Closing a company in Thailand, whether due to business completion, inactivity, or financial difficulties, requires following a formal legal process. Company liquidation (also known as winding up) involves dissolving the company’s legal status and settling its affairs in compliance with Thai law. This article explains the company dissolution and liquidation process in Thailand, including requirements, timeline, and practical advice. It is especially relevant for foreign-owned companies (under a Foreign Business License, BOI promotion, or even 49% foreign shareholding) looking to cease operations. Throughout this guide, we share not only the legal steps but also insights from our experience successfully closing Thai companies for clients, to demonstrate that Juslaws & Consult has the expertise to navigate this procedure smoothly.

Note on terminology: In Thailand, “dissolution” refers to the formal termination of a company’s existence (by shareholder resolution or court order), while “liquidation” refers to the process of winding up the company’s affairs after dissolution – paying off debts, liquidating assets, and distributing any remaining funds to shareholders. Typically, a company must go through both dissolution and liquidation to formally close down. For simplicity, we use “company liquidation” to cover the entire process of dissolution and winding up.

Understanding Voluntary vs. Compulsory Liquidation (and Bankruptcy)

1. Voluntary liquidation:

Most business owners closing a company will proceed with a voluntary liquidation. This means the shareholders decide to dissolve the company of their own accord (for reasons such as the business completing its purpose, inactivity, or mutual agreement to stop operations). A special resolution by the shareholders is required to dissolve a Thai limited company, which by law means at least 75% of the shareholders present at a meeting vote in favor. Voluntary liquidation is initiated by this shareholders’ resolution and carried out under the Thai Civil and Commercial Code (CCC). The company will appoint a liquidator to handle the winding-up process, and no court intervention is needed as long as the company is able to pay its debts.

2. Compulsory liquidation (bankruptcy):

If a company cannot pay its debts (insolvent), or if it violates the law, dissolution may happen through a court-supervised process. In Thailand, company bankruptcy is governed by the Bankruptcy Act B.E. 2483 and involves the Central Bankruptcy Court. Creditors owed ≥2 million baht can file a bankruptcy petition against an insolvent company to force liquidation. Additionally, if a company is already in voluntary liquidation but it turns out the company’s liabilities exceed its assets, the law requires the liquidator to petition the court to have the company declared bankrupt and liquidated through bankruptcy proceedings. Compulsory liquidation through the court is more complex and typically takes much longer than a voluntary dissolution. It’s usually considered a last resort for insolvent companies or those with legal troubles.

3. Business rehabilitation:

As an alternative to liquidation, Thai law also provides a rehabilitation procedure for insolvent companies that seek to restructure rather than liquidate. This is akin to a reorganization (similar to Chapter 11 in the U.S.). Rehabilitation is court-driven and results in an automatic stay on creditor enforcement, aiming to allow the business to recover. However, rehabilitation is applicable only in certain conditions (e.g. debts over 10 million baht) and is not the focus of this article. Here we concentrate on outright liquidation and dissolution of a company in Thailand.

In summary, voluntary liquidation is the common path when owners decide to close a solvent or settleable company, whereas bankruptcy liquidation involves court if the company cannot settle debts. Next, we detail the requirements and steps for a voluntary company liquidation in Thailand, which is relevant to most foreign business owners seeking to close their Thai company.

Requirements for Company Dissolution in Thailand (Voluntary Liquidation)

1. Shareholder resolution:

To dissolve a Thai limited company voluntarily, the shareholders must pass a special resolution at a shareholders’ meeting. This requires at least three-quarters (75%) of the votes of shareholders present to vote in favor of dissolution. Thai law mandates proper notice of this meeting: shareholders must be informed at least 14 days in advance, and a notice of the meeting should be published in a local newspaper as well. This advance notice serves to inform any absent shareholders and alert any creditors of the impending closure.

2. Appointing a liquidator (and auditor):

In the same shareholders’ meeting resolving to dissolve, the shareholders will appoint a liquidator to manage the winding-up process. By default under Section 1251 of the CCC, the company’s directors become the liquidators upon dissolution unless the shareholders appoint someone else. In many cases, one of the directors is appointed as the sole liquidator, but it could also be an external professional if preferred. The liquidator is the authorized person to settle the company’s affairs; they will liaise with authorities, settle debts, and distribute assets. Typically, an auditor is also appointed at this meeting to audit the company’s final accounts during liquidation, which is a requirement to ensure all finances are properly accounted for in the closure process.

