Legalixa Law Firm is a full service Turkish Law Firm with a long record of excellence and professional leadership in Istanbul, Turkey. Our Turkish company formation team is prepared to handle your branch office formation in Turkey. Our lawyers are experienced in liaison office formationbranch office formationfree trade zone company formationjoint stock companyjoint venture formationlimited liability company formation, holding company formation, and company management and governance. Legalixa Law Firm is a progressive, full-service Turkish law firm comprised of talented and effective attorneys who are dedicated to serving their client’s legal needs in Istanbul, Turkey. Based in Istanbul’s new financial district, Legalixa Law Firm is able to protect its clients’ rights throughout Turkey.

Turkish Branch Office Formation

Branch offices have autonomous capital and accounting to carry out commercial transactions with third parties, although they are closely associated with the parent company in respect of internal management. This means that rights, debts, profits and losses of the branch offices are assumed by the parent company. A branch office can only engage in activities of its parent company. It cannot provide goods and services or engage in any commercial activities that are not specified in the parent company’s articles of association.

Although there is no legal capital requirement for branch offices, it is required that the incorporating company maintains a capital sufficient to run the branch office in practice. A branch office shall use the same corporate name as that of the parent company by indicating that it is a branch office and also contain the location of the head office and the branch office. A fully authorized commercial representative (branch office manager) residing in Turkey needs to be appointed in order to run day-to-day business of the branch office.

Turkish Branch Office Formation

Services for Branch Office Formation in Turkey

Although liability of the shareholders is limited to the amount of share capital owned in the company, and the shareholders are not personally liable for any debt or other liability of the company, shareholders of an LLC may be held liable for the public debts of the company, such as tax liabilities. Despite the restriction on the companies for acquiring their own shares, if an LLC ends up acquiring the shares of one of its shareholders against its receivables, then the shareholders are jointly liable for the payment of the un-paid portion of the newly acquired shares by the company.

We maintain a unsurpassed practice counseling and representing large and small companies and boards of directors regarding LLC formation and governance matters. We advise our clients on all matters concerning formation of new entities from corporate formalities to tax issues.

We regularly advise clients with respect to the formation of companies. Our services with respect to company formation include advising and drafting documents in connection with the formation of corporations, limited liability companies, and Turkish liaison and branch offices. We provide targeted advice with respect to both the choice of entity and Turkish laws under the entity is to be organized.

Our clients range from small private companies with no internal legal staff to large companies with their own internal compliance teams. For each of our clients we tailor our approach to that client’s unique requirements.

Turkish Company Formation Procedures

Legalixa Law Firm has one of the preeminent company formation and governance practices in Turkey, drawing upon the expertise of our corporate, securities, governance, litigation, and compensation specialists to provide our clients with the information and analysis needed to respond to a rapidly changing regulatory environment.

We maintain a unsurpassed practice counseling and representing large and small companies and boards of directors regarding entity formation and corporate governance matters. We advise our clients on all matters concerning formation of new entities from corporate formalities to tax issues.

Our services with respect to company formation include advising and drafting documents in connection with the formation of corporations, limited liability companies, and Turkish liaison offices. We provide targeted advice with respect to both the choice of entity and Turkish laws under the entity is to be organized. Our clients range from small private companies with no internal legal staff to large public companies with their own internal compliance teams. For each of our clients we tailor our approach to that client’s unique requirements.

In many circumstances, advice concerning entities relates to larger, more complex transactions, including joint ventures among owners and developers of intellectual property, capital equipment manufacturers and those deploying that equipment, owners and developers of real property or energy interests and developing businesses and those providing capital to them. In all of those situations our attorneys’ ability to call upon the resources of the Firm’s other practice areas is of value to clients. In conjunction with our employee benefits, labor and tax attorneys, we assist clients with employment agreements, stock option, retirement and other employee benefit plans.

Turkish Company Formation Lawyers

Branch Office Formation in Turkey Free Trade Zone

Turkish Free Trade Zone is a specially designed production site which aims at increasing export-oriented investment and production in Turkey, accelerating the entry of foreign capital and technology into Turkey, enhancing the productivity and economies of scale and increasing the utilization of external financial sources and trade opportunities. Although an Free Trade Zone is within the boundaries of the Republic of Turkey, it is treated as if it were a territory abroad. National regulations relating to foreign trade, financial and economic areas are partially applicable to Free Trade Zones. There are 20 Free Trade Zones in Turkey and their annual trade volume amounted to more than $ 23 billion in year 2005.

Services for Branch Office Formation in Turkey Free Zone

We maintain a unsurpassed practice counseling and representing large and small companies and boards of directors regarding company formation in a Turkish Free Trade Zone and governance matters. We advise our clients on all matters concerning formation of new entities from corporate formalities to tax issues.

We regularly advise clients with respect to the formation of companies. Our services with respect to company formation include advising and drafting documents in connection with the formation of corporations, limited liability companies, and Turkish liaison and branch offices. We provide targeted advice with respect to both the choice of entity and Turkish laws under the entity is to be organized.

Our clients range from small private companies with no internal legal staff to large companies with their own internal compliance teams. For each of our clients we tailor our approach to that client’s unique requirements.

Free Trade Zone Company Tax Incentives

  • Production companies in a Free Trade Zone are exempt from both corporate and income taxes
  • Goods imported from abroad are exempt from customs duty. In addition, there are no restrictions on the age/model of machinery to be imported from abroad, and these items are exempt from both VAT and customs duty
  • Goods purchased in Turkey by companies located in a Free Trade Zone are exempt from VAT
  • Companies based in a Free Trade Zone can keep their products in a designated duty-free storage area for an indefinite period of time and they can export the products in lots at any time (at the time of export, a customs duty for the lots is paid)
  • Energy, water and telephone utilities supplied within a zone are all exempt from special consumption tax (OTV) and VAT

Free Trade Zone Company Operating License

In order to operate in a Turkish Free Trade Zone, companies need an Operating License which is granted by the Regulator mentioned above. The firms which are found appropriate to get an Operating License and which intend to rent an open area must sign a rental contract with the Zone Operator, or Founder & Operator. Firms intending to rent a closed area must sign a rental contract with one of the users holding Renting Operating License. Upon the submission of a copy of the rental contract approved by the related Zone Directorate to the regulator, operating license is granted to the applicant.

Reach us for Branch Office Formation in Turkey

Since its foundation, Legalixa Law Firm has been the choice of numerous clients in Turkey. We’ve always worked differently than other law firms. We are committed to remaining forward-thinking and preparing for the dynamically changing world of business law. You may reach our law firm for branch office formation in Turkey by  sending an email or through Contact page.