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Starting a Business in Turkey: Opportunities, Steps and Key Points

As one of the emerging and strategic markets in the region, Turkey is an ideal opportunity to start innovative and international businesses. Given its special geographical location, growing economy and access to global markets, Turkey can be an attractive destination for entrepreneurs and foreign investors. In this section, we will examine the steps and key points for starting a business in Turkey, as well as the new laws recently announced by Çalışma Bakanlık.

Why Turkey?

1.1. Geographical and Strategic Location

Turkey is located at the crossroads of the continents of Asia and Europe, which provides many opportunities for trade and investment in Turkey. The country is known as a bridge between the East and the West, providing companies with easy access to the major markets of Europe, the Middle East and Central Asia.

1.2. Investor Protection Laws

The Turkish government has many supportive policies in place to attract foreign investors. These policies include tax reductions, simplified registration processes and simpler investment laws. In addition, Turkey has special programs to attract entrepreneurs in specific areas such as technology, creative industries and manufacturing.

1.3. Skilled Labor and Low Costs

Turkey has a young, educated and skilled labor force that can be found in many industries. Labor costs in Turkey are very favorable compared to many European and American countries, which is very attractive for businesses and startups.

Steps to Start a Business in Turkey

2.1. Choosing a Company Type and Legal Structure

The first step to starting a business in Turkey is choosing a company type and legal structure. The most common types of companies in Turkey are: • Limited Liability Company (LLC): This type of company is suitable for small and medium-sized businesses and allows investors to have limited financial liability. • Joint Stock Company (A.Ş.): This type of company is suitable for larger businesses requiring large investments and a larger number of shareholders. • Joint Ventures: Companies established by two or more natural or legal persons.

2.2. Company Registration

Registering a company in Turkey is not a simple process and must be carried out accurately and in accordance with the country's laws. The steps to register a company are: • Choosing a company name and establishing a head office: Choosing a company name and registering it in the Turkish Commercial Registry Agency system is one of the first steps. It should be noted that the chosen name should not be similar to the names of other companies. • Company Registration with the Trade Registry: After the company is established and the board of directors is appointed, the company must be registered with the Turkish Trade Registry and receive a trade registration number. • Opening a company bank account: After registering the company, it is necessary to open a business bank account in the name of the company and deposit a certain amount (usually the amount of the initial capital) into the account. • Tax Registration and Obtaining a Tax Code: All companies in Turkey must obtain a tax code and register with the Turkish Tax Administration. This step is necessary to carry out tax and legal activities.

2.3. Preparing Legal Documents and Drafting Contracts

Before starting a business, various legal documents must be prepared and drafted. These documents may include employment contracts, lease agreements, purchase and sale agreements and other required documents.

2.4. Obtaining Necessary Permits

Depending on the type of business activity, it may be necessary to obtain specific permits from local and state authorities. For example, businesses operating in the fields of healthcare, food and beverage, or export and import require special permits.

New Laws for Foreign Entrepreneurs in Turkey

Based on Çalışma Bakanlık and the new laws announced, the Turkish government has provided special facilities for foreign entrepreneurs. These laws specifically seek to facilitate the process of starting a business and attracting foreign investors.

3.1. Facilitating Residence through Business Start-up

One of the new laws announced by Çalışma Bakanlık is facilitating the process of obtaining residence for foreign entrepreneurs. According to this law, people who start a new business in Turkey and create added value for the Turkish economy can receive temporary residence and then permanent residence.

3.2. Reducing tax costs for startups The Turkish government has reduced tax costs for startups and new companies and, in some cases, has considered tax exemptions for a certain period. These laws can be a special opportunity for foreign entrepreneurs to start a business in Turkey.

3.3. Supporting Investors in Technology and Innovation Sectors

In order to support the digital economy and technology, the Turkish government has provided special facilities for businesses operating in these areas. This includes tax exemptions, financial facilities and government consultations.

Key Tips for Successfully Starting a Business in Turkey

4.1. Choosing a Target Market

Before starting a business, you should carefully identify your target market. Turkey has many opportunities for exporting and importing goods and services due to its geographical and economic location.

4.2. Understanding Tax and Legal Laws

Being aware of Turkish tax and legal laws is very important for the success of your business. Working with lawyers specializing in business and taxes can prevent legal problems.

4.3. Using government resources

The Turkish government has provided support and consulting programs for entrepreneurs that you can benefit from. These resources include financial facilities, grants, and business development consultations.

