Changing From Limited Partnership To Company

[Smithson]

Has anybody experience or knowledge with closing a Limited Partnership and starting a company that can aplly for a work permit?

I'm aware of what is required for the formation of a company, but would like some information to help someone with an existing Limited Partnership who would like to employ a farang and therefore needs to set up a company.

Thanks

[Web_Director]

Has anybody experience or knowledge with closing a Limited Partnership and starting a company that can aplly for a work permit?

I'm aware of what is required for the formation of a company, but would like some information to help someone with an existing Limited Partnership who would like to employ a farang and therefore needs to set up a company.

Thanks

Hi,

This is quite a big issue nowsaday. In principle, a limited partnership and a company are both juristic persons. Therefore, to close down a limited partnership you must go to the process of dissolution and then liquidation.

Based on my experience, only closing down a limited partenership is easy but the tax consequences of such disolution and liquidation are big problems. Under the laws, the Revenue Department has the power to audit the winding down limited partnership.

One of the best way to winding down a limited partnership and starting a new company is that you can do entirely transfer the business to a new set up company. In this way, all tax will be exempt. Hence, you will not have any problem with the Revenue Department.

Anyhow, I just wonder why you must close down a limited partnership and set up a company to get a work permit. You can get a work permit to work for a limited partnership as well.