Turkey company formation is frequently researched by both Turkish citizens and foreigners who want to carry out business activities. Turkey’s geopolitical position, advanced transportation facilities increase the air, land and sea trade activities. In addition, Turkey company formation that meets certain conditions also gives citizenship to foreigners.
All the above-mentioned, and much more reasons increase the number of foreigners who want to company formation Turkey day by day. Turkey company formation is an easy and fast way, it is also a detailed way with detailed procedures. Any deficiency in the Turkey company formation procedures prevents the establishment of the company. For this reason, it is useful to be meticulous in the procedure to be followed.
In these article, we will clarify all the information you need about Turkey company formation, company formation in Turkey cost step by step.
Turkey company formation is regulated in the Turkish Commercial Code articles. The law includes six types of companies. These types of companies are joint stock company, limited company, collective company, limited partnership, corporatize. These six company types divided into two parts which are capital companies and private companies.
Capital companies are Joint stock company, limited company and limited partnership. On the other hand, private companies are the ordinary limited partnership and collective companies. The provisions of capital companies and private companies and the responsibilities of shareholders are different from each other. If you want to get detailed information about each type of company formation Turkey you can check our articles in corporate and commercial law section that are about with these topics.
You can establish a company in a short time after the main procedures of Turkey company formation are completed.
Turkey Company Formation Steps
Establishment and Signing of the Company Agreement
Before the procedure to be followed for Turkey company formation, it is necessary to decide on the company name, its field of activity, the headquarters of the company, the capital and shares and the management of these shares. After all these details are clear, the company formation Turkey takes place through MERSIS, is an official site.
In order to enter MERSIS, first of all, foreigners who want the company formation Turkey must obtain a tax number from the tax office. After this tax number is registered in MERSIS , it is possible to enter MERSIS with the passport number.
The company contract, which is the first step of Turkey company formation, is prepared through MERSIS. In the system, you can make the contract in Turkish by entering the necessary information. After creating the company agreement, the founders have to sign the agreement. Whether the signatures really belong to the founders is verified by a competent authority.
For the verification of signatures, the founders or their authorized representatives must go to the relevant institution. This process is done at the trade registry office where the company headquarters is located for limited companies and cooperatives. For other companies, go to the trade registry office where the company headquarters is located or any notary public.
Signature Declaration of the Officials of the Company
The signatures of the persons authorized to represent the Turkey company formation under the company title are approved by the competent authority. Signature statements are issued on behalf of these persons. This process is carried out at any trade registry office in Turkey.
Required documents must be Notarized
There are documents required for the Turkey company formation. These documents must be completed, notarized and submitted to the registry office. Documents in foreign languages must be translated into Turkish and notarized before submission. Required documents for Turkey company formation will be explained in the followed section.
Payment of Competition Authority Share and Cash Capital
Another process that needs to be completed in order to establish a company in Turkey is to deposit 0.04% of the Company’s capital into the Competition Authority bank account as “Competition Board Share”. This Turkey company formation amount can be paid at the trade registry directorate with other legal transactions. In addition, at least 25% of the shares committed in cash in joint stock companies must be deposited into a bank account opened in the name of the company before the company registration.
Application to the Trade Registry Directorate
For Turkey company formation, company founders must apply to the registry office with the required documents. The registration process is completed by the trade registry directorate. In addition, in the establishment of joint stock and limited companies and cooperatives, the commercial books they will keep are approved by the trade registry directorate and given to the person concerned after registration. It is also possible to carry out company establishment transactions through a representative.
Required Documents for Turkey Company Formation
The documents required for the Turkey company formation types included in the Turkish Commercial Code differ according to each company type. For documents other than common documents, you can check the guide published by the Turkish Ministry of Commerce. The documents to be submitted for Turkey company formation are as follows:
- 4 copies of the company contract signed by all the founders at the notary
- Passport copy of each shareholder
- Company’s activity certificate
- Member of the company’s board of directors
- Notarized signature statements
Company Formation in Turkey Cost
Company formation in Turkey cost is one of the most frequently asked questions. There is no fixed amount in this regard. Different amounts are determined for each type of company. Sole proprietorships can be established at much less cost than capital companies. A certain amount of money is also required for the establishment of capital companies.
In order to establish a limited company, it is necessary to have a capital of 10.000 Turkish Liras. In addition, the fees for the procedures to be done for the establishment of the company must also be paid. In addition to all these, corporate tax must also be paid.
In the establishment of a joint stock company, the required capital is 50.000 TL. There must be a capital greater than this amount. And similar to other types of companies, the costs of the procedures to be done in company formation and the corporate tax must be paid.
For detailed information on the company formation in Turkey cost, you can contact Topo Law Firm’s lawyers who are experts in corporate and commercial law.
FAQ About Company Formation Turkey
Can foreigners open a company in Turkey?
Yes, there is no restriction for foreigners to open a company in Turkey. They can open a company like Turkish citizens.
Is Turkey good for starting a business?
Turkey’s geopolitical position, advanced technology, economy, large trade volume are extremely suitable for people who want to open a company in Turkey.
How much does it cost to set up a company in Turkey? How much company formation in Turkey cost?
The fees to be paid Turkey company formation differ according to the types of companies. You can contact us for detailed information on the subject.