Foreign Business License in Thailand

A Foreign Business License (FBL) is the permit a foreign-majority company needs to operate an activity restricted to Thais under the Foreign Business Act B.E. 2542 (1999), known as the FBA. A company is "foreign" under the FBA when foreigners hold 50% or more of its shares. Operating a restricted activity without a license is a criminal offense, with fines of up to THB 1 million and up to 3 years in prison. Most foreign service businesses need an FBL for List 3 activities. The exceptions are BOI-promoted companies and US-owned companies under the US-Thai Treaty of Amity, which receive a Foreign Business Certificate (FBC) instead.

It depends on the authority and on your documents. A List 3 license is approved by the Director-General of the Department of Business Development (DBD) after review by the Foreign Business Committee. A List 2 license needs Cabinet approval and usually takes longer than List 3, because other ministries may be consulted.

THB 3 million per licensed activity, fully paid up and supported by a bank certificate before the license is issued. The general minimum of THB 2 million for foreign-majority companies does not apply to activities on the FBA lists. A company applying for two licensed activities needs THB 6 million. Our first step, activity classification, checks your capital before any application fee is spent.

If your activity qualifies for BOI promotion, BOI is almost always better: it is cheaper, and it can include a corporate income tax (CIT) exemption that an FBL never gives. We test BOI eligibility first. An FBL is the right route when the activity is not promoted by the BOI, when the BOI has declined your application, or when the project is too small to justify BOI reporting obligations.

No. Section 36 of the FBA makes nominee arrangements a crime, with fines of up to THB 1 million and up to 3 years in prison for both the foreign owner and the Thai nominee. Thai authorities actively investigate nominee structures. Plizz declines every nominee request. The only legal routes to foreign majority in a restricted activity are an FBL, BOI promotion, or the US-Thai Treaty of Amity.

Four factors carry weight: (1) jobs: how many Thai staff you will hire, in which roles, ideally skilled ones; (2) technology or know-how transfer: training programs, R&D commitments, supplier development; (3) export or foreign-currency earnings: the share of revenue from customers outside Thailand; (4) regional development: operations outside Bangkok or in the Eastern Economic Corridor (EEC) or a special economic zone. The Committee can tell quantified commitments from boilerplate, so we draft specific, verifiable numbers.

Generally no. An FBL is issued to one company for specific activities. A change of ownership, a reorganization, or a material change in the licensed activity must be reported to the DBD promptly and may require a new application. Buyers who miss this in due diligence can lose months after closing. We manage license continuity through our Corporate Changes service.

The DBD has moved its filings to the DBD Biz Regist online platform, and since 1 July 2026 new partnerships and limited companies can only be registered online. Plan for electronic signatures and digital copies of certified documents on FBL and FBC files. Foreign applicants without a Thai ID card verify their identity through the DBD e-Service app, currently the only channel open to non-residents. Applications with incomplete digital signatures are returned and must be filed again. We set up platform access as part of every engagement.

Three differences. Accountability: Narai Partners is a registered Thai law firm and an IR Global member, and its advice is covered by professional liability. Strategy: we test BOI promotion and the Treaty of Amity first, because they are usually faster and cheaper. Continuity: your file stays within Plizz Group, so one team handles your compliance after the license is issued.