3. Ceasing business operations:

Once the dissolution is resolved by the shareholders, the company is technically in liquidation status and must cease conducting new business. No new transactions or business activities should be undertaken except those necessary for winding up the company. In practice, this means the company stops its regular operations and only activities related to closing the company (like selling off remaining inventory, collecting receivables, paying creditors, etc.) are allowed.

4. Notifying creditors and third parties:

Another legal requirement is to notify all creditors of the dissolution. After the shareholders vote to dissolve, the liquidator must send a written notice to all known creditors by registered mail and publish the dissolution notice in a newspaper. This gives creditors an opportunity to make any claims for unpaid debts during the liquidation. It’s crucial that the company addresses all outstanding liabilities. If a company has outstanding loans or debts, those should ideally be settled or at least acknowledged to be settled during the liquidation process. (If debts cannot be paid, as mentioned, the process may shift to a bankruptcy proceeding.)

Additionally, if the company had any special licenses or registrations (common for foreign-owned businesses), those should be addressed. For example, a company that holds a Foreign Business License (FBL) or is BOI-promoted must notify and surrender those licenses/privileges as part of closing down. Similarly, any industry-specific permits should be cancelled. It’s wise to close all corporate bank accounts and terminate any ongoing contracts before finalizing liquidation, to prevent complications later.

5. Tax and social security compliance:

A critical requirement is handling taxes. Thai companies must ensure that all tax filings are brought up to date through the dissolution date. If the company was VAT-registered, it will need to cancel its VAT registration with the Revenue Department once dissolved. Also, if the company had employees, the company must notify the Social Security Office (SSO) of the termination of business and pay any final social security contributions. We cover the tax clearance process in more detail in the step-by-step section, but in short, the company must obtain clearance from the Revenue Department that no taxes are owed before the liquidation can be completed.

In summary, the key prerequisites for a smooth liquidation are:

• A proper shareholder resolution (75% approval) to dissolve, appointment of a capable liquidator;
• Halting business operations, notifying all stakeholders (creditors, authorities); and
• Preparing to settle all accounts (taxes, debts, assets).

With these in place, the formal liquidation process can proceed in an orderly manner.

Step-by-Step Process of Company Liquidation in Thailand (Voluntary)

When you engage our firm to handle a company liquidation in Thailand, we guide you through each phase of the process. Below is an overview of the step-by-step procedure for a voluntary dissolution and liquidation of a Thai limited company:

1. Pre-dissolution preparations:

Before officially dissolving the company, it’s prudent to tie up preliminary loose ends. This includes closing the company’s bank accounts and cancelling any active business licenses or permits. For foreign-owned companies, this may involve notifying the BOI to cancel BOI promotion status or informing the Ministry of Commerce about relinquishing a Foreign Business License. Additionally, all employees should be formally terminated (with due payment of last wages or severance as required) prior to the dissolution date, and any remaining contracts or leases should ideally be concluded or transferred. These steps ensure that once liquidation starts, the liquidator can focus solely on final settlements.

2. Shareholders’ meeting and special resolution:

The formal process kicks off with a Board of Directors meeting to call a shareholders’ meeting for dissolution. At the Extraordinary General Meeting (EGM) of shareholders, a special resolution is passed to dissolve the company and enter liquidation. At least 75% of shareholder votes (of those present) must approve. During this meeting, the shareholders will also appoint the liquidator (and typically the attorney). The meeting minutes will reflect the resolution to dissolve, the name of the liquidator appointed, and the cessation of director powers (the liquidator takes over the company’s administration). After the meeting, the company is officially “in liquidation,” though further filings are needed to notify the authorities.

3. Registering the dissolution with DBD:

Following the shareholders’ resolution, the company must register the dissolution with the Department of Business Development (DBD) of the Ministry of Commerce within 14 days. This involves filing the EGM resolution and other required documents to update the company’s status to “dissolved” in the DBD registry. Upon acceptance, the DBD will record that the company is under liquidation. At this stage, the liquidator must also publish a notice of the dissolution in a local newspaper and send notices to all creditors via registered mail, as required by law. This notice invites creditors to submit any claims they have against the company. In practice, the DBD registration and creditor notifications occur around the same time. Once dissolved, the company’s name will be followed by “(in liquidation)” in official records.

