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. If you plan to apply for a work permit through your company, we recommend 500,000 TL of paid-in capital, because the work-permit criteria require it. A limited company can pay in its capital within 24 months of registration; a joint-stock company must deposit at least 25% of its cash capital before registration. For a work permit, the capital must be paid in before you apply.

TYPES OF COMPANIES

The Collective company (kollektif şirket)

A partnership of real persons who are jointly and personally liable, without limit, for the company's debts (Turkish Commercial Code, Art. 211 onwards). There is no minimum capital. Partners' rights and obligations are set in the articles of association.

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 (komandit şirket)

A partnership with at least one partner who is personally liable without limit (a real person) and one or more partners whose liability is limited to their contribution. There is no minimum capital.

The Joint Stock company

A joint stock company can be established by one or more shareholders (Real persons or legal entities), and the minimum share capital is 250,000 TL. The company is managed by a board of directors, which can have a single member. The supervisory board of the old Commercial Code no longer exists; an independent auditor is required only for companies above the size thresholds set by the government.

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.