Expanding your business to foreign markets is an important strategic step for modern Thai brands that want to grow sustainably on a global scale, especially in an era where digital platforms and e-commerce have grown significantly, making it easier for brands to reach customers abroad than ever before. One of the important steps in starting a business abroad is to legally register a company in that country. Being prepared from the beginning will help open a new company abroad smoothly and safely, both in terms of law and actual business operations.  

Why register a company abroad?

Company registration is important for Thai brands that want to expand their markets to the regional (SEA: South East Asia) or global (Global) levels. Having a legal entity that is legally registered in that market allows businesses to operate fully and compete effectively in foreign markets, whether it is doing online advertising on local platforms, opening accounts to receive payments, being able to conduct financial transactions without going through an agency, building credibility with partners or suppliers in the country, applying for a business license or registering a trademark in the target country more easily, including taking advantage of tax and legal privileges in some countries. All of this makes registering a company abroad not just an option, but an important thing for Thai brands that want to expand their potential and create sustainability in foreign markets.  

What kind of businesses should register a company abroad?

To give you a clearer picture of what kind of businesses should start by registering a company abroad Let’s take a look at the types of businesses that are likely to benefit the most from registering a company.  

1. Businesses that want to advertise abroad (Digital Marketing)

Businesses that want to advertise abroad (Digital Marketing) If you want to buy ads through local platforms in target countries such as China, Malaysia, India, or Europe and America, there are many platforms that require advertiser accounts to be Business Accounts. For example, ‘Douyin’, a Chinese social media platform, is a Chinese version of TikTok with over 766 million monthly active users. With such a large number of users, brands are naturally eager to get on the platform. Buying ads on the platform is another strategy that will help support brands, whether it’s to create awareness or increase sales. However, Douyin has a clear requirement that advertiser accounts must be Business Accounts to verify their identity before publishing. Therefore, having a properly registered company will help brands access full advertising features and buy ads without restrictions on advertising accounts. For small brands that do not have a company abroad, brands can hire a trusted agency to be an agent to open an account (Authorized Account). However, if the brand owns the account itself, it will help the process go faster because they can manage content and buy ads on the platform directly.  

2. Businesses that want to do E-Commerce abroad

For Thai brands that want to seriously penetrate the E-Commerce market abroad, registering a company in the target country is essential. For example, China, although it has a CBEC (Cross-Border E-Commerce) business model that allows foreign companies to sell to Chinese consumers without having to register a Chinese company, if a brand is serious about establishing a base in China and sees long-term opportunities, registering a company still has clear advantages, especially in terms of brand control, cost, credibility, and full domestic system access. This is because popular local platforms in China, such as Alibaba, Pinduoduo, Taobao, or social commerce platforms such as Douyin Store and Xiaohongshu Store (RedNote), require sellers to use a Chinese company to verify their identity and participate in various promotional campaigns on the platform. The main reason why Chinese platforms require this is to protect the rights of Chinese consumers, ensuring that they receive quality products and can contact the company if there is a problem. Having a properly registered company helps build credibility and greatly increases sales opportunities for Thai brands. In addition, registering a company in China also allows brands to register for value-added tax (VAT) and apply for necessary licenses, such as import licenses, as well as specialized licenses, such as food import licenses, which are very important to Chinese consumers. Having a complete license under Chinese law confirms that Thai brands’ products are of the same quality standards as domestic products.

Another important advantage is Domestic Fulfillment Management can use warehouse and transportation services in China directly, reducing costs and transportation time caused by international shipping because every order does not have to be shipped internationally. Finally, financial transactions are more convenient and faster than before. Brands can receive money from customers immediately and pay suppliers or partners without having to rely on middlemen, reducing international transfer fees. However, another issue that brands must pay attention to is registering a trademark. If you start selling products abroad without registering a trademark in that country, there is a significant risk that competitors will register your brand name first and then legally copy your products. Registering a company and registering a trademark at the same time is an option that should be planned from the beginning.  

3. B2B businesses that want to export products abroad

For businesses with a B2B (Business to Business) model, whether it is wholesale to dealers, sending products to distributors abroad, or working with partners to expand distribution channels, registering a company in the destination country is an important tool that helps to make working with foreign partners smoother and more reliable. Company registration helps to make contracts, issuing commercial documents, and financial transactions smooth and legal. It also provides access to tax benefits and logistics advantages that reduce operating costs, allowing brands to control their own import-export processes without having to rely solely on distributors or middlemen. In many countries, such as China, Thai brands are allowed to register as a WFOE (Wholly Foreign-Owned Enterprise) legally, where Thais hold 100% of the shares, giving them full rights to operate the business, but they must strictly comply with Chinese regulations.  

Preliminary steps for registering a company abroad (Case study: China)

การจดทะเบียนบริษัทในต่างประเทศ โดยเฉพาะในตลาดใหญ่อย่างจีน ถือเป็นก้าวแรกที่สำคัญของแบรนด์ไทยที่ต้องการขยายธุรกิจสู่ระดับสากล ไม่ว่าจะเพื่อการส่งออก การทำ E-Commerce หรือสร้างความน่าเชื่อถือให้กับคู่ค้าระยะยาว การดำเนินการให้ถูกต้องตามขั้นตอนตั้งแต่ต้น แม้ว่าแต่ละประเทศจะมีรายละเอียดที่แตกต่างกัน ซึ่งแต่ละขั้นตอนต้องอาศัยความเข้าใจในกฎหมายและกระบวนการของประเทศนั้น ๆ แต่โดยทั่วไปการจดทะเบียนเปิดบริษัทจะเริ่มต้นจาก  

