Start a restaurant in Pattaya

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How to Start a Restaurant in Pattaya

Thailand has arrived in past decades as the land of distraction. It attracts people all over the world so much that the economic industry has exploded. More and more businesses settle up here annually The tourist areas are considered to offer huge opportunities to people looking for smart investments. One of the most common types of businesses is restaurants. 

Providing people with food and drink is essential, mostly after a long day of visiting amazing destinations. If you also see this as a big chance to have a successful business, it’s time to start a restaurant in Pattaya, Thailand. 

J&E Concierge Pattaya is here to support you all along the way with the best consulting services and professional advice. Read this article to create a better idea about what setting up a restaurant requires and how we can help.

Why to start a restaurant in Pattaya, Thailand?

The majority of foreign investors are fascinated by starting a restaurant business in Thailand and the company registration procedures are easier than in any other country in the world. This may be the main advantage you can consider. But many others will make you realize that opening a restaurant in Pattaya is a great idea.

One of them is the huge tourist potential of the country. Being transited by thousands of tourists monthly, the demand for related services is continuously increasing.

Food is one of the biggest needs for humans, mostly for those oriented to explore and have fun. Ensuring a cozy place where they can serve delicious food, a tasty drink, and listen to good music is exactly what a tourist is searching for.

Additionally, you don’t have to be an expert in Thai food to run such a restaurant. You can go for any type of food, just be original and choose a thematic restaurant you would also go to.

Tips for a successful restaurant in Pattaya, Thailand

First of all, you have to choose a business location. A good location is just as important as your product, employees, or marketing. Ultimately, the place you choose to situate your company could determine whether or not your business makes it. 

Find out if the majority of the human traffic in the area falls under your targeted consumer base. Note that the competition is big, but not scary. People are open to new things and for sure can’t wait to see what you serve.  You can make a location analysis by looking at where your competitors are.

Make sure your restaurant entrance is visible from major roads and can easily be located. Visibility does not mean that you need to be right in the heart of the activity, but that you attract people’s attention.

Situating your business near a major shopping mall will mean that you can enjoy the consumer traffic from the mall without having to pay exorbitant rental costs.

If you did not have too much information about how to open a restaurant business you may consider this a good start to improving your new ideas.

How to start a restaurant business in Pattaya, Thailand

Pattaya is known for its glamorous and fun-filled resorts, the weather is very hot and humid, but also for bars and restaurants where the best dishes are made. Pattaya is the perfect place for you to expand your business.

After you choose the ideal location for your restaurant in Pattaya, it’s time to deal with the most important aspects of opening a business.

  1. Reserving the name of the company

The first thing to do after you settle your Company Business address is to initiate the registration process. This process begins with reserving the restaurant name at the Department of Business Development. Submit at least three company names that meet the current Thai business regulations. One of them will represent the name of your company.

  1. Finalizing Company Structure and Initiating Registration

Now that you have a location and a name, it’s time to prepare the required documentation for finalizing the Company structure. Luckily, company registration procedures are much easier than in any other country. 

You can start by signing the documents with the documents of the 3 shareholders, so you can finalize the company’s structure. Also, you will have to file a Memorandum of Association with the Thai director of your company, and then submit your application to the Thai Ministry of Commerce. This process may last approximately 3 three months.

There are many types of companies in Thailand: Sole trader, Partnership (unregistered, registered, or limited), Company (public or limited), Joint venture, etc. The most recommended type of company for foreign investors is Thailand Limited Company. Companies in Thailand can be set up as either private or public businesses, and these structures are covered by different legislation and rules.

  1. Getting Business licenses.

To start operating a restaurant in Thailand you have to obtain several licenses: a restaurant license, a food license, and an alcohol permit.  The application for your Food License consists of an appointment with an officer who will check if the location of the company follows the safety precautions for the Restaurant Business.

  1. VAT registration in Thailand

Since the objectives of the company will be to generate income in Thailand you will be required to be VAT registered and this will also enable you to acquire a Work permit, which will take you only two days.

  1. Opening a Thai Bank Account for your business.

In the digital era, you cannot run a business without a bank account. Mostly in Thailand, where you can opt for Internet banking, payroll systems, credit card machines, and even QR codes for payments.

6. Registering Thai employees to Social Security Systems.

Social Security Registration is mandatory from the first company employee. You need to have at least 4 Thai employees who must be registered with the Social Security System to work legally. Their registration must be done within 30 days after the hiring at the nearest Social Security Department. After registration, monthly contributions will be required under the Social Security Act. Its rate is 5%.

Documentation needed to set up a restaurant in Pattaya

You can have a company in Thailand, but to operate like a specific one you need a related license. As is the case for restaurant licenses. Our experts at J&E Concierge Pattaya can help you prepare all the necessary documents for a business license. With us, you can obtain any license you need to operate your business accordingly from a restaurant license, food business license, and liquor license to a construction permit and music license.

If your restaurant has dimensions of at least 200 square meters, you will have to apply for a restaurant license. The documentation required for a Restaurant License is:

  • Personal documents of the director
  • Personal documents of the owner
  • House registration of the business place
  • Company incorporation documents
  • Power of Attorney
  • Certified Food Handler Card
  • Medical Certificate of the food handler
  • Map of location
  • Certificate from the Department of Health.

If you want to hire foreign employees in your business, take into consideration the following aspects:

  • You must have a ratio of 4 Thai employees
  •   For every foreign employee, you have to ensure a Work Permit
  •     You must ensure a minimum capital of 2 million baht for every foreign employee.

When it comes to the workforce in your restaurant, better pick qualified employees for their position, otherwise, they will not be able to pass certain tests at the annual inspection of the authorities.

An alcohol license is the most demanded license in Thailand. The majority of restaurants have one, and you should have one as well. It allows businesses to sell alcoholic beverages in their store. The necessary documentation for an alcoholic license consists of:

  •      Company status
  •   VAT registration
  •  Lease or rental documents
  •    Identification documents of the business owner
  •    Power of Attorney

Alcoholic licenses are available for one year and can be renewed within 30 days after their expiry date.

A music license is also necessary when opening a restaurant. It allows companies to play copyrighted music in their space. Comparatively to the licenses above, the application for a music license can be done online on the Department of Intellectual Property’s website.

We would like you to have a clearer picture of the process of starting a business in Thailand now. Hope that our detailed article can serve you as a guide for the future. You can contact our company for more information about how to set up a company in Thailand and our professionals would be happy to help you. 

Read other useful articles

Social Security Fund in Thailand

Requirements for food license in Pattaya

Renew business licence

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