Establishing a company in Turkey has become increasingly attractive for foreign investors, thanks to streamlined procedures, competitive tax rates, and access to both European and Asian markets. This comprehensive guide walks you through every step of setting up your business in Turkey in 2026, including updated capital requirements and registration procedures.
Types of Business Entities in Turkey
Limited Liability Company (Ltd. Şti.)
The most popular choice for foreign investors. Requires a minimum capital of 50,000 TL, with at least 25% deposited before registration and the remainder payable within 24 months. Can have 1-50 shareholders. Ideal for small to medium-sized operations.
Joint Stock Company (A.Ş.)
Suitable for larger enterprises and companies planning an IPO. Minimum capital of 250,000 TL (500,000 TL for registered capital system). Requires at least one shareholder and a board of directors. Shares can be freely transferred.
Branch Office
A foreign company can establish a branch in Turkey. The branch is not a separate legal entity — the parent company bears full liability. Suitable for companies wanting to test the Turkish market before full commitment.
Liaison Office
Non-commercial offices that cannot generate revenue in Turkey. Used for market research, promotional activities, and coordination between the parent company and Turkish partners. Requires annual renewal from the Ministry of Industry and Technology.
Step-by-Step Company Formation Process
Step 1: Strategic Planning
Determine the most suitable business structure based on your investment size, operational needs, and long-term plans. Consider factors like liability protection, capital requirements, and future IPO possibilities.
Step 2: MERSİS Registration
Register on the MERSİS (Central Registration System) platform and obtain a unique company number. Prepare and upload your articles of association through the system.
Step 3: Capital Deposit
Open a bank account at a Turkish bank and deposit at least 25% of the registered capital. The bank will issue a capital blockage letter required for registration. For LLC companies, the remaining 75% must be paid within 24 months.
Step 4: Trade Registry Registration
Submit all required documents to the local Trade Registry Office. These include the notarized articles of association, identity copies of shareholders/directors, bank deposit receipt, and signature declarations. Registration is typically completed within 1-2 business days.
Step 5: Tax Registration
Register with the Turkish Revenue Administration to obtain a corporate tax identification number. This is done automatically as part of the Trade Registry registration through the integrated system.
Step 6: Social Security Registration
Register your company with the Social Security Institution (SGK) before hiring employees. Employers are required to make social security contributions for all employees.
Step 7: Appoint a Local CPA (SMMM)
Hiring a local Certified Public Accountant (Serbest Muhasebeci Mali Müşavir — SMMM) is mandatory for all companies in Turkey. The CPA handles tax returns, bookkeeping, and financial reporting obligations.
Required Documents for Foreign Investors
- Notarized and apostilled passport copies of all shareholders
- Power of attorney (if not present in Turkey during formation)
- Articles of association (prepared in Turkish)
- Bank receipt showing capital deposit (minimum 25%)
- Registered office lease agreement
- Signature circular (imza sirküleri) for authorized signatories
Costs of Company Formation in Turkey
The total cost of establishing a company in Turkey includes several components:
- Trade Registry fees: Approximately 3,000-5,000 TL
- Notary fees: 2,000-4,000 TL
- Capital deposit: Minimum 12,500 TL (25% of 50,000 TL for LLC)
- Monthly accounting fees: Starting from 5,000-10,000 TL/month with a CPA
- Professional service fees: Varies by provider
Tax Obligations After Formation
Once established, your company must comply with various tax obligations:
- Corporate Tax: 25% standard rate (20% for export income)
- Minimum Tax: 10% domestic minimum from 2026
- VAT: Monthly declarations, 1%-10%-20% rates
- Withholding Tax: Monthly payroll and payment withholdings
- Social Security: Employer and employee contributions
Why Choose Celikel CPA for Company Formation?
At Celikel CPA, we handle the entire company formation process from start to finish. Our services include entity selection advisory, document preparation and notarization, MERSİS and Trade Registry registration, tax and social security registration, and ongoing accounting and compliance support. We ensure your company is operational within 3-5 business days.
Ready to start your business in Turkey? Contact us: yigit@celikelcpa.com | WhatsApp: +90 544 649 40 87
