Increasingly, entrepreneurs are targeting Thailand, but can it overtake Singapore as a global startup hub?

[webfact]

Increasingly, entrepreneurs are targeting Thailand, but can it overtake Singapore as a global startup hub?

 

FILE photo

      

Thailand is experiencing a boom in applications from entrepreneurs seeking to take advantage of the investor-friendly Thailand Elite Residence Program.  With the latest sales figures indicating a nearly 60% growth in the fiscal first quarter and a profit of more than THB 280 million (approximately USD 8.75 million), overall demand for the program is at an all-time high. Most noticeable, however, is the sharp uptick from entrepreneur applicants: the number of these applications increased by more than 60% year-on-year between 2016 and 2018.  

 

Dominic Volek, Managing Partner and Head of Southeast Asia at global residence and citizenship advisory firm Henley & Partners, says Thailand has established itself as a target destination for entrepreneurs and investors wanting to do business or get their start-up off the ground. “The steep growth trajectory of entrepreneur investors for the Thailand Elite Residence Program over the last three years is proof of Thailand’s growing reputation as not only a country of exquisite beauty and exceptionally high living-standards, but also a fantastic place to do business.” 

 

Traditionally, Singapore has been the regional powerhouse for start-ups, owing to its business-friendly climate and impressive global access.  However, Thailand is rapidly catching up due to its technology-driven infrastructure and a burgeoning innovation culture. While the country is perhaps better known as a top tourist destination, the Thai government has strongly supported start-ups for a number of years, attracting investment from local and overseas investors, easing regulations, and extending tax waivers for venture capital.

 

These efforts have paid off, with the ongoing popularity of the Thailand Elite Residence Program indicating that interest in the country now extends far beyond its beautiful beaches, fine cuisine, and rich culture. The latest figures show that there is increasing interest in Thailand from Chinese investors and entrepreneurs in particular – between 2016 and 2018, the number of Chinese applicants for the Thailand Elite Residence Program grew more than seven-fold. The program is also popular with Japanese and French nationals, who nearly tripled and doubled their number of applicants respectively from 2016 to 2018. Other nationalities that favor the residence program include American, Australian, and British nationals.

 

The surge in program applications is part of a wider global trend, with increasing numbers of entrepreneur investors seeking alternative residence or citizenship. Volek adds: “Globally, we are seeing more and more interest amongst high-net-worth individuals wanting to acquire alternative residence or citizenship as a means of diversifying their family’s opportunities and business interests and improving their quality of life. This is reflected in Henley & Partners’ powerful overall growth in Southeast Asia, recording a nearly 50% year-on-year growth in the number of applicant submissions for both residence and citizenship programs from 2017 to 2018.”  

 

Since Henley & Partners became the official global concessionaire, the Thailand Elite Residence Program has expanded dramatically and now has over 7,500 members.  The first of its kind worldwide, the program is managed by Thailand Privilege Card Co. Ltd and offers applicants privilege entry visas, which include a wide range of VIP benefits. The program provides a multiple-entry visa to qualified applicants, allowing them to visit and reside in Thailand for a period of between five and twenty years, at a one-time cost of between THB 500,000 (approximately USD 16,000) and THB 2.14 million (approximately USD 68,000), depending on the option chosen. Benefits include airport limo services and lounge access, expedited immigration formalities, access to world-class healthcare services, dedicated concierge, and various privileges across hotels, shopping centers, golf courses, and more.

 

Henley & Partners caters to all clients interested in the program, either in person, via one of its offices globally, or virtually, via its online portal, thailandelite-direct.com.
 

[jackdd]

Yes, all the people who use the Thailand Elite Visa to run their business in Thailand. Doesn't a law firm know that working on the Thailand Elite Visa is forbidden?

Thai government supporting startups? I know today when a multi million Dollar company opens a subsidiary somwehere else they like to call this startup. But what most people call startup, starting a business alone or with 1-2 friends at home is not possible for foreigners in Thailand.

Maybe next time Henley & Partners should not let the intern write their marketing texts.

Should this thread not be tagged as "Advertorial"?

