Sunbelt Asia Weekly Column
21 December 2018
Thailands internet economy is ranked second in South East Asia valued at 394 billion baht in 2018, second after Indonesia. The business to consumer e-market continues to boom with the increase of online shopping, ride hailing and online travel booking. The market has tripled growth from $US900 million in 2015 and is expected to reach $US13 billion in 2025. Ride-hailing in Thailand is projected to reach $US700 million in 2018, growing by 22 percent from 2015, and hitting $US 4 billion by 2025. Online media including gaming, videos and music is also growing strongly, nearly tripling by 2025. Internet users in Thailand increased from 38 million in 2015 to over 45 million this year, with 90 percent of users accessing the internet via mobile devices. Reports show that Thais are the most online-engaged users in the world, at 4.2 hours per day. The director of Google Thailand reported that the internet economy contributes 2.7 percent of Thailand’s national GDP, showing it is in line with the country’s economic growth.
In line with that move towards a more digital society, a recent survey shows that Thai consumers say they are looking forward to a cashless society, with 69 percent of those between the ages of 18 34 saying they trust financial tech systems, only 55 percent of those 55 years and older said they do. In Thailand, 57 percent of respondents said they were excited about a cash free future, and 83 percent saying they would open a savings account via a mobile app. In Japan only 49 percent said they would, while in the US it was 53 percent and the UK 57 percent who say they would open a bank account via a mobile application.
The government is offering tax incentives to taxpayers for purchases of rubber products (car, tires, bicycle, tires, motorcycle tires), OTOP products, and books, including e-books but not magazines or newspapers, valued at 15,000 baht or more during the period of December 15, 2018 to January 16, 2019. Taxpayers need to save their invoices and the rubber products must have documents from the Rubber Authority of Thailand, while the OTOP products must be registered with the Community Development Department and the books must be purchased from companies or registered partnerships. Taxpayers will be able to use the purchases as deductibles on their personal income tax for 2019 if purchased in 2018 and in 2020 if purchased in 2019.
The Green Line extension from Bearing to Samut Prakan has opened for a trial run and will be free to the public for four months until April 15, 2019. The 13 kilometer extension is open daily from 6 am to midnight with nine stations; Pu Chao, Chang Erawan, Royal Thai Naval Academy, Pak Nam, Srinagarindra, Phraek Sa, Sai Luat and Keha, where there is a parking structure for 1,200 cars.
The Thai government is launching a website to allow for online applications for visas at https://www.thaievisa.go.th. The website, which is live, shows options for tourist visas, transit, business visas, long-stay (retirement)visas, SMART, investor, stay with family and education visas. The e-Visa system will allow foreign nationals to apply online for visas; from completing the form to pay for the visa. The service will be available in Beijing on February 15 and in other cities in China by March 1. It will then roll out in Britain and France on April 1, and in all countries with Thai embassies and consulates within three years. Payments can be made via including credit card, QR code and Internet banking. Payment via QR code will debut in China through WeChat Pay, AliPay and China Union Pay.
Thai Immigration has begun taking applications for Permanent Residency applications will be accepted until December 28, 2018. Applications are limited to 100 people per nationality, those countries with several states, such as the United Kingdom, are considered as one country. Sunbelt Asia legal advisors can assist you in collecting all required documents showing your contribution to society, ensure all your Thai-language company documents are correct and complete and handle translation of documents. The process is rather complex so if you are interested in obtaining Permanent Residency contact us now to get the process started; firstname.lastname@example.org.
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Please feel free to contact us if you are in Thailand on (+66) 02-662-7004 to discuss any of these listings.
Quick sale sought for restaurant near Terminal 21
The owner of this restaurant is seeking a quick sale as he doesnt have the time to manage the business. Located just off Asoke Montri Road and near Terminal 21, Health Land and many office buildings and hotels this restaurant is on the ground floor of a hotel and has a booming lunch trade and is very popular with the locals in the area as well as tourists.
The restaurant can seat 85 people comfortably and a classically decorated private ventilated cigar room or VIP room. There are 7 full time staff with excellent team work, and food and beverage contracts with the hotel in the same building or provide breakfast service and room service offering a guaranteed income every month.
There is a cool room which stores wine and beer kegs, new kitchen equipment including charcoal grill, wok stove, oven, deep fryers, cooker, refrigerators and freezers included in the sale price. Rent on the 280 sqm space runs 155,000 a month with no key money. The lease runs until 2022 with a fixed rate. All construction maintenance is supplied and paid for by the hotel above. The website, email, Instagram, Facebook page (15k followers) are all included in the sale.
Total income is around 400,000 – 500,000 baht a month but can go higher with an owner with more time to spare for the business. The owner doesn’t have time to manage the business and so is looking to sell the business.
ASKING PRICE: 2.6 million baht
Chic bistro in Siam Paragon Mall
The owner of this chic new French-apartment style bistro in Siam Paragon is seeking a quick sale as he is moving overseas. Although the restaurant opened only this year it has already garnered great reviews for delicious food and a charming atmosphere. Siam Paragon is one of the top luxury shopping malls in Bangkok and known for a variety of great restaurants and is often a destination just for meals. Its great for those seeking to avoid the traffic but still want delicious home-style French food.
