Query: What are the types of companies in Turkey?
Context: There are four types of companies in Turkey, they are:
Joint-stock companies S.A, the company’s capital is divided into shares distributed among the shareholders, and the shareholders’ liability equals the percentage of their shares of the company they hold as shareholder partners.
- The number of establishing partners must be at least five persons or legal entities with a capital of at least 50,000 Turkish lira / equivalent to about 9,000 dollars, a quarter of this amount is paid before the company’s registration. The joint-stock companies can carry out any commercial or industrial activity permitted by Turkish law, except for some businesses and activities that require special permissions from the Ministry of Industry and Trade, and these companies include a board of directors and a supervisory board.
- Limited Partnership Company, this type of company is established to run a commercial project under a specific trade name, and the liability of all shareholders is limited. with no minimum capital required, all shareholders must be real persons, and the shareholders' rights and obligations are determined by the articles of association.
- Companies with their own legislation / Unlimited Liability Company, the licensing for such companies is often difficult because of the different conditions and administrative authority responsible for issuing the license, this includes banks and private financial institutions, insurance companies, financial leasing companies, debt collecting companies, holding companies, foreign exchange companies, and companies that deal with storage in warehouses.
- Limited liability companies, this typical type of company is for owners of small and medium projects, they consist of a minimum of one shareholder and a maximum of fifty shareholders. The cost of establishing this type of company in Turkey is very acceptable, the minimum capital of this company is 10,000 Turkish lira which is less than 2000 US dollars, but if there are two shareholders, the minimum capital for them should be 12,500 Turkish liras.