Last reviewed October 7, 2026 · By the NYBACS advisory team
Short answer
Yes — under Türkiye's Foreign Direct Investment Law, foreign individuals and companies can set up and fully own a company on the same terms as local investors. Most choose a Limited Şirket (minimum capital TRY 50,000) or an Anonim Şirket (TRY 250,000). Foreign shareholders first obtain a Turkish tax number, the articles are prepared in MERSIS, and the company is registered at the Trade Registry Directorate of the local chamber of commerce, often on the same day.
Key takeaways
- For companies formed from 1 January 2024, minimum capital is TRY 50,000 for a Limited Şirket and TRY 250,000 for an Anonim Şirket (TRY 500,000 under the registered capital system).
- A Limited Şirket's capital can be paid within 24 months of establishment, while an Anonim Şirket must deposit at least 25% of cash capital before registration.
- All trade registry applications run through MERSIS, the Ministry of Trade's central registry system, and foreign individuals need a Turkish tax number registered in it.
- Foreign documents must be notarized and apostilled, or legalized by a Turkish consulate, and translated into Turkish by a sworn translator with notarization.
- Corporate income tax is generally 25%, and companies must keep certified legal books or e-ledgers, usually through a licensed Turkish financial adviser (mali müşavir).
Turkey at a glance
| Common entity for foreign owners | Limited Şirket (Ltd. Şti.) or Anonim Şirket (A.Ş.); branch or liaison office also possible |
|---|---|
| Company registry | Trade Registry Directorates at chambers of commerce, through the Ministry of Trade's MERSIS system; publication in the Turkish Trade Registry Gazette |
| Foreign ownership | Generally 100% permitted with national treatment; restrictions in sectors such as broadcasting, maritime and civil aviation |
| Local director / resident requirement | No residency requirement for managers or board members; foreigners who live and work in Türkiye need residence and work permits |
| Registered office | Required in Türkiye, documented by a lease or office agreement for tax office inspection |
| Key tax registrations | Tax office registration and tax certificate, SGK social security, chamber membership, FDI reporting through E-TUYS |
| Recurring compliance | Corporate tax and VAT returns, e-invoice and e-ledger obligations above thresholds, certified books, general assembly within three months of year-end |
| Typical setup timeline (indicative) | Registration can be same-day once documents are ready; tax numbers, legalization and translation commonly add one to three weeks |
Indicative only. Rules, filings, fees, ownership restrictions and timelines vary and change — confirm the current position before acting.
Limited Şirket or Anonim Şirket?
The Turkish Commercial Code (TCC) offers several company forms, but foreign investors almost always choose one of two:
| Limited Şirket | Anonim Şirket | |
|---|---|---|
| Minimum capital | TRY 50,000 | TRY 250,000 (TRY 500,000 registered capital system) |
| Capital payment | Within 24 months of establishment | At least 25% of cash capital before registration, balance within 24 months |
| Shareholders | 1 to 50 | One or more |
| Management | One or more managers (müdür) | Board of directors, which can be a single member |
| Share transfers | Notarized, need general assembly approval | Easier, suits investors |
The Limited Şirket suits most subsidiaries and SMEs. The Anonim Şirket is preferred for larger companies, investor-backed businesses and some regulated sectors. A branch keeps liability with the parent, and a liaison office cannot carry out commercial activity and needs Ministry permission.
Step-by-step incorporation through MERSIS
- Obtain Turkish tax numbers for foreign individual and corporate shareholders from a tax office, and have them recorded in MERSIS through a trade registry office.
- Prepare and legalize foreign documents — passports, corporate certificates and resolutions — with apostille and sworn Turkish translation.
- Create the MERSIS application, entering the trade name, activities (NACE codes), capital, shareholders and managers; foreigners are added with their passport numbers.
- Deposit capital where required. An Anonim Şirket deposits at least 25% of cash capital in a bank and obtains a blocking letter; the Competition Authority share (0.04% of capital) is also paid into a bank.
- Sign the articles before the trade registry officer or a notary, and give signature declarations (imza beyannamesi) for those representing the company.
- Register at the Trade Registry Directorate of the chamber of commerce, which acts as a one-stop shop and notifies the tax office and the Social Security Institution (SGK).
- Publication in the Turkish Trade Registry Gazette follows within days.
Documents from foreign individuals and foreign companies
- Foreign individuals: passport copy translated into Turkish and notarized; Turkish tax number; if resident in Türkiye, a notarized residence permit. Managers sign their signature declaration in Türkiye or at a Turkish consulate.
- Foreign corporate shareholders: a certificate of activity or good standing from the home registry, the board resolution approving the investment and appointing a representative, and the representative's authority — all notarized and apostilled, or ratified by a Turkish consulate where the apostille is not available, then translated into Turkish.
