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Company Formation in Turkey for Foreign Investors

Step-by-step legal guidance for establishing a company in Turkey — LLC, JSC or branch office — for foreign investors and entrepreneurs.

Company Formation in Turkey

Turkey is one of the most attractive emerging markets for foreign investment, offering a large domestic consumer base, strategic geographic position and a well-developed legal infrastructure for foreign company establishment. NextEra Legal guides foreign investors through every stage of company formation in Turkey.

Most Common Company Types in Turkey

Limited Şirketi (Ltd. Şti.) — Private Limited Company: The most popular choice for foreign investors. Requires a minimum of 1 shareholder and a minimum share capital of TRY 10,000. Shareholders' liability is limited to their capital contribution. Formation typically takes 1–3 business days through e-Devlet (Turkey's digital government portal).

Anonim Şirketi (A.Ş.) — Joint Stock Company: Required for companies intending to offer shares publicly, operate in regulated sectors (banking, insurance) or benefit from certain investment incentive regimes. Minimum 1 shareholder and minimum share capital of TRY 250,000 (or TRY 500,000 if registered with CMBD).

Branch Office (Şube): Foreign companies can establish a branch office in Turkey without creating a separate legal entity. The branch is an extension of the foreign parent and the parent bears full liability.

Company Formation Process

1. Company name reservation and approval
2. Drafting and notarization of articles of association
3. Opening a bank account and depositing 25% of share capital (for A.Ş.)
4. Registration with the Trade Registry
5. Tax registration and obtaining a tax identification number
6. Social Security Institution registration
7. Chamber of Commerce membership

Required Documents for Foreign Investors

Valid passport (apostilled copy)
Criminal record certificate (apostilled, from country of residence)
Potential Turkish tax number (obtained from tax office)
Proof of business address in Turkey
Certified translations of all foreign documents into Turkish

Tax Regime

Turkey's corporate income tax rate is currently 25% for most companies. Value Added Tax (KDV) standard rate is 20%. Turkey has signed Double Taxation Avoidance Agreements with over 80 countries. Investment incentives are available in designated technology development zones, organized industrial zones and free zones.


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