Thailand Regional Head Office

For multinational corporations seeking a strategic base in Southeast Asia, Thailand Regional Head Office (ROH) program offers a compelling proposition. Let’s delve into the advantages and practicalities of establishing an ROH in Thailand.

The Allure of Thailand:

Thailand boasts a strong and growing economy, excellent infrastructure, and a skilled workforce. Its central location within Southeast Asia makes it an ideal hub for coordinating regional operations. Additionally, the government actively promotes the ROH program, offering attractive benefits to qualified companies.

What is an ROH?

An ROH is a non-profit entity established in Thailand to provide support services to its affiliated companies located elsewhere in the region. These services can encompass a wide range, including:

  • Management and Coordination: Overseeing regional operations and ensuring strategic alignment.
  • Technical Support: Providing expertise and resources to affiliated companies.
  • Marketing and Sales: Developing and implementing regional marketing strategies.
  • Training and Development: Upskilling employees across the region.

Benefits of an ROH:

  • Tax Incentives: ROHs can qualify for significant tax benefits, including a partial or complete exemption from corporate income tax on qualifying income.
  • Reduced Costs: Establishing an ROH can be more cost-effective than setting up a full-fledged subsidiary.
  • Strategic Location: Thailand’s central position facilitates efficient regional coordination.
  • Visa Support: The ROH can assist its employees in obtaining work permits and visas.
  • Streamlined Business Environment: Thailand offers a relatively streamlined business environment compared to some other Southeast Asian nations.

Eligibility and Requirements:

To qualify for ROH status, a company must:

  • Be a juristic company registered under Thai law.
  • Have a minimum paid-up capital of 10 million baht (approximately $300,000 USD).
  • Provide services to at least three affiliated companies in a minimum of three countries outside Thailand.
  • Generate at least half of its income from qualifying services provided to these affiliated entities.

The Setup Process:

Setting up an ROH involves several steps, including:

  • Company registration
  • Application for ROH status with the Board of Investment (BOI)
  • Obtaining necessary licenses and permits
  • Setting up office space and hiring staff

Seeking Professional Help:

Given the complexities involved, navigating the ROH setup process often benefits from the expertise of legal and business consultants with experience in Thailand. They can ensure a smooth and compliant establishment of your regional headquarters.

Thailand: A Gateway to Southeast Asian Success

By leveraging Thailand’s ROH program, multinational corporations can establish a strategic regional hub, benefit from tax incentives, and tap into the vast potential of Southeast Asia. With careful planning and the right support, your Thailand-based ROH can become the engine powering your regional growth.

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