I'm interested in starting a business in Thailand

[mrclean]

I'm receiving my associates in International Business & Trade. Originally I was going to open a bar in Japan, but the military curfew canceled that. But I've proven again and again that I can sell something if there are people available to buy it. I don't care about living in the US. Japan was awesome but I think Thailand would be "less restricted." I've never been there. I already have a product, employees ready to go but I'm not super rich. What's a great place to look into? Somewhere growing. Not necessarily Bangkok, but not-not Bangkok. Anyone over there have any idea?

[varun]

Although I wish you well with your startup, you'll definitely have your fair share of pitfalls, ESPECIALLY in Thailand.

You'll have to jump through a lot of hoops to get a business up and running here.

You can forget about opening a bar, don't do it.

Unless you have all of the below mentioned, you should think twice about opening a startup

- A solid business plan based on good research and due diligence

- A decent amount of savings as a cushion / exit strategy in case things don't go as planned

- A really fantastic idea and/or a product

Clearly, you've not done your homework, you'll need to visit Thailand at least once to get a feel for the people.

[Saraphee]

Your start up business here in Thailand will soon make a small fortune -

provided you start it with a large one!

[bushman1666]

Thailand would be "less restricted." VERY, VERY wrong assumption. You will find it very difficult to get a work permit here if it is a job a Thai person can do. If you want to start a limited company you will need 6 Thai directors for every non-Thai director. The Thai authorities have deliberately designed the system to be difficult for foreigners to start a business or even work here. You haven't even been to Thailand so know nothing of the Thai work ethic or the culture. Are you mad? Maybe check out Singapore, Cambodia or Vietnam as I understand those nations are more open to foreign entrepreneurs.

[ozsamurai]

Look into Bangkok Bar Sales, this guy knows his numbers, has bars all over the place and will set you some solid advise. I don't think I can link here but google will turn it up.

https://www.facebook.com/BangkokBarSales

Oz

[p_brownstone]

If you want to start a limited company you will need 6 Thai directors for every non-Thai director. The Thai authorities have deliberately designed the system to be difficult for foreigners to start a business or even work here.

Totally incorrect information. There are absolutely no regulations covering Nationality of Directors.

You can start a Thai Registered Company with only 3 Shareholders provided 51% of the Shareholding is in the name of Thai Nationals.

Patrick

[p_brownstone]

Look into Bangkok Bar Sales, this guy knows his numbers, has bars all over the place and will set you some solid advise. I don't think I can link here but google will turn it up.

https://www.facebook.com/BangkokBarSales

Oz

Ridiculous advice!

Virtually EVERY "Listing" on that Site reads something like the following examples, and I Quote :

"Price reduced - was 950,000 baht, now 700,000 baht plus 45,000 baht key money"

"Modern Hostess Bar with Kitchenette and Rental Accommodation Upstairs - Sukhumvit - now 2.9 million baht (previously advertised at 3.9 million baht)"

"Listing 0584 - Beach Bar in Phuket 90 meters from the Beach - Kamala Beach, Phuket, Thailand Was 4,800,000 baht, now 3,900,000 baht!"

Desperate Sellers looking for foolish Buyers.

Patrick

[Bangkok Bar Sales]

Thanks for your confidence in us Oz, and thank you also Patrick for your feedback. Slightly off topic, but just to address your comments Patrick. We have just gone through significant political unrest that has impacted bars and other hospitality industries. In short, the bar owners are hurting a bit at the moment because the expected sales that high season normally brings just didn’t eventuate. Our advice to bar owners a few months back was to ride it out and not to reduce their prices, as we didn’t think price was the reason for slow sales. Regardless, many did reduce their prices, and over our portfolio, there has been an approximate 30% reduction in prices since December 2013. The result is not good for sellers, but we do have some reasonably good priced bars on our books now.

To address MrClean’s post, investing in a bar in Thailand can be lucrative, but like any small business they require proper management and the failure rates are high (just like any start-up/small business in any country). If you are considering a bar as an investment, our advice is. If you intend managing it, you have to be a ‘bar’ sort of person – you have to be able to mix with and entertain drunks. They have to like you enough to come back and bring their friends. If you or someone you employ to do this can’t, then it probably won’t work. Secondly and more importantly, staff. If you don’t have the right staff and the right number of staff, you will almost certainly fail. Finally, location – not always critical, but if your plan is to build your clientele with passing trade (for example), you need to buy in the right location.

[ozsamurai]

told you he was a straight shooter! Patrick you obviously have more posts than time in Thailand, when you find a good guy doing a good job you should take a look, there are too many rip-offs and people shooting from the hip when they know stuff all about it.

Oz

Edited April 18, 2014 by ozsamurai

[Naam]

If you want to start a limited company you will need 6 Thai directors for every non-Thai director. The Thai authorities have deliberately designed the system to be difficult for foreigners to start a business or even work here.

Totally incorrect information. There are absolutely no regulations covering Nationality of Directors.

You can start a Thai Registered Company with only 3 Shareholders provided 51% of the Shareholding is in the name of Thai Nationals.

