A Plan?

[ferris]

Hello all,

First let me say that I have been reading the posts in TV on an off for about three months and I have already gleaned a little information. Thanks. It is refreshing to read a forum that has a positive slant on living and working in Thailand.

I apologise now for my first post and if I am going over old ground.

I am 50 years old. I live and work in the UK. I have a degree in English. I have visited Thailand on many occasions and would like to try to live there. I would have about 6 million baht to my name. I do not want to retire. Probably couldn’t afford to anyway!

The plan: Teach English, if I have to (I have taught mechanical engineering to City and Guilds level) would I be the oldest teacher in Thailand? Not sure I’d like that. If this does look like a good idea then I would take a refresher course here in the UK. This would be short term. I hope. After having a look around……..

I would then like to buy a business in Thailand…something that would bring in a regular, if small, income. I have read the classifieds on TV and I’m not sure the figures always add up. Some of the businesses do seem ‘too good to be true’ earning good returns for comparatively little investment. Do the owners keep accurate audited accounts, or am I expecting too much. Does anyone have experience of buying one of these businesses, a restaurant for example? Did it work out? Can you live modestly off the income?

I also have an idea for a manufacturing business, parts I already make here in the UK and ship to Thailand…but more of that later.

Again thanks for all the info I’ve all ready gleaned, and please do not think you have to hold my hand through this….but I just need someone to advise if this is a viable plan…if it is not then…….mmmmmmmmmmmmmmm…….erh…..back to the drawing board.

Ferris

[JSixpack]

would I be the oldest teacher in Thailand? Not sure I’d like that.

Not to worry. In Thailand you can teach English past your 90s if you can just dodder into the classroom. I know of several teachers in their 70s.

I would then like to buy a business in Thailand…something that would bring in a regular, if small, income. I have read the classifieds on TV and I’m not sure the figures always add up. Some of the businesses do seem ‘too good to be true’ earning good returns for comparatively little investment. Do the owners keep accurate audited accounts, or am I expecting too much. Does anyone have experience of buying one of these businesses, a restaurant for example? Did it work out? Can you live modestly off the income?

Forget it. Too much risk, for the reasons you suspect above, considering the modest amount you have to invest safely. And far too much headache in Thailand. Some entrepreneurs can of course cope, but they usually have a business ownership track record back home too. (Generally speaking, if you can't work it back home, you can't work it in Thailand either.)

You'd be better off investing wisely in the UK share or propery markets, live off that income & capital gain, and consider that your business. Otherwise, you always have the internet . . . .

[Tomkagai]

I would then like to buy a business in Thailand…something that would bring in a regular, if small, income. I have read the classifieds on TV and I'm not sure the figures always add up. Some of the businesses do seem 'too good to be true' earning good returns for comparatively little investment. Do the owners keep accurate audited accounts, or am I expecting too much. Does anyone have experience of buying one of these businesses, a restaurant for example? Did it work out? Can you live modestly off the income?

To cite the old saying....if it seems to go to be true, then it generally is.....very relevant to Thailand...

I also have an idea for a manufacturing business, parts I already make here in the UK and ship to Thailand…but more of that later.

Personally I think this would be your best option......

[bendix]

If you can generate 6% after tax, your 6m will give you 30,000 a month. Add another 25-30,000 earned from teaching and you might be alright, but - let's face it - you're not going to save much for when you can't work. Have you thought of that?

And don't forget unexpected costs - medical expenses etc - as well as the not inconsiderable costs of actually setting up a life here.

Edited July 1, 2008 by bendix

[ferris]

Hello again.

Thanks for the prompt replies. J Sixpack, Tomkagai, and Bendix. Unfortunately it's much as I thought, in an effort to attract buyers the lower end businesses tend to exaggerate their earnings potential

I think I will attack this from a different angle, that is, try (with the emphasis on 'try') to start an internet concern (does it have to be ebay??) while I am living in the UK, with a view to transferring it wholesale when I eventually move to Thailand.

Teach….oh god I never though I'd have to do that again…but…needs must.

