Company registration in Turkey
Culture, diversity, and opportunity — Turkey has it all. Strategically located at the crossroads of Asia and Europe, the country offers not only breathtaking landscapes and rich cultural heritage but also a rapidly growing economy and a pivotal role in international trade.
For entrepreneurs and companies seeking to expand into new markets, Turkey provides an attractive gateway between Europe and Asia. The country offers competitive operating costs, a young and skilled workforce, and a range of government incentives that make doing business in Turkey appealing.
CompyCo’s team of specialists and network of local professionals help foreign investors establish and grow their businesses in Turkey. From the initial incorporation steps to post-registration support, we provide practical guidance to make your entry into the Turkish market smoother and more efficient.
Beyond tourism, Turkey’s key industries include textiles, electronics, food processing, construction, and mining — giving investors a diverse range of opportunities to explore. Partner with CompyCo to confidently set up and grow your business in Turkey.
Forms Of Companies In Turkey
- LS “Limited Şirket”—Limited Liability Company
- “Sharikat Almanatiq Alhura”—Free Zone Company
- “Maktab Tamthiliin”—Representative Company
- “Sharikat Altaedin”—Mining Company
- “Sharikat Tatwir Altiknulujia”—Technology Development Zone Company
- As “Anonim Şirket”—Joint Stock Company
Doing business in Turkey
Setting up a limited company in Turkey is the best option if you plan to have suppliers and/or clients in Turkey, but if you have only trade with a few clients who are based in Turkey, maybe your best choice is to open a bank account in Turkey for your foreign company. This way, you’ll gain trust from your clients without having local costs for business in Turkey.
You should talk to our advisors before making a decision about the way of doing business in Turkey.
Setting up a business in Turkey is quite straightforward and in some cases, possible is remote registration. To let you know exactly what we can do, we need to collect a few information before advising, such as: what is your business activity, where are your clients and suppliers, what is the expected annual turnover and where is the residency of shareholders and directors. This will determine the right requirements for company registration in Turkey.
What is the difference between LS and AS companies in Turkey?
The most popular Turkish company types amongst investors are limited liability companies (LS) and joint stock companies (AS).
Both company types require one minimum 1 shareholder and the nationality of the shareholder is not a requirement for setting up a company in Turkey.
The minimum share capital to establish an LS company is 10,000 TL (approx. $320), while AS companies require 50,000 TL company.
Company registration cost in Turkey with one shareholder and one director in the structure is 3900 EUR ex VAT. All is included in the price.
Company registration fees in Turkey will be determined by the: form of the company you opt for, number of shareholders and directors, choice of banking, residency of shareholders and directors and business activity. If you wish to find out the exact process, requirements and fees for your specific case. Complete this simple online form and we’ll send you an offer within 24 h.
Fundamentals Of A Limited Liability Company
| Corporate tax in Turkey | VAT in Turkey |
Starts at 25% | 20% |
Fundamentals of limited liability companies in Turkey
| Limited liability company | LS |
| Minimum Share capital | 10 000 TRY |
| Registered office required | Yes |
| Physical office required | No |
| Min. number of Shareholders | 1 |
| Min. number of Directors | 1 |
| Local directors required | No |
| Other requirements | No |
| Bank signatory must travel | Yes |
| Timescale for company formation | 3 weeks |
| Timescale for bank account opening | 3 weeks |
| Timescale for obtaining VAT number | 1-2 week |
| Statutory audit requirements | No |
| Shelf companies available | Yes |
Company registration process in Turkey!
Since all countries have varying legal and financial requirements, working with an experienced company to help you set up your business in Turkey is essential. The Turkish government has taken steps to reduce the bureaucratic processes that slow down the process of setting up a company in Turkey and attempted to make the investment environment cheaper and easier as well as company registration in Turkey for foreign investors.
With CompyCo’s assistance, you’ll be able to complete the company registration process in Turkey in just a few days. Some of the steps involved in the process are:
- Submission of the memorandum and Articles of Association with the Central Registration System (known as the Merkezi Sicil Kayıt Sistemi or MERSIS).
- Notarize all company documents and translate them into Turkish
- Non-Turkish shareholders and board members need to obtain a potential tax identity number.
- Deposit a part of the share capital – travel is a must to meet the banker.
- Once the company’s name is decided, apply for registration at the Trade Registry Office
- When the registration is complete, we help you ensure compliance by completing a mandatory determination report that notifies the Tax Office and Social Security Administration.
Setting up a company in another country can seem challenging but working with experienced professionals will make the process hassle-free for you.
The lucrative Asian and European markets are within reach, and Turkey offers a strong springboard to access them. Home to numerous international businesses, the country combines favorable business conditions with a stable political environment — an ideal setting for your next venture.
CompyCo provides end-to-end services, from the initial company formation in Turkey through to ongoing support as your business grows. Our extensive network of professionals in Turkey works alongside us to assist you at every stage.
As your single point of contact, CompyCo streamlines the process so you don’t need to coordinate with multiple local experts. From incorporation, banking, and taxation to HR support, we ensure a smooth and efficient setup.
By partnering with CompyCo, you can focus on running and expanding your business while we handle the logistics and compliance behind the scenes.
Bank Account Opening
In many cases, CompyCo can help open a bank account for your new Turkish company remotely. We can also assist foreign companies with non-Turkish ownership in opening a corporate bank account without requiring company registration in Turkey.
Turkey’s banking system combines both local and international banks, offering a range of options. However, approval requirements differ depending on the bank, the company structure, and the nationality of shareholders and directors. This is why working with experienced professionals like CompyCo increases your chances of approval and saves you both time and money.
Once your company is registered, a corporate bank account can typically be opened within three weeks. In some situations, you may need to travel to Turkey for an in-person interview with bank representatives. In other cases, CompyCo can act as your liaison and manage the process on your behalf.
To open a corporate bank account, you’ll need to provide a potential tax number from the Tax Authority, notarized corporate documents, and proof of identity and address. Once opened, your account can offer debit and credit cards, online banking, checking accounts, and wealth management services.
Need more information about opening a bank account? Head over here.
Accounting & Taxation
Here are a few accounting and taxation obligations to take into consideration:
- Turkey’s fiscal year is the same as its calendar year
- Non-residents are limited tax liable and are only subject to taxes on the revenue they gain
- Corporate income tax in Turkey is levied at 25%.
- Witholding taxes on profits are
- 10% on dividends (can be reduced under double tax treaties).
- 0% on profits reinvested in the company (no tax on retained earnings).
- The standard rate of VAT in Turkey is 20%
How can you employ staff in Turkey?
In some cases, setting up a company in Turkey can be avoided if your only plan is to employ Turkish residents working from home. CompyCo can register your foreign company as an employer in Turkey. If you need a full Turkish company instead, we’ll handle both the company formation and employer registration for you.
If you’re still deciding where in Europe to incorporate, check out our tips for choosing the right country or talk to us today for a free consultation.
Hiring in a new country can be intimidating, but it’s crucial to get it right. With CompyCo’s extensive HR experience in Turkey, you’ll benefit from our in-depth knowledge of local employment laws, regulations, and market conditions.
Our team provides complete HR solutions:
Recruitment and onboarding of new hires
Drafting employment agreements
Payroll and compliance management
Ongoing HR support tailored to your business
Turkey boasts a young, highly-skilled workforce ready to add value to your company. Even if you only need one person working remotely, we can help you register as a non-resident employer and avoid the full local company registration process.
Have any questions? Take a look at our HR services page for more information about our International HR services!