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SUWANVARA LAWFIRM
Suwanvara Law Firm Co., Ltd.
SUWANVARA LAWFIRM
SUWANVARA LAWFIRM
Suwanvara Law Firm Co., Ltd.
Business Law

Opening a Hotel or Accommodation: What Licences Are Required — the 8-Room Threshold, Homestays, and What Must Be Cleared Before Applying

How many rooms an accommodation needs before a hotel business licence is required, what small accommodations must notify, why the building and town planning requirements must be cleared before the licence stage, the risks of renting out condos on a daily basis, and the restrictions where there are foreign shareholders

by Legal Advisory TeamSeptember 13, 20265 min read
Opening a Hotel or Accommodation: What Licences Are Required — the 8-Room Threshold, Homestays, and What Must Be Cleared Before Applying

Many people start an accommodation business from a single house, add more rooms, or buy a shophouse to run as a guesthouse, and only later ask about licenses. The problem is that a hotel business license is the final step in a multi-layered inspection process. If the building or land does not pass from the start, you cannot apply.

This article lays out what must be checked, and in what order.

Step 1: Is your accommodation a "hotel" under the law?

The law on hotels applies to accommodation premises provided for travellers or other persons to stay temporarily for remuneration, but there is an exemption for small accommodation.

SizeStatusWhat you must do
No more than 8 rooms and no more than 30 guests in total, operated as supplementary incomeNot considered a hotelNotify the registrar and obtain an acknowledgement of notification
Exceeds the above thresholdsIs a hotelObtain a hotel business licence before opening

These thresholds were expanded from the previous ones under the ministerial regulation in force since the end of B.E. 2566. Older information that still states 4 rooms and 20 people is therefore no longer the current threshold.

⚠️ Not needing a hotel licence does not mean there is nothing you must do. Small accommodation must still be notified, must have a building that is lawfully usable, and must meet the prescribed safety standards.

Step 2: Can the land be used for a hotel?

Before designing or buying the land, check the city planning to see whether the land is in a zone that permits a hotel. Some areas prohibit it entirely; some areas limit building size, height, or setback distance. In addition, there are area-specific restrictions, such as coastal areas or zones with special building control laws.

Step 3: The Building

This step is where accommodation businesses get stuck the most.

  • A construction or building modification permit must be obtained for use as a hotel.
  • An existing building constructed as a house or shophouse requires an application to change the building use to a hotel, which may require structural adjustments, fire escape routes, and various systems.
  • Fire prevention systems, fire escape routes, exit signs, and alarm systems, in accordance with the size of the building.
  • Wastewater treatment systems and waste management.
  • Parking spaces as required by law and city planning.

Buying a building that is already operating as accommodation does not guarantee that the building is compliant. You must ask to see the construction permit, the approved plans, and evidence of the building use change.

Step 4: Environmental Impact Assessment Report

Hotels with 80 rooms or more or a usable area of 4,000 square meters or more must prepare an EIA report and must obtain approval before a construction permit is granted. This must be planned from the design stage, because it affects the timeline of the entire project.

Step 5: Hotel Business License

  • Registrar In Bangkok, the Registrar is the Director-General of the Department of Provincial Administration; in the provinces, it is the Provincial Governor.
  • Hotel types Classified by size and services provided, such as rooms only, or with a restaurant, meeting room, or entertainment venue.
  • Key documents These include evidence of land rights or a lease agreement, a construction or building modification permit, a building plan, the applicant's supporting documents, and a company certificate in the case of a juristic person.
  • The license has a term and must be renewed before it expires.

After obtaining permission: regular duties

  • Guest register in the prescribed form
  • Notification of the accommodation of foreigners to the Immigration Bureau within 24 hours
  • Other relevant licences such as food sales, liquor sales, music copyright, and entertainment venues, if applicable
  • Employees — register for social security and comply with labour law

Renting Out a Condo or House on a Daily Basis Through an App

Renting out a room on a daily basis to the general public for remuneration may constitute operating a hotel business without a licence, and there are judgments that have ruled along these lines. In addition, the regulations of many condominium juristic persons prohibit daily rentals. Anyone buying several condominium units for daily rental should therefore check both matters before investing.

Foreign Shareholders

The hotel business, except hotel management services, is on the list of businesses that foreigners must obtain permission for. A company that is regarded as a foreigner must therefore obtain an alien business licence, or receive investment promotion that exempts it from this restriction, before operating.

Setting up a company with Thai nationals holding a majority of the shares in place of a foreigner without genuine investment is a criminal risk for both sides. Read more on setting up a company with a foreign partner

Buying or Taking Over a Hotel That Is Already Operating

  • The hotel licence is tied to the operator; the buyer must carry out the process in their own name correctly.
  • Check whether the number of rooms and the actual operating area match those that were permitted.
  • Check for unauthorised extensions, which become the buyer's burden after the transfer.

Work Sequence Checklist

  1. Assess whether it qualifies as small accommodation or a hotel.
  2. Check the city plan and land restrictions.
  3. Check or apply for construction, modification, or building use change permits.
  4. Assess whether an EIA is required.
  5. Review the shareholder structure if there is foreign ownership.
  6. File the notification or apply for a hotel business license.
  7. Apply for other operating licenses and set up the system for reporting foreign guests.

📌 See more: Business law · Real estate

If you are about to open a hotel, resort, or accommodation, or are buying an existing accommodation business, consult our legal team to review the permit sequence before investing in construction.


This article provides general information and is not a legal opinion for any specific case. Criteria may be amended, and you should verify with the relevant authorities before taking action.

Frequently asked questions

Does a small accommodation with only a few rooms need a hotel licence?+

Under the current criteria, an accommodation with no more than 8 rooms and accommodating no more than 30 guests in total, operated as supplementary income, is not regarded as a hotel under the law on hotels, and therefore does not require a hotel business licence. However, it must notify the registrar and obtain a notification receipt, and must still comply with building and other safety laws.

Who issues the hotel business licence?+

The hotel registrar. In Bangkok this is the Director-General of the Department of Provincial Administration; in the provinces it is the provincial governor. The application may be submitted at the offices of the Department of Provincial Administration or at the district office as prescribed.

Must a hotel prepare an EIA report?+

A hotel with 80 rooms or more, or with a usable area of 4,000 square metres or more, must prepare an environmental impact assessment report. Certain areas may also have additional requirements. This should be checked from the design stage, because it affects the timeline of the entire project.

Is renting out a condo on a daily basis through an app illegal?+

There is a high risk. Renting out rooms on a daily basis to the general public for remuneration may amount to operating a hotel business without a licence, and there are court judgments decided along these lines. In addition, the regulations of many condominium juristic persons already prohibit daily rentals.

Can a company with a majority foreign shareholding operate a hotel?+

The hotel business, excluding hotel management services, is on the list of businesses for which foreigners must obtain permission under the law on foreign business operations. A company that is treated as foreign must therefore obtain a foreign business licence, or receive investment promotion that exempts it from this restriction, before operating the business.

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