Cost is one of the first questions people ask and one of the hardest to get a straight answer on. This guide gives you real figures for every cost category, explains what each is actually for, and provides a year-one budget table you can use for planning.
Two Types of Cost: One-Time vs. Ongoing
Setting up a business in Thailand involves two very different categories of cost. Confusing them leads to serious budgeting errors. One-time setup costs include government registration fees, registered capital, and professional formation fees. Most people focus on these. Ongoing annual compliance costs are what most people underestimate: monthly bookkeeping, mandatory annual audit, tax filings, work permit renewals, and visa extensions. For a small company, annual compliance typically exceeds one-time setup costs by year three.
Government Registration Fees
| Registered capital (THB) | DBD registration fee (THB) |
|---|---|
| Up to 500,000 | 2,500 |
| 500,001 to 1,000,000 | 3,000 |
| 1,000,001 to 2,000,000 | 5,500 |
| 2,000,001 to 5,000,000 | 10,500 |
| 5,000,001 to 10,000,000 | 18,500 |
Additional government fees for name reservation and tax registration total around 1,000-2,000 THB across the full process. These are the most predictable and, in relative terms, most modest costs in the setup.
Registered Capital Requirements
Registered capital is the total value of shares your company issues to its shareholders. It is not a fee paid to the government. It does not disappear. It is equity in your company that can be used to fund operations. The confusion arises because it represents a real financial commitment: the money must genuinely exist and be traceable.
Key Thresholds
- 2 million THB per foreign work permit holder (most important threshold in practice)
- At least 25% must be paid up at registration (the rest callable in stages)
- Thai shareholders must demonstrate genuine financial capacity under January 2026 DBD rules, with bank statements and fund transfer evidence
Professional Service Fees
| Service level | Fee range (THB) | What's included |
|---|---|---|
| Budget formation agent | 15,000-25,000 | Basic Thai company registration. Confirm January 2026 compliance explicitly. |
| Mid-range agent | 25,000-50,000 | Registration + work permit + tax registration + some post-registration support. Most appropriate range for most foreign entrepreneurs. |
| Law firm / full advisory | 50,000-100,000+ | Legal advice on structure alongside administration. Required for complexity, joint ventures, or FBA/FBL analysis. |
Annual Accounting and Compliance Costs
Every Thai Private Limited Company has mandatory annual compliance obligations regardless of size or profitability. These are not optional.
| Item | Typical annual cost (THB) |
|---|---|
| Monthly bookkeeping (x12) | 36,000-96,000 |
| Annual audit (mandatory for all companies) | 15,000-40,000 |
| Annual tax filings (PND 50 + PND 51) | 5,000-15,000 |
| VAT returns (if registered, included in bookkeeping) | Typically included |
Work Permit and Visa Costs
| Item | Government fee | Typical agent fee |
|---|---|---|
| Work permit (annual) | 3,000 THB | 5,000-15,000 THB |
| Non-B visa extension (annual) | 1,900 THB | 5,000-10,000 THB |
Year-One Budget Summary
| Item | Low estimate (THB) | High estimate (THB) |
|---|---|---|
| DBD company registration fee | 5,500 | 10,500 |
| Ancillary government fees | 1,000 | 2,000 |
| Formation agent / law firm | 15,000 | 100,000 |
| Registered capital (minimum)* | 2,000,000 | 2,000,000 |
| Monthly bookkeeping x 12 | 36,000 | 96,000 |
| Annual audit | 15,000 | 40,000 |
| Annual tax filings | 5,000 | 15,000 |
| Work permit (gov + agent) | 8,750 | 18,000 |
| Visa extension (gov + agent) | 6,900 | 11,900 |
| Total excluding registered capital | 92,150 | 293,400 |
*Registered capital is equity in your company, not a cost that disappears. It is included because it represents a real funding requirement.
For most individual foreign entrepreneurs, a realistic year-one total (excluding registered capital) sits between 120,000 and 200,000 THB.
Ways to Keep Costs Down
- Set registered capital at exactly the right level for your needs. You only need 2 million THB per work permit holder. Start at the right level and increase later if needed.
- Use a combined bookkeeping and tax filing package from one accounting firm. More efficient and cheaper than engaging separate providers.
- Do not delay the work permit application. Permits cannot be applied for until you have four Thai employees on payroll. Delays cost both time and the ongoing expense of staying in Thailand on an alternative arrangement.
- Review VAT registration timing. If revenue is below 1.8 million THB, deferring registration reduces monthly complexity. If expenses are significant and you want to recover input VAT, early registration can reduce effective costs.