Establishing a company in Turkey offers significant opportunities for both regional and international investors. With its strategic geographic location, large domestic market, dynamic workforce, and access to European and Middle Eastern trade routes, Turkey remains a preferred destination for foreign entrepreneurs. However, the legal process of company formation in Turkey is highly regulated and involves several government institutions, statutory documentation, and procedural formalities that require local legal knowledge and multilingual execution. For that reason, working with a reputable Turkish Law Firm is essential for ensuring the process is both legally compliant and commercially efficient.
At ER&GUN&ER Law Firm, we assist foreign clients from over 40 countries in establishing and managing legal entities in Turkey. Our English Speaking Turkish Lawyers provide comprehensive services including company type selection, drafting Articles of Association, coordinating notary appointments, tax office registration, and Trade Registry filings. As a best lawyer firm in Turkey for company formation and corporate law, we ensure that each step is completed without unnecessary delay, error, or risk. Whether you are setting up a limited liability company (LTD), a joint stock company (A.Ş.), or a representative office, we tailor the entire process to your business objectives, sector, and ownership structure.
Legal Structures Available to Foreign Investors
Foreign nationals and companies can establish a variety of legal entities in Turkey, depending on the size of the business, number of shareholders, and operational goals. The most common structures include:
- Limited Liability Company (LTD): The most flexible and cost-effective structure for SMEs, with minimum capital of ₺50,000 and up to 50 shareholders.
- Joint Stock Company (A.Ş.): Ideal for large-scale enterprises or ventures seeking external investment, offering share transfer flexibility and a broader governance framework.
- Branch Office: For foreign companies wishing to carry out commercial activities in Turkey under their existing corporate identity.
- Liaison Office: For foreign companies that intend to operate non-commercially—market research, promotion, or feasibility analysis—without taxable activity.
Our firm provides legal consultation on which structure best fits your business model, risk appetite, and international tax planning needs.
Company Formation Process: Step-by-Step Legal Procedure
The process of registering a company in Turkey is straightforward but highly formalized. Each step must be followed in a precise order and documented correctly. As your Turkish company formation lawyer, we guide you through the entire sequence, which typically includes:
- Preparation of Articles of Association (AoA) in Turkish and English
- Drafting shareholder and director resolutions (if needed)
- Obtaining tax ID numbers for foreign shareholders
- Notarization of signatures and powers of attorney
- Opening a capital deposit bank account and depositing minimum capital
- Submitting the registration file to the relevant Trade Registry
- Obtaining the commercial registry certificate and tax registration
Our legal team prepares all documents in advance and coordinates appointments and filings across notary, bank, tax office, and chamber of commerce on your behalf. We also assist in securing virtual or physical legal address registration, which is a requirement for all Turkish companies.
Director Requirements, Legal Address, and Tax Setup
One of the key elements of company formation in Turkey is the appointment of company directors and legal representatives. Turkish law permits both foreign individuals and legal entities to act as directors or shareholders, with no requirement for Turkish citizenship or residency. However, at least one legal representative must be designated to represent the company before Turkish institutions, and this individual must possess a Turkish tax number. Additionally, all companies must have a registered legal address—either a physical office or a virtual office depending on the company’s activities.
Once the company is registered with the Trade Registry, our Turkish Law Firm proceeds with full tax setup, including registration for Corporate Income Tax (CIT), Value Added Tax (VAT), and withholding tax obligations. We assist in opening the company’s official e-government (e-Devlet) accounts, registering with the Social Security Institution (SGK) if employees are hired, and aligning your business with electronic invoicing requirements (e-Fatura, e-Defter) mandated by the Turkish Revenue Administration.
Corporate Bank Account and Capital Deposit
Opening a corporate bank account in Turkey is a critical part of the company registration process. Before submission of the registration file, founders are required to deposit the company’s initial capital into a temporary capital account. This process is completed through a licensed Turkish bank, and a stamped deposit receipt is submitted to the Trade Registry. Once the company is registered, the account is converted into a permanent corporate account with full transaction functionality. Our lawyers assist clients with bank selection, KYC documentation, and account activation procedures.
Post-Formation Corporate Compliance
Legal obligations do not end with registration. After formation, every Turkish company must comply with ongoing legal and regulatory requirements such as:
- Maintaining updated share ledgers and board resolutions
- Holding annual general assembly meetings
- Appointing licensed financial advisors (SMMM) for tax declarations
- Keeping internal employment and data protection policies
- Timely updates to the Trade Registry in case of address, activity, or shareholder changes
Our English speaking Turkish lawyers provide long-term support through corporate retainers to ensure your business remains compliant with Turkish corporate governance standards.
Internal Legal Resources for Company Formation
- How to Open a Company in Turkey
- Corporate Tax Obligations for Foreign-Owned Companies
- Legal Address and Office Options
- Board Member Liability in Turkish Companies
- Trade Licensing and Business Structuring
Frequently Asked Questions (FAQs)
- Can I open a company in Turkey as a foreigner? Yes. Turkey allows 100% foreign ownership. We handle the entire process including tax and registry filings.
- What is the minimum capital requirement? For LTD companies, it is ₺50,000. For A.Ş. companies, it is ₺250,000. It must be deposited before registration.
- How long does the process take? With all documents ready, company registration can be completed within 5–7 business days.
- Can I manage the company from abroad? Yes. With a Power of Attorney and a designated legal representative in Turkey, you do not need to reside in Turkey.
- What taxes will my company pay? Corporate income tax (currently 25%), VAT (typically 20%), and social security contributions for employees.
- Is a physical office mandatory? Yes, but it can be a virtual office depending on your commercial activity. We provide legal address solutions.
- Can I open a bank account remotely? In most cases, bank account setup requires in-person or lawyer-represented KYC compliance. We handle this via PoA.
- What support do you provide after setup? We offer ongoing legal advisory for compliance, tax, labor law, contracts, and dispute resolution.
Establish Your Business in Turkey with Confidence
Establishing a company in Turkey is not just a legal process—it’s the foundation of your commercial future in one of the most strategically located and economically dynamic markets in the world. Whether you're entering the Turkish market as an investor, trading company, tech startup, or regional branch of a global firm, the success of your venture depends on proper legal setup, tax planning, and regulatory compliance from the very beginning.
At ER&GUN&ER Law Firm, our English Speaking Turkish Lawyers provide a full suite of company formation services tailored for foreign entrepreneurs and cross-border investors. As a leading Turkish Law Firm in corporate law, we offer not just company registration—but long-term legal partnership. Let us help you launch your operations in Turkey with legal clarity, efficiency, and strategic foresight.
