Foreign Business License (FBL) in Thailand – Advisory & Application Support
Siam Trade Development provides strategic advisory and application support for Foreign Business License (FBL) in Thailand, assisting foreign companies in structuring compliant market entry and operational models aligned with Thai foreign business regulations.
The Foreign Business License is not a procedural formality. It is a strategic instrument intended for specific business models and must be approached as part of a broader corporate, regulatory, and operational structuring exercise.
Our role is to assess feasibility, define the most appropriate structure, and coordinate the FBL application process in close alignment with the client’s manufacturing, regulatory, and commercial strategy.
What Is a Foreign Business License (FBL) in Thailand
A Foreign Business License (FBL) is an authorization issued by the Thai Department of Business Development (DBD) allowing a foreign-owned company to conduct business activities that are otherwise restricted under the Foreign Business Act.
Approval is discretionary and based on the applicant’s business model, economic contribution, and alignment with national policy objectives.
FBL Is Not a Tool for Trading Companies
A critical point frequently misunderstood by foreign investors:
The Foreign Business License is not a viable instrument for pure trading or general import–export companies.
In practice:
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FBL applications for trading activities are systematically rejected
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Import–export of third-party products is not considered an approvable FBL business model
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Distributor-type structures do not meet FBL policy objectives
Companies planning to operate as generic traders should consider alternative structures (e.g., BOI promotion, Thai majority structures, or licensed local partners), rather than FBL.
FBL as a Strategic Solution for Foreign Manufacturers
The Foreign Business License is primarily designed for foreign manufacturers who:
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Produce products overseas within their own group
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Intend to import only their own manufactured products into Thailand
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Require a controlled Thai commercial presence to support market access
Typical scenarios include manufacturers of:
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Dietary supplements and food products
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Cosmetics
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Industrial and technical products
In these cases, the FBL functions as part of a manufacturing-driven market entry strategy, not as a trading license.
When an FBL May Be Appropriate
An FBL may represent a suitable solution when:
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The applicant is the actual manufacturer
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Products imported into Thailand originate exclusively from the applicant’s factories
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The Thai entity supports regulatory registration, marketing, after-sales, and distribution of the group’s own products
Projects based on sourcing from multiple unrelated factories or distributing third-party brands are generally not compatible with FBL approval criteria.
Warning on Nominee Structures
For many years, nominee shareholding arrangements were widely used to circumvent foreign ownership restrictions.
This approach is no longer tolerated and is currently subject to intensified enforcement by Thai authorities.
Authorities have publicly confirmed a strict crackdown on nominee structures, with severe criminal and administrative penalties for both Thai nominees and foreign beneficiaries.
Foreign investors are strongly advised to abandon legacy nominee models and adopt compliant ownership and licensing structures.
Our Foreign Business License Services
Siam Trade Development provides:
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Preliminary FBL feasibility assessment
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Structuring options (FBL vs BOI vs alternative models)
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Definition of permitted business scope
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Coordination of corporate and regulatory alignment
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Preparation and review of supporting documentation
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DBD submission support and authority liaison
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Post-approval compliance guidance
Our services are advisory and strategic in nature and are integrated with company incorporation, regulatory registration, license holding, and market entry support.
Process & Milestones
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Initial consultation and business model review
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Feasibility assessment and structuring recommendation
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Documentation framework definition
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Application preparation and submission
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Authority queries management
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License issuance and operational setup support
Timeline & Cost Structure
Timelines and professional fees depend on business model complexity, activity scope, and structuring solution.
Indicative processing time: 2-4 months from complete submission.
A project-specific quotation is provided following preliminary assessment.
Why Siam Trade Development
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Specialized in Thailand-focused regulatory and market entry strategy
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Strong integration between corporate structuring and regulatory licensing
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Extensive experience with manufacturing-driven market entry projects
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Independent advisory approach, not tied to OEMs or nominee solutions
Contact Us
For an initial discussion regarding Foreign Business License feasibility in Thailand, please contact us by email.
