Thai BOI Company Setup: A Complete Guide for Foreign Investors
Setting up a business in Thailand can be a rewarding opportunity for foreign investors, but navigating the country’s legal and regulatory environment can often feel complex. One of the most attractive options for foreign entrepreneurs is establishing a company under the Board of Investment (BOI) promotion scheme. With the right BOI approval, investors can enjoy a wide range of benefits, from tax incentives to full foreign ownership rights.
At My Thailand Lawyer, a professional law service based in Bangkok, we help international clients set up their BOI companies in Thailand with full legal compliance and confidence. This guide provides everything you need to know about Thai BOI company setup, the process, eligibility, requirements, and how we can assist you in achieving business success in Thailand.
What is the Thai BOI?
The Board of Investment of Thailand is a government agency established to promote and encourage both domestic and foreign investment in the country. Its role is to attract foreign capital, advanced technology, and skilled labor by granting special incentives and privileges to approved companies.
Unlike a standard Thai limited company, which often requires Thai majority shareholders, a BOI company allows foreign investors to hold up to 100% ownership in specific promoted industries. This is a major advantage for those who want to maintain full control of their business operations.
Key Benefits of BOI Company Setup in Thailand
A BOI company enjoys numerous privileges that make it a preferred option for international businesses. Below are the main benefits:
1. 100% Foreign Ownership
Foreign investors can fully own their company without needing Thai nominee shareholders, which is often required in non-BOI companies.
2. Tax Incentives
BOI-promoted companies may receive corporate income tax exemptions or reductions, import duty exemptions on machinery and raw materials, and other financial advantages.
3. Work Permits and Visas
BOI companies benefit from simplified procedures when hiring foreign staff. They can secure work permits and visas for directors, employees, and specialists more efficiently than non-BOI companies.
4. Land Ownership Rights
Foreign investors are generally restricted from owning land in Thailand, but BOI-promoted companies may be granted permission to own land for business use.
5. Ease of Business Expansion
A BOI license increases investor credibility and simplifies the process of expanding business activities within Thailand and across Southeast Asia.
Eligible Business Activities for BOI Promotion
Not all businesses qualify for BOI promotion. The BOI primarily focuses on industries that drive Thailand’s economic growth, technology advancement, and innovation. Eligible activities include:
Manufacturing and industrial projects
Technology and software development
Research and development (R&D)
Digital services and IT solutions
Biotechnology and life sciences
Logistics and international trade services
Alternative energy and green technologies
Agriculture and food processing
Aerospace, automotive, and electronics industries
If your business activity aligns with the BOI’s targeted sectors, applying for promotion is highly recommended.
Step-by-Step Process of BOI Company Setup in Thailand
Setting up a BOI company involves several stages. At My Thailand Lawyer, we guide you through every step to ensure a smooth and compliant process.
Step 1: Project Evaluation
We begin by analyzing your business activity to confirm BOI eligibility. This involves aligning your project with the industries promoted by the BOI.
Step 2: BOI Application Submission
A detailed business plan must be prepared and submitted to the BOI office. This includes company objectives, investment capital, staffing plans, technology usage, and expected economic benefits.
Step 3: BOI Review and Interview
The BOI will review the application and may require an interview with company representatives. The purpose is to ensure the project’s feasibility and compliance with Thai development goals.
Step 4: BOI Approval
Once the project is approved, the BOI issues a promotion certificate, granting your company the right to enjoy BOI privileges.
Step 5: Company Registration
With the promotion certificate, the next step is to register the company with the Department of Business Development (DBD) under the Ministry of Commerce.
Step 6: Post-Approval Requirements
After registration, your company must comply with BOI reporting obligations, employment regulations, and investment commitments to maintain its privileges.
Essential Requirements for BOI Company Setup
To qualify for BOI promotion, your company must meet specific requirements, including:
Minimum investment capital in line with BOI standards
Use of modern technology or innovation in your operations
A clear plan for hiring skilled employees or transferring knowledge to Thai workers
Compliance with environmental and safety standards
Strong business plan demonstrating long-term benefits to Thailand’s economy
Each industry has its own requirements, and My Thailand Lawyer provides tailored advice based on your sector.
Challenges in BOI Company Setup
While the benefits are significant, BOI company setup is not without challenges:
Strict eligibility criteria
Detailed documentation requirements
Need for long-term compliance and reporting obligations
Possible delays in approval if requirements are not fully met
Working with an experienced legal team ensures you avoid costly mistakes and streamline the process.
Why Choose My Thailand Lawyer for BOI Company Setup?
As a trusted law service in Bangkok, we provide comprehensive support for foreign investors who wish to set up BOI companies in Thailand. Our services include:
Assessing your business eligibility for BOI promotion
Preparing and submitting the BOI application
Representing your company in BOI interviews
Assisting with company registration at the DBD
Handling visa and work permit applications for foreign directors and staff
Advising on compliance, reporting, and tax obligations
With our guidance, you can focus on your business goals while we manage the legal complexities.
Strategic Advantages of Setting Up a BOI Company in Thailand
Thailand is strategically located at the heart of Southeast Asia, making it a gateway to one of the world’s fastest-growing economic regions. By establishing a BOI-promoted company, you gain:
Access to ASEAN and international markets
Competitive labor and production costs
Government support for innovation and technology
Legal assurance of foreign ownership and business protection
A BOI company not only provides operational benefits but also enhances your reputation as a credible investor in Thailand.
Maintaining Compliance After BOI Approval
Receiving BOI promotion is just the beginning. To maintain privileges, companies must comply with ongoing obligations such as:
Annual reporting to the BOI
Meeting minimum investment requirements
Following environmental and labor standards
Notifying the BOI of major business changes
Failure to comply may result in losing BOI privileges. That is why professional legal guidance is crucial for long-term success.
Establishing a BOI company in Thailand is one of the most effective ways for foreign investors to gain full ownership rights, tax benefits, and access to Thailand’s growing economy. While the process may seem complex, partnering with a knowledgeable law service ensures smooth navigation of all legal and regulatory requirements.
At My Thailand Lawyer, based in Bangkok, we specialize in helping international clients set up and maintain BOI-promoted companies in Thailand. From eligibility assessment to compliance management, we provide end-to-end legal support tailored to your business needs.
If you are considering expanding into Thailand, a BOI company setup is your gateway to success. Contact My Thailand Lawyer today to begin your journey toward establishing a strong and legally compliant presence in Thailand.