Company Formation in Turkey: A Comprehensive Guide

Starting a company in Turkey is an attractive option for entrepreneurs and investors looking to establish a business in a strategic global location with access to Europe, Asia, and the Middle East. Thanks to simplified regulations and growing interest from international investors, company formation in Turkey has become increasingly popular.

Why Establish a Company in Turkey?

✅ Thriving Economy – Turkey is one of the world’s largest emerging markets, offering diverse investment opportunities.
✅ Strategic Location – Positioned at the crossroads of Europe, Asia, and the Middle East, making it an ideal trade hub.
✅ Business-Friendly Regulations – Recent reforms have simplified the company formation process, reducing bureaucratic obstacles.
✅ Competitive Tax Structure – Various incentives, tax exemptions, and free trade zones offer cost-saving opportunities.
✅ Access to International Markets – Turkey has free trade agreements with multiple countries and is a key partner in the EU Customs Union.

Types of Companies in Turkey

According to the Turkish Commercial Code (TCC), foreign investors can establish various types of companies, including:

Limited Liability Company (LLC) in Turkey

Starting an LLC in Turkey is one of the most common and practical methods for both local and foreign investors to register a company. For those comparing LLC vs JSC in Turkey, the LLC offers simplicity and flexibility for business setup in Turkey. To incorporate an LLC in Turkey, only one shareholder and a minimum capital of 50,000 TL are required. The shareholder can be an individual or a legal entity, and foreign founders are permitted to establish the company.

LLC company formation is ideal for those seeking a flexible business structure. Compared to establishing a joint stock company in Turkey, forming an LLC is simpler and involves fewer regulatory requirements. Shareholders’ liability is limited to their share capital, offering protection for personal assets. However, unlike joint stock companies, LLCs cannot issue stock certificates.

To comply with Turkish company laws, LLCs must have at least two key components: the company’s general meeting and managing directors. For investors considering company setup in Turkey, an LLC offers a streamlined and cost-effective way to establish a business with limited liability.

Reach out today to learn more about LLC formation and how our experts can guide you through the process of setting up a Limited Liability Company in Turkey.

Joint Stock Company (JSC) in Turkey

To establish a joint stock company in Turkey, at least one shareholder is required. Both individuals and companies can incorporate a joint stock company, with the flexibility to have foreign shareholders. The minimum capital requirement for opening a joint stock company in Turkey is 250,000 TL, which represents the total capital for the company. Unlike limited liability companies, joint stock companies can issue stock certificates, providing more flexibility in ownership and investment.

One of the key benefits of a joint stock company in Turkey is that shareholders’ liability is limited to their share capital, offering personal asset protection. To comply with Turkish regulations, joint stock companies must establish at least three key structures: general company meetings, a Board of Directors, and a supervisory board.

For investors interested in company formation in Turkey, understanding these fundamental requirements is crucial to ensure smooth business setup and compliance. Reach out to our experts for assistance in establishing your joint stock company in Turkey.

Reach out today to learn more about JS company formation and how our experts can guide you through the process of setting up a Joint-Stock Company in Turkey.

Holding Company in Turkey

A holding company is a business entity that owns shares in other companies, enabling control without engaging in manufacturing or services. It’s a strategic structure used by larger companies or multi-sector organizations to streamline capital flow and facilitate ownership transfers. Holding companies help with asset protection, tax efficiency, and investment diversification, making them ideal for companies looking to optimize their business formation and corporate structure.

If you need assistance with setting up a holding company, our experts can guide you through the process efficiently.

Branches in Turkey

When a foreign company in Turkey wishes to expand its reach without establishing a separate legal entity, setting up a branch is an efficient solution.

Opening a branch in Turkey or company formation in Turkey is a strategic step. Setting up a branch requires compliance with Turkish regulations, including submitting essential documents such as petitions, power of attorney, and notarized records, ensuring a smooth registration process. Proper branch naming must adhere to local guidelines, and additional processes like appointing managers, address changes, or capital increases demand specific resolutions and notarized documents.

