How to Establish a Company? What are the Steps to Establishing a Company?

Do you have a business idea and want to turn it into an official company? Establishing a company in Türkiye is not as difficult as it seems, but it is necessary to follow certain procedures and legal processes with the right steps. In this article, we explain the most frequently asked questions such as "How to establish a company?", "What documents are required?", "How long does the process take?" step by step.

What are the Types of Companies?

Before establishing a company, you need to determine which type of company is right for you. The most common types of companies in Türkiye are:

• Sole Proprietorship: This is the easiest and least costly type of company to establish.

• Limited Company (LTD): It is the most preferred corporate company type. It can be established with 1 or more partners.

• Joint Stock Company (A.Ş.): Suitable for larger investments and structures aiming to go public.

How to Start a Company Step by Step Guide

1. Determine the Company Type

Choose the company structure that best suits your business model. Differences in tax burden, liability structure and setup are important at this stage.

2. Determine Company Name and Address

The company name you choose must not be taken before and must comply with the TCC. You must also determine the legal address where the company will operate.

3. Preparation of the Articles of Association

For limited and joint stock companies, the articles of association are prepared in accordance with the Trade Registry Office and the duties of the partners are defined.

4. Application via MERSIS

Company establishment applications are made online via MERSIS (Central Registry System) .

5. Notary and Signature Declaration

Notarized signature declarations and signature circulars of the founders are prepared.

6. Registration to the Chamber of Commerce

An application is made to the Chamber of Commerce in the province where the company is affiliated with the prepared documents and a registry record is created.

7. Tax Office Registration and Inspection

The company is registered with the tax office. The tax office sends an inspection officer to the workplace address.

8. Social Security Institution Workplace Notification

If personnel are to be employed, a workplace declaration must be submitted to the Social Security Institution and the SSI registration must be made.

9. E-Invoice, E-Archive and E-Ledger Applications

If the relevant company has to switch to the e-invoice system, the necessary applications must be made.

What Does It Cost to Form a Company?

Company formation costs vary depending on the type of company:

Company Type	Establishment Cost (Approximate)
Sole Proprietorship	2,000 – 5,000 TL
Limited company	10,000 – 20,000 TL
Incorporated company	20,000 – 35,000 TL

Cost items include expenses such as notary fees, duties, book certifications, and financial advisor service fees.

Things to Consider When Establishing a Company

• Make sure that the company name is registerable and distinctive.

• Clearly define the distribution of responsibilities and shares among partners.

• Prevent legal errors by proceeding with the support of a financial advisor.

• Select the activity code (NACE) correctly.

• Make sure the lease contract or title deed documents are complete.

Conclusion: The First Step to Making Your Business Official

Establishing a company is a serious and strategic step towards entrepreneurship. When planned correctly with the necessary information and documents, it is a very fast and smooth process. Remember, moving your business to a legal basis will both grow you and make you reliable.

It is recommended that you work with an experienced financial advisor to determine the type of company that best suits your business and to streamline the entire process.