- Powers of attorney for local representatives follow the same legalization route.
Registries are strict about consistency between names, passport numbers and translations; a single misspelling across documents can delay registration.
Tax, VAT and post-registration steps
After registration the company completes several steps, usually with a licensed mali müşavir (financial adviser):
- Tax office inspection and registration. The tax office may visit the registered office before issuing the tax registration certificate (vergi levhası).
- Legal books. The journal, ledger, inventory book, share ledger and meeting books must be certified, or kept electronically where e-ledger (e-defter) rules apply.
- E-invoicing. Many companies must join e-invoice (e-fatura) and e-archive systems depending on turnover and sector.
- SGK registration as employer when hiring, and monthly payroll declarations.
- FDI reporting of capital and activity through the Ministry of Industry and Technology's E-TUYS system.
Corporate income tax is generally 25%, with different rates for certain sectors, and the standard VAT (KDV) rate is 20% with reduced rates for some goods and services. Foreign managers who will live and work in Türkiye need residence and work permits, which are separate from company registration.
Banking and ongoing compliance
Turkish banks generally require the company's tax number and certificate, Trade Registry Gazette, signature circular, shareholder and manager identities, and beneficial-ownership information. Non-resident managers may need to attend in person, and banks review the source of the capital, especially when it arrives from abroad. Capital paid in foreign currency is converted and documented for the company's records. Approval and timelines are set by each bank.
Each year the company must:
- hold its ordinary general assembly within three months of year-end;
- file the corporate tax return by the end of April for calendar-year companies, plus quarterly advance tax returns;
- file monthly VAT and withholding returns;
- keep certified books or e-ledgers and comply with transfer-pricing documentation for related-party transactions;
- report changes in managers, capital or address to the trade registry.
Is Türkiye the right destination for you?
Türkiye suits manufacturing, trading, textiles, logistics and services businesses that want access to a large domestic market and a bridge between Europe, the Middle East and Central Asia, with a customs union with the EU for most industrial goods. The process is fast at the registry but depends heavily on accurate documents and a capable local financial adviser, and inflation and currency movements affect planning.
Compared with the UAE, Türkiye offers a large domestic market and manufacturing base, while the UAE offers free-zone options and a different tax profile. Compared with Poland, both serve as manufacturing bases near the EU, but Poland is inside the EU single market for services and VAT.
Common mistakes to avoid
- Arriving at the trade registry without Turkish tax numbers recorded in MERSIS for foreign shareholders.
- Using documents that are apostilled but not translated by a sworn translator and notarized in Türkiye.
- Inconsistent spellings of foreign names across passports, translations and MERSIS entries.
- Using an address that fails the tax office inspection for the registered office.
- Forgetting the E-TUYS foreign direct investment reporting after capital is paid.
- Assuming company ownership gives a foreign manager the right to live and work in Türkiye.
Documents and records to prepare
- Turkish tax numbers for foreign individual and corporate shareholders
- Passport copies with notarized Turkish translations
- Apostilled certificate of activity and board resolution of a corporate shareholder, with Turkish translation
- Apostilled powers of attorney for local representatives
- Articles of association prepared in MERSIS
- Bank letter for blocked capital (Anonim Şirket) and Competition Authority payment receipt
- Lease or office agreement for the registered office
NYBACS 360° support
How NYBACS helps
- Compares Limited and Anonim Şirket options against your capital, investor and sector plans.
- Coordinates tax numbers, apostilles and sworn translations so MERSIS data is consistent.
- Works with our Turkish partners on registry signing, signature declarations and registration.
- Connects you with a licensed mali müşavir for books, e-invoicing, tax and SGK set-up.
- Tracks E-TUYS reporting, general assemblies and annual tax deadlines for the parent.
Frequently Asked Questions
Can a foreigner own 100% of a Turkish company?
Yes. The Foreign Direct Investment Law gives foreign investors the same treatment as Turkish investors, with restrictions only in specific sectors such as broadcasting, maritime transport and civil aviation.
Do I need to travel to Türkiye to incorporate?
Not always. A local representative can act under an apostilled power of attorney, and signature declarations can be given at a Turkish consulate. Banks are more likely to require an in-person visit.
Do existing companies have to meet the new minimum capital?
Companies formed before 2024 were given until the end of 2026 to raise their capital to the new minimums. This matters if you are acquiring an existing Turkish company.
Does a Limited Şirket manager need to be a shareholder?
Managers can be non-shareholders, but under the Commercial Code at least one shareholder must hold management and representation authority. Confirm how this applies to your structure with local counsel.
What is MERSIS?
MERSIS is the Ministry of Trade's Central Registry Record System, used for all trade registry transactions from incorporation to later changes. Each company receives a MERSIS number used in official correspondence.
