Establishing Business in Turkey
Turkey’s regulatory environment is extremely business-friendly. You can establish a business in Turkey irrespective of nationality, or place of residence.
Company Establishment in One Day
It is possible to establish a company in a short time by applying to the relevant trade registry office with the required documents. The company is established once the founders declare their intent to set up a joint stock company in the articles of association, which have been issued in accordance with the law, and where they, with their notarized signatures, unconditionally acknowledge and undertake to pay the whole capital. The company receives its “legal entity” status upon registration with the trade registry.
Types of Companies
Incorporated companies such as a:
- Joint-stock company (A.Ş.)
- Limited liability company (Ltd. Şti.)
- Commandite company
- Collective company
- Cooperative company
Joint Stock Company
The company’s stock capital is divided into shares and the liability of the shareholders is limited to the subscribed capital and paid by the shareholder. At least one shareholder (real person or legal entity) and a minimum capital of TL 50,000 are mandatory. The mandatory company shall include a general assembly and a board of directors.
Limited Liability Company
It is a company established with at least one shareholder (real person or legal entity) and the liability of the shareholders is limited to the subscribed capital and paid by the shareholder. A minimum capital of TL 10,000 is mandatory.
Commandite Company
It is the company established to operate a commercial enterprise under a trade name. Whereas the liability of some shareholders is limited to the capital subscribed and paid by the shareholder (commanditer), for some shareholders there is no limitation of liability. Legal entities can only be commanditer. No minimum capital is required. The rights and obligations of the shareholders are determined by the articles of association.
Collective Company
It is the company established to operate a commercial enterprise under a trade name and, the liability of none of the shareholders is limited only to the capital subscribed and paid by the shareholder. No minimum capital is required. It is mandatory that all the shareholders be real persons. The rights and obligations of the shareholders are determined by the articles of association.
Company Establishment Procedures
Three copies of articles of association (one copy original) which are notarized are prepared. Following the notarization of articles of association, within 15 days at the latest, application to the relevant trade registry office with the documents set below is needed.
Documents for the Company Establishment
- Letter of Undertaking (Trade Registry Regulation Article 24)
- Articles of association including notarized signatures of founders and notary certification proving that all shares constituting the registered capital have been subscribed by the founders in the articles of association
- Founders’ statement signed by the founders
- The bank letter proving that the share capital has been deposited
- The bank receipt indicating that 0.04% of the company capital has been deposited to the account of the Turkish Competition Authority at a state bank
- Permit or letter of compliance for companies whose corporation is subject to the permit or letter of compliance issued by the relevant ministry or other official institutions
- Notarized copy of signatures of persons with the authority to represent and bind the company
Application number indicating that the trade name to be used has been checked and confirmed by the Trade Registry Office
- Company establishment statement form (3 original copies)
- Certificate of residence of founding partners
Notarized translation of passport in case the foreign shareholder is a real person; apostilled and notarized translation of registry document issued by the competent authority in case the foreign shareholder is a legal entity.