FAQ's

Frequently Asked Questions:

Why are there no books for this business?

Many small businesses in Thailand don't keep books. This is largely due to the intricacies of the Thai taxation system. Many small business owners merely pocket the money in the till at the end of the day, use this to pay any costs in the course of the next day, and retain the balance. The absence of books does not necessarily mean that the business has been performing poorly.

This business does have books. Should I buy based on the books?

This is going to be YOUR business. You'll be running it your way. You should have your own business plans and your own well-thought-out ideas about how to grow the business. What the business has done in the past will be of no financial benefit to you in the future. So yes, take the books into account, but don't make them the main factor in your decision.

This business seems to be performing badly. Why should I buy it?

Simply put, some of the best profits in business are made at purchase. There are many reasons why businesses under perform. These can include poor management, a lack of promotion, or misreading the market for the location. As well as this, many business owners in Thailand run their business on a part time or lifestyle basis rather than going all out for profit. If you've done your research, and have a sound business plan which you believe in, there's no reason why you shouldn't buy an under-performing business at a good price and build it into what you want it to be.

How can I stay in Thailand and work here?

There are many different visas available which allow you to stay in Thailand. The one that suits you best will depend upon your personal situation. If you want to spend some time looking before you settle there is a good bus service from Chiang Mai to Mae Sai, on the Myanmar border, so with the appropriate visitor's visa you can stay through a couple of border runs to give yourself time to check things out (visa rules change often though so make sure you have the right visa for your plans). If you want to work here you'll need to get a visa and work permit. There are certain occupations which work permits will not be granted for in order to protect jobs for the Thai work force. It's OK to own a business without having a work permit but you must then confine yourself solely to the activities of a shareholder. (For example if you buy a bar business you can sit in the bar and talk with customers, keep an eye on operations etc, but if you step behind the bar you would be breaking the law.) There are ways of working legally within the Thai system as well as a multitude of visa service providers who can assist with obtaining the correct visa and permits for you so our advice is not to risk infringing regulations by trying to find loopholes in the system.

How much is that in my currency?

There is an excellent currency converter at XE.com - Currency Converter ®

What is 'Key Money'?

Key money is a deposit paid to the landlord of a business premise. Usually when you take over a business there will be a requirement to renegotiate the lease with the landlord. At this point you will be asked for 'key money' or 'a deposit'. This money is normally in addition to your monthly rent and is normally not refunded at conclusion of tenancy.

More questions? Ask Us