EvAra
Intelligent Real Estate Solution

Tips that you should know before registering a company in Turkey

0 45

Company registration in Türkiye is always one of the popular ways to obtain Turkish residence.

In Türkiye, foreign investment law is based on equal conditions; Therefore, the Turkish government allows foreign investors to benefit from the rights and obligations of domestic investors. and This causes foreign investors to set up their businesses in Turkey with confidence.

Depending on your purpose and business, there are different cities. The best cities to register a company are Istanbul, Ankara, Antalya and Bodrum.

To obtain a residence by registering a company in Türkiye, you must keep these points in mind:

  • When establishing the company and registering it, you will be granted a one-year residency.
  • At the end of the first year, if the conditions of your company are favorable to the Turkish government, you can extend your stay for another two years.
  • After five years, if the company has been active and you have paid taxes in full, you can apply for permanent residence in Türkiye.
  • In the meantime, if you can hire 50 Turkish employees and create jobs for them, you can also apply for Turkish citizenship.
  • If you just want to work in Turkey with a work permit, you need to be continuously present in this country for five years and then apply for permanent residence.

 

One of the main conditions for establishing a company in Turkey is hiring five Turkish employees. (Depending on the company’s articles of association, this may not be necessary.)

Or you should hire five Turks in your company for every foreigner. (This too within 6 months)

tip

Note that you no longer need to hire a Turkish employee to register a company in Turkey. According to new government regulations, this depends on your company’s articles of incorporation. But if you need to extend your stay after 1 year, you must get a work permit from the company

 

Prerequisite for company registration in Turkey 2022

In the last fourteen years, Türkiye has witnessed an increase in the speed of progress in economic fields and attracting foreign investors. So as a natural person, you can register a private company in Turkey and get a registration number and business license

 

Benefits of company registration in Turkey

Undoubtedly, registering a company in Türkiye will bring you many benefits. Among the advantages of registering a company in Türkiye, we can mention the following:

 

  1. Company registration without the requirement to have a Turkish partner
  2. Obtaining Turkish residence (temporary and permanent) for the CEO, wife, and children under 18 years old
  3.  Opening an account in Türkiye
  4. Receive a business card from Türkiye
  5. Reasonable cost of living and maintaining the company
  6. Not paying fixed fees and paying taxes based on the company’s income

 

In general, there are three types of common companies in Türkiye :

  1. Private Company

Personal companies are single-professional companies, such as opening a shop. It is not bad to know that such businesses are known as private companies in Turkey.

In Türkiye, such businesses are classified as a type of company, and to open it, you need to register it as a private company and, of course, obtain the necessary permits.

You can register a private company in Turkey with a natural person and get a registration number and business license. Registering a private company Until 2022, to register a limited liability company in Turkey, you had to introduce at least two Turkish people as partners unimpeded.

 

  1. Limited liability company

The second most common type of company registration in Türkiye is the limited liability company. Registering with this company is relatively easy, but it also has its complications. In addition, to establish such a company, you must also implement certain laws.

According to Article 573 of the Turkish Commercial Law, a limited liability company in Türkiye is managed by at least one person as a natural person and one person as a legal person as a shareholder of the company for all economic purposes.

Registration of a limited liability company is possible with any issue. In addition, registering a limited company takes about a week.

 

  • It is interesting to know that in a limited liability company in Turkey, the liability of each shareholder for the debt and even the tax that you have to pay is limited to the amount of their investment.
  • The rules for registering a limited liability company in Türkiye (Limited)
  •  The number of shareholders of the company can be from one person to 50 people.
  • The minimum capital cost for limited liability companies is about $500.
  •  Shareholders can be Turkish citizens or foreigners. Also, shareholders can be natural and legal persons.
  •  Each person will have shares in the company equal to the amount they invest.
  • Register the company in the notary office.
  • If the number of shareholders is more than 20, you must appoint a statutory auditor.
  •  The manager of the limited liability company can be a citizen of Türkiye or an immigrant of this country who resides in another country.
  1. joint stock company (anonymous)

A joint stock company in Türkiye is formed by the shares of the shareholders. This type of company, like a limited liability company, can consist of one or more shareholders.

There is no limit for the type of activity and subject of the company, and the company can be registered with any subject of activity.

According to commercial law in Türkiye, the general assembly meetings must be attended by representatives from the Turkish Ministry of Commerce. Although establishing a company in Türkiye is an easy process, maintaining it is very difficult and will require financial resources.

 

Investigating company registration costs in Türkiye

Estimating the costs of establishing a company in Türkiye is a bit difficult. Because these costs are very diverse according to the type of business chosen, however, we have brought you an average of the company registration costs in Turkey. Of course, it is better to be in contact with Istanbul consultants in this regard.

 

How much does it cost to register a company in Türkiye?

  • The initial registered capital of the company is equal to 10 thousand liras. This amount is equivalent to about 540 US dollars.
  • The cost of an official accountant is about 50 dollars per month.
  • The cost of renting office space depends on the location you choose. This cost varies from a few dollars to several thousand dollars.
  • Cost of water, electricity, telephone, and internet

How much is the cost of maintaining and taxing the company in Türkiye?

  • 20% tax on workplace rent.
  • The expenses of official offices and their stamp in the property office, which is equivalent to about 150 US dollars per year.
  • Corporate income tax, which is equivalent to 23% of the company’s net profit.

To get more information and learn about our activities, you can visit the Evara company website or contact us through the links below:

https://www.linkedin.com/company/evara-life/

https://youtube.com/channel/UCixaw5G95nqzR6dAo-IyqWw

+90 (536) 427 2660

Leave a comment