Establishing a Business in Turkey Unit 1

A-) ESTABLISHING A BUSINESS IN TURKEY

• Establishing a Business in Turkey Unit 1

ESTABLISHING A BUSINESS IN TURKEY

• Turkey has a non-discrimination and equal treatment policy towards foreign investors, thus foreigners have the same rights and liabilities as locals. There are no rules requiring Turkish participation in the capital or management of a company with foreign capital; a company may be established with 100 percent foreign capital. Almost all sectors are open to foreign capital.
• Company Establishment Procedures

Three copies of articles of association (one copy original) which are notarized are prepared. Following the notarization of articles of association, within 15 days at the latest, application to the relevant trade registry office with the documents set below is needed for establishing a business in Turkey.

• Documents for the Company Establishment
• A company establishment petition and a notification form, duly filled in and signed by persons authorized to represent the company. The list of the documents to be procured, and forms to be filled can be downloaded at www.sanayi.gov.tr and www.hazine.gov.tr
• Articles of association including notarized signatures of founders and notary certification proving that all shares constituting the registered capital have been subscribed by the founders in the articles of association
• Founders’ statement signed by the founders
• The bank letter proving that the share capital has been deposited
• The bank receipt indicating that 0.04% of the company capital has been deposited to the account of the Turkish Competition Authority at a state bank
• Permit or letter of compliance for companies whose corporation is subject to the permit or letter of compliance issued by the relevant ministry or other official institutions
• Notarized copy of signatures of persons with the authority to represent and bind the company
• Application number indicating that the trade name to be used has been checked and confirmed by the Trade Registry Office
• Company establishment statement form (3 original copies)
• Certificate of residence of founding partners
• Notarized translation of passport in case the foreign shareholder is a real person; apostilled and notarized translation of registry document issued by the competent authority in case the foreign shareholder is a legal entity

B-) ESTABLISHING A BUSINESS IN TURKEY and OBTAINING A WORK PERMIT IN TURKEY

• Applications for work permits can be made inside or outside Turkey:
• Foreigners residing outside Turkey shall apply to the relevant Turkish Consulate of either his/her country of residence or his/her country of citizenship.
• Foreigners with a valid residence permit (valid for a minimum of 6 months, except for residence permits for educational purposes) can apply directly to the Ministry of Labor and Social Security.
• Foreigners applying for a work permit from their country of residence

Chart for Establishing a Business in Turkey

• If all documents submitted are accurate and complete, the issuing process will take around 30 days.
• Once approved, the applicant is informed by phone or e-mail.
• Foreign nationals need an authorized Turkish citizen with a power of attorney to handle their electronic application as the process requires a Turkish national identification number.
• Once the work permit has been issued and the work visa application has been approved by the Ministry of Labor and Social Security:
• Non-refundable work visa processing fee
• Non-refundable work permit processing fee
• To obtain a residence permit, work visa and work permit holders must apply to the Alien’s Branch of the Local Police Department (Emniyet Mudurlugu Yabancilar Subesi) within 30 days following their arrival in Turkey.

C-) ESTABLISHING A BUSINESS IN TURKEY and OBTAINING A RESIDENCE PERMIT IN TURKEY

All foreigners wishing to work in Turkey are required to obtain a residence permit within one month following their arrival in the country and prior to the commencement of their work. For establishing a business in Turkey, the documents required to apply for a residence permit for work purposes:

• 4 passport-size photos
• Passport
• Photocopies of the following pages of the passport: the page bearing the applicant’s photo, the page stamped at the last entry, the page indicating the validity and expiry dates of the passport
• The original and a copy of the work permit issued by the Ministry of Labor and Social Security

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