Setting Up a Company in Turkey 

Set Up a Company in Turkey

There are many advantages for Companies to set up and invest in Turkey

Turkey has invested a lot of time and money to attract Foreign Direct Investment and have implemented many business initiatives to create a welcoming environment for inward industrial investment, including “Organized Industrial Zones” and “Free Trade Zones” throughout the country  

There are many general and regional incentives for companies, arranged through the government or local municipality. and our International Legal Teams can assit in guding you through the process, to recieve the most benefit for your business. 

Organized Industrial Zones

Organized Industrial Zones OIZ’s allow companies to set up and operate very quickly with ready-to-use infrastructure and social facilities. The existing infrastructure provided in the zones includes roads, water, natural gas, electricity, communications, waste treatment, and other services.

There are 290 OIZ’s in 80 provinces, 211 of which are currently operational, while the remaining 79 OIZs are being constructed throughout Turkey.

The main benefits to comanies are:

• No VAT for land acquisitions.

• Exemption from real estate duty for five years starting after the construction of the plant.

• Low water, natural gas, and telecommunication costs.

• Exemption from municipality tax for construction and usage of the plant.

• Exemption from the municipality tax on solid waste if the OIZ does not benefit from the municipality service.

Free Zones

Free zones are special sites considered to be outside the customs area, although they are within the political borders of the country. These zones are designed to increase the number of export-focused investments. Legal and administrative regulations in the commercial, financial, and economic fields that are applicable within the customs area are either not implemented or only partial restrictions apply in the free zones.

There are 20 FZ’s located close to the EU and Middle Eastern markets adjacent to major Turkish ports on the Mediterranean, Aegean, and Black Seas, with easy access to international trade routes.

Advantages of Free Zones in Turkey

• 100% exemption from customs duties and other assorted duties.

• 100% exemption from corporate income tax for manufacturing companies.

• 100% exemption from value added tax (VAT) and special consumption tax.

• 100% exemption from income tax on employees’ salaries (for companies that export at least 85% of the FOB value of the goods they produce in the free zones).

• Goods can remain in free zones for an unlimited period.

• Companies are free to transfer profits from free zones to abroad as well as to Turkey, without restrictions.

Our ability to provide the right advice in the right circumstance, has made the first choice legal partner for companies wishing to set up business in Turkey. We offer a full range of legal services, including risk analysis and management to foreign companies and individuals who are willing to invest and establish themselves in the Turkish market or expand their current business operations. Our Clients benefit from our timely legal services and business oriented solutions of high quality, irrespective of your location and area of business activity.

How we can Help 

• Advising on Investment Incentive Regime and most suitable forms of doing business in Turkey

• Assisting in setting up your company/subsidiary/representative office in Turkey

• Advising on corporate reorganization, including mergers, acquisitions and joint ventures

• Counselling on tax issues, including VAT, corporate taxation and amnesty from tax

• Dealing with state regulatory authorities in obtaining various permits, licences and authorizations, including M&A clearances from the Turkish Competition Authority

• Representing in International arbitration and dispute resolution procedures

• Market research, assessment and analysis

• Developing market penetration strategy and finding business partners/new investment opportunities in Turkey

What makes us stand Out

• Istanbul based with reliable partnerships in EU, Brazil, Russia and other CIS countries

• Global approach and local solutions

• Team of reputable lawyers and international legal counsels, who are also academicians, with various backgrounds, linguistic skills and expertise

• Awareness of legal rules and national peculiarities of doing business in multiple jurisdictions, including CIS, EU and Latin America

• Representation of clients in Dutch, English, French, German, Italian, Kazakh, Portuguese, Russian, Spanish, Turkish and Ukrainian

• Flexible, simple and creative approach to every client

For more Information about Doing Business in Turkey, please consult a member of our International Legal Teams