Starting a business in Turkey as a foreign national is both a strategic opportunity and a legal process that requires expert guidance. Istanbul Law Firm, a leading Turkish Law Firm with decades of experience, provides end‑to‑end support for international investors looking to start a company in Turkey. Whether forming a limited liability company, joint-stock company, branch office, or liaison office, our Turkish Company Lawyer team ensures your business setup complies with the Turkish Commercial Code and all foreign investment laws. An English speaking lawyer in Turkey will guide you through company name reservation, capital deposit, notary procedures, trade registry filings, and tax registration. As a trusted establish a company lawyer in Turkey, we specialize in legal strategy, regulatory compliance, and tax-efficient structuring tailored for foreigners doing business in Turkey.
1. Choosing the Right Legal Entity for Your Turkish Company
The first step in establishing a company in Turkey is selecting the appropriate legal structure that matches your business model, capital, and liability preferences. Foreigners generally opt for either a Limited Liability Company (LLC) or Joint‑Stock Company (JSC), depending on the investment size, number of shareholders, and growth projections. Istanbul Law Firm’s Turkish Lawyers explain the pros and cons of each form. LLCs are ideal for small to medium‑sized businesses with flexible shareholding, while JSCs offer scalability and are mandatory for ventures planning public offerings. Foreign ownership of 100% is allowed in most sectors, and our establish a company lawyer in Turkey ensures the sector you’re investing in is unrestricted for foreigners under current Turkish regulations.
The choice of legal entity affects governance, liability, and documentation. JSCs must have a board of directors and hold annual general meetings, while LLCs are simpler to manage. Istanbul Law Firm helps you tailor your Articles of Association and shareholder agreements based on your operational, investment, and tax goals. Our English speaking lawyer in Turkey drafts bilingual versions of incorporation documents, power of attorney, and share transfer contracts to ensure legal clarity and enforceability across jurisdictions.
Our Turkish Company Lawyer team also advises on alternative structures such as branch offices—allowing foreign parent companies to operate in Turkey without creating a new entity—and liaison offices, which cannot generate income but support market research and representation. Istanbul Law Firm assists in license applications, sector notifications, and liaison registration with the Ministry of Industry and Technology. Choosing the right company form ensures your operations are legally secure, tax‑compliant, and eligible for Turkish business incentives.
2. Incorporation Documents, Trade Registry & Notary Steps
To incorporate a company in Turkey, foreign founders must gather and notarize key legal documents, many of which must be translated into Turkish and apostilled. Istanbul Law Firm organizes the entire document preparation process—drafting Articles of Association, preparing signature declarations, shareholder resolutions, and verifying passport notarizations. Our Turkish Lawyers coordinate translations with sworn translators and schedule notary appointments to meet Commercial Registry requirements. With support from our English speaking lawyer in Turkey, foreign investors receive bilingual legal explanations at each step.
Capital deposit is mandatory prior to registration. For LLCs, at least 25% of the registered capital must be paid upfront, while JSCs have different requirements. Istanbul Law Firm opens a temporary bank account for this purpose, coordinates fund transfers, and secures a deposit confirmation letter. Our establish a company lawyer in Turkey attends the Trade Registry with you (or via power of attorney), files all incorporation forms, and follows up to obtain your Trade Registry Gazette publication and tax registration certificate. This ensures your company is formally established with a verifiable legal existence in Turkey.
Errors in translation, notarization, or incomplete document submission can significantly delay company setup. Istanbul Law Firm prevents these issues through internal legal checklists and direct liaison with Turkish Registry officials. Once registered, we deliver a full incorporation file including your MERSIS number, VERGİ number, and digital certificates for e-invoicing and online banking. Our detailed process reflects why we are regarded as one of the top firms for starting a company in Turkey as a foreigner.
3. Post-Incorporation Compliance and Registrations
Istanbul Law Firm’s Turkish Lawyers guide foreign entrepreneurs through critical post-incorporation registrations to ensure full legal compliance in Turkey. First, your company must register with the local Tax Office to obtain a tax identification number and VAT registration if your activities require it. We assist with electronic invoicing registration (e-Fatura), social security (SGK) registration for employees, and optional registrations such as trade chamber membership or sector-specific regulatory bodies. Our English speaking lawyer in Turkey coordinates with official agencies to complete applications, prepare declarations, and avoid penalties. We also advise on implementing periodic reporting obligations, including withholding tax, corporate tax advances, VAT returns, and annual declarations. As experienced establish a company lawyer in Turkey, our team ensures that ongoing compliance obligations align with your operational and financial goals, avoiding administrative fines or legal risks.
