Understand the Jurisdictions Setup Requirement Before Proceed Your Company Registration in Turkey
Turkey has a unique appeal to foreign investors, and it brings along a set of great advantages. This makes nearly every big corporation to want to have operations in the country. It is a getaway between Central Asia, the Middle East, and Europe. Its strong and stable economic and political environments make it a perfect destination for starting a successful venture. It has a good tax regime. This alone has encouraged so many investors from all corners of the world to consider company registration in Turkey.
At 3E Accounting, we specialize in offering quality, affordable and reliable corporate services in Turkey. These include the incorporation of any type of business. Our clients comprise of investors from different parts of the world. They are keen on expanding into the lucrative Turkish market. They are also expanding on the neighbouring markets in the Middle East, Europe, and Central Asia. We are a team of Turkish business consultants, attorneys, accountants and tax experts. They work together to help you form a successful business vehicle in Turkey.
Our company registration in Turkey services is available in all the major cities. We will advise you on everything you need to know to set up the specific type of business you want. All you have to do is talk to us, and we will be ready to help.
Types of Company Registration in Turkey
There are certain basic features of legal entities that potential investors in Turkey should know about. According to the new commercial code in Turkey, some of the Turkish legal entities you may consider are the following:
The Limited Liability Company
The limited liability company in Turkey is also known as LS, and it is one of the common legal entities that foreigners love registering in Turkey. To form an LS in Turkey, there has to be at least member who must deposit minimum share capital of 10,000 TRY. The total number of shareholders that a limited liability company can have in Turkey is 50.
As far as the management goes, a limited liability company in Turkey must have at least one independent manager, though it is also possible to have a council of the manager to oversee the daily operations of the company. If you are interested in a limited liability company in Turkey, our attorneys will be more than delighted to provide with the specific requirements based on the industry you are keen on joining.
Partnerships in Turkey
The commercial code in Turkey allows for the creation of partnerships, as the other type of business that both foreigners and locals may consider in the country. Under the commercial code, however, the ordinary partnerships as not legal entities since they are basically a consortium of entrepreneurs who will be personally liable for the debts of the business.
Such partnerships can also not have trade names, and they are not eligible for registration at the Registrar of Commerce.
Other than the ordinary partnerships, there are also commercial partnerships, and the following forms are available in Turkey:
- General commercial partnerships – with this form, all the members in the partnership have equal rights and they are liable for the debts and the obligations of the partnership.
- Limited commercial partnerships – this is normally formed by a general partner and a silent partner. The general partner will be liable for the obligations and debts of the business and they will also have the decisional powers over the business. The silent partner, on the other hand, will be liable to the extent of their share contribution to the capital.
The Joint Stock Company in Turkey
The joint-stock company is another consideration for those considering company registration in Turkey. A joint-stock company must have at least one shareholder, and they can be closed or open.
For a closed joint-stock company, there has to be a minimum share capital of 50,000TRY, while an open joint-stock company must have a minimum share capital of 50,000 TRY as well as a registered capital of 100,000 TRY. Again, an open joint-stock company may trade its share in the stock market, while a closed joint-stock company may not trade its shares in the stock market.
Foreign Company Operations in Turkey
Other than going for new company registration in Turkey, foreign entities can still operate in the country as a subsidiary, a branch, liaison or a representative office. Each of these options has its legal mandates regarding what they can do and not do while in the country. Their tax obligations also vary depending on the nature of their involvement in the country. Talk to us about the various options through which foreign companies can operate in Turkey.
We Can Help
Don’t feel overwhelmed with all the details and requirements of company registration in Turkey. This is what 3E Accounting do every single day and we are here to make the process of registering your company in Turkey a walk in the park. Contact us and we will be ready to help.