4. Notifications to revenue department and SSO:

After registering the dissolution, the liquidator must promptly inform the Revenue Department and Social Security Office of the change. The DBD typically communicates with the Revenue Department, and in many cases, the Revenue Department will put a hold on fully striking off the company until tax matters are settled. The liquidator should file a VAT deregistration if the company was registered for VAT, meaning no further VAT returns (Form PP.30) will be required after the dissolution. For the Social Security Office, if the company had employees, a termination of employer registration is filed so that the company no longer needs to submit monthly contributions. All final employer obligations (like final social fund payments and employee compensation) should be settled at this point.

5. Liquidator settles debts and assets:

With the company dissolved and notices given, the liquidator takes charge of winding up the company’s affairs. The liquidator’s duties are to collect all company assets, settle all liabilities, and handle any ongoing business matters solely for closure purposes. This includes collecting any receivables owed to the company, selling off any remaining assets (inventory, equipment, etc.), and using those funds to pay off creditors. The liquidator must also prepare a liquidation balance sheet and final financial statements covering the period from the start of the current financial year up to the dissolution date. For example, if a company dissolves on June 5, the liquidator will prepare financial statements from January 1 to June 5 of that year to capture all transactions up to dissolution. These statements need to be audited by the appointed auditor and then submitted to the Revenue Department for tax purposes. The law requires that the final audited accounts be filed with the Revenue Department within 150 days from the dissolution registration date (this is analogous to filing a final corporate income tax return, Form PND.50, within 150 days of year-end or liquidation). During this period, the liquidator will also address any creditor claims that were submitted after the dissolution notice; verifying and paying valid debts from the company’s remaining funds. It’s important to note that no distributions to shareholders can be made until all creditors who submitted claims are paid. Only if there are surplus assets after paying debts can the remainder be distributed to shareholders.

6. Ongoing reporting during liquidation:

While the liquidation is in progress (which can span several months or more), the liquidator is required to submit periodic reports to the DBD every 3 months. These liquidation reports update the authorities on the progress of winding up; for instance, how much debt has been settled, which assets have been sold, and how much remains to be done. These reports are also open for inspection by any shareholders or creditors, ensuring transparency. If the liquidation takes longer than a few months, stakeholders can thus follow the progress through these quarterly reports.

7. Final Liquidation audit and shareholders’ meeting:

Once the liquidator has finished collecting assets and paying all debts, a final accounting of the liquidation is prepared. The auditor will audit this final account which shows that all assets have been dealt with and all liabilities settled. The liquidator then calls a final shareholders’ meeting (sometimes called the final EGM) to present the final liquidator’s report and the audited accounts to the shareholders. Similar to before, a notice of this meeting must be published in a newspaper and sent to shareholders at least 7 days before the meeting. At the final meeting, the shareholders review and approve the final accounts and the liquidator’s report, essentially agreeing that the liquidator has properly wound up the company’s affairs.

8. Registration of liquidation completion:

After the final meeting approves the liquidation, the liquidator must file the completion of the liquidation with the DBD within 14 days of that meeting. The documents filed will include the final meeting minutes, the approved final balance sheet, and the liquidator’s report. Upon this filing, the DBD will officially record that the company’s liquidation is completed and the company is fully deregistered. The DBD will issue a certificate of dissolution confirming that the company is no longer in existence (sometimes called a certificate of liquidation completion). The company’s name is then removed from the register of companies.

9. Post-liquidation obligations:

Even after a company is dissolved and liquidated, Thai law imposes certain post-closure obligations. Notably, the liquidator must arrange for all books and accounts of the company to be kept for 10 years after the completion of liquidation. Typically, these records are deposited with the DBD or kept with one of the former directors or lawyers, and they must be available for inspection by authorities or interested parties during that period. This is to ensure transparency and accountability even after the company’s closure. Furthermore, the liquidator should ensure that any remaining statutory records (shareholder list, minute books, etc.) are archived as required.

The above steps cover the full lifecycle of a voluntary company liquidation in Thailand; from the initial decision to dissolve, through settling all affairs, to the final strike-off. By following this process carefully, a company can close down in an orderly and legally compliant manner. In practice, our firm will handle the heavy lifting at each step: Preparing all necessary resolutions and filings, coordinating with auditors and accountants for the financial reports, and communicating with the DBD, Revenue Department, and SSO on your behalf. This end-to-end management is crucial for ensuring nothing is overlooked, especially for foreign business owners who may not be familiar with Thai bureaucratic procedures.

How Long Does Liquidation Take in Thailand?

