Limited Liability Company in Turkey

If you’d like to turn your new business into a company in Turkey or decided to extened your existing business, you’ll be relieved to know the Company Formation Process in Turkey is quick ,
You may do company formation as ON-LINE yourself or by prox, But, due to the complexity of the system and the need for a wet signature to ensure registration, we recommend that you get professional support from a Turkish Accountant or Turkish CPA.

Company registration has been doing on MERSIS system as on-line but we highly recommend to get professional service from a Turkish Accountant or Turkish CPA to avoid any legal problem due to both its complicated structure and some bureaucratic procedures.

Individual Shareholders must provide followings to incorporate a company in Turkey;

• In Turkish translation of passport which is approved by Notery in Turkey or appostiled Turkish Consulate where you based in
• A biometric of founders
• A GSM no & e-mail address of founders
• A Power of Attorney which is approved by Notary in Turkey or apostilled Turkish Consulate where you based in

• Tax number of company and founders
• Rent agreement of company
• Residance address of founders

The registration process typically takes between 1 to 2 weeks, depending on the completeness of the documentation and the efficiency of the local Trade Registry Office.

If you form your company through A&M Consulting Co. the application takes around hour to complete.

Yes, foreign individuals and entities can own 100% of a company in Turkey. There are no restrictions on foreign ownership.

Effective from the 2024 financial year in Turkey, the minimum equity amounts required to establish a company have been increased. Within this context, the minimum equity amounts are:

For Joint Stock Companies: minimum 250,000 TRL.

As per Turkish trade code the capital must be paid off within 24 month for all company types, it may be paid off in once or can be paid in pieces,.

Yes it is
Almost for all activities the virtual office is available but do not forget that the physical office is mondatory for productors and some other sectors.

It costs about EUR 3,500 to form a company through A&M Consulting Co. This price includes the bank account.
That is our turn-key price and there are no hidden or any other additional costs to form a ready-to-trade a company with us.

Every company is legally required to have a accountant or CPA who are authorized by Turkish Finance Ministry which bookkeeps of company’s official books and declerates tax & SSI decleration forms, so without these a company cannot be active and maintained in Turkey

You can start trading as soon as your company has been formed. The system automatically sends your registration informations also to the tax office.
Once you have get your Trade Registration Certificate & Tax Signboard, it means that your company exists anymore and ready to trade and issuing invoice.

No, you must get the work or residence permit

No it isn’t necessary
You can set up and manage your company remote via an Turkish CPA who has Power of Attorney behalf on you.

The liquidation process is not as simple and fast as establishment, as it is a rather complex and long process, it must be carried out under the guidance of a Turkish Accountant or Turkish Financial Advisor, it takes at least 6 months.

If your company has a paid-in capital of at least 100.000,00 TRL and employs at least 5 local workers, you can apply for a work permit in Turkey,

For more information, you can check out our article on Turkey Work Visa

Corporate Income Tax (CIT): The normal corporate tax rate in Turkey is 25% as of July 2023.

Provisional Tax: Provisional tax is calculated at 25% on earnings every three months within the 12-month taxation year, and it is deducted from the annual tax(CIT)

Value-Added Tax (VAT): Most products and services are subject to the regular VAT rate of 20%. Basic food items are subject to 1% VAT, while there are also 8% and 10% VAT rates applicable in Turkey.

Income Tax: Income tax is levied on earnings by sole proprietorship companies and employees. Employers are responsible for calculating and paying the income tax of their employees. It is a progressive tax, ranging from 15% to 40%.

Stamp Tax: Stamp tax is calculated on all kinds of contracts and employee wage slips. It has a variable rate depending on the type of document. Employers are responsible for calculating and paying stamp tax for their employees.

Withholding Tax (WHT): Withholding tax is calculated at least 20% on workplace rent and wage payments.

For more information, you can take a look at our article on Taxation in Turkey

Turkish government offers several employment incentives & tax reductions . Incentives and tax reductions generally cover the IT and manufacturing sectors, Technology Development Zones and Free-Zone companies. Subsidies for research and development activities. Employment incentives are aimed at young, female skilled workers

The process generally involves the following steps:

• Drafting the company’s Articles of Association.
• Depositing a percentage of the capital in a bank account for JSC type
• Registering the company with the Trade Registry Office.
• Obtaining a tax identification number.
• Registering with the Social Security Institution.
• Notifying the relevant local municipality.

Key documents include:

• Articles of Association.
• Passports of foreign shareholders and directors.
• Proof of address for shareholders and directors.
• Bank receipt for capital deposit for JSC type
• Signature declarations of the directors.

No, you do not need a local partner or director to register a company in Turkey. However, having a local representative can be beneficial for administrative purposes.

Yes, certain industries such as banking, insurance, telecommunications, health, property brokers and pharmaceuticals require special licenses and regulatory approvals.

Yes, after registering your company, you can open a corporate bank account in Turkey. Most banks require the company’s registration documents, tax identification number, and personal identification of the directors and shareholders.For more detail, look at our article about Corporate Bank Account in Turkey

Companies must:

• File annual financial statements.
• Submit quarterly and annual tax returns.
• Maintain accurate and up-to-date accounting records.
• Register any changes in company structure with the Trade Registry.

A well-equipped Turkish Accountant will provide you with these