Whether you are establishing a branch, exploring company establishment opportunities, or managing ongoing operations in Turkey, our team provides expert assistance.

Reach out today to learn more about branches and how our experts can guide you through the process of setting up a branch in Turkey.

Free Trade Zones in Turkey

Our firm specializes in company formation services in Turkey, including business setup in free trade zones. Free Trade Zones offer significant tax benefits and other investment advantages, making them an attractive choice for foreign investors in Turkey. At OzbekCPA, we deliver efficient and tailored solutions for entrepreneurs planning to start a business in Turkey’s free trade zones, ensuring a smooth and compliant setup process.

Reach out today to explore the opportunities of company formation in Turkey’s free trade zones and take the first step toward a successful business venture.

Liaison Offices in Turkey

Establishing a liaison office in Turkey provides foreign companies with a cost-effective entry point to explore the Turkish market without engaging in commercial activities. Approved by the Ministry of Industry and Technology, liaison offices benefit from tax exemptions, including corporate income tax, VAT, and stamp tax. These offices serve purposes such as market research, promotion, and local supervision, offering a low-risk way to expand operations.

Learn more about company formation in Turkey and how a liaison office can strategically position your business for success.

Establishing a Non-Profit Organization (Foundation, Association, NGO) in Turkey

Foreign entrepreneurs and companies can establish non-profit organizations (NGOs) in Turkey, including foundations and associations, under the Foundations Law of 2008. This law provides the framework for creating organizations dedicated to non-profit purposes, complementing Turkey’s business-friendly environment for foreign investments.

Whether you aim to establish a foundation, association, or other non-profit entity, our experts provide legal guidance to ensure compliance with Turkish regulations. Explore how company formation in Turkey can include philanthropic initiatives aligned with your goals.

Contact us to learn more about setting up non-profit organizations in Turkey!

Cooperative Company in Turkey

Foreign investors can establish cooperative companies in Turkey, a flexible and collaborative business structure designed to promote mutual economic benefits for its members. Governed by specific regulations within Turkish Commercial Law, cooperative companies operate with shared resources and responsibilities, making them a unique option for company formation in Turkey.

Our team of legal experts provides comprehensive support in establishing cooperative companies, ensuring compliance with Turkish legal requirements and a smooth registration process.

Contact us to explore how a cooperative company can help achieve your business goals in Turkey.

How to Register a Company in Turkey?

Step 1: Choose the Business Structure

Selecting the right company type (LLC, JSC, branch, or liaison office) based on business needs.

Step 2: Prepare Necessary Documents

📌 Articles of Association – Outlining the company’s purpose, capital, and shareholders.
📌 Tax Identification Number (TIN) – Required for both the company and its shareholders.
📌 Trade Name Registration – Must be unique and approved by the Trade Registry Office.
📌 Notarized Passports & Signatures – For foreign shareholders and directors.

Step 3: Register with the Trade Registry Office

All companies must be registered at the Trade Registry Office (Ticaret Sicil Müdürlüğü) under the Chamber of Commerce.

Step 4: Open a Corporate Bank Account

✔ Deposit the minimum capital requirement in a Turkish bank.
✔ Obtain proof of deposit for the company registration process.

Step 5: Tax Registration & Social Security Enrollment

✔ Register with the Turkish Tax Authority (Vergi Dairesi Başkanlığı).
✔ Enroll employees in Turkey’s Social Security Institution (SGK).

Step 6: Obtain Necessary Business Licenses

✔ Some industries require special permits (e.g., finance, education, pharmaceuticals).

Turkey offers a strategic, cost-effective, and business-friendly environment for international entrepreneurs and investors. Whether you’re setting up an LLC, JSC, branch office, or liaison office, understanding the legal and financial framework is crucial for a smooth company formation process.

At ÖzbekCPA, we offer expert company registration services in Turkey, guiding clients through every stage of business setup in Turkey — whether they are launching a local entity or representing a foreign company in Turkey. Contact us today.