TOBB reports decline in Turkish company formations for August

Data from the Union of Chambers and Commodity Exchanges of Turkey (TOBB) shows a decline in new business formations during August. The number of newly established companies fell by 3.4% compared to July, dropping from 9,540 to 9,212.

Conversely, the number of company closures saw a significant decrease of 21.3%, falling to 2,114 from 2,686 in July. Between January and August, a total of 76,793 companies and cooperatives were established across Turkey.

Geographically, Istanbul led new business formations with a 37.5% share, followed by Ankara at 11.1% and Izmir at 5.7%. Notably, no new companies were established in Ardahan during August. In terms of sector, wholesale and retail trade saw the highest number of new entries with 3,276 companies, followed by construction and manufacturing.

Regarding legal structures, 8,223 of the new companies were limited companies, while 989 were joint-stock companies. The total capital of newly established companies in August decreased by 11.4% compared to July.