Company Formation Services in Turkey (2026):
The Foreign Entrepreneur's Guide

Yes — Turkey places no restrictions on foreign nationals forming or owning companies. Under the Foreign Direct Investment Law (No. 4875), foreign investors are treated equally to Turkish nationals, and a foreign national can own 100% of a Turkish limited company (Ltd. Şti.) or joint-stock company (A.Ş.). The process requires a Turkish tax number (vergi numarası), a Turkish bank account, a registered company address in Turkey, notarised articles of association, and registration with the Trade Registry (Ticaret Sicili) through the MERSIS online system. Formation is generally faster and cheaper than in many EU countries, though the required minimum share capital was raised substantially in 2024 (see below).

Ltd. Şti. (Limited Liability Company): minimum share capital ₺50,000; maximum 50 shareholders; shares cannot be traded on public exchanges; simpler governance (no mandatory board of directors); the structure almost all foreign entrepreneurs and small-to-medium businesses use. A.Ş. (Joint-Stock Company): minimum share capital ₺250,000 (₺500,000 if adopting the "registered capital system" many growth-stage companies use); no maximum shareholder limit; can be listed publicly if large enough; requires a board of directors and more formal governance. A.Ş. is typically chosen for larger operations, companies planning to raise outside investment, or regulated sectors (certain financial services, construction contracting, insurance) that require it by law.

For a standard Ltd. Şti. in 2026: (1) Minimum share capital: ₺50,000 (roughly €900–950 at current exchange rates) — this money stays the company's own and can be spent on the business after formation, it is not a fee. (2) Notary, MERSIS/Trade Registry filing, and state fees: roughly ₺25,000–40,000 (≈€460–740) combined. (3) Company formation service or lawyer fee: €800–2,500 depending on provider and scope. (4) Registered office (virtual address, if not using a physical office): €250–600/year. (5) Accountant onboarding: €250–600. Excluding the capital itself (which you retain), realistic total first-year setup cost with professional help is approximately €1,800–4,400, plus ongoing annual accounting and compliance costs of roughly €2,000–6,000+.

Physical presence is normally required for: (1) the notary appointment to sign the articles of association, and (2) opening the company bank account. If you cannot travel, a notarised and apostilled power of attorney — signed at a Turkish consulate in your home country or before a local notary with an apostille — can authorise a representative (typically your lawyer or company formation specialist) to sign on your behalf for most steps. Bank account opening is the one stage many banks still insist a signatory attend in person, at least for the first visit. See our guide on getting a power of attorney set up correctly as a foreign national before you start.

With a professional company formation service handling the process: (1) Turkish tax number and e-signature (e-imza) setup: 1–3 days. (2) Notary preparation and signing: 2–5 days. (3) MERSIS/Trade Registry registration: now largely digital and typically completes in 3–10 business days. (4) Tax Office and SGK registration: 1–3 days each. (5) Company bank account opening: 1–5 days, sometimes longer. Total realistic timeline with efficient professional assistance: 2–4 weeks from initial engagement to a fully operational, invoicing company. The most common delay point is the bank — Turkish banks are cautious with new company accounts and may require an in-person management visit plus extra KYC documentation.

Corporate Tax (Kurumlar Vergisi): 25% standard rate on net profits (30% for banks, insurers, leasing and factoring companies). A domestic minimum tax rule effective from 2025 means corporate tax cannot fall below 10% of pre-exemption corporate income, even after deductions. VAT (KDV): three rates — 20% standard, 10% reduced (many tourism and food services), and 1% super-reduced (basic agricultural goods); filed monthly. Dividend Withholding Tax: 15% on dividends distributed to shareholders (raised from 10% in December 2024) — relevant if you plan to pay yourself profits out of the company. SGK (social security): roughly 20.75% employer + 14% employee on gross wages if you hire staff (plus a separate ~2% unemployment insurance premium split between employer and employee). Quarterly advance corporate tax (geçici vergi) pre-payments are also mandatory. An SMMM-qualified accountant should manage all of this from day one — filing errors and missed quarterly payments carry real penalties.

Yes — a Turkish company can be owned and directed by a non-resident, but a few things need to be in place: (1) a legal local representative in Turkey who can be reached by authorities (often your accountant or a trusted local director); (2) an accountant handling ongoing monthly KDV filings and, if you have staff, payroll; (3) a registered address — a virtual office address is acceptable for most business types; (4) a bank signatory who can physically attend the bank when required. For genuinely remote operation, most non-resident owners work with a formation and management service bundling accounting, registered address, and local representation into one package.

