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BOI Company in Thailand: Benefits, Requirements & Is It Right for You?

  • Writer: gentlelawlawfirm
    gentlelawlawfirm
  • Jun 10, 2025
  • 3 min read

Updated: Jul 13, 2025


If you’re a foreign entrepreneur or SME owner setting up in Thailand, a BOI‑promoted company can be a game‑changer. But it’s not automatically advantageous. GENTLE LAW IBL, specialists in cross-border business law, clarifies what BOI means, who it’s for, and whether it's truly worth it.



What Is the BOI?

The Thailand Board of Investment (BOI), under the Office of the Prime Minister, promotes key industries by granting investment promotion privileges to eligible businesses. A “BOI company” is simply a Thai entity approved and certified under the Investment Promotion Act.(This is not a new type of company, only a regular Thai limited company with promotional status.)



Key Legal Benefits of a BOI Company Thailand

1. 100% Foreign Ownership

Under Thailand’s Foreign Business Act, non‑BOI companies are typically capped at 49% foreign ownership. BOI promotion allows full foreign equity in promoted sectors.

2. Corporate & Import Duty Exemptions

Companies often benefit from 3–8 years of corporate income tax exemption, plus duty-free imports of machinery and R&D equipment.

3. Fast-Track Work Permits & No Thai-Staff Quota

BOI companies are exempt from the standard 4:1 Thai-to-foreigner ratio, allowing easier hiring of foreign talent. Work permits can be processed via the One Stop Service Center in days.

4. Land Use Rights

Certain BOI‑approved companies can legally own land in Thailand—unlike regular foreign companies.



What BOI Does Not Provide

BOI is not a workaround:

  • It does not give immunity from Thai labor, accounting, or immigration laws.

  • It does not guarantee market success.

  • It does not apply outside the specific promoted activities and compliance commitments.

  • BOI status can be revoked if conditions are unmet.


Who Is It Best For?

  • You want 100% ownership, typically in technology, manufacturing, R&D, or exports.

  • You plan to hire multiple foreign expatriates without the Thai-staff ratio.

  • You require import duty exemptions for machinery or R&D.

  • You're prepared for rigorous reporting, registration, and compliance.

Service businesses without substantial innovation or equipment needs may find BOI approval too complex and restrictive.



Legal Process to Become a BOI Company

  1. Preliminary Evaluation Define your project scope, investment size, activities eligible under BOI policy

  2. BOI Application

    Use the BOI’s e‑submission platform. Applications include business plans, feasibility studies, and ROI forecasts.

  3. Receive BOI Certificate If approved, you receive the Formal Investment Promotion Certificate outlining privileges and obligations.

  4. Register Thai Company Incorporate your Thai limited company under BOI terms.

  5. Operate & Report Begin operations, record investments, file periodic compliance and hiring reports per BOI requirements.


BOI vs Normal Thai Company

Factor

Normal Thai Co.

BOI Company

Foreign Ownership

Typically max 49%

Up to 100% permissible

Thai Staff Quota

4 Thais per foreigner

Exempt (no ratio)

Corporate Tax

20% standard rate

0%–8 years exemption

Import Duties

Payable

Often duty-free for BOI items

Land Ownership

Restricted

Sometimes permitted under BOI law

Work Permit Speed

~7 days

Days via OSOS

Setup Time

Fast

Longer – BOI vetting required



How GENTLE LAW IBL Helps

We provide full support for:


Our legal team ensures your BOI application is strategic, evidence-based, and fully compliant.



Final Takeaway

A BOI-promoted company offers powerful benefits—but it’s not for every business. If your business aligns with BOI’s priority sectors and you seek operational flexibility with foreign staff and import needs, BOI is worth serious consideration.

If you're unsure, talk to GENTLE LAW IBL for a tailored feasibility check and roadmap.

📞 Book your free BOI consultation today.

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