Business Establishment and Trade Relations
The New Economy Program (NEP), unveiled by the Republic of Turkey Ministry of Treasury and Finance, is providing ample opportunities and business prospects. It will particularly improve investment opportunities for foreign investors. Key projects, policies, and measures will serve the main objectives of the NEP and help bolster individual and social development in the long term.
According to the NEP, company establishment processes will be completely digitalised by December 2022 in order to allow entrepreneurs to start commercial life in a quick and safe way. Establishing a business is a key method investors have used to gain Turkish residency and citizenship aside from purchasing an immovable property or depositing USD into a Turkish bank. Through this new incentive, the already easy process of establishing a business in Turkey as an investment opportunity has become much easier.
How do we assist you in setting up your business for Turkish citizenship?
Foreign investors who want to establish a business in Turkey are required to complete a few steps before beginning. These steps – which our lawyers and business professionals at SGA assist you with – consist of:
- Choosing the type of company you want to establish;
- Opening the corporate bank account and depositing the share capital required by the law;
- Appoint the company’s directors or managing partners;
- Submit the incorporation documents and the details of the shareholders and managing partners with the Trade Register;
- Obtain the tax and VAT numbers, as well as registering for social security purposes with the tax office.
The NEP has also placed a great emphasis on Turkey’s international trade role. According to the programme, Preferential Trade Agreements and Free Trade Agreements will be further negotiated with relevant countries – this will take economic relations to a new level and improving existing relations further. Additionally, a new Preferential Trade System will be established in order to add a new dynamism and dimension to commercial and economic relations with the United Kingdom following Brexit.
Trade relations between Turkey and the UK have already had a robust start with the UK-Turkey Free Trade Agreement. The trade deal has major implications for the future of bilateral relations between the two long-term allies since it has demonstrated that the post-Brexit process will not lead to deteriorations in the long-term diplomatic and trade relationship between Turkey and the UK. Conversely, it has revealed the strong alliance between the two countries particularly since the deal is the first FTA after the United Kingdom formally left the European Union. So, what does this mean for foreign investors in Turkey? The Free Trade Agreement has provided a critical message for foreign investors who observe the Turkish economy and real estate market by suggesting that Turkey will maintain its stable growth, being in the Top 20 largest economies worldwide.