One of the types of companies available for registration in Turkey is the collective company. This type of company is equivalent to a general partnership in other countries, which is why it is more appropriate for smaller businesses. Nevertheless, there are many investors interested in opening collective companies in Turkey.
Our Turkish company formation agents can offer more information on the collective company.
The collective company can be entered into the same category with the commandite company in Turkey. Unlike the commandite company, the collective one implies partners who will be equally liable for the business’ obligations towards creditors. An important aspect to be considered when opening a Turkish collective company is that may only be formed by natural persons. However, it may have a management board made up a natural or legal persons.
The Commercial Code in Turkey does not impose a minimum share capital when opening a collective company. However, the law requires the name of the company to be made up of at least one of the names of the partners and to contain an indication related to the type of company.
Articles 211 to 213 in the Commercial Law in Turkey provide for the establishment of collective companies in this country. The first step to open a collective company in Turkey is to draft the articles of association which must contain the following information:
The incorporation documents must be notarized by a public notary in Turkey.
The steps to open a collective company in Turkey are:
All the documents must be filed with the Turkish Trade Register. Also, 0.04% of the share capital must be deposited with the Competition Authority.
If you want to open a collective company and need assistance, please contact our company registration consultants in Turkey.