Set Up a Limited Company in Istanbul with a Business Bank Account in Turkey

Turkey is one of the countries where you can not only enjoy a good vacation, but you can also set up a limited company even if you are a resident of another country. Istanbul is a city in Turkey that lies between Europe and Asia, with a GDP share of 27%, offering everything possible for the development of promising international business.

Registration of a limited company in Istanbul in 2022 with a bank account in one of the local banks remains a highly demanded service. Supported by the experts of our international portal and our Turkish partners, you will be able to set up a limited company in Turkey in a short period of time (up to 15 days). This can also be done remotely at a cost starting from 4200 USD.

Those who have made this decision, only need to choose the business field, prepare the initial capital and contact our experts. And in just a couple of weeks you will be a full-fledged business owner in the city of Istanbul, where European and Asian commercial routes meet, and where the demand for property increases every year. It is also possible to obtain Turkish citizenship by property investment of 400,000 USD and business under the simplified procedure.

Company Formation in Turkey. Certain Important Details

Before you decide about business immigration to Turkey, we advise you to study the particularities of the Turkish mindset, Turkish lifestyle and culture, as well as the applicable legal regulations and possible restrictions. Against the background of the current geopolitical and economic recession, Turkey remains one of the most attractive countries for the international business setup and protection of capital.

Economic Zones in Turkey

One of the mechanisms for stimulating the investment inflow into the Turkish economy is the special free zones created by the government. These are industrial areas located in certain territories, uniting small and medium-sized businesses of a certain region. The main advantage of doing business in these zones is the social benefits, tax preferences, loans and power supply.

All in all, we can distinguish three groups of economic zones in Turkey:

1. Hi-tech zones where state support is aimed at research and development. For example, software developers are exempt from income tax until 2023 in Istanbul and Bursa.
2. Industrial zones where VAT is abolished in case of land purchase, and the owner does not have to pay property tax for 5 years.
3. Free economic zones with 100% exemptions from VAT and customs duties.

What Kind of Business is Good for a Limited Company in Istanbul?

Istanbul can rightly be called one of the largest cities in the world where capital and business are concentrated. Of all operations and transactions in Turkey, 50% are in Istanbul.

The greatest profits are made in international trade and tourism. For those wishing to start a business in Turkey, it will be interesting to learn about the redistribution of priorities in various fields.

The export of goods has the following sequence:

1. Transport
2. Industrial goods
3. Foodstuffs

In the field of economy, the ranking looks a little different:

1. Industry (heavy industry and consumer goods).
2. Transport services, logistics and communication.
3. Real estate market.
4. All forms of trade.
5. Agricultural businesses.

It is also worth mentioning one of the niches which is insurance. In this field in Turkey, there are certain peculiarities related to religious principles. In addition to the conventional form of insurance, there is also takaful (as translated from Arabic: mutual guarantees), a form of insurance in accordance with the canons of Shariah.

The basis of this system is the distribution of profits and losses between the insurance agent and the insured according to a set scenario, which cannot be found in almost any other country.

Benefits of Company Formation in Turkey

The advantages for foreigner when doing business in Istanbul or registering a company in another region of Turkey are as follows:

• Close proximity to a large number of countries and the crossing of trade routes between Europe and Asia;
• Friendly relations with many European and Asian countries;
• Equal rights for foreign businessmen and Turkish nationals;
• Wide range of government programs and favorable tax rates.

The main advantage of the Turkey limited company setup is the interest of the government that continuously monitors the inflow of foreign investment and is developing new incentive programs.

Extra Benefits of the Limited Company Setup in Turkey

The Republic of Turkey, previously considered a summer destination for foreign visitors, is now very popular with medium-sized, small and large businesses thanks to the favorable conditions it offers and its strategic location.

1. Simplified business formation in Istanbul gives the right to move to the country and get a residence permit, be it permanent or temporary.
2. Improved investment climate that puts the jurisdiction on par with the leaders in foreign investment, especially in 2022.
3. Open international channels for export and import of goods to various destinations. Today it is one of the most promising niches for those investors who seek a country with the most favorable conditions for the relocation of an offshore company or a foreign business entity.

As for the extra bonuses for those business persons who have chosen Istanbul to set up a limited company in 2022, there are customs privileges for heavy machinery to construction and imports of raw materials, available loan programs, a secure banking sector, discounts for exporters, VAT reimbursement and so on.

Limited Company/Limited Sirket in Istanbul. What Does It Mean?

