5 March 2022 – Saturday
Before establishing a company in Turkey, it is important to learn the characteristics of company types. The most preferred company types in Turkey are limited liability and joint stock companies. Determining which type of company is suitable for the foreign investor’s business plan should be the first step. To determine this, you need to explain your investment plan to your financial advisor (Certified Public Accountant Co.) in Turkiye. According to the information he will receive from you, your consultant will tell you which type of company is the most suitable, with reasons.
After the company type is given, the necessary information and documents should be prepared. The information required for a limited liability company to be established in Turkey is as follows
-Title of the Company
-Shareholder
-Share ratios of Shareholder
-Capital
-Activity topics
-Members of the company’s board of directors (CEO)
-Address
After the above-mentioned information has been prepared, the following documents should be prepared for the establishment of a joint stock company.
-Passport translation of foreign real person shareholders
– Apostilled registration of foreign legal entity shareholder, Board of directors decision
-Power of attorney for establishment
It is possible for foreign partners to come to Turkey for the establishment of the company and to carry out the transactions in person in Turkey. In addition, it is possible for real persons who will become shareholder to establish a company without coming to Turkey with the power of attorney to be obtained from the notary public in the country where they are located.
After the documents are prepared, an application must be made to the trade registry office, which gives the establishment permission in Turkiye. The establishment of the company is subject to certain procedures. After these procedures are completed, the approved documents regarding the establishment of the company are obtained from the relevant registration institutions and delivered to the shareholders and board members of the company.
A bank account can be opened in the name of the company immediately after the establishment of the joint stock company. Financial transactions of the company must be made from the bank account of the company, with some exceptions.
In order for the company to use credit with banks, it must work with the bank for a certain period of time and increase its credit rating by using some banking products. Depending on the transaction volume, it takes between 6 and 12 months for the company’s credit score to reach a certain level. All transactions in banks in Turkiye can be done through internet banking.
One shareholder is sufficient for a joint stock company to be shareholder in Turkiye. There is no limit to the number of partners. All shareholders of the joint stock company can be foreign nationals. There is no obligation to have Turkish national shareholders.
The capital of the joint stock company must be at least 50 thousand TRY. There is no upper limit on capital. Capital is deposited into the company’s bank account and from there freely spent for the company’s needs.
A joint stock company must have at least one board of directors. More than one member of the board of directors can also be elected. Members of the board of directors can be elected for a maximum of 3 years. At the end of 3 years, the same person or persons can be re-elected.
The joint stock company has to provide a legal address in Turkey. The company address must be a physical address. If desired, this service can also be obtained from companies that offer address services.
The establishment of the company is completed in about 3 work days.
You can write to us or call us to get detailed information about the establishment of a joint stock company in Turkey.
info@karenaudit.com
090 538 595 69 44
Since 1995
Ali KARAKUŞ
CPA, Auditor
