A limited company formation in Turkey offers numerous advantages for entrepreneurs seeking to engage in business activities within the country. Turkey’s strategic location, growing economy, and supportive legal framework make it an attractive destination for foreign investors.
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Our team delves into the essential aspects of limited company formation in Turkey, outlining the necessary steps, legal requirements, and benefits associated with this business structure.
Limited Company Formation in Turkey
Welcome to the ultimate guide on limited company formation in Turkey. By establishing your business as a limited company, you’ll gain access to a thriving economy, tax incentives, and regional markets. Our step-by-step process ensures a smooth launch, safeguarding your personal assets with limited liability.
Don’t miss this opportunity to seize the advantage and unlock Turkey’s boundless potential for your business success. Start your journey today and embark on a transformative business venture in one of the world’s most dynamic markets.
Defining a Limited Company
A limited company, also known as a “Limited Şirket” or “Ltd. Şti.” in Turkey, is a legal entity with its own rights and obligations separate from its shareholders. This business structure provides limited liability protection, allowing shareholders to limit their personal liability to the company’s capital.
Minimum Requirements
For a limited company formation in Turkey, certain minimum requirements must be met. These include:
- At least one shareholder: Individuals or legal entities can act as shareholders, and there is no limit on the maximum number of shareholders.
- Minimum capital requirement: The minimum capital requirement for a limited company is TRY 50,000.
- A legal address in Turkey: A physical address in Turkey must be provided as the company’s legal address.
Incorporation Process
The limited company formation process in Turkey involves several key steps:
- Company name reservation: Choose a unique name for the company and submit it to the relevant authorities for approval.
- Preparation of the company’s articles of association: This document outlines the company’s structure, shareholders’ rights, management procedures, and other key details.
- Notarization of the articles of association: The articles of association must be notarized by a Turkish notary public.
- Capital deposit: Deposit the minimum required capital into a bank account opened in the company’s name.
- Registration with the Trade Registry Office: Submit the necessary documents, including the articles of association, to the local Trade Registry Office.
- Tax registration: Register the company with the relevant tax authorities.
- Social security registration: Enroll the company and its employees with the Social Security Institution (SGK).
Legal Obligations
Once established, limited companies in Turkey must fulfill certain legal obligations, including:
- Accounting and financial statements: Maintain proper accounting records and prepare annual financial statements in accordance with Turkish accounting principles.
- Tax compliance: Comply with Turkish tax regulations, including filing tax returns and paying corporate income tax.
- Reporting requirements: Submit annual activity reports to the Trade Registry Office, including information on the company’s financial status, shareholding structure, and board of directors.
- Employment regulations: Comply with labor laws and regulations when hiring employees, including providing social security coverage and adhering to employment contracts.
Benefits of Limited Company Formation in Turkey
Choosing a limited company structure in Turkey offers several advantages:
- Limited liability: Shareholders’ liability is limited to the capital invested in the company, protecting personal assets.
- Access to markets: Turkey’s strategic location offers easy access to regional and international markets, making it an attractive base for business operations.
- Tax incentives: Turkey provides various tax incentives, including exemptions and deductions, to promote investment and economic growth.
- Investment opportunities: Turkey’s dynamic economy presents diverse investment opportunities across sectors such as manufacturing, services, and technology.
Aims of Limited Company Formation in Turkey
Forming a limited company in Turkey can be a rewarding venture for both local and foreign entrepreneurs. By adhering to the necessary legal procedures, fulfilling ongoing obligations, and taking advantage of the country’s supportive business environment, individuals can unlock opportunities and establish a strong presence in Turkey’s vibrant economy.
Seek Akkas Law’s professional advice and guidance to navigate the company formation process smoothly and maximize the potential benefits of operating within this dynamic market.
Contact us for Limited Company Formation in Turkey
Our Turkish company formation team is readily available to address any questions you may have regarding limited company formation in Turkey, legal requirements, and the various services we offer.
At Akkas Law Firm, we offer comprehensive company formation services that simplify the process for you. Our experienced team of legal experts provides personalized guidance, streamlining the setup of your limited liability company, joint-stock company, free zone company, branch, or liaison office.
At Akkas Law Firm, we prioritize clear and prompt communication. For any inquiries or to schedule a consultation, please don’t hesitate to get in touch with us by e-mail or through our Contact page.
