How To Do Business In Turkey

Company Establishment
The Turkish Commercial Code aims to make it easy to do business in Turkey. It is even possible to establish a company in just a single day. For this it is necessary to start the application at the relevant trade registry office where it will receive its “legal entity” status. The important catch is that all necessary documents must be in order when making the application for the process to run smoothly. Usually the most challenging aspect of this process is creating the articles of association as it must comply with the business intentions of the founders and with the law.

The company is not established until founders declare their intent in the articles of association, and unconditionally acknowledge and undertake to pay the whole capital.

Types of Companies
Main forms of incorporated companies:
Joint-stock company (A.Ş.)
Limited liability company (Ltd. Şti.)

Joint Stock Company
One of the most common types of companies is known as the Joint Stoke Company. Under this structure the company’s stock capital is divided into shares and the liability of the shareholders is limited to the capital they initially subscribed for. To form a Joint Stoke Company, at least one shareholder (real person or legal entity) is required along with minimum capital of TRY 50,000.

Limited Liability Company
The other most common form of companies is a limited liability company. It can be established in the same way as Joint Stock Companies with at least one shareholder (real person or legal entity). The liability of the shareholders is limited to the subscribed capital, whereby the minimum capital is TRY 10,000.