Weekly Column

Sunbelt Asia Weekly Column 28 December 2018

Sunbelt Asia Weekly Column

28 December 2018

Sunbelt Asia will be closed for the New Year on January 1 and will re-open to take care of all your business needs on January 2. All of us at Sunbelt Asia would like to take this opportunity to wish you a happy and prosperous New Year.

The Fiscal Policy Office reported that the Thai economy had strong growth in November and that is expected to continue through the end of the year. Private consumption grew, in part due to a 12.8 percent jump in vehicle sales while Value Added Tax climbed by 9.6 percent to a 4 month high. Investment in the machinery sector grew 27.9 percent, and while exports dropped slightly they still hit US$21.2 billion with exports to the U.S. the highest in seven months. Tourism numbers grew 4.5 percent year on year in November reaching 3.18 million. Travelers from Malaysia leaped to the highest numbers in 41 months, growing by 44.6 percent. Foreign tourists brought over 167.4 billion baht into the country in November. The FPO has maintained its growth prediction of 4.5 percent this year, up from 3.9 percent last year, based on the expectation that spending will accelerate with New Year holidays. The Bank of Thailand also kept its annual GDP forecast at 4.2 percent for 2018 and predicted 4 percent for 2019.

The National Legislative Assembly passed into law last week a bill that legalizes the possession, production, use, import, and export of marijuana and Kratom for medical, research and development, agricultural, scientific, and industrial purposes. Under the law, the quantity of marijuana permitted for personal possession must not exceed ten kilograms and only certain categories of people and agencies are allowed to legally produce and trade in marijuana and Kratom. The Ministry of Commerce will begin reviewing applications for cannabis licenses in January, to date 31 applications have been submitted; one application seeks a license for the extraction of cannabis, 20 applications are for the use of cannabis for medical purposes, and 20 applications for the development of substances that have similar effects to marijuana.

The Airports of Thailand predicts 3.1 million passengers will pass through its six international airports. Airlines are expected to operate 18,300 flights during the period from December 27 to January 2, the number of flights is predicted to grow 12.6 percent year on year while the number of passengers will grow 11.8 percent. Suvarnabhumi will see the most passengers with 1.52 million passengers or 217,000 passengers each day showing 15.3 percent year on year growth, flights will see 15 percent growth reaching 8,000 flights or 1,140 flights per day. Don Mueang will have the second highest number of flights and passengers. The TAT predicts the number of foreigners traveling in the country will grow 9 percent to 520,000 people and will spend 7.8 billion baht, up 15 percent.

Phuket is saw growth in MICE (Meetings, Incentives, Conventions and Exhibitions) revenues nearly double in the past year, growing from 9 billion baht last year to a record-high 10.9 billion baht this year. There were 660 events with nearly 60,000 participants in the past year, with the top three sources coming from Singapore, China, and India. Indian weddings accounted for a good portion of the revenues as two weddings on the island last month spent over 320 million baht. That number is expected to grow with the increase of direct flights from GO Air to Mumbai, New Delhi, and Bengaluru. Bangkok came in second in Asia and 21st in the world in the International Congress and Convention Associations (ICCA) Global Destination Sustainability (GDS) Index. The top five Asian cities with highest overall scores were: Tokyo, Bangkok, Goyang in South Korea, Sapporo in Japan, and Dubai, UAE. The ranking measured four factors; city environmental strategy and infrastructure, city social sustainability performance, industry supplier support, and Convention Bureau strategy and initiatives. The Thailand Convention and Exhibition Bureau (TCEB) was the top scorer when compared to other Asian convention bureaus.

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; info@sunlegal.co.th.

Special offer on serviced officesWe are offering two types of serviced offices available at a special promotional deal
Office with space for two staff at 9,500 baht a month

Office with space for three staff at 11,000 baht a month

Happy anniversary from all of us at Sunbelt Asia!!
A “Thank you” gift for our clients new and old!
Sunbelt Asia has been offering our excellent service to our clients for 15 years! As our 15th anniversary gift we would like to offer our professional services on retirement and marriage visa extensions at the very special reduced rate of 7,500 baht as a thank you to our clients new and old for their support over the years.

Sunbelt Asia Legal Advisors can handle all your legal and business needs; from visas to work permits, prenuptial agreements to divorces, condo purchases and wills.

Be sure and contact our English speaking
legal advisors
for all your legal needs

We at Sunbelt Asia see many of our clients regularly ask us legal questions regarding living and running a business in Thailand. To help out we have set up a FREE Expert Answers for Your Questions in Thailand Facebook page;
Sunbelt Asia Facebook Expert Advice Page

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 doesn’t 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. It’s 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 owner’s 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

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