The survey results indicate that SMEs have registered a legal entity already tomorrow! Sales surpassed 40% SME Development Bank organizes a special loan for knowledge of the account in the system


University of the Thai Chamber of Commerce reveals the results of a survey of SMEs registered for the most valuable juristic person clearly support business growth In particular, sales increased 40.7%, profits rose 32.7%, product prices rose 24.2% on the SME Development Bank, ready to support ultra-low interest loans, easing the criteria, adding knowledge of financial accounts. um log in

Asst. Prof. Dr. Thanawat Phonwichai, Director of the Center for Economic and Business Forecasting University of the Thai Chamber of Commerce Discuss the results of the survey on the value of registering as a juristic person Based on data from the Department of Business Development, indicating that there are 7-8 hundred thousand registered enterprises, while data from the National Statistical Office. Indicates that there are 2.5 million SMEs entrepreneurs, of which more than 1.75 million SME entrepreneurs, or 70%, still refuse to register as a juristic person. This group is therefore worrisome due to government assistance through various measures. could not reach these operators

From a survey of 1,250 SMEs across the country on the current situation of businesses (Compared to the previous year) between “registered SMEs” and “unregistered SMEs”, it can be seen that registered SMEs have significantly improved. In particular, sales rose 40.7%, profit improved 32.7%, product prices improved 24.2%, and business liquidity improved 27.4%, while SMEs that did not register a legal entity. has improved/increased in lower proportions In terms of credit demand, most SMEs, 29.92%, said they currently need credit. To be used as working capital, 32.56%, additional investment 9.52%, general spending 6.48%, debt repayment 5.36%, and others 0.48%.

“Forecasting Center The survey group was divided into 2 groups, which are “registered juristic person group” and “non-registered juristic group”. If borrowing money in the system, it may be necessary to register a legal entity. Entrepreneurs who have not registered a juristic person will register or not? It was found that 43.31% answered that they registered. and in the case when the juristic person is registered It is seen that loan applications will increase by 55.56%, equivalent to an average value of 1.04 million baht, resulting in an increase of income 31.39%, an average value of 7.38 hundred thousand baht and may increase costs by 29.81% to an average value of 3.72 hundred thousand baht. 34.27% said they did not register, and 22.41% were unsure of registering.”

For the sample group registered as a juristic person Considered that the factor that supports the registration of a juristic person comes from the government’s tax exemption and tax reduction for juristic registrants, followed by the fact that businesses registered as juristic persons will pay less tax than unregistered businesses. The registered business has proper accounting. And a business that is registered as a juristic person, if there is a need for credit, can apply for a loan more easily than an unregistered business.

The sample also stated that Registering a legal entity has 76% more benefits than unregistering, 22.36% saying no difference, and 22.36% saying no. Being unregistered has only 2% more benefits than registering. As for the attitude towards corporate registration, it was found that businesses registered as juristic persons are 95.14% easier to borrow than unregistered businesses, have 64.78% lower interest costs, and are burdened with tax expenses. Less than 77.33% received help from government policies earlier than 78.54%, received 91.87% more trust from customers, and benefited 91.80% more than unregistered businesses.

This is reflected from the results of juristic person registration in the case of comparison before and after the registration. Businesses can apply for loans increased by 65.18%, representing an average change of 1.36 million baht from before registration. In addition, the business’s income has changed from before registration of a legal entity 1.78 million baht and the cost structure has changed from before registration of 6.91 hundred thousand baht in terms of of the worthiness of registering a juristic person 44.03% consider it very worthwhile because it can request a loan easier and faster higher loan amount get tax relief Increase the confidence of customers internationally recognized Increase the chance of getting new customers and have more opportunities to access government assistance

The survey also found that the first 5 factors that prevent entrepreneurs from registering a juristic person come from 1. Fear of taxation up to 43% 2. Registration time or no time to register 40.5% 3. Badly told from registration 40.2% 4. Registration of a juristic person is difficult – lots of paperwork. Up to 38.4% and 5. Being a juristic person, 38.2% will be inspected by the Revenue Department.

In this regard, the proposal to the government to encourage entrepreneurs to register for juristic persons are: 2.Reduce registration fee 3. When there is a crisis, businesses must get help from the government. 4. Knowledge of accounting and registration 5. Give confidence and worthiness to business owners that if registered, how will they benefit? as well as increase the benefits of registration to increase 6. Simplify the registration process and extend the document collection time. 7. Reduce tax and interest rates, and 8. Facilitate communication and coordination.

Mr. Mongkol Leelatham Managing Director Small and Medium Enterprise Development Bank of Thailand (SME Development Bank) or SME Bank said that small businesses or SMEs are extremely important to the Thai economy. However, in the future, borrowing money from Thai financial institutions Must bring the account filed with the Revenue Department for consideration of the loan. affecting SMEs entrepreneurs, especially the informal Can’t access funding sources, so the bank aims to push these SMEs to access funding sources. through credit products to relieve conditions and ultra-low interest rates, such as the Boss 4.0 loan for juristic persons Ordinary individuals can apply for a loan. but must complete the registration of the juristic person before approval Interest rate 1% per annum over the term of the contract, 7 years, no collateral required. Provide opportunities for minority with financial problems to borrow (Even if it has been restructured or has been inconsistent with repayment), a maximum loan repayment period of 3 years, installments of only 410 baht per day and star credit For natural persons and juristic persons, interest 3% per annum in the first 3 years for processed agro-businesses tourism/community tourism and new entrepreneurs or innovative

Along with adding financial knowledge or Financial Literacy, which is 1 of 9 measures to promote SMEs in collaboration with the Ministry of Industry by allocating a budget of 5-10 million baht for training in finance, accounting and tax which assigns the Office of Small and Medium Enterprises Promotion (OSMEP) and related agencies Developing small entrepreneurs or “micro-SMEs” to register a juristic person, including creating an SME D Bank platform, packing software and applications to manage a variety of simple accounting systems (Accounting Management) to support entrepreneurs to adjust to register as a juristic person Automatic access to funding sources and grow and survive in a sustainable way

Mr. Mongkol continued that the registration of a juristic person It helps the government to know the identity of SMEs and can walk in to support them quickly and on the spot. for example Praying carpet products made of rubber, brand “KAYOR” from a new generation of entrepreneurs registered as a limited partnership. Hat Yai Rubber Tech Helping to access credit for Tao Kae 4.0 interest of 1% or Native Food Company Limited, the manufacturer of fermented fish sauce, pasteurized brand “Plai Chawak” is supported to expand online marketing channels through the Shopee application and get the right to issue. Booths such as Vayupak Market, Love People and Khlong Phadung Krung Kasem Market Help to increase sales by more than 150%, etc.


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