Turkey
25%
Corporate Tax
3–7 business days
Setup Time
TRY 10,000 (Ltd Şti) / TRY 50,000 (AŞ)
Min. Capital
100%
Foreign Ownership
#33
Ease of Business
Turkey sits at the crossroads of Europe and Asia — geographically and commercially. Istanbul is a regional hub for trade, logistics, and technology, and Turkey's 85 million population makes it one of Europe's largest consumer markets. The Limited Şirket (Ltd Şti) is the standard SME structure, requiring TRY 10,000 minimum capital (~$300 at current rates). Corporate tax is 25% (raised from 20% in 2021). The Turkish Lira's volatility adds currency risk for foreign investors — many companies invoice in USD or EUR even while incorporated in Turkey. Setup takes 3–7 days via the Central Registry Agency (MERSIS). For companies targeting Turkish and Central Asian markets or using Istanbul as a logistics hub, Turkey offers unmatched geographic positioning. The customs union with the EU means manufactured goods move freely into EU markets, making Turkey a genuine manufacturing and distribution base.
- Companies targeting Turkish and Central Asian markets
- Logistics and trading companies using Turkey as a geographic hub between Europe and Asia
- Founders seeking EU-adjacent market access without full EU compliance overhead
- Manufacturing businesses leveraging the EU customs union for exports
- E-commerce companies serving the Turkish consumer market of 85 million people
Turkish Lira volatility is real. If your revenues and costs are in TRY, inflation risk is significant. Most sophisticated Turkey-based businesses maintain USD/EUR accounts and convert minimally. Additionally, regulatory changes in Turkey can be frequent and sometimes unpredictable — staying current with a local accountant and legal adviser is essential.
At a Glance
Available Business Structures
Limited Liability Company (Ltd Şti)
Limited Şirket
View Details →
Joint Stock Company (AŞ)
Anonim Şirket
View Details →
Cost Snapshot
Tax Overview
Banking Reality Check
Timeline: 1–3 weeks after registration
Turkish banks are generally accessible to foreign-owned companies, though documentation requirements have increased. Major banks (İş Bankası, Garanti BBVA, Yapı Kredi) require notarised company documents, a tax registration certificate, and a personal meeting with a relationship manager. Non-resident directors may face additional due diligence. Opening a foreign currency account (USD/EUR) alongside the TRY account is strongly recommended given Lira volatility. Digital banking options (Papara, Enpara) offer faster onboarding but may have transaction limits.
Visa & Immigration
Turkey offers a residence permit for business purposes — foreign company directors and shareholders can obtain a short-term residence permit (1–2 years, renewable) through their Turkish entity. Turkey's Citizenship by Investment programme grants citizenship for a minimum $400,000 real estate investment or $500,000 fixed capital investment. There is no dedicated digital nomad visa as of 2026, though the tourist e-visa (90 days in 180) and short-term residence permit serve as alternatives for remote workers.
Free Zones & SEZs
19 free zones available
Common Mistakes
Underestimating Turkish Lira currency risk and keeping all funds in TRY
Fix: Open multi-currency accounts from day one. Invoice in USD or EUR where possible, and keep operating reserves in hard currency. Convert to TRY only as needed for local expenses.
Choosing an AŞ when a Ltd Şti would suffice, adding unnecessary cost and compliance
Fix: Unless you plan to list on Borsa Istanbul, raise capital from many investors, or operate in a regulated sector that mandates an AŞ, the Ltd Şti is simpler, cheaper, and sufficient for most businesses.
Failing to appoint a local accountant (Mali Müşavir) from the start
Fix: Turkish tax compliance is complex — monthly VAT returns, quarterly advance tax payments, and annual filings are mandatory. Appoint a certified financial adviser (SMMM) before the company begins trading.
Ignoring the requirement to keep statutory books in Turkish
Fix: All legal books and official correspondence must be maintained in Turkish. Budget for translation and a Turkish-speaking accounting team. This is a legal requirement, not optional.
Frequently Asked Questions
Take the next step
Get a Setup Snapshot for Turkey
Personalised cost estimate, recommended structure, and next steps.
This content is educational and does not constitute legal or tax advice. Always consult a qualified professional for your specific situation. Data last verified March 2026.