Common motivations: (1) Hiring Turkish staff legally — this requires a company entity. (2) Obtaining a work permit tied to your own business — see below, this still requires a separate work permit application even as the owner. (3) Invoicing Turkish clients as a local entity. (4) Holding Turkish property through a corporate structure for tax or estate-planning reasons. (5) Opening a Turkish bank account as a company rather than an individual, which some banks treat differently. (6) Bidding on Turkish government contracts and public procurement. (7) Operating in regulated sectors that legally require a Turkish entity (retail, hospitality, construction contracting).

A liaison office (irtibat bürosu) is a non-commercial representative office of a foreign company in Turkey — it can carry out market research, promotion, and communication with the parent company, but it cannot invoice, sign revenue-generating contracts, or trade in Turkey's name. It suits a foreign company that wants an on-the-ground presence (relationship building, import coordination, monitoring the market) without setting up a full Turkish subsidiary. Liaison offices need approval from Turkey's Ministry of Industry and Technology (in coordination with the Ministry of Trade), the permit is granted for up to 3 years and is renewable, and all local expenses must be funded with foreign currency transferred in from the parent company abroad — a liaison office cannot generate its own Turkish-source income.

Company formation specialists manage the practical, end-to-end logistics of setting up your company: notary appointments, MERSIS/Trade Registry filing, tax registration, and introductions for the initial bank account. They are distinct from: (1) Lawyers, who advise on the optimal structure, shareholder agreements, and legal risk — worth involving for anything beyond a simple single-shareholder Ltd. Şti. (2) Accountants (SMMM), who handle ongoing tax compliance from day one and are legally required for every active Turkish company. For a straightforward Ltd. Şti. formation, a specialist formation service is often the most efficient route; complex multi-shareholder structures or specific regulatory sectors should also involve a lawyer.

Yes. Owning or directing a Turkish company does not itself authorise you to work in it — a separate work permit application is still required, even for a sole foreign shareholder. Standard eligibility rules require the company to employ at least five Turkish citizens per foreign work-permit holder, and the company's paid-in capital to be at least ₺500,000 with the foreign shareholder holding at least 20% of it (or the foreigner's capital contribution to be at least US$100,000, which exempts the company from the ₺500,000/20%/5-Turkish-staff test). New company founders get a roughly six-month grace period from these ratio rules on their first work permit application, after which full compliance is expected. A lawyer or work-permit specialist should structure the application alongside your company formation, not as an afterthought — see our full guide to work permits in Turkey.

Effective 1 January 2024, Presidential Decree No. 7887 raised the statutory minimum share capital for both structures: Ltd. Şti. went from ₺10,000 to ₺50,000, and A.Ş. went from ₺50,000 to ₺250,000 (₺500,000 for A.Ş. companies using the registered capital system). Companies formed before 1 January 2024 with the old, lower capital must increase their registered capital to the new minimums by 31 December 2026. If you formed a Turkish company before 2024 and haven't yet checked this, it is worth confirming with your accountant that the capital top-up is scheduled — missing the deadline can create compliance problems with the Trade Registry.

It depends on who you invoice and how you want to live. If your clients are entirely outside Turkey and you don't need Turkish staff, many foreigners find registering as a freelancer (serbest meslek) or simply working remotely under a foreign employer is simpler than forming a Turkish company — no minimum capital, lighter accounting, and no work-permit-ratio complexity. A Turkish company generally makes more sense once you need to hire local staff, invoice Turkish clients directly, hold Turkish assets through a corporate entity, or want a work permit tied to a business you control here. Compare the practical trade-offs in our guides to freelancing in Turkey as a foreigner and starting a business vs. working in Turkey.

Typically required: a valid passport (with a notarised Turkish translation for the notary stage), a Turkish tax number (obtainable at any tax office with just your passport), proof of address for the registered company office, and — if you are not physically present — an apostilled power of attorney authorising your representative. Foreign corporate shareholders (rather than individuals) additionally need an apostilled certificate of incorporation and activity certificate from their home country, translated by a sworn translator into Turkish. Get document translation and apostille arranged before you fly in — it is the step that most often delays first-time founders.

Formal liquidation (tasfiye) involves a shareholder resolution to dissolve, appointment of a liquidator, notifying the Trade Registry and Tax Office, settling all debts and tax liabilities, publishing dissolution notices, and a final tax clearance before deregistration. It is a multi-month process — plan for several months at minimum — and outstanding tax or SGK debts must be cleared before the company can be struck off. If the company has been dormant, your accountant can advise whether liquidation or a simpler inactive-status filing is more appropriate; either way, do not simply stop filing and walk away, as unpaid obligations and penalties continue to accrue against the shareholders.