Company registration in Turkey: A step-by-step guide

Registering a company in Turkey places your business at the crossroads of Europe and Asia. It provides access to a domestic market of about 85 million people and advantageous trade ties through the EU customs union.

Rapidly growing sectors, including tourism, e-commerce, manufacturing, and technology, make Turkey an attractive destination for foreign businesses. However, legal requirements under the Turkish Commercial Code, including minimum share capital requirements, trade registry formalities, and complex documentation, pose challenges.

This guide walks you through the registration steps, outlines the expected costs, and explains how using an Employer of Record (EOR) service might be a simpler alternative.

Business benefits of company registration in Turkey

Key advantages of registering a company in Turkey are:

• Access to a large consumer market: Turkey’s market serves both domestic demand and export to Europe, Central Asia, and the Middle East.
• Strategic trade and geographic advantages: Its customs union with the EU facilitates trade, while its location bridges multiple regions.
• Relatively fast business setup reforms: Turkey has streamlined business registration via the MERSIS system and Trade Registry offices.
• Government incentives for foreign investment: Special zones, investment incentives, and equal treatment for domestic and foreign investors under FDI law.

Next, we’ll break down your company registration options, from choosing the right legal structure to evaluating whether an EOR or entity setup is the best route for you.

A step-by-step guide to registering a company in Turkey

Below are the key steps you must follow to establish a company, along with essential details for each step.

Step 1: Select your business structure

Choosing the right legal structure is the foundation of doing business in Turkey, as it determines liability, capital requirements, and tax obligations.

Limited Liability Company (LLC / Ltd. Şti.)

The most common and investor-friendly structure for both local and foreign businesses. This structure:

• Limits shareholder liability to the capital they invest.
• Requires a minimum capital of $1,200–$1,500 (≈ 50,000 TRY).
• Allows for single or multiple shareholders, with at least one director.
• Can operate in nearly all sectors and is suitable for small to mid-sized operations.
• Requires a registered office address in Turkey and company registration with the Trade Registry.

Joint Stock Company (JSC / A.Ş.)

Best suited for larger businesses planning public offerings, larger capital investments, or shareholder expansion. This structure:

• Requires a minimum capital of $8,000 (≈ 250,000 TRY).
• Is eligible to list shares publicly or issue bonds.
• Requires at least one shareholder and a minimum of one board member.
• Comes with stricter governance, audit, and reporting obligations.
• Ideal for financial services, telecom, and investment-focused entities.

Branch Office

For foreign companies seeking to conduct commercial operations without establishing a new legal entity. This structure:

• Does not require share capital but must register with the Turkish Trade Registry.
• Is legally tied to the parent company, which assumes all liability.
• Needs a local representative and a physical registered address.
• Can conduct business, sign contracts, and invoice clients locally.

Liaison Office

Designed for market research, promotion, or coordination—not for commercial transactions. This structure:

• Requires no capital investment.
• Is not permitted to generate revenue or engage in profit-making activities.
• Must receive approval from the Ministry of Industry and Technology.
• Typically used by foreign companies exploring the Turkish market before full entry

Step 2: Reserve the company name and prepare documents

• Use the MERSIS (Central Registry System) to submit name proposals and ensure uniqueness.
• Draft Articles of Association in Turkish, which must include shareholder information, capital structure, purpose, and directors.
• Obtain notarized translations for any foreign documents (e.g., passports, activity certificates).

Step 3: Deposit minimum capital

• For LLCs: A minimum of $1,500 (≈ 50,000 TRY) must be deposited. At least 25% is payable upfront, with the remainder due within 24 months.
• For JSCs: A minimum of $8,000 (≈ 250,000 TRY) is required, with at least 25% typically deposited upfront.

Step 4: Register at the trade registry

• Submit your Articles, proof of capital deposit, notarized documents, and identification of shareholders/directors.
• Use MERSIS to file the registration online where possible.

Step 5: Obtain a tax number and register for taxes

• After registration, you’ll need a Tax Identification Number for the company.
• Register with the local tax authority and for VAT (if the threshold is met).

Step 6: Open a corporate bank account

• Use the notary-verified documents, registration certificate, proof of address, and tax number.
• Foreign directors may need additional documentation or notarized apostille translations.

Cost of registering a business in Turkey

Understanding Turkey’s upfront and ongoing costs helps entrepreneurs decide between traditional incorporation and the EOR model.