One of the most common concerns is how long it takes to liquidate a company in Thailand. The timeline can vary significantly depending on the company’s specific circumstances:

1. Initial dissolution & filing (quick stage):

The administrative dissolution can be done relatively quickly. Convening the shareholders’ meeting requires a 14-day notice, and registration of dissolution with DBD happens within 14 days after that meeting. So, the company can enter liquidation officially within a few weeks of the decision. If all paperwork is in order, the DBD’s acceptance of dissolution is prompt (usually a matter of days after filing).

2. Winding up and tax clearance (variable stage):

The lengthiest part of the process is completing the liquidation tasks and obtaining tax clearance from the Revenue Department. For a simple, inactive company with up-to-date accounts, the liquidation might be wrapped up in a matter of a few months (for example, 3 to 6 months). In fact, our firm has handled straightforward cases where from engagement to final DBD deregistration it took around 4 to 5 months, since there were no complications and the accounting was straightforward.

However, it is safer to expect around 6 to 12 months for most company liquidations. This allows time for preparing final accounts, getting them audited, submitting final tax returns, and waiting for the Revenue Department’s review. The Revenue Department often conducts a thorough check (and sometimes a field audit) of the company’s last few years of tax filings once they receive the final liquidation tax return. They want to ensure the company has no outstanding tax liabilities before giving the green light for dissolution completion. This tax audit/review can add a few extra months to the timeline, especially if the company had significant business activities.

3. Potential delays:

In more complex scenarios, the timeline can stretch to a year or more. If a company had missing financial statements for prior years, those need to be completed and filed (which slows things down). If the Revenue Department finds discrepancies or requires additional documentation, the clearance can be delayed. It’s not unheard of for the tax clearance process to take 1 to 2 years for complicated cases, particularly if the company was operational with substantial transactions. In extreme cases where issues arise (e.g., unresolved tax disputes), a liquidation can take up to 36 months (3 years) to finalize. This is usually the exception rather than the norm, but it underscores the importance of having all compliance in order.

4. Court-Supervised Bankruptcy Timeline:

If the company enters bankruptcy proceedings (due to insolvency), the timeline becomes significantly longer and less predictable. Court liquidations can take several years, as it involves court hearings, an official receiver managing the process, creditor meetings, and possibly asset auctions. For the scope of voluntary liquidation, we assume the company is handling debts without court intervention, thus avoiding that extended timeline.

In summary, most voluntary company liquidations in Thailand are completed within roughly 6 to 12 months, but this can extend if complications arise. An inactive or small company with clean records might be done in under 6 months, whereas an active company or one with accounting backlog might take a year or more. Our practical advice: start the process as early as possible and ensure all bookkeeping and tax filings are up to date before you begin. This proactive approach can significantly speed up the liquidation. When we at Juslaws & Consult take on a liquidation, we conduct an initial review of the company’s compliance status (corporate filings, taxes, etc.) so we can anticipate the timeline and address any red flags early. By doing so, we aim to make the process as efficient as possible for our clients.

How Juslaws & Consult Can Assist with a Smooth Company Liquidation

At Juslaws & Consult, we have extensive experience assisting companies, particularly those with foreign ownership, through the company closure process in Thailand. Liquidating a company involves coordination with multiple government agencies and adherence to formalities at each step, but our team’s know-how ensures that nothing falls through the cracks.

1. Guidance from start to finish:

From the moment you decide to close your company, our corporate lawyers will guide you through preparatory steps such as legal resolutions and gathering needed documents. We draft all necessary notices, shareholders’ resolutions, and applications required to convene the meetings and register the dissolution. Our familiarity with the DBD’s procedures means filings are done correctly the first time, avoiding rejections or delays. We also advise on practical matters like closing bank accounts and cancelling licenses (e.g. BOI certificates or foreign business licenses) in alignment with the dissolution timeline, so that you remain compliant with all related authorities.

2. Integrated legal and accounting support:

Company liquidation is as much an accounting exercise as a legal one. Our firm coordinates closely with experienced accountants and auditors to prepare the final balance sheet and financial statements for the liquidation period. We understand the Thai accounting standards and tax rules that apply to a dissolving entity. For example, if your company hasn’t filed certain years of financial statements, we can arrange to get those prepared and submitted (even for inactive companies) to satisfy the Revenue Department. We will work to obtain the necessary tax clearance from the Revenue Department by responding to any queries they have during their review. By having legal and accounting teams working hand-in-hand, we minimize the risk of holdups during the tax audit phase of the liquidation.