The above should bring in a small income while I source my manufactured parts. These are very specialized (material wise) but it should not take me long to train someone how to make them. I take it I would have to start a company?

Ok…does this sound any better?

Thanks again,

Ferris

[johnnyk]

My advice would be invest your money offshore tax-free (deposit account, shares, unit trusts etc) that can give monthly income. Teach to supplement this income. College jobs offer only about 30K a month but only 12-15 contact hours weekly plus opportunity for privates to add 10K easily to that.

You can live nicely on 40-60K a month if you are outside BKK and tourist areas (i.e. the real Thailand) where that sum won't afford much enjoyment.

Come to Thailand and spend time exploring to find a place that agrees with you.

Unless you have experience runnng a business, don't do it. In Thailand it can be a nightmare even for those with experience.

Edited July 1, 2008 by johnnyk

[ferris]

My advice would be invest your money offshore tax-free (deposit account, shares, unit trusts etc) that can give monthly income. Teach to supplement this income. College jobs offer only about 30K a month but only 12-15 contact hours weekly plus opportunity for privates to add 10K easily to that.

You can live nicely on 40-60K a month if you are outside BKK and tourist areas (i.e. the real Thailand) where that sum won't afford much enjoyment.

Come to Thailand and spend time exploring to find a place that agrees with you.

Unless you have experience runnng a business, don't do it. In Thailand it can be a nightmare even for those with experience.

HI JohnnyK,

I like the idea of an off-shore tax free income, and I have almost resigned myself to having to teach to make ends meet. (Actually starting to look forward to teaching now) I have no intention of living in tourist areas, although it would be fun to visit one once in a while. I am reluctant to let the manufacturing side go as the parts i make are so profitable and I wouldn't need to make that many. Perhaps I could keep this under my hat for a while while i try to establish myself in Thailand. Again, thanks for taking the time to reply....now I'm off to read the 'Teaching in Thailand' forum...

Ferris

[Prakanong]

Keep the manufacturing idea going - its your best bet along with income from your capital invested.

Teach as well if needs must

[johnnyk]

Or teach until you get the manuf up and running.

Chok dee krap!

[tomuk76]

To say you cant live comfortable in bangkok on a income of between 40 - 60k per month is just silly!

Edited July 3, 2008 by tomuk76

[lardy]

To say you cant live comfortable in bangkok on a income of between 40 - 60k per month is just silly!

I'll second that.

[london]

Hello all,

I am 50 years old. I live and work in the UK. I have a degree in English. I have visited Thailand on many occasions and would like to try to live there. I would have about 6 million baht to my name. I do not want to retire. Probably couldn’t afford to anyway!

The plan: Teach English, if I have to (I have taught mechanical engineering to City and Guilds level) would I be the oldest teacher in Thailand? Not sure I’d like that. If this does look like a good idea then I would take a refresher course here in the UK. This would be short term. I hope. After having a look around……..

I would then like to buy a business in Thailand…something that would bring in a regular, if small, income. I have read the classifieds on TV and I’m not sure the figures always add up. Some of the businesses do seem ‘too good to be true’ earning good returns for comparatively little investment. Do the owners keep accurate audited accounts, or am I expecting too much. Does anyone have experience of buying one of these businesses, a restaurant for example? Did it work out? Can you live modestly off the income?

I also have an idea for a manufacturing business, parts I already make here in the UK and ship to Thailand…but more of that later.

Ferris

Hi Ferris,

what I am about to say depends a lot on your actual experience, so please take it in the manner it is said.

50 isn't old....certainly not considered so in relation to farangs in Thailand.

I take it that you are a teacher. If I am correct, the next question is: have you actually had any experience in running a business?

Re income: 6 million baht is not a lot of money to bring into the country. (I know that many will disagree). But lets look at it this way: rent will be from 10,000 baht up per month, food around 8500 (no alcohol), power around 2000, entertaining, anywhere from 1 baht up...but say 3000 MIN. So to actually "live" in say Bangkok, you'll need an income of around 282,000 baht pa. So even at 30,000 baht per month on wages, you'll be OK. IF you invested ALL your money in a Thai account earning 5%, then basically, without a job, you'd be able to live on this income. However, please remember that there are ALWAYS other expenses that crop up....unexpectedly.

