Launch Your Business in Turkey in 2025: A Step-by-Step Guide for Foreign Investors

Unlock Your Global Potential in Turkey’s Dynamic Market

Turkey, with its strategic location bridging Europe and Asia, and a young, dynamic population, has become a hotbed for foreign direct investment. For tech enthusiasts and small business owners looking to scale their operations, the Turkish market offers a unique blend of cultural richness, robust economic growth, and a supportive business environment. In 2025, the country continues to streamline its regulations to attract international capital, making it an opportune time to establish your footprint. This comprehensive guide provides a clear, step-by-step roadmap for foreign investors, demystifying the process and setting you up for success from day one.

1. Choosing the Right Business Structure: Your Foundation for Success

The first and most critical decision you’ll make is selecting the legal structure for your company. Turkey’s Commercial Code offers several options, but two are most popular among foreign investors:

• Limited Liability Company (LLC) – Limited Şirket (Ltd. Şti.): This is the most common choice for small to medium-sized businesses and startups. It requires at least one shareholder (who can be a foreigner) and a minimum share capital of TRY 50,000. LLCs are favored for their flexibility, simplicity in management, and the protection they offer, limiting a shareholder’s liability to their capital contribution.
• Joint Stock Company (JSC) – Anonim Şirket (A.Ş.): This structure is typically used for larger enterprises planning to go public or attract significant investment. JSCs require a minimum capital of TRY 250,000 and at least one shareholder. While more complex to manage with stricter reporting and auditing requirements, they offer greater credibility and are better suited for large-scale operations.

For many foreign investors, especially those new to the Turkish market, the LLC is the most practical and efficient entry point. It balances corporate protection with a straightforward setup process.

2. The Step-by-Step Company Formation Process

Once you’ve chosen your business type, the registration process in Turkey is surprisingly streamlined, largely thanks to the online Central Registry System (MERSİS). While you can complete many steps yourself, working with a local consultant is highly recommended to navigate the nuances and avoid common pitfalls. For a smooth and expert-guided process, consider reaching out to the specialists at Tokyo Consulting Firm’s Turkey services.

Here’s the detailed process:

• Step 1: Reserve Your Company Name. Use the MERSİS platform to check the availability of your desired company name. It’s crucial that the name is unique and complies with Turkish naming conventions.
• Step 2: Prepare and Notarize Required Documents. This is the most document-heavy phase. Key documents include the notarized Articles of Association (which outlines your company’s purpose and structure), copies of all shareholders’ and directors’ passports, and a signature circular for the company director.
• Step 3: Obtain a Potential Tax Identification Number (TIN). All shareholders and the company must obtain a potential TIN from the local tax office. This is a quick process and can often be done with the help of a local representative.
• Step 4: Deposit the Minimum Capital. For a Limited Liability Company, you need to deposit the minimum capital of TRY 50,000 into a temporary bank account opened in the company’s name. You will receive a capital contribution certificate, which is a key document for the next step.
• Step 5: Register with the Trade Registry Office. Submit all your notarized and prepared documents, along with the capital contribution certificate, to the Trade Registry Office. Once approved, your company is officially established, and you will receive a Trade Registry Certificate.
• Step 6: Open a Permanent Business Bank Account. With your company officially registered, you can now open a permanent bank account. This is essential for all financial transactions, including paying taxes and employees.
• Step 7: Obtain Tax and Social Security Registration. Finally, register your company with the tax office to get a tax number and with the Social Security Institution (SGK) if you plan to hire employees.

The entire process, from document preparation to final registration, can typically be completed within 1 to 2 weeks with professional assistance.

3. Understanding Costs and Incentives: Investing Smartly

One of Turkey’s major draws is its competitive cost of doing business. While costs can vary based on your company’s size and location, here’s a general breakdown:

• Formation Costs: Expect to pay for notary fees, Trade Registry fees, and professional consultancy services. The total setup cost for a standard LLC can range from approximately $700 to $1,500, excluding the required minimum capital.
• Minimum Capital: As mentioned, the minimum for an LLC is TRY 50,000.
• Operational Costs: Rent for office space, salaries, and utility costs are generally lower than in major European cities. For instance, the gross minimum wage for 2025 is approximately TRY 26,000 per month, making labor costs highly competitive.

Furthermore, the Turkish government offers significant incentives to attract foreign investment, especially in high-tech and strategic sectors. These can include:

• Tax reductions and exemptions: This includes corporate tax reductions and VAT exemptions for specific investments.
• Social Security Premium Support: The government may subsidize a portion of the employer’s social security contributions.
• Technology Development Zones (TDZs): Operating in one of Turkey’s numerous TDZs can grant you corporate tax and VAT exemptions, along with other benefits to encourage R&D and innovation.

Conclusion: Your Future Starts in Turkey

Launching a business in Turkey in 2025 is a strategic move for any forward-thinking investor. The country’s favorable regulations, cost-effective environment, and robust economic landscape provide a solid foundation for growth. By understanding the legal structures, following the step-by-step registration process, and leveraging the available government incentives, you can successfully establish your business and tap into a market ripe with opportunity.

Ready to take the next step? Don’t navigate the complexities alone. Connect with our experts at Tokyo Consulting Firm’s registration page for a free consultation and let us help you turn your business vision into a reality.

FAQ Section

Q1: Do I need a Turkish partner to start a business? No, under Turkish law, foreign investors can have 100% ownership of a company. You are not required to have a Turkish citizen as a partner.

Q2: How long does the company registration process take? The formal registration process through MERSİS can be completed in as little as 1 to 2 days once all documents are prepared. However, the entire process, including document preparation, notarization, and account opening, can take up to 2 weeks.Q3: Can I establish a business in Turkey without being physically present? Yes, it is possible. By granting a power of attorney to a trusted legal or consulting firm, they can complete all the necessary registration procedures on your behalf, from notarization to bank account opening.