1. Company Name Pre-Approval

The first step of registering a Chinese company is to apply for approval of the company name with the Chinese government agency. It is advisable to prepare at least 2–3 company names in advance as backups in case the main name is repeated or does not pass the criteria. The company name must comply with China’s naming regulations, such as specifying the legal entity form, business name, and region of operation, such as “Shanghai ABC Trading Co., Ltd.”. The name review process takes about 7 working days. Once the name is approved, it can be submitted for formal company establishment documents. The documents required to apply for a business license are as follows:

1. Application Form for Establishment Registration of Foreign-Invested Enterprises
2. Articles of Association
3. Pre-approval Notice of Company Name
4. Virtual Address or Physical Address
5. DBD Certificate (English or Chinese)
6. Shareholder and Director Information
7. Identity documents of shareholders/directors/legal representatives, along with a copy of their passports

  After submitting complete documents and passing the verification, you will receive a Business License, confirming that your company is legally registered under Chinese law. After receiving the Business License, you can proceed with other procedures such as making a Company seal, Foreign Exchange Registration, Tax Registration, Social Insurance & Housing Fund Registration.  

2. Open a bank account and register for taxes (Accounting & Bookkeeping)

Once you have obtained your business license, the next step is to open a bank account to receive payments and conduct financial transactions. This will then require tax registration, including registration for Value Added Tax (VAT) and other related taxes.  

3. Apply for an import license (Import License)

For businesses involved in importing goods, such as cosmetics or certain types of industrial products, after obtaining a business license, it is necessary to apply for an import license and register the goods with the Chinese customs before being able to legally import goods. This step requires submitting various documents, such as company information, product details, and standard certificates. In the case of food or specialized products, additional licenses, such as a Food Business License, may be required before submitting the import application. Having a valid license will not only help your goods clear customs faster, but also help build confidence among consumers in China that your brand has been properly certified by the government. The approval process and time frame depend on the type of product, but it usually takes 20-30 working days.  

4. Apply for trademark registration

Registering a trademark is a very important step for brands looking to expand their market overseas, especially in markets that use the first-come-first-serve principle, such as China. This means that even if you are a brand owner but do not file, someone else may be able to legally register and hold the brand name. Typically, it takes about 12–18 months to register a trademark. Therefore, after receiving a business license, you should apply for trademark registration in that country as soon as possible to protect your brand and your intellectual property. In addition to registering a trademark directly in each country, registering a trademark through the Madrid Protocol is another very interesting option for brands that want to protect their brand in multiple countries simultaneously. You can file a single application and select multiple countries to protect your trademark simultaneously, reducing the redundancy of procedures and costs of filing in separate countries. However, there may be limitations to consider, such as each country having the right to reject applications according to its own laws. This step should be carried out by an experienced professional or representative to increase the chances of trademark approval and reduce delays.

Considerations when setting up a company overseas

When setting up an overseas company, here are some key considerations that brands should focus on:

• รูปแบบบริษัท (Entity Type) แต่ละประเทศมีรูปแบบนิติบุคคลไม่เหมือนกัน เช่น WFOE ในจีน, LLC ในสหรัฐฯ, หรือ Pte Ltd ในสิงคโปร์ ซึ่งแต่ละแบบมีผลต่อสิทธิ์การถือหุ้น การบริหารจัดการ การเสียภาษี และข้อกำหนดด้านทุนจดทะเบียนที่แตกต่างกันอย่างชัดเจน การเลือกโครงสร้างรูปแบบบริษัทที่เหมาะสมจึงเป็นสิ่งสำคัญในการวางรากฐานธุรกิจให้มั่นคงและสอดคล้องกับกฎหมายท้องถิ่น บางประเทศให้ต่างชาติถือหุ้น 100% ได้ ขณะที่บางแห่งคุณต้องมีพาร์ทเนอร์ท้องถิ่นตามกฎหมาย หรือจำกัดสัดส่วนการถือหุ้นของชาวต่างชาติไม่เกิน 49%
• Taxes and Double Taxation Avoidance It is important to research what taxes are applicable (e.g. VAT, corporate tax, dividend tax) and whether there is a Double Taxation Treaty (DTA) with Thailand to avoid double taxation that could affect your business profits.
• Company Registration Address The choice of using a virtual address or a physical address should depend on the suitability of the nature of the business. For businesses that focus on exporting, importing goods, or operating without the need for a storefront or permanent employees in the destination country, choosing to use a virtual address is a cost-effective option because it helps reduce the burden of office rental costs, water bills, electricity bills, and other maintenance costs that come with a physical address.
• Additional licenses If the brand is involved in specific products or services such as food or cosmetics, additional specialized licenses such as Food Business License may be required.

Register a foreign company, easy, complete, all in one place with S39

If you are planning to expand your business abroad, registering a company correctly is an important starting point. And the more the brand has a team that understands local laws, tax systems, and complete document filing processes, the more it reduces the hassle and allows the brand to enter new markets with confidence. S39 Digital Agency is ready to be a partner in registering a company abroad. With a One-Stop Service for registering a foreign company by a team of experts with over 10 years of experience, taking care of every step closely in every detail, whether it is providing initial advice, preparing legal documents, requesting approval of the company name, submitting establishment documents, opening a bank account, registering taxes, and applying for related licenses. So that you can open the door to new markets with confidence and save time

• One-stop service, complete every step in one place
• Easy and fast, reducing the hassle, saving time
• A team of experts with over 10 years of experience is ready to provide advice.
• Covering all countries, supporting various markets around the world