There may be situations when a company needs to adjust its capital for whatever reason. Fortunately for companies, the process of changing capital in Thailand is fairly straightforward and only consists of several easy steps.
The capital can be increased at the Department of Business Development (DBD), and consists of the following steps:
The following documents and/or information are required to finalise the capital increase:
The total amount of time that is needed to increase the capital of a company in Thailand is about one month. The invitation letter has to be send to all shareholders 14 days before the actual shareholders’ meeting is held. In the meantime this letter is also published in a local newspaper, which should inform all parties of this change (e.g. creditors). Once the shareholders’ meeting was then held, the capital increase should be registered within 14 days.
When decreasing the company’s capital, the following steps need to be taken:
The total amount of time that is needed to decrease the capital of a company in Thailand is about one month and a half. The invitation letter has to be send to all shareholders 14 days before the actual shareholders’ meeting is held. In the meantime this letter is also published in a newspaper, the registrations forms can be prepared and signed, and the minutes of the extraordinary shareholders’ meeting shall be prepared. Also the creditors are informed of the changes to the paid up capital. Once the shareholders’ meeting was held, the capital increase should be registered within 14 days, but not sooner than 30 days after the creditors have been informed (assuming that they did not object).
The following documents and/or information are required to finalise the capital increase:
Ashmin, Acclime business services coordinator