law and risks licence revocation.
We also assess the appropriate capital threshold — THB 3,000,000 or 25% of three-year projected operating expenses, whichever is the greater — and structure the business plan in the manner most likely to satisfy the DBD's assessment criteria.
Document Preparation, Notarisation & Consular Legalisation
All constitutional and corporate documents of the foreign parent company must be formally authenticated: notarised in the country of origin and then legalised at the Thai Embassy or Consulate in that jurisdiction. Certified Thai translations must accompany all foreign-language documents.
The business plan — which must be submitted in Thai and certified by both the applicant and the translator — requires particular care in its drafting. UnionSPACE prepares a commercially credible and legally sound business plan on your behalf, addressing each of the DBD's prescribed content requirements.
DBD Submission & Foreign Business License Approval
The complete application package is submitted to the Department of Business Development for review. The DBD typically issues its decision within three to six weeks of receipt of a complete and compliant submission.
The DBD may request supplementary information or clarification during the review period. UnionSPACE manages all correspondence with the DBD and submits any supplementary materials promptly, minimising unnecessary delays in the approval timeline.
Upon approval, the Foreign Business License is issued, formally authorising the Representative Office to commence operations within the scope of its licensed activities.
Work Permit Applications & Post-Registration Compliance
Following FBL issuance, UnionSPACE can assist with Work Permit and Non-Immigrant B Visa applications for foreign personnel assigned to the Representative Office. Unlike Thai limited companies, a Representative Office is exempt from the 4:1 Thai-to-foreign employee ratio — enabling up to five Work Permits regardless of the size of the Thai workforce.
Ongoing compliance obligations include filing annual reports with the DBD confirming the Representative Office's activities, remitting capital tranches on the prescribed schedule, and maintaining records sufficient to evidence compliance with the permitted scope of activities. UnionSPACE provides a full suite of post-registration compliance support services.
- DBD approval: 3–6 weeks from complete submission. Total timeline: 2–4 months.
Required Documentation for a Thailand Representative Office Application
A complete checklist of documents required by the Department of Business Development (DBD)
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Corporate Documentation of the Foreign Head Office
An official document confirming the company name, registered capital, business objectives, principal place of business, list of directors and authorised signatories, and audited financial statements for the preceding three years. All documents must be notarised and legalised at the Thai Embassy or Consulate in the country of origin.
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Shareholder Register & Nationality Overview
A complete register of shareholders, including the total number of shareholders, their respective nationalities, and the number of shares held by each.
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Thailand Office Address & Proof of Premises
The proposed registered office address in Thailand, accompanied by a location map and documentary evidence of the right to occupy the premises — such as a fully executed lease agreement. UnionSPACE provides a DBD-compliant registered address as part of its service package.
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Proposed Employee Details
The number, names, and proposed salaries of all employees to be engaged by the Representative Office, including both Thai and foreign personnel.
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Statement of Commercial Necessity
A clear and reasoned explanation of why the establishment of a Representative Office in Thailand is necessary for the foreign head office — for example, to support significant ongoing commercial projects, strategic customer relationships, or procurement programmes in Thailand.
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Business Plan (in Thai, certified)
A comprehensive three-year business plan submitted in Thai and certified by both the applicant and the translator, addressing the following matters:
- A three-year business and financial forecast
- The type, scale, and intended duration of the Representative Office's activities
- The stages of planned operations
- The machinery, technology, or office equipment to be employed
- The anticipated impact on the Thai economy
- A three-year projection of expenditure on fixed assets and operating costs in Thailand, together with an estimate of economic benefits for Thailand
- A plan for the import and transfer of foreign technology and, where applicable, research and development activities
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Declaration of Eligibility under the Foreign Business Act
A formal declaration executed by the foreign parent, confirming that the applicant, directors, managers, and appointed representative satisfy all qualifications prescribed under Section 16 of the Foreign Business Act B.E. 2542 and are not subject to any statutory prohibitions.
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Appointment Letter & Identification of the Thailand Representative
Formal documentation of the appointment of the individual authorised to manage the Representative Office's operations in Thailand, together with a copy of that individual's passport and evidence of their Thai address or permission to enter Thailand.
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Power of Attorney (if applicable)
Where a third party — such as UnionSPACE — has been authorised to act on the applicant's behalf, a duly executed power of attorney, notarised or certified by the Thai Embassy if executed outside Thailand, together with a copy of the attorney's passport.