Registration costs and fees

• Company incorporation/trade registry filing: $300–$400 (7,500–10,000 TRY).
• Legal and notary fees (including signature verification, document preparation): $400–$500 (10,000–12,500 TRY).
• Official company books (statutory ledgers): $100–$120 (2,500–3,000 TRY).
• Chamber of Commerce registration + Trade Gazette publication: $80–$140 (2,000–3,500 TRY).

Annual maintenance costs

• Annual filing and registry compliance: Typically $100–$300+ (≈ 2,500–8,000 TRY) depending on required updates.
• Accounting, audit, and tax compliance: $500–1,500+ (≈ 13,000–39,000+ TRY) depending on company size and scope.
• Registered office renewal / virtual address fees: $150–500 annually (≈ 4,000–13,000 TRY).

Taxes

• Corporate tax: 25% on net profits.
• VAT: 18% on goods and services.
• Withholding tax (on dividends, interest, royalties): Generally 5–10% depending on residency and treaty status.

Here’s how traditional registration compares with EOR services based on current fees:

While traditional incorporation in Turkey allows for full operational control and asset ownership, it requires multiple interactions with the government, additional accounting layers, and compliance burdens.

An EOR streamlines hiring and market entry, handling taxes, payroll, contracts, and filings on your behalf, and it is ideal for test expansions or lean operations.

How an Employer of Record (EOR) simplifies company registration in Turkey

Using an EOR in Turkey offers a compelling option for businesses that are not yet ready to establish a full legal entity.

Rather than navigating minimum capital, foreign shareholder documentation, tax registration, bank accounts, and trade registry filings on your own, an EOR takes responsibility for the legal employment of staff.

• Speeds up hiring and onboarding across Turkey without entity setup delays.
• Handles payroll, social security, and benefits (SGK) compliance obligations.
• Manages legal and tax filings and translations, notaries, and document apostilles.
• Reduces administrative burdens and upfront costs (legal, bank, and registry fees).
• Offers flexibility to scale team up/down without the sunk cost of entity infrastructure.

What is the difference between standard company registration and expanding through an EOR in Turkey?

When expanding to Turkey, companies can either register a local entity or work with an EOR. The former gives full ownership and control but involves higher costs, capital deposits, legal compliance, and bureaucracy.

An EOR acts as your legal employer in Turkey for staffing purposes, managing payroll, contracts, and compliance, while you retain operational control of work.

Compare your expansion options with this comprehensive breakdown:

Cost comparison: Standard registration vs. EOR

Understanding the financial implications of choosing an EOR helps determine the most cost-effective expansion strategy for your operations in Turkey.

Simplified compliance

EOR ensures end-to-end compliance with Turkey’s labor laws, tax codes, and regulatory updates.

Streamlined payroll

Salaries, social security contributions, and tax withholdings are handled seamlessly.

Cost efficiency

EOR offers a fixed monthly cost, reducing the unpredictable expenses of legal setup, licenses, and filings.

Here’s a detailed cost comparison to help you decide:

Take the stress out of your Turkey expansion with Multiplier

Expanding into Turkey does not have to mean significant upfront capital, navigating complex legal procedures, or expensive entity setup costs. Multiplier’s EOR allows you to enter the market faster, hire compliantly, and scale smoothly.

With Multiplier, you get:

• Local hiring expertise: Multiplier manages compliant contracts, SGK, and labor law compliance, and ensures all documentation is correct.
• Work permit assistance: Secure and manage work permits for foreign employees without delays.
• Background checks: Conduct pre-employment screenings and background checks to ensure compliant and reliable hiring.
• Effortless payroll management: Accurate payroll, social security contributions, and tax deductions handled for you.
• Comprehensive HR solutions: Onboarding, benefits, leave tracking, and local support built in.
• Compliance assurance: Fully compliant with the Turkish Commercial Code, trade registry, tax, local labor laws, and foreign investment regulations.
• Flexibility and cost efficiency: Avoid capital-heavy setup; scale up/down without entity infrastructure maintenance.
• Reliable support: Turkish-speaking legal/accounting support, secure data, clear, transparent fees.

Book a demo with Multiplier to discover how you can expand into Turkey more quickly, hire top talent compliantly, and focus on growing your business.

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