Company Formation in Türkiye — A Practical Guide for Foreign Founders

Türkiye allows 100% foreign ownership, registration runs through a one-stop trade registry system, and a company can be incorporated within days. Here is how the process actually works.

Last reviewed: August 2026

Can foreigners own a Turkish company?

Yes — fully. Türkiye's Foreign Direct Investment Law (No. 4875) is built on equal treatment: international investors have the same rights and obligations as local ones. A foreign individual or a foreign legal entity can hold 100% of the shares of a Turkish company, and no local partner is required. Sector-specific restrictions exist only in a few regulated fields such as broadcasting, maritime and civil aviation.

Which company type should you choose?

In practice, foreign founders choose between two structures under the Turkish Commercial Code:

Note that sole proprietorships are generally not a practical route for non-resident foreigners — the LLC is the standard vehicle. Capital does not have to be paid upfront in full: subscribed capital of an LLC can be paid within 24 months of incorporation.

The incorporation process, step by step

1. Obtain a Turkish tax number for each foreign shareholder — issued quickly by the tax office (or online), based on a passport.
2. Draft the Articles of Association and file them electronically through MERSIS, Türkiye's central registry system.
3. Prepare and certify documents — passport translations, signature declarations, and a power of attorney if you complete the process remotely.
4. Register at the Trade Registry Directorate, which operates as a one-stop shop inside the local Chamber of Commerce; the tax office and Social Security Institution are notified automatically.
5. Post-registration — sign the statutory books, obtain the tax certificate, register for e-invoice/e-ledger where required, and open a corporate bank account.

The registry step itself can be completed within a single day once documents are ready. End to end — including translations, notarisation and the tax number — a realistic timeline for a foreign-owned LLC is about 3–7 business days. The entire process can be handled remotely with a power of attorney, without travelling to Türkiye.

What does it cost?

Beyond the share capital (which remains company money, not a fee), budget for official charges: notary and sworn translation costs, trade registry fees, and a Competition Authority contribution of 0.04% of capital. These official charges are billed at cost and vary with document volume and number of shareholders.

After incorporation: your first compliance calendar

A Turkish company files VAT returns and withholding tax returns monthly, provisional corporate tax quarterly, and the annual corporate income tax return the following spring. Payroll registration is needed before hiring the first employee. Most companies above minimal size also fall within mandatory e-invoice and e-ledger scope. Budget for ongoing bookkeeping from day one — penalties for missed filings accrue even for dormant companies.

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This guide is for general information only and does not constitute tax, legal or investment advice. Figures are periodically reviewed and may change; verify current rates with official sources. Compiled from public data of the Investment Office of the Presidency of Türkiye (invest.gov.tr) and Turkish official gazette announcements. yenisirketim.com is a technology and business support platform; statutory accountancy services are performed by independent licensed professionals.