How to Open a Branch Office in Thailand: Step-by-Step Guide

A Branch Office allows foreign companies to operate and generate revenue in Thailand as an extension of their head office abroad. Unlike a Representative Office, a Branch Office can engage in commercial activities but must comply with Thai laws, tax obligations, and licensing requirements.

If you are a foreign company planning to expand into Thailand, here is a step-by-step guide to set up a Branch Office properly and legally.

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✅ Step 1: Understand the Scope of a Branch Office

A Branch Office:

• Is part of the foreign parent company and not a separate legal entity.
• Can conduct business and generate income in Thailand.
• Must pay corporate income tax on income earned in Thailand.
• Requires one branch manager, who can be a foreigner (with work permit).

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✅ Step 2: Check If Your Business Requires a Foreign Business License (FBL)

If your business activities fall under the restricted lists ( List 3) of the Foreign Business Act B.E. 2542, you will need to apply for a Foreign Business License (FBL) before operating.

💡 BRW can help you check if your business requires an FBL and handle the process.

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✅ Step 3: Prepare Required Documents

To establish a Branch Office, you need to prepare:

• Application form for Branch Office registration.
• Certificate of Incorporation and company affidavit of the parent company.
• List of directors and shareholders of the parent company.
• Power of Attorney appointing the branch manager.
• Details of the intended business activities in Thailand.
• Financial statements of the parent company (recent 1-3 years).

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✅ Step 4: File Application with Department of Business Development (DBD)

Submit all required documents to the Ministry of Commerce (DBD) for review.
If required, also submit an application for a Foreign Business License (FBL).
Pay the applicable government fees.

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✅ Step 5: Register for Tax ID, VAT, and Other Licenses

Once the Branch Office is approved and registered, you must:

• Register for Tax Identification Number (Tax ID) at the Revenue Department.
• Register for VAT if annual revenue exceeds THB 1.8 million.
• Apply for industry-specific licenses if needed (depending on the business type).

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✅ Step 6: Open a Corporate Bank Account

Set up a business bank account in Thailand under the Branch Office name.
Use registration documents, tax ID, and authorization letters.

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✅ Step 7: Apply for Work Permit and Visa for Branch Manager (If Foreigner)

If the branch manager is a foreigner, apply for:

• Non-B Visa (Business Visa).
• Work Permit to manage and operate the branch.

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🎯 Key Benefits of a Branch Office:

• Ability to conduct commercial activities and earn revenue in Thailand.
• Easier access to local clients and partners.
• Maintain ownership and control under the parent company.

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💼 How BRW Can Help You Set Up a Branch Office in Thailand:

At BRW – Boonrawee Co., Ltd., we offer end-to-end consulting services to help you establish a Branch Office smoothly:

• Business feasibility analysis and strategic planning.
• Preparation of all legal documents and applications.
• Liaising with Thai authorities and licensing offices.
• Tax registration, accounting setup, and legal compliance.
• Visa and Work Permit assistance for foreign executives.

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📞 Contact BRW today for a free consultation and start your business journey in Thailand confidently!