Features of firm registering and account opening in Turkey
Registering a company in Turkey offers many advantages to its owners. The country boasts low operating costs, qualified personnel. Turks love to spend money, so if you define the right strategy, the prospects for development are high. Local manufacturers are eager to meet with small entrepreneurs, fulfilling the order at low prices. Foreigners are easily granted citizenship if they bought real estate or made an investment of $400K or more.
Advantages of an LLC in Turkey
Limited Sirket (LLC) is excellent for both manufacturing and commercial activities, which is why it is often preferred by investors.
Advantages of LLC:
- Registration within a week;
- The foreigner can fully own the company;
- The cost per share is 25 Turkish liras ($1.4);
- The number of shareholders is not more than 50. If necessary, a shareholder can become a shareholder by executing a power of attorney on a third party (e.g. on representatives of our company);
- Shareholders are not liable for debts of LS, unless it is not stipulated in the charter;
- The company can be managed by a manager, director. They may not be shareholders;
- Authorized capital starts from 10,000 Turks lire ($550). It has to be deposited in a bank account before registration of the company.
How to set up an LS
Business registration in Turkey 2022 takes place electronically through the MERSIS system, a registry designed for commercial processes and data archiving. Company founders must upload documents here, including:
- specimen signatures;
- Turkish identification number (non-residents must be obtained in advance).
Also need to open a bank account, where the main capital should be deposited. A tax of 0.4% needs to be paid on this amount to the Antimonopoly Committee, and a receipt needs to be provided. Then you need to get a letter from the bank which confirms that the necessary amount is in the account, attach it to the documents.
Having completed the formalities, the founders of the LLC can apply for inclusion of the legal entity in the commercial register. The tax inspectorate and the social security institution will be notified automatically. The registration of the LLC is announced in the Turkish Commercial Registry Gazette within 10 days after the establishment of the firm.
Opening a commercial account in Turkey
Before registering an LS one should open a bank account in Turkey to deposit the share capital, to carry out transactions. Good reputations are enjoyed by institutions such as:
- Isbank - one of the largest banks in Turkey, which has branches in the Middle East, China, the UK;
- Akbank is a large bank, which, among other things, offers tax consulting services;
- Yapi Kredi - the fourth largest state bank in Turkey, offers low transfer and service fees;
- Citibank - specializes in cooperative and investment accounts and provides services worldwide;
- Ziraat Bank - a solid institution that has been operating since 1863, provides services to various forms of business.
In most cases, to become a customer of the bank, you need to visit it at least once. To open a bank account in Turkey, you will need an identification number issued by the local tax office. The number is issued within a day, it is possible through a power of attorney to our company.
To get a TIN, you need the passports of the founders, the company charter, its legal address. These same documents are required to open a bank account. Also, the bank may ask for other papers - a license, an extract from the commercial register, proof of signatory rights, etc.
How to open a business in Turkey
To set up an LLC and open an account in Turkey 2022, contact IT-OFFSHORE experts.