Conclusion

Starting a business in Turkey can be a great opportunity for economic growth and professional development. With its geographical advantages, supportive laws, reasonable costs and skilled workforce, Turkey is an ideal destination for international entrepreneurs and investors. By knowing the legal procedures, using expert advice and considering new laws, you can successfully start your business in this country.

For more advice and guidance on starting a business in Turkey, contact our expert team.

Special Opportunities for Investment in Turkey

5.1. Investing in the Tourism Sector

As a popular tourist destination, Turkey has a high potential for investment in various sectors such as hotels, restaurants, and tourism services. Since tourism is one of the main pillars of the Turkish economy, investing in this industry can quickly become profitable.

5.2. Investing in the Technology and Startup Sector

The Turkish government offers special incentives to attract foreign investors in the technology and startup sectors. This sector has grown significantly, especially in Istanbul and Ankara, and can be a good place to start innovative businesses.

5.3. Investing in Real Estate

The Turkish real estate market continues to grow, and purchasing property for the development of commercial projects, hotels, or residential complexes can be an attractive option for investors. For entrepreneurs looking for long-term investment, the Turkish real estate market offers a good opportunity, especially in developed regions such as Istanbul and Antalya.

Challenges Facing Starting a Business in Turkey

6.1. Financial Challenges and Access to Credit

Although Turkey is known as a dynamic market for businesses, access to finance and credit can be challenging in some cases. Some banks have strict requirements for granting loans to foreign entrepreneurs and it is essential to be aware of the different financing methods for starting a business.

6.2. Bureaucratic Complexities

Although the Turkish government has tried to simplify company registration processes in recent years, bureaucracy and legal procedures can still be time-consuming and complicated in some cases. Therefore, using legal advisors and local businesses can prevent problems from arising.

6.3. High Market Competition

Turkey is witnessing high competition in many sectors due to its domestic market and strategic location. Entrepreneurs need to come up with innovative and competitive strategies to succeed in the Turkish market and conduct market research and analysis.

The Role of Consulting Firms in Facilitating the Business Start-up Process

Local consulting firms can help you with all stages of starting a business in Turkey, including company registration, obtaining permits, and even attracting financial resources. These firms will facilitate the processes and prevent common mistakes by being fully familiar with local laws. Choosing an experienced legal or financial advisor in Turkey can prevent legal or tax problems and speed up the business start-up process.

Review of Working Conditions and Labor Laws in Turkey

8.1. Hiring Labor

In Turkey, hiring labor for foreign and domestic businesses is subject to compliance with the country's labor laws. These laws include wages and salaries, working conditions, working hours, and social benefits. Entrepreneurs should be aware of labor laws in order to avoid legal problems.

8.2. Labor Laws for Foreigners

For foreign entrepreneurs who intend to hire labor in Turkey, obtaining a work permit for foreign workers is essential. This permit is usually required for workers who are non-Turkish and especially those coming from countries outside the European Union.

Using Online and Digital Platforms to Expand Your Business

In today's digital world, businesses that use online platforms to advertise, sell, and connect with their customers have a greater chance of success. As an advanced country in the use of the internet and digital technologies, Turkey has provided many opportunities for entrepreneurs in this field.

9.1. Setting up online stores

With the increasing growth of online shopping, setting up an online store can be considered as one of the attractive methods for small and medium-sized businesses in Turkey. This can help increase access to global and local markets.

9.2. Using social media

Social media has a special place in Turkey and using them can be very effective for introducing businesses, increasing sales, and interacting with customers. Launching advertising campaigns on these platforms is one of the new ways to grow new businesses.

Final Conclusion

Starting a business in Turkey is an exceptional opportunity for foreign entrepreneurs and investors due to its privileged geographical location, skilled workforce, and supportive government policies. Considering the legal procedures, new laws, and existing challenges, entrepreneurs should have a thorough understanding of local conditions and processes.

Çalışma İzni (Work Permit) and New Laws in Turkey

As a popular destination for foreign entrepreneurs and investors, Turkey has its own laws for hiring labor and issuing work permits for foreigners. Çalışma İzni, or work permit in Turkey, is one of the most important legal pieces for people who plan to work in the country or hire foreign labor. Recently, new laws on work permits in Turkey have been announced by the country's authorities, which have a great impact on the work permit issuance processes and the rights of foreign workers.

In this article, we will examine Çalışma İzni and the new laws on work in Turkey and explain the steps to obtain it in detail.

