Establish A Company in Turkey

Why Should I Establish a Company in Turkey?

One significant incentive is the exemption on imports of certain machinery and equipment from customs duties, levies, and VAT. Additionally, there are tax incentives available, including exemptions from income tax and social insurance contributions. Businesses located in Turkey’s free trade zones also enjoy specific advantages, such as further customs duty exemptions. Since 2018, foreign investors and business owners have had the opportunity to apply for Turkish citizenship, adding to the appeal of setting up a business here.

Can Foreigners Start a Company in Turkey?

Yes, Turkey offers numerous conveniences and opportunities for foreigners wishing to establish a business. The process, while it may seem complex, can be navigated successfully with the right guidance.

How to Set Up a Company in Turkey?

Starting a business in Turkey involves several steps, and we are here to assist you throughout the process. Engaging a Turkish attorney can be invaluable for both you and your business. The first step in any official procedure is to obtain a potential tax number from the tax authority. It is advisable to seek professional assistance at this stage, as all official processes require this number.

Next, you will need to determine a legal address for your company, which is essential for establishment. Whether you choose a virtual or physical office, securing and renting a location is necessary. It is important to ensure that you pay the rent from your company bank account rather than your personal account.

When it comes to selecting the type of company, foreign investors typically choose between a Joint Stock Company (JSC) or a Limited Liability Company (LLC). For smaller operations, an LLC is often the most suitable choice due to its swift, cost-effective incorporation process.

Engaging a reliable consultant is crucial for navigating the establishment process and addressing any legal issues that may arise. Your consultant will assist with drafting the articles of association, applying for registration with the trade registry, preparing tax documents, and arranging power of attorney on behalf of your company. We are happy to assist you with these services.

Once you have a consultant, you must register your company with the trade registry office, tax office, and other relevant authorities. After receiving the necessary documentation from the trade registry, you will need to take your company’s signature circular to a notary public. Having a sworn translator available during this process is also recommended, and we can help you find an accountant for tax matters and a certified translator for notary services.

Finally, you will need to open a bank account to manage your company’s financial transactions. For guidance on this process, please refer to our article titled “How to Open a Bank Account” or contact us directly for assistance.

Can Foreigners Open a Limited Liability Company in Turkey?

Yes, a Limited Liability Company (LLC) is a popular option for foreigners starting a small business in Turkey. It can be established by two or more non-Turkish nationals, with at least one shareholder required and a minimum share capital of 10,000 TL.

How Much Does It Cost to Open a Company in Turkey?

Opening a company in Turkey is relatively affordable. Business owners should have a budget for company registration fees, notary fees, and taxes.