Maybe you would love to buy a property in Turkey and move there but can't think of a way of making a living. Moving to Turkey is an opportunity for expats to own and run their own business. The tourism market is growing significantly in the country and there are numerous possibilities. Quest Turkey takes a look at how to establish a business in Turkey and even some ideas on what you could do to earn a crust.An adventure
Owning a bar, restaurant or hotel / bed and breakfast seems to be the possibilities which spring to mind. All are viable as long as you undertake thorough research before determining whether this is for you. Research for tourist numbers in your chosen location and don't forget to consider the winter months when there are less holiday makers about and therefore less revenue. Locations to consider are those on the coast, near a historic place or in town. You also need to think about whether your business will be aimed at expats, visitors and / or locals. Restricting yourself to a British client base could restrict your income. The hospitality industry requires a huge amount of hard work and extremely long hours, so be prepared.
Perhaps you have a hobby which you would like to develop into a money-making business? This can be a successful route to take as you are building on your current skills and undertaking a venture which should be a pleasure to you. Such things as horse-riding abilities can be expanded upon and made into a successful business but be aware that sometimes professional qualifications may be required in your chosen business. Becoming an estate agent is frequently chosen by expats and as long as you market your services well and specialise in a chosen region, then there is no reason why this cannot be a success. You may already be professionally qualified in a skill, such as a beautician. In this case, your skills can be transferrable and allow you to set up your own business.
Another option is to buy an existing business. If this is an avenue you would like to consider, make sure you check the books thoroughly.
When starting up your own business, you can never be sure precisely how much money you will make over the first couple of years, no matter how much research you have put into your projections. It is always a good idea to ensure you have money available to cover your cost of living for the first year.
Realities
Whilst the dream to have your own business is so very appealing, the reality of dealing with a business in a foreign country with a foreign language needs to be explored.
It is no doubt that setting up a new business for yourself is frequently an easier option than trying to find a job, however, dealing with the tax man in Turkish may prove more difficult. It is vital therefore that you seek out good professionals who will be able to help you with the legalities, accounting and other formalities which operating your own business require. Even so, getting up to speed with some basics of the Turkish language is a must for peace of mind.Remember that you are also likely to work twice as hard as an owner-manager than you have ever done before if you were employed. Even those who have done it before will tell you that it is very difficult and extremely long hours are the norm, especially at the beginning. The rewards are fantastic but be prepared to work very hard.
So, you've made the decision
Now that you have decided you want to go ahead, there are some points about doing business in Turkey:Business hours are usually 8.30 am to 17.30 pm Mon to Fri. The normal working week is 45 hours. Overtime is usually paid
Pay. The minimum wage is about 260 British pounds
Etiquette. It is important to work on building good relationships as the Turkish prefer to do business with people they know. Get some business cards done, they are usually handed out at the start of every meeting.
What's next
To register your company in Turkey, the process is dealt with by one Ministry, which co-ordinates the registration. It is said that it can be completed in a few days but if you are going to do it yourself, then you'll need a ton of patience.To form a company, we outline a guideline here:
Select a name for your company
Articles of Association. These need to be written up and notarised, with the manager's signature, copies of ID or passport of the shareholders and the accounts
Bank account. Open a company bank account and the capital has to be placed into this account
Submit a Business Registration Form at the Trade Registry Office located at the local Chamber of Commerce and attach the following with this:
- The notarised 'Articles of Association'
- Proof of deposit of the capital
- A completed Company Establishment Form
Taxation
Social security insurance is compulsory for employees and self employed. If you are covered under the national compulsory social security system of your home country, you do not need to pay contributions in Turkey, providing you can prove your insurance in your home country.You will need a good accountant to assist you with taxes due on your business in Turkey. Do not be tempted to do without this professional. You will be taxed on your business income on a sliding scale, dependent upon how much money you make. VAT is charged on pretty much everything and you will also be subject to an environment tax as a business.
Once all the bureaucracy has been dealt with by your professional advisors, you can then get on and start up your own business. Expect the first couple of years to be hard work but enjoy the triumph of knowing your are running your own show.
Useful site
Turkish British Chamber of Commerce
www.tbcci.org