  1. What is Çalışma İzni?

Çalışma İzni (Çalışma İzni) is a permit that allows foreigners to work in Turkey. This permit is required for people coming to Turkey from countries outside the European Union (EU). This permit allows the individual to work legally in Turkey and, if certain conditions are met, to apply for permanent residence.

For those who intend to start a business in Turkey or to employ foreign workers in Turkey, it is essential to be aware of the conditions for issuing a Çalışma İzni and its new laws.

  1. Steps to Obtaining a Çalışma İzni (Work Permit)

To obtain a work permit in Turkey, various steps must be taken, including the following steps:

2.1. Application by the Employer

Turkish employers who intend to employ foreign workers must first submit a work permit application to the Turkish Ministry of Family, Labor and Social Services. This application must include complete information about the employer, type of job, contract conditions and reasons for needing foreign workers.

2.2. Establishing a Company and Providing Necessary Documents

In order for a foreigner to be able to work in Turkey, a company must first be established in Turkey. The company must submit its legal documents to the relevant authorities along with the work permit application. These documents include tax documents, company registration information and employment contracts.

2.3. Review of the application by the Ministry of Labor

After submitting the application, the Turkish Ministry of Labor will review the documents and if all the necessary conditions and documents are met, a work permit will be issued. This process usually takes between one and three months.

2.4. Obtaining a work permit

After approval by the Ministry of Labor, a work permit is issued and the individual can legally work in Turkey. The validity period of the work permit is usually one or two years and must be renewed after that.

  1. New Çalışma Ezni (Work Permit) Laws in Turkey

Recently, the Turkish Ministry of Family, Labor and Social Services has made changes to the laws regarding the issuance of work permits. These changes are particularly related to facilitating the work permit issuance process for foreign workers and entrepreneurs.

3.1. Changes in the Application and Submission of Documents

According to the new laws, the work permit application process has become simpler. Foreigners and Turkish employers no longer need to submit some additional documents and the registration process is carried out online. These changes are especially beneficial for foreign entrepreneurs who intend to start a business in Turkey.

3.2. Reduction in the processing time for applications

With the implementation of the new regulations, the processing time for work permit applications has been significantly reduced. This measure will accelerate the process of hiring foreign workers and attract international investors.

3.3. Facilitation of hiring skilled workers

Turkey has provided special facilities to attract skilled workers from abroad. The process of obtaining work permits has become faster and simpler, especially for people with specific expertise in the fields of technology, engineering and science.

3.4. Supportive Policies for Startups

According to the new laws, startups and new companies established by foreign entrepreneurs can benefit from tax exemptions and special facilities for hiring foreign workers. These facilities include reduced social insurance and tax costs for foreign workers.

3.5. Respect for the Rights of Foreign Workers

Another important change is the greater attention to the rights of foreign workers. According to the new laws, employers are obliged to respect the working conditions and legal rights of foreign workers. These conditions include minimum wages, working hours, social insurance and other labor rights.

  1. Types of Work Permits in Turkey

In Turkey, work permits for foreign workers are divided into several types:

4.1. Temporary Work Permit This type of permit is issued to foreign workers who will work in Turkey for a certain period of time. Usually, this type of permit is issued to those who are working on specific projects or temporary contracts.

4.2. Permanent Work Permit

People who will work in Turkey permanently must obtain a permanent work permit. This type of permit is for those who intend to reside in Turkey and after a certain period of time, they have the option to apply for permanent residence.

4.3. Work Permit for Entrepreneurs

Entrepreneurs who intend to start their own business in Turkey must obtain a special work permit. This type of permit is issued to foreign entrepreneurs and foreign partners in Turkish companies.

  1. Key Points About Çalışma İzni and Hiring Foreign Workers

• Awareness of the Conditions and Requirements: Entrepreneurs and companies should be fully aware of the legal conditions and requirements for hiring foreign workers in Turkey in order to avoid legal problems. • Use of expert legal advisors: Legal advisors who are familiar with Turkish laws can assist in the process of issuing work permits and hiring foreign workers. • Respect for the rights of foreign workers: Employers must be aware of the rights of foreign workers and the laws related to them and fully comply with their working conditions.

Conclusion

Çalışma İzni (Work Permit) and its new laws facilitate the process of attracting foreign workers and international investors to Turkey. These changes bring many benefits not only to foreign entrepreneurs and companies but also to foreign workers. By strictly following the laws and using expert advice, you can easily work in Turkey or hire foreign workers.

For more information and detailed guidance on Çalışma İzni, contact our team of expert consultants.