Starting a business in Thailand.

maxmom

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I have been wondering why so many people have had problems starting businesses in Thailand. I worked with a swedish guy at IBM in Ireland many years ago who had setup a business exporting hand made items from Thailand into the UK & Sweden.

So the basics were he bought them cheap, shipping was pretty cheap and demand 4-5 years ago for such items was good (So a great business you would think and my Swedish friend making loads of money) sadly no!

His wife was Chinese/Thai a pretty girl whose mother owned a little shop selling clothes to tourists(good contacts). Well my friend invests a great deal of money in buying stock through her mother (about 20 thousand pounds). Got some of the stock through contacted some shops and made some money :D he was happy.

Next shipment turns up a bit smaller than expected, problems. He was told by her mother MONEY would solve the issue, various problems including many bribes (approx £5000). Sent her more money. Nothing arrives, problems! Contact her mother to ask why the goods had still not arrived. He was told factor closed, money gone! Happens here?

This lead to arguments with his wife and a short time split when she returned home. They are back together but he is not allowed to mention the money that has been wasted (altogether about £15 thousand pounds loss).

Its an interesting story that I remembered soon after getting off the plane and thinking "there is money to be made here" then I remembered my friend and thought and even more to be lost!

I look at Thailand and see opportunity. When I speak to my HK Chinese friends (Chinese are born business people in my mind) they say keep well away from any ideas of setting up a business in the LOS. I have also read other horror stories on the net about running a business or even buying property in Thailand.

Does anyone know anyone who has set up a successful business in Thailand.

:D
 
I was told by many people to be very careful and don't expect much. Business here is very iffy and if an influential Thai wants to buy your business at "fair market value" sell it or else. Many stories around of people being offered money for their business they say no and boom someone gets shot.
They still haven't found the killers of the investigator of the land frauds that was here in Phuket.
That being said some people make money being a land developer but that requires quite a bit of capital and expertise.
 
It sounds pretty risky when you are potentaily putting your life on the line to make a few quid.

Sounds like my friend may have got off lightly, I would not call loosing £15,000 lightly but I have read worse tales on the net. Houses being stolen is one I often see.

It is funny Thailnd looks such a nice easy going place(on the Surface). It is strange for us guys because we smile when we are happy and don't when we are not! So everything seems a little sereal in Thailand, it did to me at least. ;)
 
my mother knows someone whose son was killed last year sometime.he had a diving business somewhere in thailand and they think it was because it was doing well or rivalry that caused the death of this man.he was shot to death.
steve
 
On the Surface evrything looks friendly but obviously just under the surface there is another face to the LOS. I think as a farang you just have to try and keep your feet on the ground and not get too attached to the place.

I like to know about the places & people I visit and find the internet a great place to find out information from those with greater knowlege of the places. That way I try to enter situations (countrys) with my eyes open. I would have liked to see the hill tribes (backpacking sort of thing) but after reading up a little on the net I am not as keen. I like to know what I am possibably letting myself in for before I go ahead with things. Access the risks sort of thing, probably comes from working along side so many accountants. :D
 
Having spoken to many of my clients, friends, work colleagues.......there is one thing that they all agree upon. Corruption in Thailand is RAMPANT. The goal posts are always shifting and anyone contmeplating investing in Thailand need to have their head read.

After Indonesia, Thailand is considered to be the most corrupt country in South East Asia
 
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