How to Set Up a Company in Turkey as a Foreigner (2026)

Turkey's foreign investment framework

Turkey has a generally open foreign investment regime. The Foreign Direct Investment Law of 2003 gives foreign investors the same rights as Turkish domestic investors in most sectors. 100% foreign ownership is permitted across the majority of activities.

• Key metrics:
• 25% CT (raised from 20% in 2021; further changes possible given Turkey's fiscal situation)
• TRY 10,000 minimum capital for Ltd Şti (~USD 300 at 2025/2026 rates — though TRY has depreciated significantly)
• Large domestic market: 85 million population, growing middle class
• Geographic position: Istanbul is within 4 hours of most European capitals; Turkey bridges European, MENA, and Central Asian markets
• Production hub: Competitive manufacturing costs; strong in automotive, textiles, chemicals, processed food
• COGS risk: TRY inflation and currency volatility create real operating cost uncertainty — input costs in TRY but international pricing in USD/EUR creates exposure

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Step 1: Choose your structure

Limited Şirketi (Ltd Şti): Turkey's private limited company. Minimum capital TRY 10,000 (must be fully paid up within 24 months; at least 25% at formation). Minimum 1 shareholder, minimum 1 manager. No nationality restriction on shareholders. Local representative (authorized signatory) usually required for certain dealings.

Anonim Şirketi (A.Ş.): Joint-stock company. Minimum capital TRY 50,000. Used for larger companies and those seeking bank financing.

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Step 2: Obtain a Tax Identification Number (Vergi Kimlik Numarası)

Foreign nationals who will be shareholders or directors of a Turkish company must obtain a Turkish Tax Identification Number from the local tax office (Vergi Dairesi). Required documents: passport.

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Step 3: Register via MERSİS

Turkey's central company registration system is MERSİS (mersis.gtb.gov.tr). Since 2013, all company registrations are processed through this system, which connects to the relevant Trade Registry (Ticaret Sicili Müdürlüğü).

Process: 1. Log in to MERSİS (requires Turkish e-signature — non-residents typically engage a local attorney or company formation agent to handle this) 2. Submit Articles of Association (Ana Sözleşme) — must be in Turkish; bilingual versions common 3. Notarize the Articles — required for Ltd Şti formation 4. Deposit minimum capital in a bank account opened for the purpose (a blockage account) 5. Submit Trade Registry application with all documents 6. Receive Trade Registry Gazette (Ticaret Sicili Gazetesi) publication

Timeline: 3–7 business days after document completion

Notary requirement: Turkish notary (noter) required for authentication of articles and shareholder signatures. The notary process requires physical presence — either the founders or their power-of-attorney holder must appear.

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Step 4: Additional registrations

• Tax Office Registration: Register with the local tax office for income tax (kurumlar vergisi), VAT (KDV), withholding tax (stopaj), and temporary tax (geçici vergi)
• Social Security (SGK): Register if hiring employees
• Turkish Statistical Institute (TÜİK): Register if employing 10+ people or meeting size thresholds

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Real cost (Year 1)

Note: TRY figures are illustrative given volatility. Verify current exchange rates and fees.

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Currency risk warning

Turkey has experienced significant TRY depreciation over the past decade. Companies earning USD or EUR but paying Turkish costs (staff, rent, utilities) in TRY benefit from this. Companies earning TRY but needing to service USD/EUR obligations (imports, foreign debt) are exposed. Factor currency strategy into any Turkey business plan.