Patrick

and a single director of any nationality.

[Showbags]

If you can sell anything to anyone...prove it to me....

I have something for you to sell.

[ozsamurai]

I hear foreskins are a good commodity these days. Seems everyone wants them back.....

Oz

[Showbags]

I hear foreskins are a good commodity these days. Seems everyone wants them back.....

Oz

Refunds are not good for any business.

[p_brownstone]

told you he was a straight shooter! Patrick you obviously have more posts than time in Thailand, when you find a good guy doing a good job you should take a look, there are too many rip-offs and people shooting from the hip when they know stuff all about it.

Oz

I don't quite get your point about "more posts than time in Thailand" - I would imagine most people would be in that situation but if it matters to you I have been in Thailand for 43 years.

BBS's first Post merely underlines my opinion - how can anyone suggest that buying something that has decreased in value by 30% in a few months can possibly be a good investment?

Patrick

[ozsamurai]

<script type='text/javascript'>window.mod_pagespeed_start = Number(new Date());</script>

told you he was a straight shooter! Patrick you obviously have more posts than time in Thailand, when you find a good guy doing a good job you should take a look, there are too many rip-offs and people shooting from the hip when they know stuff all about it.

Oz

I don't quite get your point about "more posts than time in Thailand" - I would imagine most people would be in that situation but if it matters to you I have been in Thailand for 43 years.

BBS's first Post merely underlines my opinion - how can anyone suggest that buying something that has decreased in value by 30% in a few months can possibly be a good investment?

Patrick

I could not care less if the OP wants to invest in pork bellies, race horses or elephant manure. What I did was advise him to seek counsel from someone that could steer him straight to avoid being another of those 'statistics' we see here on TV. Your comments on something you knew nothing about (calling it BS) after a 5 second glance at a page was not required, maybe those 43 years has made you bitter?

I have done this time and again in other threads, people have asked for advise, I give them info or a link or stuff that I have found the hard way, and been treated as if I am the moron for helping.

Oz

[ezzra]

Thanks for your confidence in us Oz, and thank you also Patrick for your feedback. Slightly off topic, but just to address your comments Patrick. We have just gone through significant political unrest that has impacted bars and other hospitality industries. In short, the bar owners are hurting a bit at the moment because the expected sales that high season normally brings just didn’t eventuate. Our advice to bar owners a few months back was to ride it out and not to reduce their prices, as we didn’t think price was the reason for slow sales. Regardless, many did reduce their prices, and over our portfolio, there has been an approximate 30% reduction in prices since December 2013. The result is not good for sellers, but we do have some reasonably good priced bars on our books now.

To address MrClean’s post, investing in a bar in Thailand can be lucrative, but like any small business they require proper management and the failure rates are high (just like any start-up/small business in any country). If you are considering a bar as an investment, our advice is. If you intend managing it, you have to be a ‘bar’ sort of person – you have to be able to mix with and entertain drunks. They have to like you enough to come back and bring their friends. If you or someone you employ to do this can’t, then it probably won’t work. Secondly and more importantly, staff. If you don’t have the right staff and the right number of staff, you will almost certainly fail. Finally, location – not always critical, but if your plan is to build your clientele with passing trade (for example), you need to buy in the right location.

But above all, to really have a successful bar is to have good looking girls working for you, if you

don't have that, no matter how diligent and smart and good business man you're, they will not come....

[Tatsujin]

Simple rule in Thailand:

"To make a small fortune, start with a large one"

[Showbags]

Simple rule in Thailand:

"To make a small fortune, start with a large one"

How droll...

[Tatsujin]

Simple rule in Thailand:

"To make a small fortune, start with a large one"

How droll...

How true in most cases ...

[oldsailor35]

Thailand would be "less restricted." VERY, VERY wrong assumption. You will find it very difficult to get a work permit here if it is a job a Thai person can do. If you want to start a limited company you will need 6 Thai directors for every non-Thai director. The Thai authorities have deliberately designed the system to be difficult for foreigners to start a business or even work here. You haven't even been to Thailand so know nothing of the Thai work ethic or the culture. Are you mad? Maybe check out Singapore, Cambodia or Vietnam as I understand those nations are more open to foreign entrepreneurs.

Even Myanmar which is just beginning to move.

[opalred]

thailand is on a slippery slide everyone i have known over the yrs in c m and patong have lost money in bars but wont tell the new buyer that go to burma where the shin clan are unloading there baht get in the bottom floor with them you will make money cheers

[Sydebolle]

If you're into a money making restaurant, licensed, all above board incl freehold property then PM me.

[ozsamurai]

<script type='text/javascript'>window.mod_pagespeed_start = Number(new Date());</script>

If you're into a money making restaurant, licensed, all above board incl freehold property then PM me.

And this is a great example perhaps, majority of posters telling the guy to do some homework, and some one pops in with a 'too good to be true' offer.