3. Handling creditors and compliance:

Our lawyers will manage the required creditor notifications and address any creditor claims professionally. If there are known liabilities (such as loans from a parent company or outstanding vendor invoices), we’ll ensure they are dealt with in the liquidation plan so that creditors are satisfied. We also take care of deregistering VAT and SSO on your behalf, including preparing the final VAT returns or employee de-registration forms as needed. If your company is foreign-owned, we understand the additional compliance layers; for instance, informing the BOI of the dissolution of a BOI-promoted entity, or ensuring that work permits for any foreign staff are properly cancelled in tandem with the company closure. These are all tasks we have handled for previous clients, so you can trust that we know the intricacies of Thai regulations in a liquidation context.

4. Experience with doreign clients:

What sets us apart is our practical experience. We have helped clients from various countries close down Thai operations, whether it was a rep office that outlived its purpose, a joint venture that concluded its project, or a subsidiary that remained dormant. We understand the concerns of foreign directors and shareholders; such as repatriating remaining funds out of Thailand after liquidation, or ensuring that closing the company won’t trigger any unexpected liabilities. Our team communicates fluently in English and Thai, bridging any language gap with government officers. We proactively follow up with the DBD and Revenue Department to check on the status of filings and clearances, rather than waiting passively. This hands-on approach often accelerates progress.

5. Trust and transparency:

Entrusting us with your company liquidation means you will receive regular updates at each milestone. We provide clear timelines and cost estimates at the outset. All government fees and requirements are disclosed, and we handle your company’s closure as if it were our own business; meticulously and lawfully. Our goal is that when the process is done, you have peace of mind that the company was closed correctly and completely, with no loose ends that could come back later (for example, surprise tax letters or penalties). The outcome is an official DBD certificate of dissolution and the knowledge that your obligations as a director/shareholder in Thailand have been fully fulfilled.

In short, Juslaws & Consult offers a one-stop service for company dissolution, liquidation, and even bankruptcy proceedings if it comes to that. By leveraging our legal expertise and practical experience, foreign business owners can confidently navigate the Thailand company liquidation process knowing they have a reliable partner. We not only know the law; we have applied it successfully for others, and we stand ready to do the same for you.

Closing a company in Thailand involves detailed legal and accounting work, but with the right guidance, it can be done efficiently and safely. Juslaws & Consult has the expertise in Thai company liquidation, dissolution, and bankruptcy procedures to ensure your company closure is handled professionally from start to finish. If you are considering liquidating your Thai company, contact us to discuss how we can assist you. We’re here to help you navigate the process so you can move forward with confidence, knowing your Thailand business matters are fully resolved.

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FAQ: Frequently Asked Questions on Company Liquidation in Thailand

Q: What is the difference between company dissolution and liquidation in Thailand?

A: Dissolution is the formal act of ending a company’s existence; typically done by a shareholders’ resolution to dissolve. Liquidation is the process that follows dissolution, where a liquidator winds up the company’s affairs. In other words, first the company is dissolved (decision made to close it), then during liquidation the company’s assets are sold, debts paid, and any remaining funds distributed. Only after the liquidation is completed is the company fully terminated and removed from the registry. Both steps are part of closing a company.

Q: How long does it take to liquidate a company in Thailand?

A: For a voluntary liquidation, it typically takes around 6 to 12 months to fully liquidate and dissolve a company in Thailand. Simple cases (for example, an inactive company with no debts) can be faster, sometimes as quick as 3 to 5 months, if all filings are in order and the Revenue Department doesn’t raise issues. However, more complex cases or those requiring tax audits can take over a year. In rare situations where there are complications (outstanding tax issues, lots of assets to liquidate, etc.), it could extend to 18 to 36 months before the final certificate of dissolution is obtained. Engaging professionals and ensuring all records are up to date will help keep the timeline on the shorter side.

Q: Can a foreign-owned company (e.g. BOI company or FBL company) be liquidated in Thailand?

A: Yes. The process of company liquidation in Thailand is fundamentally the same for Thai-owned and foreign-owned companies. If your company is Board of Investment (BOI) promoted or operating under a Foreign Business License (FBL), you must still follow the standard dissolution and liquidation steps with DBD, Revenue Department, and SSO. The additional considerations for foreign-owned companies are mostly administrative; for instance, you should notify BOI of the dissolution to cancel your BOI privileges, and inform the Ministry of Commerce to cancel the FBL. These are typically handled as part of the pre-dissolution preparations. Also, if foreign staff and work permits were tied to the company, those need to be cancelled. Our firm has handled such cases and will ensure all these extra steps are taken care of in parallel, so that the liquidation can proceed smoothly.

