Factors affecting cost determination – Reasons for different offers between companies

When we talk about the cost of establishing a company in Turkey, we mean the company registration fees with the Commercial Registry Department and the entities related to the process of registering the company and obtaining a commercial license with service fees only.

Of course, it does not mean the costs of establishing the project or conducting work, as it includes the legal procedures for the licensing process only, and in this highlighting, we will address the issue of the cost of establishing the company in Turkey and what are the influencing factors and what are the reasons for the price difference between one service company and another.

What is the cost of establishing a company in Türkiye?

At the outset, it is necessary to clarify the contents of the intended cost, which is an administrative fee paid to the commercial registry department in the state, which is based in the state chamber of commerce, in exchange for several detailed services for the registration process.

It includes the registration of the founding contract, the advertisement in the newspaper, the capital registration tax, and so on, in addition to the fees of the accounting office that performs these procedures.

Are incorporation costs fixed or variable?

Yes, the cost of establishing a company in Turkey is variable, and the costs of establishing companies in Turkey vary according to the data specified for each company upon its incorporation.

It determines the costs of incorporation by several main factors, some of which affect (quantitatively), so costs increase by increasing them and decrease by decreasing them, and the influencing factors are:

• Place :

It means the state in which your company is established, as the administrative fees differ from one state to another, the accountant’s fees differ, and the secondary expenses such as translation, certification, and the wages of the sworn translator, and perhaps the least expensive state is the state of Istanbul.

• Type of company:

The difference in the type of company is definitely an influential factor in determining the costs of establishing a company in Turkey, for example the difference between a personal company, which costs less, of course, and a limited company (Limited), which costs medium, compared to a joint-stock company, which costs higher.

• A number of partners:

The number of partners in a single company, when it is established, is an influential factor in determining the costs of the founding company. ⁽¹⁾

• A number of activities:

The number of events or goals (activities) that are included in the memorandum of association, which are the specialized fields that the company will practice and determine in the course of its business, also has a role in increasing or decreasing costs, and the effect is not the type of activity, but the number of activities affects the size of the items in the contract. ⁽²⁾

• Capital size:

With the increase in the size of the capital when the company is registered, a tax fee is paid on the amount for one time only, and it is a small amount that does not exceed 0.01%, but of course, it is considered an increase in costs. ⁽³⁾

• the address:

Every company needs a real address defined within the Turkish territory, and in the absence of an address for your company, you will need the virtual address service, which is an added value to the service that will increase the costs of establishment. ⁽⁴⁾

• Services and features:

We also mentioned that the costs of establishing the company in Turkey include service fees (the fees of those in charge of the procedure).

Accordingly, the services and advantages provided to you when establishing the company, its quality, and the level of the company that it provides to you, are all factors affecting, of course, determining the price and cost of establishing your company.

There is no doubt that websites are full of price offers and services related to the processes of establishing companies in Turkey , and they offer varying services and prices, and you may often find competitive offers.

Of course, these offers and prices are not standard, as they are estimated prices that differ according to the vision of the service provider, and the details of the services attached to the establishment of the company.

Some companies value their efforts at a high price and set a relatively large profit margin, compared to what others offer and with the volume and quality of service, and this is their vision.

While other companies offer promotional offers at relatively low prices, and accept a moderate profit margin, as they offer services that may be better or additional benefits at a lower price, according to the company’s marketing vision.

Among these companies is our company, where we rely on the base (better services, lower costs, more customers), and thus we achieve the equation of establishing a company in Turkey with the lowest costs and the best offers.

Nor is it free from the presence of intruders on this type of service in Turkey, and this does not concern you to deal with him even if he provided you with the service for free, not for a reason as much as his ignorance and lack of experience in the work may cause damage to you and your company after or during the incorporation.

So when you think of setting up a company, you are not looking for a low price only, but you should look for companies with long experience that have credibility and reliability in work, and that offer you the best.

• Turkish language proficiency:

In the event that you are not fluent in speaking and writing the Turkish language, it is legally necessary to seek the assistance of an accredited translator in the Chamber of Commerce (sworn translator) for the validity of completing the procedures, and he receives 250 lire, and this, of course, increases the cost of establishing a company in Turkey.

Also, lack of proficiency in the Turkish language increases the cost of all subsequent legal and official procedures, for example in Notre, when issuing the approval of the director’s signature and the like, and by a large difference, unfortunately, for example:

• An agency in a notary for those who are fluent in the Turkish language is 450 liras, and those who are not fluent in the Turkish language pay 1050 liras.
• The approval of the signature for those who are fluent in the Turkish language is 270 liras, and those who are not fluent in the Turkish language pay 750 liras.