I would question whether you would or should actually bring that money into the country anyway. Certainly, you'd need 1 million for a Retirement Visa..but the rest I would suggest should be left off-shore in a more stable economic environment. Also, this will give you a safety net in case you later decide that Thailand isn't for you.

Getting back to running a business. If you haven't previously done this, then I'm sorry to say that you will most likely lose your shirt...certainly within 12 months....and most likely ALL your funds as well.

If you actually HAVE run a business, please remember that this is Asia...and the rules are far from set. I have a dear friend, who successfully ran his own business in Australia, who decided to sell up and start a business in the Philippines....a restaurant. After 12 months he was in difficulty....after 2 years broke. He is now 62 and hasn't recovered financially.

Ferris, if you are serious about this, live in Thailand for around 3 months....see how you feel. Get information from reliable sources, a good Thai solicitor (preferably working for a large international firm), a banker and even a business broker...but don't feel that the money you spend on such advice will be wasted. In fact, it could be the best investment that you could ever make.

Thai Visa is a good source of anecdotal material....and thats fine, for what its worth. But you are looking at investing ALL you have....thats a very big call. Tread very carefully.

Chok dee!

[cynthialee]

dam_n you all so negative on guys coming fresh off the boat and wanting to start a business here!

is their a reason for all yr negativity or you all just negative people.

or is it usually becoz the few bits of info op give it just sounds like they got no clue to what they are gettin into.

no offense but teachers teach not go to another country and clean up business wise.

Edited July 8, 2008 by cynthialee

[Gumballl]

dam_n you all so negative on guys coming fresh off the boat and wanting to start a business here!

is their a reason for all yr negativity or you all just negative people.

or is it usually becoz the few bits of info op give it just sounds like they got no clue to what they are gettin into.

no offense but teachers teach not go to another country and clean up business wise.

The previous posts may seem negative, but they are probably closer to being realistic than being "puffy" with dreams of making it rich in Thailand.

I hope that you are not a teacher in Thailand... your English (grammar) is pathetic.

[cynthialee]

this is wot im hearing.

op manufactures a very profitable product. problemo is it has a very small market, so its not enuff, he needs more thats why hes reaching to venture into areas where he is less than knowledgeable.

i mean if you had a profitable product wouldnt you try to make as much as possible as fast as you can. would you keeps it under wraps and go to thailand and see whats up.

something doenst add up here. like thai math teachers 2 plus2 equal i dunno! just a joke .

and if his product is so profitable why does he only have 6m baht at age 50. im sure in his country he s not doing too well financially .

Edited July 8, 2008 by cynthialee

[london]

dam_n you all so negative on guys coming fresh off the boat and wanting to start a business here!

I take it that you are being sarcastic here.

s their a reason for all yr negativity or you all just negative people.

I think that you may be confusing "negativity" with realism.

or is it usually becoz the few bits of info op give it just sounds like they got no clue to what they are gettin into

Mmmmm, could be VERY close to the mark.

no offense but teachers teach not go to another country and clean up business wise.

99.99% correct.

[cynthialee]

london you see my sarcasm i guess, not too many catch it. or they do and just dont like it. they worry more about the delivery than the message.

GOD BLESS YOU!

[london]

this is wot im hearing.

op manufactures a very profitable product. problemo is it has a very small market, so its not enuff, he needs more thats why hes reaching to venture into areas where he is less than knowledgeable.

Cynthia, you are obviously hearing something different to what I am reading into what the OP has said.

OP has not mentioned anything about a "very profitable product", nor about "a very small market". Certainly, IF he manufactures a very profitable product, then by definition, he certainly would not be venturing into areas where he is less than knowledgeable.

i mean if you had a profitable product wouldnt you try to make as much as possible as fast as you can. would you keeps it under wraps and go to thailand and see whats up.

