Doing Business in the United Kingdom VS Turkey

Doing Business in the United Kingdom VS Turkey – A Comparison

Entrepreneurs and investors often face the challenge of choosing between established business hubs like the United Kingdom and fast-growing economies such as Turkey. Both offer unique opportunities—while the UK is known for its strong regulatory framework and digital readiness, Turkey stands out for its strategic location bridging Europe and Asia, along with competitive operational costs.

This comparison explores how each country supports business growth and helps you determine which market suits your goals best.

Key Comparison Points

Business Environment

• The United Kingdom: The UK boasts political stability, a transparent legal system, and substantial business finance support. It’s a trusted destination for global investors.
• Turkey: Turkey has a dynamic economy and pro-business reforms, though it occasionally faces political and currency-related instability which can impact long-term planning.

Taxation

• The United Kingdom: With a corporate tax rate of 25% and available incentives, the UK remains attractive for starting a business in the United Kingdom, especially for SMEs and tech ventures.
• Turkey: Turkey’s corporate tax rate is 23% (as of 2025), with reduced rates for export-focused and tech companies. However, tax legislation can be complex.

Ease of Company Incorporation

• The United Kingdom: The UK offers fully digital company incorporation in the United Kingdom with fast approval and low setup costs.
• Turkey: Incorporation in Turkey requires in-person steps, notary approvals, and longer processing times compared to UK’s streamlined digital systems.

Cost of Living and Business Operations

• The United Kingdom: The UK has moderate to high living costs depending on location, but affordable company setup is available outside major cities.
• Turkey: Operational and living expenses in Turkey are considerably lower, attracting businesses looking to minimize overheads.

Access to Markets

• The United Kingdom: The UK remains one of the best-connected economies globally, with access to Europe, the US, and Commonwealth nations.
• Turkey: Turkey benefits from its location, offering access to Europe, the Middle East, and Central Asia. It’s part of a customs union with the EU, though trade agreements are more limited than the UK’s.

Quick Comparison Overview

Here’s a quick overview of the key differences for easy reference.

Factor	The United Kingdom	Turkey
Business Environment	Stable, transparent, investor-friendly	Growing, with occasional political volatility
Corporate Tax Rate	25%	23%
Capital Gains Tax	Yes, with SME exemptions	Yes, but varies depending on asset type and holding period
Ease of Incorporation	Fully digital and fast	Partially manual, slower process
Business Costs	Moderate to high	Low
Market Access	Global reach through trade deals	Strategic regional access with EU customs union

Benefits of Choosing 3E Accounting

When it comes to starting a business in the United Kingdom, navigating the legal and administrative processes can be complex without the right support. That’s where 3E Accounting comes in. As a trusted partner for company incorporation, we provide tailored solutions for entrepreneurs and investors looking to establish a strong business presence. Whether you need help with company registration or expert guidance on setting up businesses in the UK, our experienced team ensures a smooth and efficient process.

From full company incorporation services to ongoing support like corporate secretarial and company secretary services, we offer a complete suite of solutions to support your company setup. Let us help you focus on what matters most—growing your business. Contact 3E Accounting today and take the first step toward successful expansion.

 

Frequently Asked Questions

Why choose the United Kingdom over Turkey for business setup?

Answer: The UK offers a stable regulatory framework, digital systems, and strong business finance support, making it more reliable for long-term investment compared to Turkey’s occasionally volatile environment.

What’s the process for starting a business in the United Kingdom?

Answer: Entrepreneurs can follow this step-by-step guide on starting a business in the United Kingdom, which explains the documentation, legal steps, and timeline.

How does company registration differ between the UK and Turkey?

Answer: The UK provides a fully digital system for company registration, while Turkey still requires physical paperwork and notary services.

Are company incorporation services available for foreign investors in the UK?

Answer: Yes, 3E Accounting offers full company incorporation services for foreign and local clients, including compliance and post-incorporation support.

What are the tax rates in the United Kingdom vs Turkey?

Answer: The UK applies a 25% corporate tax rate, while Turkey currently offers a 23% rate. You can explore more about setting up businesses in the United Kingdom including tax considerations.

Is Turkey a good option for lowering business costs?

Answer: Yes, Turkey offers lower costs for labour, rent, and services compared to the UK, though the UK provides better infrastructure and legal protection.

How can I get support for company setup in the United Kingdom?

Answer: You can contact 3E Accounting for support with company setup, documentation, and registration services.

Do UK companies need to appoint a company secretary?

Answer: While not mandatory for private companies, having a qualified professional is beneficial. You can get expert company secretary services through corporate secretarial packages.