Joint Stock Company Articles of Association

The articles of association of a joint stock company is a document drawn up in writing by at least two founders and containing the basic information of the company, its establishment, management style, purpose and subject, capital distribution and other provisions. This document is the identity card of the company and contains the mandatory elements included in the Turkish Commercial Code.
Content of the Joint Stock Company Articles of Association:
The mandatory elements that must be included in the articles of association are:
• Company Title: The name of the company.
• Company Headquarters: The address where the company is registered.
• Purpose and Subject of the Company: The areas in which the company will operate.
• Capital Amount: The founding capital of the company.
• Quantity and Value of Shares: How many and what value shares the company has.
• Identification of Founding Shareholders: Identity information of the people who founded the company and the shares they received.
• Identification of Management Bodies: Members of the board of directors and the audit committee.
• Dividend Distribution Method: How the profit will be distributed to shareholders.
• Termination Conditions: How the company will be dissolved.
• Other Provisions: Other matters that the founders want to add.
How to Prepare a Joint Stock Company Articles of Association?
The articles of association are prepared in writing by at least two founders. After the prepared text is notarized, it is registered with the trade registry office. Notarization costs of the articles of association and trade registry registration fees are paid by the founders.
Things to Consider in the Articles of Association of a Joint Stock Company:
• The articles of association must fully contain the mandatory elements included in the Turkish Commercial Code.
• The text should be written in clear, concise and understandable language.
• Any provision that would cause any hesitation should be avoided.
• When necessary, help should be sought from an expert (lawyer, financial advisor).