Precise documentation requirements may vary according to the applicant's country of origin, the nature of the proposed activities, and the DBD's current administrative requirements. UnionSPACE conducts a full document audit at the commencement of every engagement to confirm the exact requirements applicable to your specific circumstances.
Why International Corporations Choose UnionSPACE
Precision, transparency, and a commitment to commercially sound outcomes
Legal Rigour
Every application is prepared to the standard the DBD demands — minimising the risk of rejection, delay, or post-registration compliance issues.
Multi-Jurisdiction Coordination
We manage notarisation, consular legalisation, and certified translation across jurisdictions — removing the most complex part of the process from your plate.
Fixed, Transparent Fees
Our pricing is all-inclusive and guaranteed from day one. No hidden charges. No surprise government fee additions.
Multilingual Advisory Team
Our consultants serve clients in English, Mandarin, Thai, Russian, and Burmese — with full documentation available in both English and Thai.
Related & Post-Registration Services
Everything your Representative Office needs to operate in full compliance after registration
Work Permit Preparation & Application
For only THB 38,000
Non-Immigrant "B" Visa Preparation & Application
Starts from THB 42,000
Accounting & Tax Reporting
Starts from THB 8,500 per month
Annual DBD Compliance Report Filing
Contact us for pricing
English Translation of Company Documents
For only THB 8,500
Branch Office Setup
Starts from THB 168,000
Frequently Asked Questions — Representative Office Registration in Thailand
Authoritative answers to the questions most commonly raised by international businesses
A Representative Office is a 100% foreign-owned extension of a foreign parent company, authorised under the Foreign Business Act B.E. 2542 to conduct a defined range of non-revenue-generating activities in Thailand. These include sourcing goods and services, quality and volume inspection, disseminating product information, reporting on local market developments, providing after-sales advisory support, facilitating head office-ordered exports, and entering into contracts strictly necessary for its own operational requirements. It may not generate revenue, invoice Thai clients, or engage in commercial trading activities.
The Representative Office is the most efficient structure for foreign companies that do not require revenue-generating operations in Thailand. Its key advantages include: (1) exemption from Thai corporate income tax and VAT; (2) a significantly more favourable Work Permit regime — up to five Work Permits without a minimum Thai headcount requirement; (3) a faster registration timeline than a Branch Office (weeks rather than months); and (4) a lower all-inclusive service fee. It is the preferred vehicle for companies whose Thailand presence is focused on procurement, quality assurance, liaison, or market intelligence.
A Representative Office is exempt from the standard 4:1 Thai-to-foreign employee ratio applicable to Thai limited companies. Depending on the nature and scale of its operations, a Representative Office may support up to five Work Permits. Representative Offices that sourced more than THB 100 million from Thailand in the preceding year may be eligible for additional Work Permit allocations beyond this threshold. This makes the Representative Office an attractive structure for international companies deploying significant expatriate management teams in Thailand.
The minimum capital is THB 3,000,000 or 25% of estimated operating expenses for the first three years of operation, whichever is greater. This capital must be remitted into Thailand from overseas in four equal tranches: 25% within the first three months, 25% by end of year one, 25% by end of year two, and the final 25% by end of year three. Each remittance must be documented by a Foreign Exchange Transaction Form from the receiving Thai bank. Failure to meet the tranche schedule may jeopardise the Representative Office's FBL status.
The DBD typically issues its decision within three to six weeks of receiving a complete and compliant application. The total timeline — including document preparation, notarisation, consular legalisation, and translation in the home country — is generally two to four months. This is considerably faster than a Branch Office (8–14 months) owing to the more straightforward nature of the application and the absence of the more extensive business plan scrutiny applicable to Branch Office applications.
No. A Representative Office does not generate taxable revenue from Thai sources and is accordingly exempt from Thai corporate income tax. Similarly, it is not required to register for VAT. This is a significant structural advantage over a Branch Office or Thai limited company for foreign companies whose Thailand operations do not require revenue generation. The Representative Office does, however, remain subject to standard employer obligations in respect of its Thai employees, including social security contributions.
Physical presence in Thailand is not required for the registration process, provided appropriate powers of attorney and notarised authorisations are in place. UnionSPACE handles all filings and DBD correspondence on your behalf. The appointed representative who will manage the office in Thailand must, however, be physically resident or based in Thailand for the purposes of the registration and the ongoing conduct of the Representative Office's activities.
What Our Clients Say
Free 3-Month Accounting & Tax Reporting Service
Included with your Representative Office registration package
Worth THB 22,500
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