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Work & Business
Two very different paths to legally working in Turkey as a foreigner. Which one suits your situation?
Quick Answer
Starting a Turkish company gives you full legal control and the right to invoice Turkish clients, but comes with ongoing costs and admin. Getting a work permit requires a Turkish employer to sponsor you and follow the 1:5 rule. Both grant residency rights for the duration of the permit.
| Factor | Starting a Business | Work Permit (Employed) |
|---|---|---|
| Setup cost | €500–3,000 (notary, registration) | Low (employer covers most costs) |
| Monthly admin | €50–150 accountant | Minimal for employee |
| Income | Variable / business profit | Fixed salary |
| Tax structure | Corporate + personal | Personal income tax + SGK |
| Residence permit | Via business ownership | Via work permit |
| Flexibility | High — work for anyone | Tied to one employer |
| Turkish clients | Yes, legally | Yes, via employer |
| Timeline | 2–6 weeks | 1–2 months |
Foreigners can legally establish a Turkish limited company (Ltd. Şti.) or sole trader business. The process involves a notary, registration with the trade registry, obtaining a tax number, and opening a corporate bank account. A startup capital of at least 10,000 TL is required for an Ltd. Şti.
Owning a Turkish company also qualifies you for a business-related residence permit, which can be more stable than a tourist residence permit. However, the ongoing administrative burden — monthly tax filings, accountant fees, potential VAT — is higher.
The work permit route requires a Turkish employer willing to sponsor you. They apply on your behalf to the Ministry of Labour. The employer must also ensure the company meets the 1:5 foreign-to-Turkish employee ratio.
This path works well if you have already secured a position with a Turkish company or are being transferred by a multinational. It is harder to arrange speculatively or independently.