Turkey welcomes foreign investment with streamlined company registration, low corporate tax rates, and access to MENA, Europe, and Central Asia markets. This guide covers entity types, registration, and operational compliance.
Entity Types
Limited Liability Company (LLC) – most common for SMEs.
Joint Stock Company (JSC) – suitable for larger or public ventures.
Branch Office of foreign company.
Liaison Office for non-revenue activities.
Registration Process
Trade name reservation at Trade Registry.
Articles of Association notarization.
Capital deposit (LLC: TRY 50,000, JSC: TRY 250,000).
Trade Registry registration and tax office enrollment.
Taxation
Corporate income tax: 25% (with reduced rates for tech zones).
VAT: standard 20%, reduced 10% and 1% for specific items.
Withholding tax: 15% on dividends, 10% on services.
Tax incentives in free zones and OIZs.
Employment
Foreign worker employment requires work permit.
Minimum wage compliance and social security registration.
Labor law applies equally to foreign and Turkish employees.
Frequently Asked Questions
Can a foreigner be sole director of Turkish LLC?
Yes, no Turkish national director is required.
How long does company registration take?
Typically 1-2 weeks if all documents are in order.