A Quick Guide To Capital Increase In-Kind

This article explores capital increase in-kind, where companies contribute non-cash assets such as real estate and intellectual property. It outlines the legal framework under Turkish Commercial Law, key procedures, valuation requirements, and registration processes, highlighting important compliance considerations and potential challenges.

Introduction

A capital increase is a strategic step companies take to achieve growth and sustainability. An in-kind capital increase involves contributing assets such as real estate and intellectual property instead of cash, offering financial flexibility and allowing for the diversification of company assets. However, the legal and financial aspects of this transaction pose significant risks if not properly managed. This article explores the in-kind capital increase process under Turkish Commercial Law, focusing on the legal framework and key procedures.