Establishing a Thai association.
For those interested in conducting business or other activities in Thailand, the country offers a variety of juristic persons to choose from – from a limited company through representative office to a foundation. While the former are forms of entities profit-seeking businesses are usually interested in, the latter one suits to non-profit organisations and NGOs. In addition to a foundation, Thailand offers yet another form or legal entity – an association.
Civil and Commercial code defines association as a juristic person “created for conducting any activity which, according to its nature, is to be done continuously and collectively by persons other than that of sharing profits or incomes earned that must have its regulations and must be registered according to the provisions of this Code.”
Not surprisingly, establishment of an association is conditioned by a number of regulations.
Before it can be registered, the following information must be compiled:
- Defined name of the association
- Defined its object
- Address of its principal office and all its branches
- Rules for admission of its members and conclusion of membership
- Rates and member-fee
- Rules for the committee of association, i.e. number of the directors, appointment of the directors, term of office of the directors, retirement of office of the directors and meetings of the committee
- Rules for the management of the association, the keeping of accounts and the property of the association
Additionally, an entity opting for being registered as an association must include the word “Association” in its name.
The registration process is fairly straightforward and is preceded by first obtaining a license from the Office of National Culture Commission.
Other requirements are:
- Three promoters and minutes from their meeting leading to establishment
- Proposed rules and regulations of the association that must include rules regarding membership and the membership fee rates
- Ten initial members (a list)
- Proof of the association’s headquarter – map, lease agreement…
- Background histories by three promoters which are certified by a department-level government official