New Phuket firms over Bt5m capital must now show the money

[webfact]

New Phuket firms over B5m capital must now show the money
Tanyaluk Sakoot


Show us the money: The Phuiket Business Development Office. Photo Google Street View

PHUKET: -- The national Department of Business Development has amended regulations on company and partnership registration, and on increasing company capital.

With effect from January 5, any Thai company or partnership declaring capital of B5 million or more when registering must prove that the capital actually exists. The same applies to companies increasing capital to more than B5 million.

The new rule came into force after Commerce Minister Gen Chatchai Sarikaya noted that there had been a surge in such businesses being registered since January 5 this year.

Any business registering as having B5 million or more in capital must produce documentary evidence of cash invested in the company within 15 days of registering. If the investment is in assets (land, for example), supporting documentation must be produced within 90 days.

In the case of capital in an existing company being increased, evidence of that must be produced at the time the increase is registered.

Surachai Chaiwat, Vice President Phuket Chamber of Commerce said, “I completely agree with this. It brings transparency to business.

“I don’t think there will be many objections to this because usually it’s only big businesses that have registered capital of more than B5 million – such as my own vehicle business.

“It creates a level playing field for all businesses at this level.”

The Vice-Chairman of the International Business Association of Phuket, Jason Beavan, GM of Class Act Media, agreed. “It’s sensible. There have been too many people exploiting the existing loopholes up until now,” he said.

The new rule does not affect existing businesses as long as they do not increase their capital beyond B5 million.

Source: http://www.thephuketnews.com/new-phuket-firms-over-b5m-capital-must-now-show-the-money-50734.php


-- Phuket News 2015-01-26

[wowfactor10]

My advse for farangs is to not open any company in this country !

[hansgruber]

So you must now do what was really supposed to be done in the first place?

Lawyers will find another hole.

[BKKdreaming]

Please declare how much money you have so we know what kind of new "police" car we need to order from Mercedes !

[realenglish1]

More Corp restrictions Foreigners have many other venues to choose from and Thailand is sure not on top of the list

You have to be competitive not restrictive

[Suffinator]

Yes they actually want to see just how much they can steal. You'd have to be moron to do business in Thailand ... who in their right mind would invest money and then hand over 51% of it to a bunch of crook?

The previous loopholes were only created to prevent foreigners being fleeced of their assets and now that's closed. This will send a clear message to foreign investors, especially small businesses which will only restrict growth.

Two things you should never do in Thailand ... 1. Set up a business and 2. Buy property ... even visiting is a risky proposition.

[hansgruber]

So if I open a firm outside Phuket I can still use the old loophole?

Why is Phuket being singled out and the rest of Thailand isn't? Hmmm.

[off road pat]

It's a bit to late for all those Wonderful resorts on Koh Samui etc....that have been build just to whitewash money from worldwide criminal organisations ...they are completely legit now.....and can prove there money came via legit. ways.....at least some of it.....!!!

[thhMan]

This applies to all individuals... Thai and foreign.. correct?

Why not start with something simple.. perhaps like... enforcing the use of blinkers to indicate to others that a vehicle is turning....

[ChoakMyDee]

The happiest day of my life in Thailand was when I walked away from a losing business. Haven't opened one since and when my wife suggests we try a new business I just laugh.

[stevenl]

So if I open a firm outside Phuket I can still use the old loophole?

Why is Phuket being singled out and the rest of Thailand isn't? Hmmm.

No, Thailand wide and to correct another misunderstanding, applicable to starting businesses, foreigner involved or not.

[shirtless]

Lets hope foreign governments treat Thai nationals the same, why are western governments so free and easy about foreign investment and land purchases, treat Thais in a reciprocal way and maybe we will see some real change in their zenaphobic ways,

[Bogan Koori]

A giant clean out is needed. Too many disreputable farang businesses being run here with no intention of following the rules

[hansgruber]

Lets hope foreign governments treat Thai nationals the same, why are western governments so free and easy about foreign investment and land purchases, treat Thais in a reciprocal way and maybe we will see some real change in their zenaphobic ways,

Reciprocal rights would be great. Can't see the Australian government doing it though as their bent over by corporates. Easing the rules so Asians can buy the place up.