Turkey welcomes foreign investment wholeheartedly, and the government supports all investors as long as they are reliable and willing to meet the country’s requirements. If you are interested in doing business in Turkey, you can find many business opportunities here as it is a rapidly developing country with an economy that is in the top twenty in the world. In many areas, there is not enough production due to the lack of capital to catch up with the new technological trends in the world. That’s why the government encourages foreign investors to come to Turkey to set up their businesses, especially manufacturing, with lower costs. The government offers the right to work in the country to foreigners who already have or will buy goods in Turkey.
Do I Need to Ask for Help or Can I Do It on My Own?
To obtain appropriate information and to follow all the steps according to the procedure, it is necessary to refer to a consultant and a legal adviser. Consulting a company like ERAI Turkey, which has followed many cases, would be the right decision if you are new to the procedure.
For more information about renting a premises/office, you can visit our office rental page.
In addition, up-to-date information can be obtained from the Turkish Embassy and the Turkish Ministry regarding the area in which you are going to set up your business. All in all, once you have found a good and reliable accountant in Turkey, you won’t need much else.
About the Names of The Businesses
Please note that a company’s business name cannot be accepted if it has been registered by someone else and cannot mislead its customers. “Türkiye, Türk, Cumhuriyet” and “Milli” cannot be used in the name of a company without the special approval of the Turkish Council of Ministers. Foreign names or words may be used if they do not contradict any law or government or cultural policy.
Setting Up A Company in Turkey as A Foreigner
According to Article 7 of Law No. 4817, foreigners who work independently may be authorized to work independently by the Ministry of Labour and Social Security if they have been living in Turkey for at least five years without legal interruption. This permit will allow the person to open a private business as a self-employed person. Otherwise, it is not possible to establish a private company without a work permit. The residence permit alone is not sufficient. For this reason, after residence with the residence permit for five years, if the work permit is applied, the private company can be established.
The foreigner who is entitled to a self-employment permit receives a “document of application for a self-employment permit.” This document is valid for a period of “three months” from the date of issue.
After the establishment of the place of work, the foreigner is granted a self-employed foreigner’s permit if he/she submits the commercial register to the Ministry of Labour and Social Security.
What Are the Types of Companies in Turkey? Choose Your Type of Company:
For doing business in Turkey, there are five different types of companies under the Turkish Commercial Code (TCC), some of which are companies while others are not.
Joint Stock Companies (JSC)
Limited liability company (SARL)
The two most widely used types are the limited liability company (Limited Sirket in Turkish) and the joint-stock company (Sahis Sirket in Turkish).
There are some differences in terms of minimum capital and organs, yet the establishment process is similar to each other in JSCs and LLCs. These are the most well-known types of companies in the world economy and Turkey.
It is also possible to open a branch or a liaison office, but they are not considered as legal entities.