How to Navigate Company Formation in Turkey Successfully?

Company formation in Turkey involves a comprehensive process that requires careful planning and adherence to legal procedures. To establish a business, one must first decide on the type of company, such as a Limited Liability Company (LLC), Joint Stock Company (JSC), Branch Office, Liaison Office, or Free Zone Company, each offering unique benefits tailored to different business needs.

Our team of Turkish accountants provides expert consultation on choosing the most suitable company structure, ensuring compliance with Turkish laws and regulations, and optimizing tax liabilities.

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What is Company Formation in Turkey?

Company formation in Turkey involves the legal process of establishing a business entity within the country. This procedure includes registering the company with the relevant Turkish authorities, obtaining the necessary permits and licenses, and ensuring compliance with Turkish commercial laws and regulations.

How to Form a Company in Turkey?

Choose the Type of Company

In Turkey, various types of companies can be established, including:

• Limited Liability Company (LLC)
• Joint Stock Company (JSC)
• Free Zone Company
• Branch Office
• Liaison Office

The most common types are LLCs and JSCs, each with its own requirements and benefits.

Prepare the Articles of Association

Drafting the Articles of Association is a crucial step. This document outlines the company’s structure, operational guidelines, and shareholder rights and responsibilities.

Register with the Trade Registry Office

Submit the Articles of Association and other required documents to the local Trade Registry Office. This step includes paying registration fees and obtaining the company’s registration number.

Obtain a Tax Identification Number

Register the company with the local tax office to obtain a Tax Identification Number. This is necessary for tax compliance and other legal requirements.

Open a Bank Account

Open a corporate bank account in Turkey. This account will be used for all financial transactions and initial capital deposits.

Register with the Social Security Institution

Register the company and its employees with the Social Security Institution to comply with labor laws and social security requirements.

Obtain Necessary Licenses and Permits

Depending on the nature of the business, you may need to obtain specific licenses and permits from relevant authorities to operate legally.

Responsibilities of a Company Formed in Turkey

Compliance with Local Laws and Regulations

Companies in Turkey must comply with local commercial laws, tax regulations, labor laws, and industry-specific regulations. Regular audits and adherence to these laws are essential to avoid legal issues.

Financial Reporting and Taxation

Businesses are required to maintain accurate financial records, prepare annual financial statements, and file tax returns. Regular reporting to the tax authorities ensures compliance and avoids penalties.

Employee Management

Companies must adhere to labor laws, including fair treatment of employees, timely payment of salaries, and provision of social security benefits. This also includes ensuring a safe and healthy working environment.

Corporate Governance

Effective corporate governance is crucial for the smooth operation of a company. This involves proper management practices, transparent decision-making processes, and accountability to shareholders and stakeholders.

Business Development and Growth

Fostering business growth and development is a primary responsibility. This includes strategic planning, market research, and continuous improvement of products and services to stay competitive.

Ethical Business Practices

Companies are expected to conduct business ethically, including fair dealings with customers, suppliers, and competitors. Adhering to ethical standards helps build a reputable brand and fosters long-term success.

Forming a company in Turkey involves a series of well-defined steps and responsibilities. By understanding the process and adhering to local regulations, businesses can successfully establish and grow in the Turkish market. Ensuring compliance with laws, maintaining ethical practices, and focusing on sustainable growth are key to long-term success.

For more detailed guidance on company formation in Turkey, contact Finlexia Accounting Firm. We provide comprehensive support to help you navigate the legal and regulatory landscape with ease.

Why Choose Finlexia Accounting Firm?

Established in 2017, Finlexia Accounting Firm has built a reputation for delivering accounting and advisory services tailored to the needs of our clients. Our team of professionals is dedicated to guiding you through the complexities of company formation in Turkey, ensuring a smooth and efficient process.

We prioritize our clients’ success and are committed to helping businesses thrive in the dynamic Turkish market.

For more information or to start the company formation in Turkey, contact Finlexia Accounting Firm today. We are here to support you every step of the way.

Steps for a Company Formation in Turkey

According to the Turkish Commercial Code, a limited company (LLC) requires a minimum of one partner and it can be a legal entity or a real person, there can be a maximum of 50 shareholders. T

The partner/partners can be Turkish or foreign as well. Foreigners can own 100% of a company and transfer their profit out of Turkey without any problems. The minimum required capital for a limited liability company is 50,000. -TL (Turkish lira). The capital of the company shall be paid in two years and up to four installments.

How Many Days Needed for Company Formation in Turkey?

We can perform your company formation in Turkey and open bank accounts and get online banking in 1-2 days if partners are in Turkey and the company formation process will be faster and cost less.

We can perform your company formation in Turkey remotely if you are not in Turkey, however, the setup process will be longer and cost more.

Bank Account Opening for Your Company

We open bank accounts for a limited company in Turkey. Nowadays, there is a huge demand for bank account opening by foreign companies in Turkey. We assist you in opening company bank accounts. We need the below documents for the company bank account:

• Company articles of incorporation.
• Shareholders’ and directors’ passport copies and their addresses prove documents such as a utility bill.
• Turkish tax ID number for each shareholder (we will get it).
• Signature circular for the company.
• Company stamp.

Reach us for Company Formation in Turkey

Company formation in Turkey involves a comprehensive and detailed process that requires careful planning and execution. This includes drafting and notarizing the Articles of Association, ensuring the company’s name is unique and registered appropriately, obtaining a tax identification number, and opening a bank account for depositing the minimum capital requirement.

Registering the company with the Trade Registry Office and publishing the formation details in the Turkish Trade Registry Gazette are also crucial steps. Additionally, depending on the nature of the business, obtaining specific licenses and permits may be necessary.

Finlexia Accounting Firm, established in 2017, specializes in guiding clients through these intricate steps, ensuring compliance with Turkish laws and regulations. Our expertise in tax and financial planning, document preparation, and liaison with authorities makes the company formation process seamless and efficient.

For tailored advice and support on company formation in Turkey, contact Finlexia Accounting Firm. You may reach our accountants and lawyers for company formation in Turkey by visiting our Contact page.