Opening A Language Center In Suburbian Bangkok

[New007]

Just curious about what is needed from my Thai wife to set up a language center in Bangkok's suburbs. Are the rules the same as for opening a Co. Ltd? Or is it easier?

Can she employ foreign teachers and get a work permit for them? Can she apply for an SME-Loan?

What are the rules and laws here?

Thanks in advance for any comment or experience shared.

[New007]

Can anybody add comments for my financial questions? Thanks

[crazydrummerpauly]

Mmmm - is Suburbian a real English word ?

As for the answers you need about legal and financial matters,

if you try to set up a language-school on the cheap - i.e., without

a good Thai commercial lawyer - the experience of others who've

tried it suggests that you'll probably regret it. Unless of course

your Thai wife is great with legal mumbo-jumbo. For example,

a prominent UK businessman in my area told me recently that

although he has many staff coming and going, working on Reception,

running the bar etc, he never gets work permits because there is a rule

about needing to show a Million baht in co. assets for each work-permit

applied for. Now, that might be a bit of hyperbole - but if there is ANY kind

of requirement of that kind, you'd need to know about it before spending

too much setting-up cash ?

Good luck ! ( others have done it )

[SolarOhm]

If your wife sets up a 100% Thai company there is NO Capitalisation requirements for employing people - including Foreign staff/

[Sunbelt Asia]

Setting up a language school involves not only setting up a company but several other factors will need to be fulfilled as well.

If your wife sets up a 100% Thai owned limited company then 4 Thai employees on which social security is paid are required for each work permit. Obtaining work permits on a sole proprietorship may be difficult, the Bangkok Labor Office will not issue work permits to sole proprietorships, so it is better to check with the Provincial Labor Office as to their regulations before moving forward.

If the company is partially owned by a foreigner then 1 million baht in capitalization (since you are married to a Thai national- if not married to a Thai national then 2 million baht in capitalization is required) and 4 Thai employees is required for each work permit although some offices may allow 2 Thai employees per work permit the first year of operations.

A language school requires certification from the Ministry of Education in the Private Education Sector. The Ministry of Education also requires Thai majority ownership and a Thai director. Additionally, instructors generally need to be recognized by the Ministry of Education (ie Teachers License) before applying for the work permit as this would most likely be requested from the Labor Office before issuing the work permit.

A loan would depend on the bank and shopping around may be the best way to find a bank that will loan to a new business as some banks will and others will only offer loans to existing businesses.

[sunbelt][/sunbelt]