Next, companies operating in sectors such as food & beverage, tourism, education, real estate, or manufacturing may require sectoral licenses or certifications. Istanbul Law Firm assesses whether your foreign-owned business needs special permissions, such as tourism license, environmental permit, or construction license. Our Turkish Company Lawyer compiles required documents, submits applications to relevant ministries or municipal authorities, and follows up until approvals are granted. Our English speaking lawyer in Turkey advises foreign investors on customs and import-export regulations if applicable. We also recommend drafting internal policies—anti-corruption, data protection, quality, occupational health & safety—to support compliance and corporate governance. This holistic approach cements Istanbul Law Firm’s reputation as a top-tier Turkish Law Firm for foreign investors setting up in Turkey.
Finally, our team assists in structuring your company’s operational and financial setup—bank account, accounting, payroll, data systems—to align with both Turkish and international standards. We coordinate onboarding for accountants and payroll services to ensure timely tax withholding, bookkeeping, and social security contributions. Istanbul Law Firm also sets up digital infrastructure such as e-government credentials (MERNIS, MERSIS) and e-signature certificates necessary for company management and online transactions. Our Turkish Lawyers train your local representative or management team on legal compliance duties. With this setup in place, your foreign-owned company in Turkey operates smoothly from day one, backed by professional legal coordination from Istanbul Law Firm—your dedicated company incorporation lawyer in Turkey.
4. Hiring Employees and Work Permits for Foreign Staff
When foreign shareholders or employees are part of your Turkish company, you must obtain work visas and residence permits. Istanbul Law Firm supports the legal employment process, starting with your company’s registered status and ensuring your entity can apply for work permits. Our English speaking lawyer in Turkey advises on eligibility, required documentation, and application timelines. We coordinate with immigration offices to file permit applications, track progress, and secure approvals. As seasoned Turkish Company Lawyer, we handle local labor law requirements—employment contracts, social security registration, payroll integration, and compliance with minimum wage and severance obligations. By providing integrated legal support, Istanbul Law Firm ensures foreign staff can legally live and work in Turkey without disruption.
Local labor regulations in Turkey require accurate and compliant employment contracts, containing clauses on probation, working hours, leave entitlements, notice periods, termination conditions, and confidentiality provisions. Our Turkish Lawyers draft these contracts in bilingual format, ensuring both Turkish and foreign employees understand terms. We also implement internal HR policies related to anti-discrimination, occupational health, and worker’s compensation—mandatory under Turkish Labor Law. Istanbul Law Firm provides guidance on setting up payroll cycles, calculating taxes, and making timely employer contributions to SGK. This ensures that your foreign-owned company remains compliant and minimizes legal risk associated with international workforce deployment.
For foreign shareholders who wish to transfer or appoint board members, work permits are essential even for short-term assignments. Istanbul Law Firm prepares board appointment documentation, notarized powers of attorney, and residency applications. We advise on tax residency considerations and double taxation treaties to optimize compensation structures. Our company incorporation lawyer in Turkey ensures all legal formalities are completed before the commencement of duties. Additionally, we coordinate with local labor inspectors during routine inspections or audits, reinforcing your company’s compliance posture. With this legal and operational structure, foreign professionals can contribute to your Turkey-based company effectively and securely.
5. Taxation, Accounting and Annual Obligations
Foreign investors must understand Turkey’s corporate tax obligations to operate successfully. Istanbul Law Firm’s Turkish Lawyers advise on the 20% corporate tax, withholding taxes on dividends, and the annual corporate income declaration. We guide on tax incentives—R&D, regional investment, and organized industrial zone exemptions. Our English speaking lawyer in Turkey ensures foreign shareholders understand tax calendar dates, payment deadlines, and documentation standards. We also assist with quarterly VAT and withholding tax advance payments and annual financial statement preparation. Istanbul Law Firm reviews your accounting records, confirms compliance with Turkish Financial Reporting Standards (TFRS), and advises on audit thresholds for JSCs or large LLCs.
Accounting systems in Turkey require double-entry bookkeeping, local chart of accounts, and electronic ledger filings. Istanbul Law Firm helps select and implement legal accounting software (e-Fatura & e-Defter), ensuring integration with e-government platforms. We coordinate with certified public accountants to ensure accurate bookkeeping and timely preparation of financial statements. As experienced company incorporation lawyer in Turkey, our firm helps map out tax-saving strategies—group relief, depreciation schedules, and profit distribution timing—to optimize your company’s financial health and compliance.
Annual general meetings, statutory financial disclosures, and tax filing obligations must be observed. Istanbul Law Firm issues compliance reminders, assists with minute book updates, and handles filings of annual returns with the Trade Registry and Tax Office. We also submit annual occupational safety and environmental reports when required. Our Turkish Company Lawyer team stands ready to support tax inspections, audits, or inquiries from authorities. With proactive legal and tax compliance, your foreign-owned Turkish company remains good standing and ready for growth.