In 2022, there are five legal forms of business organization in Turkey (limited company, joint stock company, business company, cooperative and collective business), among which limited company (Limited Sirket), remains the most popular and low-cost entity. Check out the most basic requirements for the company formation in Turkey (Istanbul) effected by a foreign founder:

• the number of founders needs to be at least 1 individual/legal entity and no more than 50;
• the company director can be either a founder or an employee, one or more persons;
• the share capital needs to be at least 10,000 Turkish Liras;
• it is not possible to open a bank account for a limited company without a work visa;
• after registration of the limited company in Istanbul it is necessary to pay ¼ of the share capital and to deposit the remaining part on the account within the next 2 years;
• the founders are liable for their own part of investment, with no relation to the shares of other members;
• the initial payment is accepted from the founders in cash and property. In the latter case, crediting of the account in Turkey must be made in full no later than 3 months from the limited company registration date;
• limited companies are not allowed to engage in banking and insurance business, as well as to choose a name that coincides with the previously registered company in Turkey.

Step-by-Step Company Formation in Istanbul

Please remember that the Turkey limited company setup procedure is almost identical both for residents of the country and for foreign nationals. 

Here is the step-by-step description of company formation in Istanbul in 2022:

1. The Limited Company Memorandum and Articles of Association are registered with MERSIS free of charge.
2. The documents must be translated into Turkish, apostilled and notarized.
3. A Tax Identification Number must be obtained from the Tax Office, which will allow you to open a business bank account in Turkey and deposit the share capital on it.
4. It is mandatory to pay 0.04% of the registered capital to the Anti-Monopoly Directorate of the Turkish Central Bank, and 25% of it needs to be deposited to your own bank account.
5. Then the limited company registration with the Turkish Trade Registry follows.
6. Registration of the company books with a notary is the last step.

Almost all of the above-mentioned procedures require financial expenses as well as time. At the slightest mistake the registration will be refused and you will have to start it all over again. That is why it is better to delegate such a sensitive matter as limited company registration in Istanbul to professionals, our business partners in Turkey.

Documents for the Limited Company Registration in Istanbul

What documents should be prepared to register a limited company in Istanbul in the shortest possible time?

• passports of all founders;
• photos of the owners (8 pcs.);
• Articles of Association of the limited company, certified by a notary;
• application from each founder;
• bank statement on the amount of the initial payment;
• documents confirming the limited company address;
• rental agreement for the office space of your limited company in Istanbul or property purchase agreement.

Should a legal entity decide to register a limited company in Istanbul, the list of apostilled documents needs to be extended to include the following requirements:

• document of the legal entity of the country of registration;
• Certificate of the company registration showing the scope of its business;
• Articles of Association of the company;
• documents confirming the company’s decision to establish a new legal entity (limited company) in Istanbul;
• signature card of the company

Time required for the limited company registration in Istanbul with a business bank account in Turkey is 9 to 13 days.

Business Bank Account and Extra Services for the Limited Company in Istanbul

In order to open a business bank account in Turkey for a limited company, the company director must have a work visa, a residence permit or a Turkish passport. It is possible to obtain citizenship by investment when buying real estate in one of the regions of the country for at least 400,000 US dollars, as well as on other grounds. 

In addition to the nationality requirements, one needs to meet a number of conditions to open a business bank account in Turkey and register a limited company in Istanbul without any issues. Experts of our portal, with the support of our partners from Turkey, are ready to provide the following extra services:

• preparation of an application and its submission via an authorized person;
• drafting of the company Memorandum and Articles of Association;
• submission of documents to the Turkish funds;
• renting or buying an office;
• registered address of the limited company;
• acquisition of ready-made business in Turkey according to certain given criteria;
• accounting services, including reporting.

How Can a Foreigner Set Up a Limited Company in Istanbul Quickly, Safely and Remotely?

In order to obtain the documents on the limited company registration in Turkey quickly and without excessive bureaucracy,  you only need to contact our experts. You can find our contacts on top of the page.

The further procedure will look like as follows:

• Our managers will contact you to discuss all the issues and request a package of documents.
• If everyone agrees, we will  make an agreement with you to be signed by both parties.
• Before you start the limited company registration in Istanbul, our account must be credited with 50% of the amount established in the agreement (payments are accepted in any fiat and crypto currency).
• At the time of signing all documents, you will need to transfer the rest of the amount.

Company registration period in Istanbul will take from 1 to 3 days, during which time you will have to come to Turkey with all the founders. The longest stage of incorporation is the business bank account in Turkey, which can be also opened abroad.

How Much Does It Cost to Register a Limited Company in Istanbul?

What is included in the total amount charged for the limited company registration in Istanbul (from 4200 USD)? The price is not flat and is made of the following services provided by the experts of our international portal and our Turkish partners:

• state duty (0.04% of the minimum share capital of 10,000 liras);
• translation services;
• company registration with the tax office;
• execution of the following documents to be provided to the customer: company book, journal, books of shares and minutes of meetings, inventory book, the document confirming the registration with the tax office, certificate of business registration in Turkey.

We always strive to comply with the stated objectives and goals, preserving our fair name and business reputation. Offshore account opening and bank selection, business registration and many other services of our international portal are always available for those who not only dream but also make their dreams come true.

Should you have any questions, you are always welcome to ask them to our experts at: info@offshore-pro.info.