Oz

[jeff2258]

What is a good investment, how long will it takes to get back your capital and how much can you make from your investment? this are few question you need to find the answer before you really considering putting in your money. I've invested 2 million in Thailand doing agriculture products and because of the rules, the people thinking, the country political problems and etc.. I couldn't even make anything to regain my capital after a year and have no choice but to close the business down. The worst thing is that not easy to even ending your business once you started one here. I'm lucky someone introduced me to an investment that is now giving me a returned of 12% monthly without worrying on whether I can sell or not, what is my next move, how much I need to take out to buy stock and etc. It is depend on how much you want out of your investment and how much of risk you willing to take?

[sixthelement]

In Thailand, to start a business and prosper, you must:

1/ create a network of thai connections, they will help you go through the bribery/heavy bureaucracy/non sense involved with business in Thailand

Remember, one good connection can save your ass when shit hit the fan, and save you a looooot of money.

2/Learn that from day one, especially writing and reading. Thai business vocabulary consists of about 500 words and you ll be able to check and make make sure nobody screws you.

3/try to do everything according to the law. (As much as possible)

Don't listen to your lawyer/accountant when he offers you a bunch of thai nominees as shareholder or any other shaddy advice because things are getting volatile these days and the day you have a problem, they won't answer your calls.

4/ Your company will be Thai. Live with it! But it has good sides as well, you can sign up to Thai associations (houseware, gift, entertainment..) and take advantage of the flowing money that comes into it. Sponsorship, reduced flight ticket, invitations to business event abroad to name but a few...

5/Avoid bar, massage, restaurant businesses.

Not that you cannot make money, few does, but you ll be constantly extorted and it is no fun.

6/ don't invest money. Mark Cuban says it: 'make money in Thailand first and invest it later on.'

That will give you time to reassess the situation and avoid costly mistakes

Hope this will help,

G

[thewug]

Why not check out Vietnam or Cambodia before you decide. Now with the situation here these countries might be a better option. And don't forget the free-trade option of the ASEAN.

[ozsamurai]

I know plenty who have lost money on bars, regardless of the country, and more who have made a killing. It all falls down to the perception of the business and the reality of it! If you know what your demographics are, the constraints you can work within and have a good plan to adapt these to your business with flexibility, then you are a business. Too many of the horrors we hear are guys who think that sitting around all day drinking with their buddies for a hobby constitutes a business, and then they wonder (after drinking the profits) why there is no money in bars! I have owned or partnered in 4 nightclubs, 3 bars and 2 restaurants, not one of them has ever made a loss for me. Its a case of setting yourself realistic goals, factoring in "this is Thailand, or Japan, or Burma" and setting to it like any business.

Oz

[thewug]

Yes forget the bar thing altogether. You will just waste your money and time. As for a restaurant only do if you have experience and passion for it.

[Suradit69]

I've proven again and again that I can sell something if there are people available to buy it.

Generally successful sales ability implies a good understanding of the market (and a fluency in the local language). It doesn't sound like you have the least understanding of the market here in Thailand.

Having a piece of paper that says you know something about international trade and a history of making a failed shot at opening a bar in Japan aren't likely to work to your advantage here.

And you really don't seem to have any realistic, rational reason for choosing to come to Thailand. Setting up a business here is far from easy and the odds of you surviving, let alone succeeding, are very close to nil. Presumably you have been unable to get anything off the ground in the US. There are plenty of people in the US to buy whatever it is you're selling if you really have the alleged golden touch as a salesman. And when it flops you can get a monthly unemployment check.

Edited April 19, 2014 by Suradit69

[Sirbergan]

Thailand would be "less restricted." VERY, VERY wrong assumption. You will find it very difficult to get a work permit here if it is a job a Thai person can do. If you want to start a limited company you will need 6 Thai directors for every non-Thai director. The Thai authorities have deliberately designed the system to be difficult for foreigners to start a business or even work here. You haven't even been to Thailand so know nothing of the Thai work ethic or the culture. Are you mad? Maybe check out Singapore, Cambodia or Vietnam as I understand those nations are more open to foreign entrepreneurs.

Even Myanmar which is just beginning to move.

Myanmar can do as they please, don't feed the troll.

Brushman, what is wrong with you? You write a very, very wrong post, with misinformation upon misinformation. Why are you trying to give advice when you've clearly got no clue whatsoever? You need a Thai person with 51% of the shares. After that, you need 4 employees of Thai nationality, plus 2 million baht funds, for each and every work permit held by a foreign national. Apparently the 2 million can be reduced to 1 million if you're married, but according to the lawyers I've spoken to, there's no reduction of the number of Thai employees needed if you're being married.

You continue to say "You haven't even been to Thailand…" - yet the information you provide is so fundamentally incorrect that a single Internet search would prove you wrong.

Edit 1: You can even become CEO (at a later stage), though I think that's not possible from the start.

Edit 2: To OP – You say you've got "employees ready to go" - that's not the case, unless you're also ready to hire 4 Thai people per your "employee to go".

Edit 3: Not saying this to play big shot, only to show that I know what I'm talking about – I'm already a company owner, so I should know that Brushman's post is absolute rubbish.

Edited April 19, 2014 by Sirbergan