Establish a Business in Turkey

ESTABLISH A BUSINESS IN TURKEY AND OPEN YOUR BRAND TO THE WORLD

Turkey Residence Agency offers business registration services for our clients with experienced advisors. Your company is registered by trusted 3rd party CPAs.

STEPS OF REGISTERING A BUSINESS

1. Company Headquarters

According to the Turkish Law, your company must have an address before establishment.

• The first option is to rent a physical location for your company. Rent contracts in Istanbul for offices and shops vary depending on location and size.
• The second option is to rent a virtual office. With this option you will have a legal address, but not a physical location.

2. Equity and Capital of the Company

According to the Turkish Commercial Law, the minimum capital amount is 50,000TL. However, we advise our clients to deosit 500,000TL capital to facilitate the following procedures:

• Work Permit Application
• Being a part of trade organizations such as TUSIAD; MUSIAD, etc.
• Import and Export Activities

It is not compulsory to deposit the capital in the bank during the establishment process, the amount has to be deposited before applying to the work permit or within 24 months from the date of establishment.

TYPES OF COMPANIES

The Joint Liability company

It is a company established to operate a business under a specific trade name, The liability of any of the shareholders is limited only to the capital subscribed and paid by the shareholders. There is no minimum capital requirement. All contributors need to be real people. Shareholders’ equity and obligations are determined through the Statutes.

This type of company has to be established by at least one real person or a legal entity and fifty people at the most, and the liability of shareholders is limited to the capital subscribed and paid by the shareholders. The capital of such company shall be not less than 250,000TL minimum for the establishment of the company.

The Limited Liability company

This company has to be established by at least one real person or a legal entity and fifty people at the most, and the liability of shareholders is limited to the capital subscribed and paid by the shareholders. The capital of such company shall be not less than 50,000TL minimum for the establishment of the company.

The Limited Partnership corporations

The Limited partnership corporations is a company established to run a business under a specific brand name. As the liability of some shareholders is limited to the capital subscribed and paid by the shareholders (financiers), there are no limits on liability for some shareholders. Only legal entities funded. There is no minimum capital requirement. Shareholders’ equity and obligations determined through the Statutes.

The Joint Stock company

A joint stock company can be established by one or more shareholders (Real persons or legal entities), and the requirements for the minimum share capital is 50,000TL The management of the company is also foreseen by a board of directors, together with a supervisory board.

REGISTER YOUR COMPANY WITH OUR PROFESSIONAL ADVISORS

Tax incentives include customs, VAT and corporate income tax exemptions that depend on the sector and region of the company. Non-tax incentives include allocation of free land, assistance for R&D and market research, and up to 80% grant on social security payments of the employees. Other business initiatives are “Organized Industrial Zones” and “Free Trade Zones” that incentivizes export-oriented industries.

• Tax and non-tax incentives
• Corporate income tax rate of 25%
• Double taxation treaties with more than 70 countries
• Standard VAT rate of 20%, with reduced rates of 10% and 1% on certain goods and services
• Customs Union with the EU and Free Trade Agreements with 16 countries
• Bilateral investment treaties with 82 countries, including Russia, Ukraine, Uzbekistan, Kazakhstan etc.