Obtaining a municipal license in Turkey primarily requires the existence of a company, regardless of its type (limited or sole proprietorship), along with adhering to other conditions before obtaining a license from the municipality.

Having any type of company in Turkey does not exempt you from the need for a municipal license to operate your business legally, avoid violations, and keep your company premises open.

It's crucial to note that applying for a municipal license after establishing a commercial company, such as industrial facilities, commercial offices, and shops, is highly necessary to ensure the continued legality of your operations.

In this article by Trustus Consultancy, you will learn about the requirements for obtaining a municipal license and the necessary documents.

Municipal License in Turkey

A municipal license in Turkey is defined as official authorization granted by the relevant authorities, allowing the opening of a business establishment, and conducting activities within it, in accordance with the regulations for business operation and work permits.

Turkish laws emphasize the necessity of obtaining a municipal license before commencing any commercial activity or opening a workplace. Failure to comply with this requirement may result in fines and the closure of businesses of all types.

We recommend consulting the municipality with a copy of the property deed before launching a commercial project.

What are the categories of municipal licenses?

Municipal licenses in Turkey are divided into three main categories:

1. Health Institutions (e.g., restaurants, bakeries): This category includes licenses for businesses related to health and food safety, such as restaurants, bakeries, and similar establishments.
2. Craftsmen Institutions (e.g., carpentry shops, barbershops, tailors): Licenses in this category are for small-scale businesses often involving manual skills, such as carpentry shops, barbershops, and tailoring establishments.
3. Companies and Commercial Establishments (e.g., consulting firms, real estate companies, clothing stores): This category covers licenses for companies, commercial enterprises, and stores involved in various business activities, including consulting firms, real estate companies, and clothing stores.

Each category has its own specific requirements and regulations that businesses must adhere to when applying for and maintaining their municipal licenses.

Health Institutions

Health institutions are workplaces that do not pose physical, social, or mental harm to those around them. Examples include restaurants, bakeries, and cafes. Consequently, they can be opened in residential areas.

Health institutions are classified based on their categories and characteristics, such as their size, and owners are required to adhere to the specified conditions. This ensures the safe operation of these establishments while safeguarding the well-being of the community.

Conditions for opening health institutions

When opening health-related establishments, there are various conditions that must be adhered to in order to obtain municipal approval for the business location. These conditions can vary from one municipality to another and include:

1. Ensuring no harm is caused to humans.
2. Avoiding damage to infrastructure, historical, cultural, and tourist values.
3. Not causing environmental pollution.
4. Taking necessary measures in accordance with health and occupational safety regulations at the workplace.
5. Obtaining building occupancy permits for establishments with specific structures, such as bakeries, hotels, theaters, Turkish baths, saunas, cinemas, and wedding halls.
6. Opening commercial activities in entertainment and public relaxation places only after ensuring compliance with public safety requirements.
7. Ensuring adequate traffic safety for workplaces overseeing roadways.
8. Securing electrical installations to prevent fire or explosion hazards.
9. Ensuring that restaurants, cafes, hotels, pastry shops, and similar establishments are not opened near petroleum gas warehouses, liquefied petroleum gas (LPG) storage locations, or places containing flammable or explosive materials.
10. Adhering to regulations when opening public places serving alcoholic beverages, ensuring a specific distance from mosques, schools, houses, and buildings as per the law issued by the relevant authority.

Compliance with these conditions is essential to ensure the safe and legal operation of health-related establishments and to gain approval from the municipality.

Documents necessary to obtain a municipal license to open a health institution

The following are some of the essential documents required when applying for a municipal license, but keep in mind that requirements can vary from one municipality to another:

1. Copy of the lease agreement.
2. Copy of the property deed (title deed).
3. Company documents (tax identification, commercial registry, newspaper publication, and signature authorization).
4. Copy of the personal ID (if the company owner is a Turkish citizen).
5. Work permit (if the company owner is a foreigner).
6. Architectural construction status certificate.
7. Fire extinguisher maintenance invoice.
8. Chamber of Commerce registration certificate.
9. Proof of residents' approval for the building.
10. Craftsmanship proficiency certificate (if applicable).
11. Industry registration certificate.

