Turkey - Using an Agent to Sell US Products and ServicesTurkey - Using an Agent
Unless a U.S. firm has the staff and resources to open its own office in country, the most effective means of selling in Turkey is through a reliable and qualified local representative. Personal contacts are extremely important in Turkish business, in both the private and public sector. When dealing with government tenders, an agent is an absolute necessity to help with bureaucratic procedures and the language barrier.
An American firm should carefully investigate the reputation and any possible conflicting interests of a prospective representative or agent before signing a contractual agreement. U.S. Commercial Service Turkey (CS Turkey) can conduct a background check on a selected company with the International Company Profile (ICP) due diligence report, which can be a useful tool to help evaluate a potential agent or distributor candidate.
Agency agreements under Turkish law are private contracts between two parties and their stipulations vary according to mutual needs. There are no fixed commissions. It is recommended that a sole manufacturer, representative and/or distributor be appointed for the entire country as well as other countries in the region. Agency agreements can be established for a period of a year, especially for a new contract, with a renewal option for a longer period, depending on agent performance. In cases where a large volume of government business is expected, it is essential to appoint a firm, either headquartered or with a branch office in Ankara, the capital.