Union of Chambers and Commodity Exchanges of Turkey

TOBB Board of Directors Vice President Halim Mete, Trabzon Chamber of Commerce and Industry Board President Suat Hacısalihoğlu and Deloitte Turkey Tax Services Partner Tufan Teksoy made the opening speeches of the conference with Dr. Stıkı Anlam Altay, Deloitte Turkey TTK Leader and Partner Ali Çiçekli and Deloitte Turkey TTK and Family Companies Services Coordinator Timuçin Cengiz also giving speeches later on. It was stated that with the new TTK, Turkey’s economy would be boosted into the super league and that companies need to finish preparations without wasting time.

Speaking at the opening of the meeting, TOBB Board Vice President Halim Mete said, “The new TTK is the constitution of the industrialists, traders and artisans. This regulation will strengthen the institutional infrastructure of economy; therefore we give it the utmost importance. It is impossible to make headway in 2011 with a 1950 model car.”

Stating that, as TOBB, they give the TTK the utmost importance, Halim Mete said that after the global crisis a new competition map has started forming and those countries which adapt to this new environment will grow rapidly and prosper.

“In Turkey, that which grows the economy, ensures investments and employment is the private sector,” said Halim Mete and went on, “Any step taken to strengthen the private sector should be the first thing on the agenda.

The new TTK is the constitution of the industrialists, traders and artisans. This regulation will strengthen the institutional infrastructure of economy; therefore we give it the utmost importance. It is impossible to make headway in 2011 with a 1950 model car.

For this reason, our TOBB President Mr. Rifat Hisarcıklıoğlu visited the ruling and opposition parties along with the presidents of other professional organizations to ensure that this bill which has been held up in the Assembly agenda for years is passed.

As a result, the realization of this bill and the political dialog which the process has engendered has been a morale boost to our business world and has motivated us to reach new successes in our endeavors.

I would also like to state that we have not been in complete accord with the new TTK, as TOBB, we have made our objections known. However, with the duration of the law’s effect we expect these to be resolved as well.”

- “The new Commercial Law, is mostly a shift in philosophy and approach”

Stating that with the new Commercial Law would bring about a new age for Turkey economy, TOBB Vice President Mete said, “Commercial life will be governed by regulations of international standard. Our companies, especially the SMEs, need to make arrangements to make ready for the new term. Those who lag behind or are unprepared will have difficulty competing.”

Reminding that the old Commercial Law was passed in 1957, Halim Mete said, “It was regarded as one of the most modern and well designed Laws of its time. It has regulated the Turkish commercial life in the last 54 years.

However, as time goes on, it has become unable to address today’s needs and has fallen behind economic and technological advances.

The new TTK is mostly a shift in philosophy and approach. This brings about important responsibilities in terms of compliance.

- “Companies are becoming transparent thanks to their websites”

Stating that the new law will go into effect on 31.07.2012 but certain liabilities will start with the publication of the law, Mete spoke, “The financial tables of companies and principles of preparation are becoming internationally standardized, companies are becoming transparent thanks to their websites.

At the same time, establishment of artificial companies with pseudo shares is coming to an end; it will become possible to create companies with single partners to reflect reality.

- TTKmetre Survey

Reminding that a survey has been prepared by TOBB with Deloitte, named TTKmetre, Halim Mete went on, “It is online on TOBB’s and Deloitte’s websites. The TTKmetre has 44 questions on 6 main subjects. Companies which fill out the survey will show how well they are prepared for the new regulations and what they need to do to prepare.

TOBB and Deloitte are introducing the new TTK in nationwide seminars throughout Turkey. Meetings have been held in Ankara, Edirne, Bursa and Izmir. Today we are with you. Use this opportunity well. We have also distributed a manual which will aid you in your preparation for the new TTK. We hope to help companies be better prepared this way.

We wish the best to all companies in this process and would like to thank the Deloitte company and the academics who have helped us.”

- Trabzon TSO President Hacısalihoğlu

Trabzon Chamber of Commerce and Industry (TTSO) Board of Directors President M. Suat Hacısalihoğlu talked about the positive changes the new TTK would bring about in the business life.

Stating that the most important goal of businesses today is to gain competitive power on the international level and turn that power into a permanent performance increase, Hacısalihoğlu said, “The most basic indicators of this are adaptation to international standards and regulations and the understanding of institutional administration. As regulations fail to meet the requirements of rapid economic change of our day, it is inevitable that new laws are made. In this regard, the TTK which has been in effect for nearly 55 years has brought us to where we are today; however, developments in Turkey and in the world as a whole have progressed beyond its means. The European Union negotiations which started in 2005 and the resulting compliance process have made it necessary to enact changes to the TTK. Another factor to account for is globalization. It has become imperative to make legal changes in order to adapt to international market institutions and rules. Another matter which makes it necessary to enact changes to the present TTK is the progression of technology. The present TTK has lagged behind the rapid development of technological advances. In this regard, the new TTK has been designed to accommodate the facilitation of companies’ reaching their primary goals. The macro and long term effects of the new law is very important in regards to the changes it will bring about in institutional administration and monitoring for bettering the investment environment.”

- “The competitive power of our businesses will increase with this law”

The new TTK will herald a new era for business, said Hacısalihoğlu and went on, “This era will be an era where the competitive power of our countries’ business will increase worldwide. I believe that with the acceptance of institutional administration principles, this era will see an increase in the number of professional administrators trained in Turkey and make them more competitive in comparison to others. Principles such as institutional administration and transparency brought about by the new law will also be attractive to international looking to invest capital to our country.”

- Deloitte Turkey Tax Services Partner Teksoy

Reporting that the law will be brought into effect on July 1st, 2012, Deloitte Turkey Tax Services Partner Tufan Teksoy emphasized in his speech that all businesses, especially SMEs, need to prepare proper structure and systems in accordance with the new term as soon as possible.

Teksoy went on, “The newly accepted TTK will open a new page in Turkey’s economy. Turkey’s economy will enter the super league. We are about to enter an environment of rules on par with international standards based on the principles of institutional administration, transparency and honesty. The innovations it brings on requires that businesses adapt. Preparations in this regard entail finding qualified personnel and training the present personnel, thus require important investments. New structures and systems to address the new era must be built. A period of intense preparation awaits businesses leading up to July 1st 2012. Those institutions that fail to prepare accordingly will find it increasingly difficult to compete after July 2012. On the other hand, those that do will not only be able to continue without hindrance, they will also find it easier to step into international markets. As Deloitte Turkey, we will provide our expertise in support of our companies to adapt to the new term.”

- The importance of auditing

The new TTK requires that audits be performed by independent auditors and that establishment finances are kept in accordance with International Financial Reporting Standards and Turkey Account Standards. With the TTK, company directors will explore and weigh risks and continue operations accordingly as well as being completely responsible for the outcomes. There are also very detailed applications for preventing unfair competition.