In Turkey, international investors can establish all types of companies specified in the Turkish Commercial Code. Turkey's Law on Direct Foreign Investments No. 4875 is based on the principle of equal treatment, allowing international investors to have the same rights and obligations as local investors.
Who is a Foreign Investor?
According to Turkish laws, foreign investors are individuals who are not Turkish citizens, do not reside in Turkey despite being Turkish nationals, and legal entities established in a foreign country.
It is understood from this that individuals who are part of foreign-partnered company establishment can establish a company in Turkey as foreign partners.
Conditions for Foreigners to Establish a Company in Turkey
There is no condition for foreigners to establish a company in Turkey. Foreign individuals and legal entities can easily establish a company and engage in commercial activities in Turkey. The rules to be followed by foreigners in their activities are regulated by Law No. 4875.
Is There a Difference Between a Foreign-Partnered Company and a Regular Company?
Actually, there isn't. Whether foreign-partnered or Turkish-partnered, all companies in Turkey are subject to the same tax laws.
With the recent laws, the only difference in foreign-capital companies is the additional documents and notifications. In other words, the actions of foreign investors in the share structure of foreign-capital companies are closely monitored.
Company Establishment Procedures
Before starting the establishment of a foreign-partnered company, the company's title, the scope of its business, its headquarters, who the manager/representative will be, the capital, and shares must be clarified for all types of company formations. The capital of the company should be determined in proportion to its activity. There are additional documents that foreign partners of the company must prepare in addition to the normal company establishment documents. If the foreign partner is an individual, translated and notarized copies of the passport and a potential tax number document are required. These documents must be obtained by foreign national partners before the company is established. By completing all these processes, if you want to take your place as a foreign partner in the company you want to establish, we are always here with our experience and knowledge. Contact us.
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