Edited May 9, 2019 by jackdd

[harada]

The powers to be seem to have this fixation about Thailand becoming another Singapore. Back in the early 1980's I can recall seeing a big sign on the outside of the Changi terminal saying NO CORRUPTION IN SINGAPORE, and to my amazement upon offering the girl at left luggage a couple of extra dollars for looking after my bags she said "oh no sir there's no corruption in Singapore" and there lies the reason why Thailand will never be another Singapore.

[yellowboat]

7 hours ago, webfact said:

However, Thailand is rapidly catching up due to its technology-driven infrastructure and a burgeoning innovation culture.

Laughable.   I guess if you have an elite card you can do no wrong is what you get from the picture.  Thailand's brain dead labor laws kill innovation, where as every other country welcomes it and you do need to pay thousands of dollars to participate.  Thais in China I work with laugh at this article.  Silly

[curlylekan]

Looking at the list of counties best for entrepreneurs, Thailand is 5th in Southeast Asia, and 50th overall. I love Thailand, but I don't believe the country has exceptionally high living standards. That I think of as Singapore. This is more an advert than a news worthy article.

[geoffbezoz]

More total BS. Some companies will say anything to get a headline.

[HiSoLowSoNoSo]

For sure the Thais can beat Singapore's 4 floors of whores, that's about the only thing I think they can overtake Singapore with. 

[Pilotman]

Not a chance in hell of Thailand ever coming close to Singapore.  The Singaporeans are well educated, well disciplined, socially aware, respecters of the Rule of Law, all the things that the Thais are not. It will never happen.  

[TheHangingJudge]

No no no more Hubs I can’t take it.

[batata]

10 hours ago, webfact said:

The latest figures show that there is increasing interest in Thailand from Chinese investors and entrepreneurs in particular – between 2016 and 2018, the number of Chinese applicants for the Thailand Elite Residence Program grew more than seven-fold.

Chinese investors!!!! no surprises then, all expected, Singapore is much to classy and not easy to corrupt for them

[geoffbezoz]

1 hour ago, HiSoLowSoNoSo said:

For sure the Thais can beat Singapore's 4 floors of whores, that's about the only thing I think they can overtake Singapore with. 

Absolutely Thailand can beat that hands down ( and knees ). ????  It really is the hub of GFE, LBE and AEE

Edited May 9, 2019 by geoffbezoz

[AtoZ]

Open bank account - Do you have work permit?

 

Open a business - did you hire 4 useless Thais yet?

 

Open a business - did you hand over 51% of your company to a Thai who can later stab you in the back?

 

Get to the office via BTS - oh no sir, you can't load your stupid metro card without passport.

 

This could go on, and on, and on.

 

[Traubert]

42 minutes ago, batata said:

Chinese investors!!!! no surprises then, all expected, Singapore is much to classy and not easy to corrupt for them

74.3% of Singapore's population are of Chinese ethnicity. 36.3% speak Mandarin. 29.8% speak English.

 

Any more gems of wisdom?

[Chang_paarp]

This might attract some until they encounter the petty mindless bureaucracy, corruption and Thainess.

[Fex Bluse]

16 hours ago, jackdd said:

Maybe next time Henley & Partners should not let the intern write their marketing texts.

Should this thread not be tagged as "Advertorial"?

Exactly. The quality also will never match Singapore as in Singapore there is law and order and the courts are at least not entirely biased against foreigners. 

 

In Thailand (as in China), many foreigners will have their assets/company stolen from under their feet and will have no legal recourse at all. 

 

There are almost ZERO successful startups by foreigners in Thailand. If there were, surely we would know about a few of them. 

[Creasy]

More fiction in this story than Ron L Hubbards delusional writing

[CLS]

Should the Thai Computer Crime Law not avoid the spread of such fake news.

Oh, I forgot this law is only made for anti-junta people.

But Singapore has now anti fake news law that deserves its name.


Sent from my iPhone using Thaivisa Connect

[impulse]

After 15 years of operations, the (Elite) program has over 7,000 members. 

 

With 40% identifying themselves as entrepreneurs and investors.  That makes 2,800 or so.

 

https://www.imidaily.com/asia-pacific/thailand-elite-residence-visa-applications-up-11x-in-four-years/

 

Edit:  I suspect a lot of the growth since 2014 is just cashed up long stay tourists who lived in Thailand anyway and could no longer count on coming and going unmolested by IO's on any other visa that they qualified for.

