Setting Up a Company in Turkey: Step-by-Step Legal Guide

Setting Up a Company in Turkey: Step-by-Step Legal Guide

Setting up a company in Turkey has become an increasingly appealing option for entrepreneurs and international investors thanks to the country’s strategic location, dynamic economy, and business-friendly legal environment. This step-by-step legal guide outlines the incorporation process, regulatory requirements, and vital considerations for successfully establishing a commercial presence in Turkey.

Choosing the Right Company Structure

The incorporation process begins by selecting the most suitable company structure. The two most commonly preferred types are the Joint Stock Company (A.Ş.) and the Limited Liability Company (Ltd. Şti.). While both forms provide limited liability, they differ in terms of governance, capital requirements, and share transfer rules. Investors should carefully evaluate their long-term business goals, growth plans, and regulatory obligations before making a selection.

Drafting and Approving the Articles of Association

Once the company type is chosen, investors must prepare the articles of association. This foundational document outlines key corporate provisions such as shareholding structure, capital distribution, management authorities, and operational rules. The articles are created and uploaded via the Central Registry System (MERSIS), ensuring streamlined and digitalized incorporation.

Company Registration with the Trade Registry Office

Following MERSIS application approval, the incorporation documents are submitted to the Trade Registry Office. Upon completion, the company obtains its official legal personality and is publicly recorded. The firm will also receive its tax number automatically, and a signature circular is issued to authorize company representatives.

Opening Bank Accounts and Capital Deposit

Newly established companies must open a corporate bank account and deposit the required capital. Certain regulated sectors may require additional financial guarantees or blocked capital accounts. Capital deposits strengthen the corporate structure and demonstrate financial transparency during audits.

Post-Incorporation Compliance Requirements

Incorporation is only the beginning. Businesses must complete tax registration, create mandatory company books, register for Social Security purposes, and comply with data protection laws. Foreign investors may also need sector-specific licenses, residence permits, or special ministerial approvals depending on the industry.

With professional legal support, companies can navigate the incorporation process efficiently and ensure full compliance with Turkish corporate legislation.