Be sure to check with the specific municipality where you intend to apply for the license to confirm their exact document requirements and any additional paperwork needed for your business type or location.

Craftsmen Institutions

Craftsmen institutions are workplaces where skilled professionals practice their trades and crafts, such as carpenters, barbers, and tailors. Each of these institutions is established in specific areas that suit the nature of their crafts and their requirements.

Competent authorities have established legal procedures specifically for craftsmen institutions. These procedures include placing them under supervision, licensing, and inspection to remove or reduce harmful effects and protect natural resources from pollution.

Conditions for opening craftsmen institutions

The key conditions for opening craftsmen institutions can be summarized as follows:

1. Take necessary measures in accordance with health and occupational safety regulations within the workplace.
2. Obtain a building occupancy permit for the workplace when it requires a special structural design (e.g., Turkish baths, saunas, wedding halls).
3. Keep a safe distance from storage facilities containing flammable or explosive materials, oil depots, and similar places when establishing craftsmen institutions.
4. Ensure electrical power safety to prevent fire or explosions.

Papers necessary to obtain a municipal license for craftsmen establishments

Here are the necessary documents for obtaining a municipal license to open craftsmen institutions:

1. Copy of the lease agreement.
2. Copy of the property deed (title deed).
3. Company documents (tax identification, commercial registry, newspaper publication, and signature authorization).
4. Copy of the personal ID (if the company owner is a Turkish citizen).
5. Work permit (if the company owner is a foreigner).
6. Architectural construction status certificate.
7. Fire extinguisher maintenance invoice.
8. Chamber of Commerce registration certificate.
9. Proof of residents' approval for the building.
10. Craftsmanship proficiency certificate (if applicable).
11. Industry registration certificate.

These documents are essential for the application process and may vary slightly depending on the specific requirements of the municipality where you intend to open your professional institution.

 Companies and shops

Under this designation, the following are included:

• Consultancy companies: They provide services in various fields, including commercial and real estate contract management, customer complaints against companies, contract preparation and drafting in all its forms, project development...
• Real estate companies
• Student companies
• Money transfer companies
• Stores (individual and wholesale clothing stores, decor stores, ...)

Conditions for opening companies and shops

Here are the conditions for opening companies and commercial establishments:

1. Obtain a building occupancy permit for the required work premises.
2. Ensure that the business owner is opening a commercial project that provides all the requirements for security and public order.
3. Obtain approval from the building occupants before opening the workplace.

The necessary papers to obtain a license to open companies and shops

1. Two copies of the tax certificate.
2. Copy of the lease agreement.
3. Copy of the property deed.
4. Architectural building status document.
5. Copy of personal identification (ID) card.
6. Invoice confirming fire extinguisher installation.
7. Load-bearing capacity certificate.
8. Chamber of Commerce registration document.
9. Document confirming building occupant approval.
10. Fire department inspection report.
11. Signed residential zoning certificate.
12. Judicial record.
13. General safety compliance report.
14. Distance plan showing that the entertainment facility is at least 100 meters away from schools and mosques.
15. Structural building strength report.
16. If the entertainment facility is a company, you must obtain the company's commercial registration, a certified director's signature, the events document, and the administrative office agreement (contract).
17. Official work permits for foreigners.

These documents and requirements may vary depending on the location and type of business you are planning to open. It's important to consult with local authorities or regulatory bodies for specific guidance and to ensure compliance with all applicable laws and regulations.

In conclusion

In our article, we emphasize the importance of business owners complying with legal procedures when establishing their companies. Once a company is created, it becomes essential to obtain various licenses, with one of the most crucial being the municipal license. This license is of utmost importance to ensure the company's continuity without the risk of closure and financial penalties.

It's worth noting that if the legal requirements are not met and the municipal license is not obtained, the authorities may close and seal the commercial establishment. However, this action is not taken immediately but follows a warning period of 14 days before sealing.

Additionally, we would like to highlight that one of the essential requirements for foreign nationals to establish companies in Turkey is to have a work residence permit before obtaining the municipal license.

At Trustus Consultancy, we are delighted to offer assistance when establishing your own company, including initiating the procedures for obtaining a municipal business license. Please feel free to contact us for further guidance.

Edited by: Trustus Consultancy©

Source: mevzuat.gov