02.10.2017
The features of one man company:
1- With the New Turkish Commercial Code, it is possible to establish one man company.
2- One man company can be established during incorporation (at the beginning) or after the incorporation.
3- Board of Directors may consist of one or more than one person.
4- The sole owner constitutes Board of Directors. It is an obligation that decisions should be written in order to be valid.
5- The agreements between the sole owner and the company should be written. By comparison, the provision related to self-work will be applied in this case.
6- Furthermore, one-man limited companies are also subject to the same provisions.
7- Shareholder cannot become indebted to the company unless he/she discharges his/her debts originating from capital subscription and, company’s profits with its free reserves and retained losses correspond.
8- There can be one-man Board of Directors. Member(s) of the Board does not have to be shareholder(s). Moreover, persons except shareholders can be Member of Board.
9- If the number of shareholders reduces to 1 or the company turns into multi-partnership, Board of Directors should confirm it by making decision.
Source: Turkish Code of Commerce
