Turkey’s economy has been growing steadily over the years, making it an attractive destination for foreign investors. Starting a company in the country provides access to a large market of over 80 million people, as well as a strategic location between Europe and Asia. Turkey’s skilled workforce and low labor costs make it a tempting site for businesses looking to expand their functions. Additionally, the Turkish regime has implemented innumerable reforms to improve the corporate climate, making it easier for companies to operate in the country. Check the sections below to learn about corporate registration in the country.
Steps of registration
The following are the stages to register a company in Turkey:
Choose a company name
Choosing a company name is an important step in the process of registering a business in Turkey. The name should accurately reflect the nature of the trade and be easily recognizable by potential customers. It is also important to ensure that the name is not already in use by another company in the country to avoid legal issues down the line.
Draft articles of association
Creating an article of association is a crucial demand for trade registration in Turkey. This document outlines the rules and regulations of the enterprise, including the rights and responsibilities of shareholders, the management structure, and the distribution of profits. It is important to ensure that the article of association is drafted accurately and in compliance with Turkish laws and regulations.
Obtain a tax identification number
To register a business in Turkey, it is necessary to obtain a tax identification number. This figure is issued by the Turkish Revenue Administration and is required for all businesses operating in the country. To obtain a tax identification integer, corporate owners must apply to the relevant tax office, along with the necessary documentation.
Open a bank account
Opening a bank account in Turkey is a necessary step for business registration. To do this, one must first choose a bank that suits the corporation’s needs. It is important to note that banks in Turkey require a firm’s tax number and registration documents before opening an account. Once a suitable bank has been chosen, the next step is to provide the necessary documents and information. The owner must also submit the required capital in a corporate bank account.
Obtain a trade registry number
This number is assigned by the local trade registry office and is used to identify the corporation in official records. To obtain a trade registers figure, the trade owner must apply along with the required documents, which may vary depending on the type of business and its legal structure. It is important to note that the trade registers number is not the same as the tax ID. While both figures are required for conducting trade, they serve different purposes and are issued by different agencies.
Obtain social security number
In Turkey, obtaining a social security digit is mandatory for corporate registration. This number is used to identify the business and its employees for tax and social security purposes. To obtain a social security number for registration, the owner must visit the nearest Social Security Institution office and submit the necessary documents, including a copy of the corporate registration certificate and the owner’s identification card. The SGK office will then issue a social security number for the business.
Obtain any necessary permits
These permits are necessary to operate legally in the country. The process of obtaining business permits can be complex and time-consuming, but it is essential to follow the proper procedures to avoid legal issues. The types of corporate permits that are required in Turkey include commercial activity permits, environmental permits, and building use permits.
Commercial activity permits are required for businesses that engage in commercial activities, such as buying and selling goods or providing services. Environmental permits are necessary for businesses that have an impact on the environment, such as those that produce waste or use hazardous materials. Building use permits are required for businesses that operate in buildings that are not designated for commercial use.
Submit necessary documents
Complete the registration process by submitting all necessary documents to the Trade Registry Office. Several documents are required. Firstly, a copy of the company’s Articles of Association must be provided. Additionally, a notarized copy of the company’s lease agreement or title deed for the trade premises must be submitted.
Furthermore, a tax identification number must be obtained from the relevant tax office. This number is necessary for all tax-related transactions and must be obtained before the business registration process.
Capital required
To register a syndicate in Turkey, a minimum capital requirement of 10,000 TL is mandatory. This capital can be in the form of cash, assets, or a combination of both. The purpose of this condition is to ensure that companies have sufficient funds to operate and meet their financial obligations.
It is important to note that the minimum capital prerequisite may vary depending on the type of company being registered. For example, a limited liability company (LLC) requires a minimum capital of 10,000 TL, while a joint stock company (JSC) necessitates a minimum capital of 50,000 TL. Additionally, the capital prerequisite may also vary based on the industry in which the corporation operates.
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