In opening a new business, reliability is one of the key success factors because reliability can bring a wide range of trust from partners and customers. As you notice, most of our partners and customers choose to run business with legal entities more than individuals due to legal entity is a form of business that can verify both financial status, registered capital, list of shareholders, etc., it makes new entrepreneurs who are opening their business in the form of a juristic person have more business opportunities than doing other forms of business and the most importantly is the tax benefits that are superior to running business as an individual. This article will take you to solve all questions about registering a business whether it is good to register or not and when it is appropriate , which form that should to register. New entrepreneurs should not miss.
Company Registration
Limited Company is a form of juristic person or legal entity that is established by 3 or more promoters. It is a joint investment method by dividing the capital into shares of equal value, with the shareholders having responsibility equal to the value of the shares as purchased in company registration. Entrepreneurs need to carry out with the Department of Business Development along with various information and documents. The registration of a limited company is not only creating credibility for entrepreneurs, but also has a positive effect on many entrepreneurs and financial opportunities.
Running business in the form of a company is more stable than running business in the form of an individual so, fundraising can be easier. For example, when expanding the business, it will be easier to find investors to invest. Including considering the lending of banks to entrepreneurs who run business in the form of companies, there will be more than individuals and the most important thing is the tax benefit, that is operating the business as a company will pay income tax on the net profit. In case of net loss , entrepreneurs may not have to pay taxes at all. This is different from the personal income tax that uses a fixed rate of 10-60% according to the type of income and need to pay for taxation even if the earnings are at a loss. Therefore, registering a company has more advantages and they are also exempt from the higher ceiling tax.
Register a Limited Partnership
Limited Partnership is registered in the form of a juristic person from 2 or more to become partners. The business will be under the responsibility of the partners, divided into 2 types:
- Limited liability partner is the partner responsible for limited liability which only be responsible for the investment liabilities. They have no right to make any decisions in the business but they have the right to inquire about the operations of the business.
- Unlimited liability partner or managing partner is a partner who is responsible for the liability of the partnership unlimited amount with full right to make decisions on matters of the business
For bookkeeping and tax preparation, a limited partnership has the duty to keep an account same as the case of a company registration and pay the tax following corporate income tax rate as a limited company registration.
Which type of registration is more suitable for your business?
Deciding to register a company or partnership depends on the type of business, and most experts recommend registering as a company because of its advantages in many respects, especially credibility. Although a limited partnership is considered a form of trade organization but it is often seen as a family business or small businesses that focus on domestic trade, it is different from being registered as a limited company which will be universal and a professional image, credibility , get more formal jobs and add more channels for businesses to access funding sources. Most entrepreneurs prefer to register as companies.
PMP SERVE (THAILAND) provides a full range of company registration services to help carry out company registration on behalf of all entrepreneurs who want to establish a company from the consulting process. We provide information and documents and help carry out all the steps on your behalf so that you can spend your valuable time in business planning, running a business, and growing your business.
Register a business, Making an advantage with PMP Serve (Thailand), in one-stop service.
PMP SERVE (THAILAND) provide business registration service, company registration, limited partnership registration which standards and legal covers a wide range of businesses at reasonable prices. Company registration service and limited partnership registration service by a team of professionals with both expertise and expertise, experienced in company registration and limited partnership registration, fair and reasonable price to various types of businesses for a long time ensuring standards and accuracy. We are ready to serve you with speed, conciseness, promptness, and ready to advice and solve problems quickly, on time, guaranteeing quality standards in providing services for limited partnerships and company registrations, fair prices for all businesses with no additional hidden costs. We are happy to advice on business registration with honesty, transparency, sincerity, clarity and based on facts
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