A US LLC For A Thai National
The following post attempts to compare the methods of business incorporation in the United States and the Kingdom of Thailand.
American law and Thai law are very different bodies of jurisprudence. That being said, there are some similarities in the area of corporate law. In this post we will briefly examine the differences between the two systems.
In the United States, one of the most popular vehicles for doing business is the limited liability company (also known as the LLC). This type of legal corporation was created in order to provide a comparatively less cumbersome means for individuals and groups to organize an organization with limited liability at a relatively low cost and with comparatively little in the way of supporting documentation relative to incorporated entities such as an "S Corp" or a "C Corp". That being said, an American LLC still requires upkeep as records must be kept up to date and the activities of the company must comport with the law of the jurisdiction in which it is incorporated. Therefore, many foreigners make the decision to retain the assistance of an American lawyer when setting up an LLC for the first time. Further, a registered agent in the United States may be necessary if the activities of the LLC occur primarily outside of the United States.
In the Kingdom of Thailand, incorporating a company is, in some ways, not nearly as simple compared to the United States. The Kingdom of Thailand does not have a legal entity akin to the LLC in the US. Furthermore, limited liability is only granted under certain conditions and the conditions associated with such an endeavor are usually cumbersome. Another point to ponder with regard to conducting business in Thailand is the Foreign Business Act. This law restricts foreign companies from conducting specific types of business in Thailand. This can be a tremendous obstacle for those wishing to enter the Thai market. Through use of Foreign Business Licenses, Amity Treaty Certification, and/or Board of Investment Certification a foreign owned company in Thailand might be able to enjoy comparable legal equality with its Thai counterparts. That said, Thai visas and work permits might be required for the foreign employees of the company.
When it comes to visas and work authorization both the United States and the Kingdom of Thailand have strict rules and regulations regarding foreign labor. In the USA, certain visa categories such as the L1 visa or H1 visa may confer a restricted right to work in the USA depending upon the provisions of the visa itself. Those being admitted to the USA on an Immigrant visa may be granted unconditional permanent residence depending upon the language of the underlying travel document. In Thailand, the Immigration issues are seemingly more straightforward although the issue of work authorization can be far more complicated than the American rules regarding foreign work authorization. In any case, it is generally wise to consult with a licensed lawyer from the jurisdiction where one wishes to conduct business. This aids in ensuring that the appropriate steps are taken at the outset of the company formation process.
To find out more please see: US Company Registration.
Tags: American LLC, LLC Incorporation, US Company Registration, US LLC