Establishing a Company in Turkey

Setting up a company in Turkey is a relatively straightforward process, but it requires some procedures and official documents. Turkey is among the emerging countries with a strong economy and rapid growth, making it an attractive destination for businessmen and companies from around the world.

Therefore, it is possible to seek assistance from a lawyer or a company to help establish businesses in Turkey. Among them is Skyline Holdings, due to its significant reputation in this field. In this article, we will talk about the importance of establishing a company in Turkey and the reasons for its importance, the types of companies available in Turkey, the required documents, how to manage the establishment procedures, and conclude with some tips for setting up a company in Turkey, and the most common questions about this matter. Stay with us...

Importance of Establishing a Company in Turkey

The importance of establishing a company in Turkey lies in the fact that Turkey is one of the emerging countries with a strong economy and rapid growth, making it an attractive market for companies. A company can be established in about two weeks, especially given Turkey's advantages in hosting new businesses. There are many reasons that make establishing a company in Turkey a good idea, including:

Turkey has a strong economy and rapid growth, making it an attractive market for companies. Turkish GDP grew by 11% in 2022, and it is expected to grow by 7% in 2023.
Turkey is strategically located between Europe and Asia, providing opportunities to access new markets. Turkey is a member of both the European Union and the Black Sea Economic Cooperation Organization, facilitating trade with European and Asian countries.
Turkey has advanced infrastructure, including highways, airports, and railways. It also has an advanced communication system that facilitates communication with the outside world.
Turkey has a stable legal system that protects intellectual property rights and foreign investments.

Types of Companies Available in Turkey

There are many types of companies available in Turkey, including:

Limited Liability Company

The most common type in Turkey, consisting of two or more partners. The partners have limited liability according to their shares in the capital.

Joint Stock Company

A company consisting of shareholders, which can be any number. Shareholders have limited liability according to their shares in the capital.

Multinational Limited Liability Company

A company consisting of partners from different countries. Partners have limited liability according to their shares in the capital.

Subsidiary Company

A company established in Turkey by an existing company in another country.

Documents Required for Establishing a Company in Turkey

The required documents for establishing a company in Turkey vary depending on the type of company. However, generally, most companies require the submission of the following documents:

Company establishment contract: A legal document that specifies the conditions for establishing and organizing the company.
Birth certificate or passport: To verify the identity of the partners.
Bank endorsement letter: In which the bank indicates that the partners have sufficient funds to establish the company.
Residence permit in Turkey: For foreign partners.
Security approval: From the Turkish Ministry of Interior.

Procedures for Establishing a Company in Turkey

The procedures for establishing a company in Turkey consist of the following steps:

Choosing the type of company

The first step in establishing a company in Turkey is to choose the type of company you want. There are many types of companies available in Turkey, such as Limited Liability Company, Joint Stock Company, Multinational Limited Liability Company, and Subsidiary Company.

Preparation of the company establishment contract

After choosing the type of company, the company establishment contract must be prepared. The company establishment contract is a legal document that specifies the conditions for establishing and organizing the company. It should include all the basic information about the company, such as the type of company, company name, capital of the company, partners' authorities, and company management system.

Obtaining security approval from the Turkish Ministry of Interior

Security approval must be obtained from the Turkish Ministry of Interior before registering the company in the commercial registry. An application for security approval is submitted to the Turkish Ministry of Interior, and the application must include all the basic information about the company and the partners.

Registering the company in the commercial registry

After obtaining security approval from the Turkish Ministry of Interior, the company must be registered in the commercial registry. The company is registered in the commercial registry by submitting a registration application to the local Chamber of Commerce and Industry. The registration application must include all the basic information about the company and the partners.

Obtaining a tax number

A tax number must be obtained for the company from the Turkish Tax Authority. A tax number is obtained by submitting an application to the Turkish Tax Authority, and the application must include all the basic information about the company and the partners.

Opening a bank account for the company

A bank account for the company must be opened at one of the Turkish banks. A bank account for the company is opened by submitting an application to the bank, and the application must include all the basic information about the company and the partners.

Generally, the procedures for establishing a company in Turkey take about two to three weeks.

Tips for Establishing a Company in Turkey

Here are some tips for establishing a company in Turkey:

Get legal advice from a lawyer or a legal consultancy firm specializing in Turkish commercial laws. You can contact us at Skyline Holding for assistance in this matter.
Choose a distinctive name for the company. The company name should be unique, easy to remember, and reflect the nature of the company's activities.
The company establishment contract should include all the basic information about the company, such as the type of company, company name, capital, partners' authorities, and management system.
The location of the company should be suitable for its activities and easily accessible by customers and suppliers.
Prepare a business plan that defines the company's goals and objectives. A business plan will help you develop a strategy for the company and identify the goals you want to achieve.
Market your products or services to attract customers. You should market your products or services to attract customers and increase sales.
Learn the Turkish language. Learning the Turkish language will help you communicate better with Turkish customers, suppliers, and employees.
Understand Turkish culture. Turkish culture differs from Western culture, so you need to understand it to interact appropriately with Turkish partners and customers.

Frequently Asked Questions about Establishing a Company in Turkey

Here are some of the most frequently asked questions about companies and their establishment in Turkey:

Wha are the requirements for obtaining security approval from the Turkish Ministry of Interior?

Applicants for security approval from the Turkish Ministry of Interior must submit the following documents:

Security approval application to the Turkish Ministry of Interior.
Company establishment contract.
Birth certificate or passport.
Bank endorsement letter.
Residence permit in Turkey.

What are the benefits for foreign companies of establishing a company in Turkey?

Many benefits accrue to foreign companies from establishing a company in Turkey, including:

Access to the Turkish market, which is a large and thriving market with a population of over 85 million.
Access to global markets, as Turkey's strategic location connects Europe and Asia, facilitating access to international markets.
Protection of intellectual property rights, as Turkey has a stable legal system that protects intellectual property rights.
Government facilities, as the Turkish government offers many facilities to foreign companies, such as tax exemptions and investment incentives.

What is the cost of establishing a company in Turkey?

The cost of establishing a company in Turkey varies depending on the type of company and the required capital. However, generally, the cost ranges from $2000 to $9000 or more.

In conclusion, from Skyline Holding, it can be said that establishing a company in Turkey can be an excellent strategic step for companies looking to expand into international markets. Turkey is a country with a strong economy and a strategic location, making it an attractive destination for foreign investments.

However, before establishing a company in Turkey, companies should ensure that they understand Turkish laws and business procedures and obtain the necessary legal advice. Additionally, companies should strive to understand Turkish culture and learn the Turkish language.

Therefore, we recommend Skyline Holding, which will answer all your inquiries and assist you in establishing your own company in Turkey.