In this article, we will tell you about possible options for doing business for foreign citizens and the features of founding a company in the Republic of Turkey.
Many investors note that Turkey has all conditions for business development. This is largely due to the loyalty of local authorities to entrepreneurs. Company registration takes only about two weeks. Of course, no one shall hide the fact that, by investing in the Turkish economy, an entrepreneur pursues the goal of obtaining a residence permit in this country.
It is important that there are no separate rules for foreign entrepreneurs stipulated by law. They have the same rights and opportunities as the locals.
Each foreigner who is thinking about doing business in Turkey has several development options:
– opening a foreign company branch
– opening a representative office
– starting a business from scratch.
In the latter case, the features of the local market, as well as the political and economic situation must be analyzed in more detail. The mentality must also be studied.
We would also advise entrepreneurs to pay attention to the local investment promotion program. When choosing the right sector and region, everyone may rely on the following benefits and bonuses: reduced rental cost of the premises or full exemption from taxes. Where does such generosity that is not so easy to believe in come from? Turkish investments can be divided into four types:
- Highly developed
- First priority investment
- Second priority investment
If businessmen prefer to use the last two options, they will receive the above benefits, especially if the development of medicine, education, and tourism is chosen.
Now let’s discuss the procedure for becoming a legal entity:
- Obtaining an individual taxpayer number (TIN)
- Translation into Turkish and notarization of the company’s charter and protocol book
- An application with the Registration chamber and tax payment
- An announcement in the official newspaper on registration of a legal entity
- Transfer of 0.4% of the authorized capital to the Antimonopoly policy committee
- Opening a bank account
- Printout of the forms necessary for your work in a licensed printing house
- Registration with the local administration
- Environmental fee payment
We cannot ignore the financial issue. Investors will need to allocate about 3000 Turkish liras from the budget to start their businesses, and 2000-10000 in local currency to pay for the documents of special companies. In Turkey, there is almost no bureaucracy, so you do not have to spend time in long queues to get the treasured “piece of paper”.
In the end, you will receive a pleasant bonus in the form of information that local banks provide loans at lower interest rates, unlike CIS countries.