Thread: What to stay away from?

If I want to start or buy a business in Thailand, how do I go about it and what tipe of business should a farang stay away from? And what advice can you give me? Not married to a Thai and got no intention to do so.

Stay away from beer bars.

All of them. It never turns out like you expect. Owning a business means getting in bed with the Thai government which results in a circus performance that will cost you.

Having owned and run a business for 3 years here all I can say is don't do it without having lived here for a while. The odds are stacked against you if you follow all the proper channels. And if you actually make a go of it and make some money your landlord will extort "key money" to renew a lease and make exorbitant rent increases.
In one word "forgetaboutit".
There is money to be made here but in the long run the foreigner will get the short stick.

If you're just interested in throwing money away then you'll find many willing to assist you.

Originally Posted by Damarios

My understanding is that if you want to buy a business, you have to have a Thai partner that owns 51%, and that you can get a Thai lawyer as a silent partner... How much truth in this?

You need the ownership to be be 51% Thais. Could be 1 or 5 or 10 or 20 of the buggers. Can be your wife or girlfriend. I hear they have to show where they go their money for investing in the company.

You can set up a 100% American owned treaty company id you are American (or if the managing director is American I think...)

If you are going to do anything, use a law firm that is owned by a farang, not a Thai unless you want a headache.

Originally Posted by Damarios

My understanding is that if you want to buy a business, you have to have a Thai partner that owns 51%, and that you can get a Thai lawyer as a silent partner... How much truth in this?

True, but it is against the spirit of the law and it doesn't stop the Thai lawyer from fucking you over.

Jet Ski Rental?

What business are you leaving behind ?

Well, at the moment I work in a 5 star hotel as part of management but I also have my own small pub and a small shop. Apparently hospitality jobs is also hard to come by in Thailand?

Learn to speak Thai, learn to read Thai, learn to write Thai, learn to lie,cheat and steal better than the Thais, spend 20 years here then start a business, and you will still fail.

It's almost always better to earn in the west, I've known so many businesses go to wall here because as soon as it looks like you are making a few £$ they do there damndest to squeeze you for it.

DC put it perfectly

But seriously. The 51% thing is not within the spirit of the law if the 51% is not a legit Thai business partner. If a lawyer own 51% he can screw you. If your Thai wife owns 51% then you own 0% if she wants she can screw you. I do know of one or two exceptions to this. You can't work! If you open a bar you cannot even wash a glass, bugger me, you cannot even carry your own golf clubs in Thailand. The police can walk in any time and accuse you of breaking some or other law. You will end up paying the on the spot fine cos 1 micro second in a Thai prison is worse and you won't understand the charge anyway, might not even be the police just some wanker employed the collect tea money.
I work for a British company in Spain. It's a complex business but has been run in profit for 10 years. The MD says, "no matter how hard you try you can never be 100% legal in Spain, so if they really want you, then they got you" Same same Thailand.

Originally Posted by the dogcatcher

But seriously. The 51% thing is not within the spirit of the law if the 51% is not a legit Thai business partner. If a lawyer own 51% he can screw you. If your Thai wife owns 51% then you own 0% if she wants she can screw you. I do know of one or two exceptions to this. You can't work! If you open a bar you cannot even wash a glass, bugger me, you cannot even carry your own golf clubs in Thailand. The police can walk in any time and accuse you of breaking some or other law. You will end up paying the on the spot fine cos 1 micro second in a Thai prison is worse and you won't understand the charge anyway, might not even be the police just some wanker employed the collect tea money.
I work for a British company in Spain. It's a complex business but has been run in profit for 10 years. The MD says, "no matter how hard you try you can never be 100% legal in Spain, so if they really want you, then they got you" Same same Thailand.

British Company in Spain making a Profit............sounds interesting.

Not this year, but up and till. Industry gone shit, and pound worthless.

The trick is to partner with a trust worthy American who has an in demand specialty and all is profitable from there. Most of these business rookies and cynics haven't figured that out yet so they just loose their asses to Thai's and have nothing to show for their efforts..

Mostly use Thailand for a home base at most and promote regionally if possible...

Originally Posted by DrivingForce

The trick is to partner with a trust worthy American who has an in demand specialty and all is profitable from there. Most of these business rookies and cynics haven't figured that out yet so they just loose their asses to Thai's and have nothing to show for their efforts..

Mostly use Thailand for a home base at most and promote regionally if possible...

In demand American specialist looking for investment sound off, when you've finished spending all the money you've got.

Originally Posted by DrivingForce

The trick is to partner with a trust worthy American who has an in demand specialty and all is profitable from there. Most of these business rookies and cynics haven't figured that out yet so they just loose their asses to Thai's and have nothing to show for their efforts..

Mostly use Thailand for a home base at most and promote regionally if possible...

You mean like the American that is still suing Mr Taksin for the past 30 years ?

Yeah, try to invest in a successfull business that doesn't need investment.

If the aim of the business is to make money. Don't have a thai (or thailand) be involved in anypart of your business other than basic supply.

Organise every business contact you know of and work out what you can supply them with from this region.

Export, or export! Get the paperwork right or you will pay big money to get it out.

Originally Posted by the dogcatcher

Export, or export! Get the paperwork right or you will pay big money to get it out.

0.75% covers all that or baht2k (which ever is the greater).

if its a success keep very quiet about it and plead poverty otherwise they will copy you and undercut you and drive you out of business . once they know its a success the jackals will hear about it and target you . mafia, police, burglars ,local drunks and head cases ,and jealous locals will be on your case..

[quote=12Call;1183532]

Originally Posted by the dogcatcher

Export, or export! Get the paperwork right or you will pay big money to get it out.

0.75% covers all that or baht2k (which ever is the greater).[/quote
Small potatos

Originally Posted by zubber

if its a success keep very quiet about it and plead poverty otherwise they will copy you and undercut you and drive you out of business . once they know its a success the jackals will hear about it and target you . mafia, police, burglars ,local drunks and head cases ,and jealous locals will be on your case..

Absolutely.