6. Corporate Governance and Board Responsibilities
Istanbul Law Firm ensures that your company operates with strong corporate governance structures in place. Our Turkish Lawyers draft comprehensive articles of association, define shareholder rights, and establish board roles and decision-making protocols that comply with Turkish Commercial Code. We assist foreign investors in setting up clear board composition, quorum rules, and voting procedures to safeguard minority interests and streamline strategic decisions. With dual-language governance documents, an English speaking lawyer in Turkey ensures your international board members receive transparent guidance. We also advise on convening general assemblies, minute-taking standards, and electronic meeting options under Turkish law. Istanbul Law Firm’s governance frameworks align with best practices, protecting your company’s integrity and investor confidence from day one.
Our team monitors director duties such as fiduciary obligations, conflict-of-interest policies, and compliance with internal controls. Istanbul Law Firm provides customized compliance manuals and training sessions for board members and senior executives on ethical standards, data protection, and anti-bribery regulations. We also guide in appointing statutory auditors when required—for example, in large LLCs or joint-stock companies above certain thresholds. Our Turkish Company Lawyer team assists in auditor selection, audit committee formation, and annual audit planning. This ensures that your company meets both internal governance needs and external transparency requirements set by regulators.
In cases involving foreign shareholding, Istanbul Law Firm advises on related-party transactions, transfer restrictions, and buy-sell agreements. We draft pre-emption rights, tag-along and drag-along clauses to protect both majority and minority shareholders. Our company incorporation lawyer in Turkey also supports cross-border corporate actions—mergers, spin-offs, share transfers—ensuring proper valuation, notary certification, and public filing compliance. With a well-structured governance model, your company enjoys strategic flexibility, legal certainty, and strong investor protections under Turkish jurisdiction.
7. Intellectual Property and Brand Protection
Protecting your company’s trademarks, patents, and designs in Turkey is essential for maintaining competitive advantage. Istanbul Law Firm’s Turkish Lawyers assist foreign entrepreneurs in filing trademark applications through the Turkish Patent and Trademark Office (Türk Patent). We also advise on patent strategies, design registrations, and brand portfolio management tailored to your industry sector. Our English speaking lawyer in Turkey ensures application documents—specifications, claims, priority data—are accurately prepared and translated. We monitor official publications and deadlines, file oppositions or renewals, and handle potential cancellations or infringements. With comprehensive IP strategies, your Turkish company safeguards its brand identity and technological assets in domestic and regional markets.
For international companies, Istanbul Law Firm advises on trademark registration under the Madrid Protocol to secure global protection through a single application. We handle the coordination between foreign IP counsel and local agents, ensuring regional consistency. Our Turkish Company Lawyer also drafts licensing, franchise, or technology transfer agreements under Turkish law. We ensure these contracts address royalty terms, quality control provisions, confidentiality obligations, and dispute resolution mechanisms. This enables your company to monetize IP assets while minimizing legal risk.
In the event of IP disputes, Istanbul Law Firm offers enforcement support in administrative proceedings, court lawsuits, or customs interventions. We advise on interim measures, evidence gathering, and damage quantification to protect your intangible assets. Our company incorporation lawyer in Turkey coordinates border protection requests with Turkish Customs to prevent counterfeit goods. With a proactive IP enforcement strategy, your company maintains its innovation edge and commercial integrity in Turkey’s evolving market.
8. Dispute Resolution, Litigation and Arbitration Options
Even the best-prepared companies can face commercial disputes. Istanbul Law Firm provides a full spectrum of dispute resolution services—from negotiation and mediation to litigation and arbitration. Our Turkish Lawyers begin by analyzing contract terms, jurisdiction clauses, and enforcement risks in any dispute scenario. We advise on amicable settlement avenues and draft mediation filings under Turkish mediation law. If litigation is necessary, our English speaking lawyer in Turkey drafts court pleadings, manages evidence collection, and represents your company in Turkish Commercial Courts of First Instance. We aim to resolve disputes efficiently while preserving business relationships whenever possible.
For international contracts or high-value transactions, Istanbul Law Firm often recommends arbitration under ICC, UNCITRAL, or Turkish arbitration rules. We assist in drafting arbitration clauses that ensure enforceability under the New York Convention. Our Turkish Company Lawyer team manages tribunal appointments, interim relief applications, and procedural conduct. Arbitration hearings can be conducted in English or Turkish, allowing flexibility for foreign decision-makers and local counsel. This hybrid approach balances speed, confidentiality, and enforceability across borders.
Should enforcement of an award or judgment be required, Istanbul Law Firm handles recognition proceedings under Turkish enforcement law. We coordinate with foreign counsel for document aggregation, translation, and apostille certification. Our company incorporation lawyer in Turkey secures interim injunctions, orders asset freezing or repossession, and pursues execution through enforcement offices. With a comprehensive strategy, your company is protected in all phases of dispute—from prevention to enforcement—in Turkey’s legal system.