 

Edited May 9, 2019 by impulse

[Sealbash]

she said "oh no sir there's no corruption in Singapore" and there lies the reason why Thailand will never be another Singapore.

Never done business in Singapore, have you?


Sent from my iPhone using Thailand Forum - Thaivisa mobile app

[nev]

Hub? I have a friend called Porn mmmm I might be onto something here.

[Baerboxer]

23 hours ago, Pilotman said:

Not a chance in hell of Thailand ever coming close to Singapore.  The Singaporeans are well educated, well disciplined, socially aware, respecters of the Rule of Law, all the things that the Thais are not. It will never happen.  

 

That's arguably the benefit of living under a virtual dictatorship for years.

[batata]

23 hours ago, Traubert said:

74.3% of Singapore's population are of Chinese ethnicity. 36.3% speak Mandarin. 29.8% speak English.

 

Any more gems of wisdom?

did I quoted Singaporeans in my posts, am very well aware the majority of Singaporeans are of Chinese DESCENTS thus has nothing to do with mainland people investing there and try their way, was there recently at my bank, Chinese from China (not Chinese from Singapore) were there trying to make their way and my account representative told me the troubles they were having, next time keep your wisdom for yourself, I have enough (wisdom) to keep me happy and going

[batata]

13 hours ago, Chang_paarp said:

This might attract some until they encounter the petty mindless bureaucracy, corruption and Thainess.

would expect well informed potential investors, if so they would know about the difficulties of opening bank account, visa, work permit and so forth...not many would be going through the  hassle

[bwpage3]

Anyone that thinks Thailand will ever become Singapore is living in a pipe dream.

[Chang_paarp]

2 hours ago, batata said:

would expect well informed potential investors, if so they would know about the difficulties of opening bank account, visa, work permit and so forth...not many would be going through the  hassle

I'll give you an example.

 

Met a man who was part of a BOI company that were investing just under 100 million Baht to open a car parts factory. They had the funds all worked out and sitting an account in home country and had a "recommended" lawyer to guide them through the maze.

They needed to open a Thai company to operate the local factory. Lawyer starts the paperwork. Time to come up with the registered capital (10 mil Baht or so) to make the company. OK will need to transfer it to the company bank account.

Off to the bank... Cannot open bank account without company. 

Back to the company registration office, cannot register company without registered capital.

Under home country laws cannot transfer capital without company controlled by parent company. Remember Thailand does not have laws covering escrow accounts, the bank deposits are not protected by Thai law either.

This goes around a couple of times involving several reams of paperwork with no one  willing to work with one another or the investor, they ended up telling the BOI they were not able to invest in Thailand, and all of a sudden the problems went away. 

That was the start of the petty bureaucracy. Every copy of a document has to be signed by the director and so on, it just goes on. The gentleman I spoke with said he would have waived the tax holiday the BOI investment gave them and gone elsewhere if he had known the degree of pettiness he was dealing with on daily basis.

[johng]

 
There are almost ZERO successful startups by foreigners in Thailand. If there were, surely we would know about a few of them. 

The Pizza Company ?....even Carlsberg and Pepsi got shafted.[emoji30]

[madmen]

bashers not liking this at all ????

[madmen]

On 5/9/2019 at 4:18 PM, Pilotman said:

Not a chance in hell of Thailand ever coming close to Singapore.  The Singaporeans are well educated, well disciplined, socially aware, respecters of the Rule of Law, all the things that the Thais are not. It will never happen.  

delete

Edited May 10, 2019 by madmen

[madmen]

On 5/9/2019 at 5:48 PM, batata said:

Chinese investors!!!! no surprises then, all expected, Singapore is much to classy and not easy to corrupt for them

Gun foot SHOOT !!!

 

singapore is a multiracial and multicultural country withethnic Chinese (76.2% of the citizen population), Malays (15.0%), and ethnic Indians (7.4%) making up the majority of the population. There are also Eurasians in Singapore. The Malays are recognised as the indigenous community.

[Pilotman]

5 hours ago, Baerboxer said:

 

That's arguably the benefit of living under a virtual dictatorship for years.

Nothing wrong with a dictatorship, Just so long as you are the Dictator  ????