Can a foreigner set up a company in Turkey with 100% ownership?

Yes. Turkey allows 100% foreign ownership in most sectors. There are no general requirements for a local partner or Turkish national shareholder. A few sectors (media, private security, maritime) have restrictions, but for the vast majority of commercial activities, full foreign ownership is permitted.

How does the Turkish Lira volatility affect my business?

The Lira has experienced significant depreciation and volatility in recent years. For businesses earning revenue in TRY, this means real value can erode quickly. Most international businesses operating in Turkey maintain USD or EUR accounts, invoice foreign clients in hard currency, and convert to Lira only for local obligations like salaries, rent, and taxes.

Do I need to be physically present in Turkey to form a company?

Not necessarily. Formation can be completed through a Power of Attorney granted to a local representative. The PoA must be notarised and apostilled in your home country. However, opening a bank account typically requires at least one in-person visit to the bank branch.

What are Turkey's free zones and should I use one?

Turkey has 19 operational free zones offering corporate tax exemptions on manufacturing income, VAT exemptions, and customs duty benefits. They are best suited for export-oriented manufacturing and logistics. If your business is service-based or targets the domestic Turkish market, a standard Ltd Şti outside the free zone is usually more practical.

What is the corporate tax rate in Turkey?

The standard corporate tax rate is 25%, applied to worldwide income for Turkish resident companies. Turkey also offers various incentive schemes — technology development zones, R&D deductions, and free zone exemptions — that can reduce the effective rate for qualifying activities.

🇹🇷

Turkey

Caucasus

Türkiye

25%

ضريبة الشركات

3–7 business days

وقت التأسيس

TRY 10,000 (Ltd Şti) / TRY 50,000 (AŞ)

الحد الأدنى لرأس المال

100%

الملكية الأجنبية

#33

سهولة ممارسة الأعمال

Best Answer

Turkey sits at the crossroads of Europe and Asia — geographically and commercially. Istanbul is a regional hub for trade, logistics, and technology, and Turkey's 85 million population makes it one of Europe's largest consumer markets. The Limited Şirket (Ltd Şti) is the standard SME structure, requiring TRY 10,000 minimum capital (~$300 at current rates). Corporate tax is 25% (raised from 20% in 2021). The Turkish Lira's volatility adds currency risk for foreign investors — many companies invoice in USD or EUR even while incorporated in Turkey. Setup takes 3–7 days via the Central Registry Agency (MERSIS). For companies targeting Turkish and Central Asian markets or using Istanbul as a logistics hub, Turkey offers unmatched geographic positioning. The customs union with the EU means manufactured goods move freely into EU markets, making Turkey a genuine manufacturing and distribution base.

Who this is for

Companies targeting Turkish and Central Asian markets
Logistics and trading companies using Turkey as a geographic hub between Europe and Asia
Founders seeking EU-adjacent market access without full EU compliance overhead
Manufacturing businesses leveraging the EU customs union for exports
E-commerce companies serving the Turkish consumer market of 85 million people

Key Caution

Turkish Lira volatility is real. If your revenues and costs are in TRY, inflation risk is significant. Most sophisticated Turkey-based businesses maintain USD/EUR accounts and convert minimally. Additionally, regulatory changes in Turkey can be frequent and sometimes unpredictable — staying current with a local accountant and legal adviser is essential.

نظرة عامة

العملةTRY (₺)

اللغات الرسميةTurkish

النظام القانونيCivil law (European-influenced)

السنة الماليةJanuary – December

اتفاقيات تجنب الازدواج الضريبي89

العضوياتNATO, G20, OECD, WTO, Council of Europe, Customs Union with EU

الهياكل التجارية المتاحة

Limited Liability Company (Ltd Şti)

Limited Şirket

Min. 1 shareholder

TRY 10,000 (~$300 at current rates)

3–5 business days

Small and medium-sized enterprises targeting the Turkish marketTrading and logistics companies using Turkey as a geographic hubForeign entrepreneurs seeking a straightforward Turkish entity

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Joint Stock Company (AŞ)

Anonim Şirket

Min. 1 shareholder

TRY 50,000 (at least 25% paid up at formation)

5–7 business days

Larger enterprises planning to access Turkish capital marketsCompanies that intend to go public on Borsa IstanbulJoint ventures and multi-investor structures

View Details →

ملخص التكاليف

Cost Breakdown (USD)

تكلفة التأسيس

TRY 15,000 – 60,000 ($500 – $2,000)

الامتثال السنوي

TRY 30,000 – 120,000 ($1,000 – $4,000)

المساحة المكتبية

TRY 50,000 – 300,000+/year depending on city

نظرة عامة على الضرائب

Tax Snapshot

ضريبة الشركات

25%

ضريبة القيمة المضافة / ضريبة السلع والخدمات

20%

واقع الخدمات المصرفية

سهولة الفتح

الجدول الزمني: 1–3 weeks after registration

Turkish banks are generally accessible to foreign-owned companies, though documentation requirements have increased. Major banks (İş Bankası, Garanti BBVA, Yapı Kredi) require notarised company documents, a tax registration certificate, and a personal meeting with a relationship manager. Non-resident directors may face additional due diligence. Opening a foreign currency account (USD/EUR) alongside the TRY account is strongly recommended given Lira volatility. Digital banking options (Papara, Enpara) offer faster onboarding but may have transaction limits.

التأشيرات والهجرة

✓تأشيرة رواد الأعمال / الشركات الناشئة

✗تأشيرة الرحالة الرقميين

✓التأشيرة الذهبية / تأشيرة المستثمر

Turkey offers a residence permit for business purposes — foreign company directors and shareholders can obtain a short-term residence permit (1–2 years, renewable) through their Turkish entity. Turkey's Citizenship by Investment programme grants citizenship for a minimum $400,000 real estate investment or $500,000 fixed capital investment. There is no dedicated digital nomad visa as of 2026, though the tourist e-visa (90 days in 180) and short-term residence permit serve as alternatives for remote workers.

المناطق الحرة والمناطق الاقتصادية الخاصة

19 منطقة حرة متاحة

Istanbul Atatürk Airport Free Zone

Mersin Free Zone

Aegean Free Zone (Izmir)

Antalya Free Zone

Istanbul Thrace Free Zone

Trabzon Free Zone

أخطاء شائعة

Underestimating Turkish Lira currency risk and keeping all funds in TRY

Fix: Open multi-currency accounts from day one. Invoice in USD or EUR where possible, and keep operating reserves in hard currency. Convert to TRY only as needed for local expenses.

Choosing an AŞ when a Ltd Şti would suffice, adding unnecessary cost and compliance

Fix: Unless you plan to list on Borsa Istanbul, raise capital from many investors, or operate in a regulated sector that mandates an AŞ, the Ltd Şti is simpler, cheaper, and sufficient for most businesses.

Failing to appoint a local accountant (Mali Müşavir) from the start

Fix: Turkish tax compliance is complex — monthly VAT returns, quarterly advance tax payments, and annual filings are mandatory. Appoint a certified financial adviser (SMMM) before the company begins trading.

Ignoring the requirement to keep statutory books in Turkish

Fix: All legal books and official correspondence must be maintained in Turkish. Budget for translation and a Turkish-speaking accounting team. This is a legal requirement, not optional.

الأسئلة الشائعة

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This content is educational and does not constitute legal or tax advice. Always consult a qualified professional for your specific situation. Data last verified March 2026.