The three models
Agents sell on commission. The exporter invoices from Turkey and remains a foreign contract partner. Distributors buy and resell the goods. The group then loses part of the margin and the customer data. Your own entity sells directly. You keep the full margin and all customer data, but you pay the costs of running a company.
Unsure whether you need an EU company? Compare the options to sell in the EU, with a partner as seller of record or with your own entity.
When your own entity is cheaper
With regular sales in the EU, a distributor earns a large margin. This margin is usually many times higher than the yearly cost of a Dutch BV (besloten vennootschap, the Dutch private limited company). Your own entity therefore becomes cheaper at an early stage. Under the customs union, goods are in free circulation, so the logistics hardly change. Only the name on the invoice changes.
Selling to EU buyers under the customs union? See how Turkish exporters set up their own Dutch importer, with VAT, customs and a warehouse.
A mix of agents and your own entity
For project sales and important accounts, local agents often still work best. For volume sales, e-commerce and stock, use the BV. The BV is responsible for the VAT position and the OSS filing for sales to consumers. It is also the responsible party in the documents.
You can import into the EU through the Netherlands and pay zero VAT at the border. See fiscal representation for non-EU importers. There you read about the Article 23 licence, the EORI number and the monthly work involved.
A holding company above the BV
The Turkish parent owns the BV directly. If the group plans several EU businesses, it can own the BV through a Dutch holding company. The holding then receives the profits under the participation exemption, and the group can sell a business more easily. See holding and operating BV.