Shareholder Agreement Thailand

A limited liability company in Thailand must have at least 3 shareholders at all times. Thai nationals who operate a business under a company often use nominal shareholders to supplement the number of 3 shareholders of the limited company. There is no general restriction for Thais that prohibits the use of nominated shareholders in a company. It`s different for foreigners. The Foreign Business Act prohibits foreign investors from using Nominee`s shareholders in a Thai company. Bearer shares (shares held by the person who owns the certificate of physical shares) are also prohibited. The government intended to change the definition of foreigners in the Foreign Business Act and thus solve the nominated problem in Thailand. .

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