Opening a branch office in Turkey is a great way for foreign investors – to start a business in Turkey. Rather than setting up a new company. Business owners may decide to promote their already existing company.
In this blog post, we will explain the process of opening a branch office in Turkey. Let us first look at the benefits of opening a branch office in Turkey. The key documents you require for this process.
Why Open a Branch Office in Turkey?
There are numerous advantages for investors looking to establish a branch office in Turkey. Due to its geopolitical location, growing economy, promising growth potential, and young population. Turkey attracts foreign investors from all parts of the world.
Additionally, the incorporation costs for a branch office are lower compared to establishing a new company or a subsidiary. Also, in the case of opening a branch office, the activities can be commenced much faster.
A foreign company can also set up sub-branches in other regions in Turkey. Establishing a sub-branch is simpler after the main branch office is established. To establish a sub-branch. You only need to obtain an operating permit from the Directorate General of Domestic Trade.
Furthermore, the guidance of a company lawyer in Turkey simplifies the process and helps you reap the maximum benefits of opening a branch office in Turkey.
Key Documents Required for Establishing a Branch Office in Turkey
- For a foreign company to establish a branch office in Turkey. Its capital must be divided into shares or the articles of association of the company must be amended.
- Director’s resolution concerning the establishment of a branch office in Turkey.
- Company title, address, date of establishment, capital and nationality.
- Power of attorney granted to the representative of the branch.
- Signature Declarations of the person representing the branch
- Passport copy of the authorized person to represent the branch.
- Business activities of the branch office
The guidance of experienced lawyers in Istanbul can expedite the procedures and ensure completeness of documentation and regulatory approvals.
Steps to Open a Branch Office in Turkey
The general procedure for opening a branch office in Turkey involves several steps such as:
- Documentation: Prepare necessary documents such as articles of association, power of attorney and resolution of the parent company.
- Application: After preparing and notarizing – the necessary documents need to be submitted to relevant authorities for review and approval.
- Registration: Once the documents are approved. The branch office can be registered with the Trade Registry office.
- Tax Registration: After registration of the branch office with the trade registry office. You also need to register the branch office with the relevant tax authorities. To obtain a tax identification number.
- Social Security Registration: To comply with the social security requirements of the employees. You may also need to complete social security registration.
Over the years, Turkey has emerged as a preferred choice. For foreign investors due to legal and economic changes. Setting up a branch office in Turkey is straightforward for foreign investors. With the help of a skilled company lawyer. You can establish a branch office in very little time and commence your business activities.
At Cebeci & Bayram, we offer a full range of legal services to clients. To helping them at every step in establishing a successful business in Turkey. Our team of expert lawyers in Istanbul can help. Expedite the branch office opening process for you with expert guidance.