Q: Do all shareholders/directors need to be present in Thailand for the liquidation process?

A: Not necessarily. The key requirement is that the shareholders hold a meeting (which can sometimes be done via proxy if a shareholder cannot attend in person) to pass the dissolution resolution. If you cannot be in Thailand, you can appoint a proxy or sign the resolution documents abroad (with notarization and legalization as needed); we can assist in coordinating that. The appointed liquidator will handle the filings in Thailand with DBD and other agencies. Many foreign directors give a Thai representative (like our lawyer) a power of attorney to represent the company in the liquidation process. So while involvement is needed in terms of signing documents and approving accounts, physical presence in Thailand can be minimized with proper arrangements.

Q: What happens to the company’s debts and liabilities during liquidation?

A: All outstanding debts and liabilities of the company should be settled during the liquidation. The liquidator will use the company’s assets or remaining cash to pay off creditors to the extent possible. Creditors are formally invited to submit their claims once the company is dissolved. If the company has enough assets to pay all debts, then after paying them, any leftover can be distributed to shareholders. If the company’s liabilities exceed its assets (meaning the company is insolvent and cannot fully pay its debts), the liquidator is legally obligated to file for bankruptcy in court to let the court oversee the distribution of whatever assets are available. In a typical voluntary liquidation (solvent liquidation), by the end of the process, all debts are paid off or resolved. If there are any disputes with creditors, those must be resolved (or negotiated settlements) as part of winding up. Once liquidation is completed, creditors can no longer make claims against the company, since the company will cease to exist.

Q: Are there any tax requirements when closing a company?

A: Yes, tax compliance is a crucial part of closing a company. The company must file a final corporate income tax return (within 150 days of the dissolution) covering the last period of business. Any corporate income tax due on profits up to the dissolution date must be paid. If the company was registered for VAT, a final VAT return must be filed and a request submitted to cancel the VAT registration. The Revenue Department will usually not issue a tax clearance until they are satisfied that all forms (corporate tax, VAT, withholding taxes, etc.) have been filed up to date and all taxes paid. They may audit the company’s past filings (commonly they might review the past 2 to 3 years) before giving approval. It’s also worth noting that any dividend or liquidating distribution paid to foreign shareholders as part of the liquidation may be subject to withholding tax, depending on double tax treaties. We always include tax experts in the process to ensure all tax obligations are handled, so that you get an official clearance letter from the Revenue Department at the end of liquidation. Essentially, all taxes must be cleared before the DBD will allow the final liquidation registration.

Q: Do I need a lawyer or professional service to liquidate a company in Thailand, or can I do it myself?

A: Technically, it’s possible for company directors/shareholders to attempt the process on their own, but it’s generally highly advisable to use a lawyer and an accountant experienced in Thai liquidations. The process involves multiple formal steps (calling meetings with proper notice, special resolutions, legal filings in Thai, coordination with an auditor, dealing with tax officials, etc.). Any misstep, such as incorrect documentation or missed filings, can result in delays or legal complications. For example, not notifying a creditor properly could leave you exposed to claims later, or mistakes in the final tax submission could incur penalties. Hiring a law firm like ours provides peace of mind that every requirement is handled. We coordinate the paperwork, liaise with government agencies in Thai language, and troubleshoot any issues that arise. Given that the cost of professional assistance is modest compared to the potential risk of an improper dissolution, most business owners prefer to engage experts. Our firm offers comprehensive liquidation services, so you don’t have to navigate the bureaucracy alone.

Q: What are the costs involved in a company liquidation?

A: The costs can be broken into government fees and professional fees. Government fees for dissolution and liquidation registration with the DBD are quite small (on the order of a few hundred baht for registration and for the dissolution certificate). The larger portion of cost is professional fees for legal, accounting, and auditing services. These will vary depending on the complexity of the case. For instance, an inactive company with all accounts up to date will cost much less to liquidate than a company that has several years of financial statements to audit or many assets to dispose of. To give a rough idea, professional fees could range from tens of thousands of baht for a straightforward case to higher for a complex one. At Juslaws & Consult, we typically provide a fixed-fee quote after evaluating your company’s situation, so you know the cost upfront. While there is an expense to liquidate, it’s important to do it correctly; simply abandoning a Thai company without proper liquidation can lead to fines or legal issues for directors down the line, so it’s worth the investment to close the company properly.