Written Assignment Unit 3

I’m interested in starting a business in Turkey because of the simplicity in the business registration procedures
at every government agencies in the country. The entire process is straight forward unlike some countries with
tons of bureacracies and barriers especially for foreigners. In Turkey for example, investors can begin trding
within a week after opening the business within a day (Property Turkey, 2020). Moreover, quite recently, the
government of Turkey emerged with a legislation to promote foreign investment which has also aided the
ease of business establishment in this unique geographically location country. Turkey is literally situated
between Europe, Asia and the Middle East. Hence, starting a business in Turkey is not a complicated process.
Investors have lots of support and assistance throughout every procedure (Property Turkey, 2020). With
regards to construction permit, the most preferrable way is to either rent an office space in Turkey or purchase
the entire building that will be used for the business. Buying lands to construct in Turkey is not quite
advisable.
The process of getting electricity in Turkey for the business is really easy. Based on the location of the
business, investors would have to take the business registration documents to the general electricity office
along with proper identification document. Upon arrival, a unique electricity registration number is provided
and within a couple of hours, the business will have full electricity. However, a prepayment deposit is required
prior to opening of the electricity. The amount served as a guarantee in case the electricity bills are not paid
within the stipulated time frame. If the business have properties such as vehicles, the law requires that it is
duley registered as well. The government agency that is responsible for vehicle registration takes care of that
within one day. In terms of getting credit in Turkey, most businesses that are owned by Turkish nationals
can easily get loan from any bank of their choice. However, it is not the same case for foreign business owners
in Turkey as there is a condition attached.
Investors in Turkey are highly protected when it comes to securing their funds and ensuring that everything
goes smoothly. It is highly unlikely for investors to complain about their investments. Government provides
various assistance services to help investors achieve their goals. The process of paying taxes in Turkey is
conducted by a government agency called Vergi Dairesi. This agency handles everything that has to do with
taxes for both small and big business entities. Taxes in Turkey ae generated using a system called KDV which
employs an automated percentage based on the revenue received. For trading across borders, the parties are
free to choose the law governing their supply relationship (Atradius, 2012). On the other hand, enforcing
contracts in Turkey would required a professional lawyer with experience in measuring the time and cost for
resolving a commercial dispute. Usually, most businesses hire corporate lawyers to run such affairs. Resolving
insolvency in Turkey would take quite some time becuase legal matters in the country are carefully handed.

References:
Property Turkey (2020). How to set up a business in Turkey
https://www.propertyturkey.com/buyer-guide/how-to-set-up-a-business-in-turkey

Atradius (2012) Trade successfully with Turkey

https://group.atradius.com/publications/trade-successfully-with-turkey.html