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E Commerce License in Thailand HP Leading Bangkok Law firm 1

With the enormous amount of online shopping applications and websites, the e-commerce in Thailand becomes more convenient and widely recognized. Due to the surge of the e-commerce clients at our law firm in Bangkok in 2023, H&P have prepared a summary of the key legal aspects for the foreign investment in e-commerce business in Thailand.

The merchants must consider e-commerce to be one of their methods of selling the products in order to enhance their sales’ performance. Therefore, it is recommended to register for the e-commerce license if the merchants want to start selling their products online. Even though, the merchants are selling the products through Facebook, Lazada, TikTok, or any online platforms, it is still recommended to register for the e-commerce license. Otherwise, they might receive a fine until you register for the license rightfully.

The merchants who must register for e-commerce license

As mentioned before, the merchants must register for e-commerce license if they sell the products or services through internet. They must register for the license within 30 days after they start their business online. The merchants doing one of these businesses must consider registering the e-commerce license:

The merchants who sell their products through internet.

The merchants who do the internet provider service.

The merchants who do the web hosting service.

The merchants who operate an online marketplace for selling products through internet.

Required documents for the E-commerce license registration

The merchants in number 1 include both small or big merchants. If they sell their product online, they must register for the e-commerce license. After the merchants know whether their business must register for the e-commerce license, they must prepare the following documents to register the e-commerce license:

-A copy of ID card and a copy of house registration

-An application for commercial registration certificate (Tor Por. 1 Form)

-An application for e-commerce license registration (the attachment of Tor Por. 1 Form)

-The first page of the merchant’s online store and the details of how to purchase a product, how to pay for the product and how to deliver the product

-The map of the business premises

-If the merchant is a juristic person, there must be the company certificate.

-The power of attorney document to the lawyer in Thailand (in case the merchants do not submit the application by themselves.)

Required documents if the merchants do not own the business premises

Some merchants do not have the ownership for their business premises. Then they must prepare more documents with the following documents:

-A letter of consent to use the premises or a rental agreement

-A copy of ID card of the owner of the premises, or the documents showing the ownership of the premises

Required documents if the merchants are foreign juristic persons

For foreign juristic persons, opening the branch in Thailand, they must prepare the following documents:

-Company certificate

-A document appointing an operator in Thailand

-Work permit, in case the operator is a foreigner

-Foreign business license (optional)

Once the merchants prepare all the documents above, the merchants can submit the documents at the DBD office, or they can submit it online. It is highly recommended to engage professionals and lawyers to prepare the supporting documents and forms for the success of the application to obtain e-commerce licenses in Thailand.

Besides the increase of reliability that the registered merchant will receive, the registered merchant can also apply to use the “DBD Registered” mark form the DBD. However, the merchants, who want to apply for the “DBD Registered” mark, must have their own website or domain name. In other words, the merchants, who use Facebook, Lazada, or Shopee as their selling platforms cannot apply for the “DBD Registered” mark. The merchant must create their own website in order to use the “DBD Registered” mark from DBD. The registered merchants, who are allowed to use the mark, can use the mark to be displayed on their website or their e-commerce platform in order to show their customer that they are registered to the DBD and are a trustworthy merchant. Nonetheless, not only the merchants must have their own websites or domain name, but the merchants must also comply with the DBD criteria as well in order to use the mark, such as the website must be commercially registered, the website must show the company’s information, and they must have after-sales service etc.

To conclude, the merchants, who sell their product through internet, must register for the e-commerce license. If they do not register, they must pay a fine. Therefore, it is recommended for the merchants to legally register to the DBD within 30 days after the first day that they have started their business in order to improve the customer’s trust and avoid any fines. The merchants can submit the application by themselves or they can hire a professional to apply for them as well.

Based on H&P Bangkok Lawyers experience in e-commerce, there is one additional final aspect to consider which is the payment gateway. Most of the Thai banks are open to provide payment gateways to e-commerce business but they require that the company should have been established for 3 years. Therefore, the shelf companies with more than 3 years since the first incorporation that H&P has in the portfolio can be extremely useful solution for foreign investors looking to obtain payment gateways from Thai banks such as Kasikorn, SCB or Bangkok Bank.

If you need to consult with a lawyer in Thailand about e-commerce license, please contact us via [email protected]

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