There are 12 staff with a total monthly payroll of 191,800 baht, rent on the 132 sqm space is 435,1000 baht a month while sales in the first six months have already reached 7.8 million baht.
ASKING PRICE: 16 million baht
New price on Thong Lor hostel
Updated with a new lower price, this chic and modern hostel in the popular Thong Lor neighborhood has five dorm rooms and two VIP bedrooms with en suite bathrooms, for a total of 41 beds.
The business also has a bar and restaurant on the ground floor and has earned good reviews on Trip Advisor and booking sites.
The hostel has a three-year lease and a monthly rent of 84,000 baht. Sales reach around 2.5 million baht a year with profits at about half a million. There are five staff members with a total monthly payroll of 40,000 baht. The owner invested more than 9 million baht in fitting out the building but is looking to sell quickly as he has another business to work on.
ASKING PRICE: 3.5 million baht
Kanchanaburi travel agency includes TAT license & shophouse
The owner of this long established Kanchanaburi travel agency is retiring and seeks a quick sale. The business handles inbound tours to this popular province, a destination not just for foreigners but Thais as well. Holding the valuable TAT license, the business is turnkey for the new owner. The sale includes the shophouse with the business. The building is 320 sqm and the buyer will be owning a chanote title property.
Last year’s sales reached 4.5 million baht with a net profit of 1.04 million baht. There are six employees with experience in the business with a total monthly payroll of 80,000 baht. There are several part time tour guides the company can hire freelance as needed.
The owner is now retiring and so wishes to sell the business
ASKING PRICE: 11.8 million baht
New asking price for thriving transportation business
Updated to a new price of only 48 million baht for this thriving transportation business, the owner is retiring soon and keen to sell. This profitable transportation business has earned a good reputation in its 48 years of doing business in Khon Kaen, the company has also expanded with two branches in Bangkok.
The business has many repeat customers and excellent word of mouth due to its long standing role in the north East. A great team of 60 dedicated staff. The company has 17 trucks for delivery and they are included in the sale.
The business saw 36 million baht in revenues last year with a profit of 13 million baht. The owner is retiring and so wishes to sell the business
ASKING PRICE: 48 million baht
Newly renovated Pattaya Hotel on 2nd road with new price drop
Updated with a new lower price, only 5 million baht for this long-running hotel and restaurant that was fully renovated just this year for a new, modern look.
Located on Pattaya 2nd road, the hotel now has a up to date, modern kitchen, bar, and restaurant with classic decor. There is an outdoor dining space as well and the entire restaurant seats 50 people.
The hotel has 14 rooms over 4 floors, in a three unit shophouse. Rent on this large space is only 100,000 baht per month. The hotel has income from a tour company of 15,000 baht a month, reducing the total overall rent to 85,000 baht a month. The lease is set for 4 years plus 3. There are 6 staff with a total monthly payroll of 70,000 baht a month.
Located right on the main road and with good lease terms, this is a deal.
The owner is moving to Bangkok and so must sell the business. The sale includes all new equipment and the fully renovated restaurant and bar as well as a Thai company with work permit.
ASKING PRICE: 5 million baht
Pattaya furniture factory and showoom with chanote land
Included in the sale of this high-end furniture factory in Pattaya is the factory and chanote title land on the outskirts and a showroom in downtown Pattaya. This business offers not just top quality fine furniture but also full service interior design for residential and commercial projects. The company has earned a reputation for attention to detail, unique and interesting design solutions and high-quality products. Offering a wide variety furniture, including stand alone and built-ins, the company has full service interior design solutions for its customers.
The business has a 600 sqm showroom in a busy Pattaya area and a 2500 sqm factory on the outskirts. The company owns the land and showroom in town. There are 45 employees and the monthly payroll of 1 million baht includes the owners salary. The business is open 6 days a week.
Sales last year reached 50.8 million baht and net profit over 2.6 million baht. The owners have spent a great deal reinvesting in the business including property to continue its growth.
The sale price includes the company with showroom, factory and land.
ASKING PRICE: 60 million baht
Pattaya hotel near Walking Street for less than market value
The owner has lowered the price on this modern hotel to less than market value as he is leaving the country soon and is seeking a fast sale. Market value is set at 23 million baht and he is looking for 19.5 million baht, a serious deal for a hotel that is very close to Walking Street in Pattaya and has a high occupancy rate and good reviews from guests. The hotel is almost always full and has attracted a strong Middle Eastern clientele.
There is a total of 18 rooms in the hotel, and there are a variety of rooms, all well equipped and roomy. The hotel also has a coffee shop for guests and outside customers.
The hotel has a good income each month, taking in 300,000 baht every month regularly. There are 4 staff with a total monthly payroll of 50,000 baht.
ASKING PRICE: 19.5 million baht