Turkish companies can open branches within Turkey or abroad. It is advisable that this is mentioned in the company’s articles of association. A branch must be registered at the local trade registry; therefore, the process for branches in Turkey differs from that of foreign branches. This article explores the latter.
It is important to note that a branch abroad will be subject to specific tax rules. It is therefore essential to consult the company’s accountant to determine the most appropriate tax structure for a Turkish company with an overseas branch.
The process of registering a foreign branch of a Turkish company does not involve any official step in Turkey other than notifying the tax authorities. The process is strictly carried out through the public institutions of the foreign jurisdiction. However, the documents required by the foreign trade registry will be produced in Turkey. Even though it is essential to determine the full list of documents and their official formats by consulting experts in the branch jurisdiction or the trade registry there, we will provide a general guideline in this article.
The essential step in opening a branch for a Turkish company is obtaining a decision from the board of directors. The board decision should state the intent to open a branch abroad, the country in which the branch will be located, and, if required, the capital allocation. Once this document is ready, the company’s incorporation documents must be gathered and sent to the relevant jurisdiction.
Documents that may be required in addition to the board of directors’ decision on branch opening are the following:
- Trade Registry Gazette on the incorporation of the company
- Articles of association
- Signature circular for the directors
- Business activity document obtained from the Turkish trade registry
Apostille Process for Turkish Documents
Official documents from Turkey must be officially recognised abroad. Since Turkey is a signatory to the Hague Apostille Convention, the first step in sending official Turkish documents abroad is to verify whether the destination country is also a member. If that is the case, an apostille issued by Turkish authorities will be legally recognised in that jurisdiction without the need for further authentication.
The process in Turkey is notably efficient, typically wrapping up within a couple of days. There are no extra official costs for this process.
Translation Requirements
Because most official records in Turkey are issued in Turkish, you’ll likely need a translation before submitting them to foreign authorities. This is the version that usually receives the apostille.
It’s important to note that you cannot use just any translator; the work must be handled by a certified translator registered with a Turkish notary. Following translation, the documents must be notarised before they can be apostilled.
How Tepe Law Office Can Assist
We provide end-to-end support for Turkish companies expanding abroad, handling everything from the initial board resolution to the final apostille and notarization. Whether you are expanding to Europe, the UK, or beyond, we ensure your documents meet all local registry standards.