Interesting theory.

something doenst add up here. like thai math teachers 2 plus2 equal i dunno! just a joke

It could be Cynthia, that the OP just is thinking about ideas, unresearched at this stage. This is what I feel is the situation.

and if his product is so profitable why does he only have 6m baht at age 50. im sure in his country he s not doing too well financially

Ahah ! Now this is why you may feel that all the posts previously are negative. I believe that they are realistic in advising Ferris to tread carefully. It seems to me that he HASN'T manufacturing experience, that is funding is very tight, and that he hasn't experience of manufacturing offshore (ie: Thailand).

There are many reasons why many farang are not millionaires (despite the commonly held Thai view that we all are!). However, Ferris' financial situation is NOT that unusual, and in fact he would be better off than many who land on these shores.

[london]

this is wot im hearing.

op manufactures a very profitable product. problemo is it has a very small market, so its not enuff, he needs more thats why hes reaching to venture into areas where he is less than knowledgeable.

Cynthia, you are obviously hearing something different to what I am reading into what the OP has said.

OP has not mentioned anything about a "very profitable product", nor about "a very small market". Certainly, IF he manufactures a very profitable product, then by definition, he certainly would not be venturing into areas where he is less than knowledgeable.

i mean if you had a profitable product wouldnt you try to make as much as possible as fast as you can. would you keeps it under wraps and go to thailand and see whats up.

Interesting theory.

something doenst add up here. like thai math teachers 2 plus2 equal i dunno! just a joke

It could be Cynthia, that the OP just is thinking about ideas, unresearched at this stage. This is what I feel is the situation.

and if his product is so profitable why does he only have 6m baht at age 50. im sure in his country he s not doing too well financially

Ahah ! Now this is why you may feel that all the posts previously are negative. I believe that they are realistic in advising Ferris to tread carefully. It seems to me that he HASN'T manufacturing experience, that is funding is very tight, and that he hasn't experience of manufacturing offshore (ie: Thailand).

There are many reasons why many farang are not millionaires (despite the commonly held Thai view that we all are!). However, Ferris' financial situation is NOT that unusual, and in fact he would be better off than many who land on these shores.

[london]

london you see my sarcasm i guess, not too many catch it. or they do and just dont like it. they worry more about the delivery than the message.

GOD BLESS YOU!

Kop Khun Krup !!!

[cynthialee]

read post number 7 op states he has a hold of a very profitable product he currently makes.

[london]

read post number 7 op states he has a hold of a very profitable product he currently makes.

Dear Cynthia,

yes, I saw ....but IF it is SO "profitable" why:

1) would you worry about even manufacturing it in any place other than where it is (or may be) being manufactured now ?

2) only have assets of 6 million (as you previously raised) ?

I'm sure you'd agree...there is some inconsistency here.

Edited July 8, 2008 by london

[farang555]

who knows what op is thinking to be honest, i dont understand his reasoning as im sure you can tell.

just entertaining to see how people think.

[awakened]

Hi Ferris

I tried to establish a Thai branch of an International trading company for two years when I first came to Bangkok. Due to a number of factors.. greedy factories who wanted 35% while Chinese factories work off 10%, missed deadlines, poor quality components from China, a lack of urgency, particularly from the Thai Thais, a sinking dollar, buyers wanting Thai quality at China prices and 60% margins for middle men in the States who do FA, I gave it up as a bad job.

My experience may not be yours. If you do run a business be aware of the pitfalls. Saying that, there are plenty of Brit bar owners who seem to get by. They have premises with rooms so can generate income from booze, bed and birds. I doubt very much if some of them had 6 million to start with. It's not my scene but it may be yours.

If you had the cash to buy a decent property, you could rent it out for 20,000+ and rent your own place for under 10k. Live off the difference. If the thais can live off less than 10k a month, so can you. Depends what kind of lifestyle you want to live.

One possibility is to go to the trade shows, say at 'Impact' and offer your services to Thai factories or companies. Even International companies. There are some who would benefit from native English speakers and you could do a deal based on commission or salary. Haven't tried it, so it may not fly.