9. Taxation, Accounting and Financial Reporting
Istanbul Law Firm guides foreign entrepreneurs through Turkey’s corporate tax regime, including corporate income tax, VAT, withholding taxes, and local levies. Our Turkish Lawyers draft tax-efficient structures and advise on profit repatriation through dividends or service fees. We assist with VAT registration, prepare tax filings, and coordinate with Turkish tax advisors for quarterly and annual compliance. With an English speaking lawyer in Turkey, we explain dual reporting obligations under Turkish Financial Reporting Standards (TFRS) and IFRS where applicable. We also advise on transfer pricing documentation, thin capitalization rules, and tax audit readiness to prevent penalties.
Our Turkish Company Lawyer team ensures your accounting setup is compliant with Turkish Trade Registry and tax authority requirements. We assist in appointing statutory financial advisors, maintain double-entry ledgers, and prepare statutory financial statements. We also coordinate statutory audits for companies meeting size thresholds, ensuring timely submission to the Trade Registry Gazette. Istanbul Law Firm also advises on deferred tax provisions, tax incentives—including R&D, investment zones, and employment incentive programs—and annual corporate governance declarations.
If disputes arise with Turkish tax authorities, Istanbul Law Firm represents you in pre-litigation objections, tax court appeals, and preventive settlements. Our company incorporation lawyer in Turkey prepares objection petitions, negotiates with revenue offices, and litigates before Tax Courts. We also advise on voluntary disclosures and penalties mitigation programs. Through proactive tax risk management, your company retains fiscal certainty and minimizes regulatory exposure in Turkey.
10. Employment, Labor Law and Immigration Compliance
Hiring staff in Turkey involves navigating employment contracts, severance obligations, social security contributions (SGK), payroll taxes, and termination regulations. Istanbul Law Firm’s Turkish Lawyers draft compliant employment agreements in English and Turkish, including probation, notice periods, non‑compete, and confidentiality clauses. We assist in SGK registration, payroll setup, and monthly reporting to the e‑SGK portal. Our English speaking lawyer in Turkey helps foreign investors understand severance pay entitlements, annual leave, sick pay, and termination procedures to avoid labor disputes.
For foreign employees or founders, Istanbul Law Firm coordinates work permit and residence permit applications. Our Turkish Company Lawyer team prepares immigration documentation, integrates HR policies with immigration compliance, and liaises with the Ministry of Labor and Immigration. We also manage permit renewals, change of employer requests, and work permit extensions. This ensures your international hires are legally employed and have valid residency to fulfill their roles.
In case of labor disputes—such as wrongful termination, wage claims, or workplace mobbing—our firm offers representation before the Turkish Labor Courts and labor inspectors. Our company incorporation lawyer in Turkey drafts defense statements, conciliates through labor mediator offices where compulsory, and litigates on your behalf. We also advise on collective bargaining, occupational health and safety compliance, and unionization risks under Turkish Labor Law. With Istanbul Law Firm, you gain robust labor law protection that supports your business stability and workforce security.
Frequently Asked Questions (FAQ)
- What type of company can a foreigner establish in Turkey? – You can set up an LLC, joint-stock company, or branch office; LLC is preferred for ease and lower capital requirements.
- Is minimum share capital required for a foreign-owned company? – LLC requires TRY 10,000; joint-stock company requires TRY 50,000—our company incorporation lawyer in Turkey assists with capital injection procedures.
- Can a foreigner be the sole director? – Yes, foreigners can fully manage Turkish companies; Istanbul Law Firm drafts necessary board resolution and signatory declarations.
- How long does company formation take? – Typically 2–4 weeks; expedited registration possible with full documentation and legal translations.
- Do I need a local address in Turkey? – Yes; we provide legal address services and coordinate lease agreements or virtual office setups for your company.
- Can I repatriate profits abroad? – Yes, via dividends, service fees, or royalties; our Turkish Company Lawyer structures these to minimize withholding taxes.
- Is dual-language documentation required? – While not mandatory, Istanbul Law Firm recommends English–Turkish bilingual documents to avoid translation errors and support international investors.
- Do I need a board of directors? – LLCs require at least one manager; joint-stock companies require a board of directors under the Turkish Commercial Code.
- What is corporate tax rate in Turkey? – Standard rate is 25%; incentives reduce this in R&D, technology zones, or regional investment projects.
- How do I hire foreign staff? – Istanbul Law Firm assists with work permits, residence permits, SGK registration, and HR policy alignment.
- How is labor termination handled? – Severance depends on tenure; termination must follow legal notice and severance obligations under Turkish labor regulations.
- What dispute resolution options exist? – You may use mediation, litigation, or arbitration (ICC/UNCITRAL); Istanbul Law Firm drafts clauses and represents you under all forums.