What is Service Export?
Service export is the process of providing services—unlike goods export, which involves physical products—to individuals or organizations outside a country’s borders in exchange for foreign currency or international payment units. Core sectors in service export include software, consultancy, education, tourism, financial services, logistics, and engineering.
In today’s globalized world, the importance of service export is increasing rapidly. Especially thanks to digitalization, cross-border service delivery has become easier and many sectors have gained access to international markets. Experienced companies like Demresa contribute to Turkey’s service export with their innovative solutions. Service export not only brings in foreign currency but also supports the transfer of knowledge and technology, creating added value for the economy.
Main Advantages of Service Export
- Brings in foreign currency to the national economy.
- Supports the growth of high value-added sectors.
- Contributes to increased employment and workforce quality.
- Accelerates technology and knowledge transfer.
- Demresa’s professional services help companies stand out in international competition.
Types of Service Export
Service export is provided across a wide spectrum in various sectors. Below are the main types and examples of service export.
Software and IT Services
Digital solutions such as software development, cloud services, and data analytics.
Consultancy and Engineering
Project management, technical consultancy, design, and engineering services.
Tourism Services
Sectors such as accommodation, guidance, and travel organization.
Education and Training
Online education, language courses, and vocational training services.
Financial Services
Insurance, banking, investment consultancy, and similar services.
Logistics and Transportation Services
International shipping, warehousing, distribution, and customs clearance services.
Demresa provides comprehensive solutions in a wide range of service export fields, from software and IT to engineering and consultancy, and from tourism to financial services.
Important Considerations
When exporting services, it is crucial to comply with the legal regulations, tax policies, and international trade rules of the destination country. In addition, constantly monitoring service quality and customer satisfaction is essential for long-term business relationships. Demresa provides professional support to companies during these processes.
How to Export Services?
For companies wishing to export services, the process includes correct planning, compliance with legal requirements, and effective marketing steps. Demresa provides consultancy and practical support to companies at these stages, helping ensure effective management of export processes. Here are the basic steps of service export:
Market Research and Target Setting
First, it is important to determine the target countries where your service will be in demand. At this stage, market size, competition, local regulations, and cultural differences should be thoroughly analyzed.
Reviewing Legal and Tax Requirements
Trade regulations, tax practices, and sector-specific rules of the countries where services will be exported must be learned. Also, necessary permits, documents, and registrations in Turkey must be completed for service export.
Complying with International Standards
Ensuring the quality and presentation of the service meets international standards provides a competitive advantage. Obtaining ISO certificates or sector-specific quality documents is beneficial.
Setting Contract and Payment Terms
In service export, correct and detailed contracts should be prepared, with clear delivery terms, confidentiality, guarantees, and payment methods. Secure payment systems should be preferred.
International Marketing and Customer Relationship Management
Expand your customer portfolio through digital marketing, international fairs, business networks, and sector platforms; ensure effective communication and after-sales support.
Service Delivery and Follow-up
It is critically important to provide services on time, with quality, and in line with customer expectations. Continuous feedback should be obtained and improvement processes operated.
Important Note
Success in service export is achieved through compliance with international standards, strong customer relationships, and legal conformity. Professional consultancy and sector experience make a big difference in this process. Demresa supports companies in all these areas.
Sectors Engaged in Service Export
Service export takes place in many different sectors, providing significant foreign currency inflow for countries. Demresa’s expertise covers software and IT, engineering, education, and logistics, offering tailored solutions for exporting companies. Below are the leading sectors in service export and their offered services.
Software and IT
Areas such as software development, application design, data analysis, cloud computing, and cybersecurity.
Engineering and Technical Consultancy
Project design, civil engineering, technical consultancy, and R&D services.
Tourism and Travel
Services such as accommodation, tour organization, guidance, and travel planning.
Education and Training
Language courses, vocational training, distance learning, and certificate programs.
Financial Services
Banking, insurance, investment consultancy, and financial analysis services.
Logistics and Transportation
International shipping, warehousing, distribution, and customs clearance services.
Requirements for Service Export
To export services, companies and providers must meet certain basic requirements. These are important both for legal regulations and for quality and marketing requirements. Demresa provides comprehensive guidance and support to companies for meeting these requirements and ensuring smooth processes.
Official Registration and Permits
Companies intending to export services must be officially registered in Turkey and hold the necessary commercial permits. In addition, special permits and certificates may be required depending on the type of service.
Compliance with Tax and Accounting Regulations
Taxation rules are important in service export. Companies must fulfill VAT, income tax, and other tax obligations correctly and track export transactions appropriately in their accounting records.
Service Quality and International Standards
Compliance of services provided with international standards, customer satisfaction, and obtaining quality certificates provide a competitive advantage in export.
Compliance with International Trade Rules
In service export, it is necessary to act in accordance with the trade legislation, contract law, and payment systems of the target country. Also, general rules of international trade must be followed.
Reliable Customer and Market Relationships
For long-term business relationships, a reliable customer portfolio should be created, contracts should be detailed and clear, and regular communication and support should be provided.
Important Note
Full compliance with legal and sectoral requirements in service export reduces risks and increases the company’s credibility in international markets.
Tax Exemptions and Supports for Service Export
Various tax exemptions and financial supports are provided by the government to encourage service export. Demresa shares up-to-date information and provides consultancy during application processes to help companies benefit effectively from these supports. These practices play an important role in increasing the competitive power of companies in international markets and encouraging foreign exchange earnings.
VAT Exemption
Services provided within the scope of service export are evaluated as exempt from Value Added Tax (VAT). Thus, exporting companies do not have to charge or pay VAT on services provided abroad.
Customs Duty Exemption
Although there are no physical products in service export, customs duty exemption may be applied to some materials and equipment imported for service delivery. This exemption reduces costs and provides a competitive advantage.
Income and Corporate Tax Reductions
In some cases, companies engaged in service export can benefit from various income or corporate tax reductions and incentives. These incentives may vary by sector and region.
KOSGEB and TÜBİTAK Supports
Institutions such as KOSGEB and TÜBİTAK offer various support programs for exporting SMEs. These programs include financial support, training, and consultancy services.
Export Credit Guarantee Fund (IKGF) Supports
The IKGF provides a credit guarantee mechanism to meet the financing needs of exporting companies. This support helps reduce financial risks in export transactions.
Important Note
For detailed information on tax exemptions and supports, official announcements of relevant authorities should be followed, and professional consultancy services should be obtained.
How to Issue a Service Export Invoice?
Issuing an invoice for service export is important for fulfilling legal obligations and conducting international trade operations correctly. Demresa provides professional support to companies for issuing service export invoices accurately and in accordance with regulations. Below are the main steps to consider when issuing an invoice, presented as cards.
Accurate and Complete Invoice Details
The invoice must clearly and completely state seller and buyer details, service description, quantity, unit price, total amount, and currency.
VAT and Tax Exemptions
For service export invoices, VAT is not applied according to the VAT Law, and the phrase "Exempt from VAT in accordance with Article 11/1-a of the VAT Law" should be stated on the invoice.
Invoicing in Foreign Currency
Service export invoices are usually issued in foreign currency. The currency and exchange rate used must be clearly stated on the invoice.
Invoice Issuance and Approval Process
The invoice can be issued electronically or in paper form. Companies required to use electronic invoicing must comply. Invoices must be approved and stored in accordance with relevant regulations.
Integration with Export Documents
The service export invoice must be compatible with relevant customs, bank, and other official documents and, if necessary, submitted together with supporting documents.
Important Note
When issuing a service export invoice, current regulations should be followed and support from accounting professionals should be sought. Incorrect or incomplete invoices may cause legal issues.