Registration of an individual entrepreneur in Turkey

In Turkey, as in many other countries, the registration of a sole proprietorship is a key step for starting a business. However, the registration process may differ from country to country.

In this article, we will cover the basic steps required to register a an individual entrepreneur (Gerçek kişi) in Turkey for foreign nationals.

Obtaining a residence permit (ikamet) and TIN (vergi numerasi):

The first step to register a sole proprietorship in Turkey is to obtain a residence permit and a taxpayer identification number (TIN). If the residence permit expires in six months, registration of the an individual entrepreneur may be complicated.

• Removal or acquisition of an office: To register your address as a business owner, you can rent or purchase an office. You can also use your actual place of residence in Turkey as the address for registering a an individual entrepreneur.
• Preparation of documents: After obtaining a residence permit and TIN, it is necessary to prepare documents for registration of the status of an individual entrepreneur. This may include a passport, lease agreements, and other necessary documents. After that, you need to wait for a decision on registration.
• Opening a bank account: After the successful registration of the an individual entrepreneur, it is necessary to open a bank account in Turkey. This will give you access to financial transactions and tax accounting.
• Obtaining licenses (if necessary): If your type of activity requires obtaining a license, you should take care of this issue immediately. It may take some time, so it is important not to delay making such a decision and implementing it.

What kind of business should you start?

In our opinion, the three most promising business directions for Turkey are real estate, tourism and service.

As for real estate, the most sought-after cities for living and investment are located on the Mediterranean coast: Antalya, Alanya and Mersin.

The specifics of the Turkish real estate market are such that developers often do not sell apartments in their facilities on their own – they hand over this process to agencies, providing them with an agency commission.

This allows agencies not to take a commission from buyers. In other words, the buyer receives the same price from the developer and from the real estate agency, but the agency provides him with additional services: selection of the best option, legal support, post-service, and so on.

As for tourism, it is one of the main channels of attracting money to the state budget, and the state provides all kinds of support to those who develop this direction. Of course, globally, this market has long been divided between large players, but there are many opportunities to make money from tourism for small and medium-sized businesses.

For example, open a small hotel or rent apartments near the sea. Open your own travel agency or launch a service designed for tourists.

Here we move on to the third most promising direction of business for Turkey – service. Many citizens of Ukraine, having come to Turkey, followed this path. You come and see what is missing here from what you are used to at home.

Ukrainians open here beauty salons, gyms, co-working spaces, beach clubs, as well as kindergartens and international schools. And these projects are almost always popular – primarily among expats who are used to these services in their homeland.

Currently, Turkey is showing great interest in attracting investments from citizens of other countries, so the percentage of positive decisions regarding the registration of an individual entrepreneur is now high.

The general process of registering an individual entrepreneur in Turkey is quite simple, especially for foreign investors who meet all the requirements and have the necessary documents. But you cannot do without the services of an accountant and a lawyer, as many nuances need to be dealt with – especially at the start.

Contact the law firm “Prikhodko and Partners” – we will be happy to help you.