What registering a company gives you, and what it does not guarantee · Updated October 2026
Registering a company in Türkiye lets an Iranian investor do business through a Turkish company. On its own it does not bring a residence permit, a work permit, a bank account or Turkish citizenship.
For a foreign investor the question is not only “can I register a company in Türkiye?”. The more important question is “what do I want to do after registration, and is the company structure right for that?”
Can an Iranian national own 100% of a Turkish company?
Yes. Under the Foreign Direct Investment Law (Law No. 4875), foreign investors are in principle treated equally with domestic investors and may hold 100 per cent of the shares of a Turkish company. There is no general requirement to have a Turkish partner merely because the investor is foreign. Certain regulated or licensed activities have their own conditions under special laws, so the shareholding structure should be checked against the company’s actual activity.
Ltd. Şti. or A.Ş.?
| Limited Şirket (Ltd. Şti.) | Limited liability company — statutory minimum capital TRY 50,000 |
|---|---|
| Anonim Şirket (A.Ş.) | Joint stock company — statutory minimum capital TRY 250,000 (TRY 500,000 for a non-public company in the registered capital system) |
The choice should not turn on the lowest capital figure alone. The activity, number of partners, management, fundraising plans, share transfers, commercial and banking needs and the investor’s future plans all matter. The full process is set out on our company formation in Türkiye page.
Do I need a Turkish partner?
As a general rule, no. The common belief that a foreigner must give part of the shares to a Turkish citizen is wrong. Using a nominee shareholder to conceal the real owner is not a solution either: companies must report their beneficial owners, and banks verify them.
This should not be confused with work permits. Owning a company and holding a work permit are two different things.
Does a company give me a residence permit?
No. Being a shareholder does not automatically produce a residence permit. The company’s status and the individual’s immigration status are separate. If living in Türkiye is a main aim, the right basis for residence has to be assessed separately, and company registration should not be presented as a guaranteed route to residence.
Can the owner work in the company without a work permit?
Holding shares is not a work permit. A foreign partner who intends to work in or manage the company in Türkiye personally needs one.
Under the evaluation criteria currently applied by the Ministry of Labour and Social Security, the principle is employment of at least five Turkish citizens for each foreigner, and for a foreign partner a shareholding of at least 20 per cent with a capital value of at least TRY 500,000 is looked for. The criteria have exceptions and change over time, so they must be checked at the time of application against the company’s real position. See our page on residence and work permits in Türkiye.
Registering a company does not by itself create a work permit.
Does registration guarantee a corporate bank account?
No. A company acquires legal personality on registration in the trade registry, but no bank is obliged to open an account for it. Account opening depends on the bank’s assessment.
Under customer identification and anti-money-laundering rules and its own compliance policies, a bank will ask for information and documents on the company, its shareholders, directors, beneficial owner, business activity, counterparties, the purpose of the account and the source of funds. Where shareholders are Iranian, these checks are usually more extensive and the bank may require personal attendance.
| Legal registration of the company | The result of the trade registry process. |
|---|---|
| Acceptance of the company as a customer | Subject to the bank’s assessment and decision. |
The company’s activity, goods and counterparties must also be consistent with Turkish law and with applicable sanctions rules. If the company’s account or a transfer is later restricted, the cause has to be examined separately; see Bank account blocked or transfer stopped in Türkiye.
Can the company be formed without travelling to Türkiye?
Many steps can be carried out by a lawyer holding a valid power of attorney. For an Iranian investor there is one important point:
Iran is not a party to the Hague Apostille Convention. The general instruction “have the power of attorney apostilled” does not work for a document issued in Iran.
Documents issued in Iran must go through certification by the competent authorities and Turkish consular legalisation, depending on the type of document and where it was executed. For a power of attorney, the alternative is to execute it before a notary in Türkiye or at a Turkish consular mission. The text should be reviewed before signature so that it contains the powers needed for formation and no unnecessary ones.
Can the Turkish company buy real estate?
A company with legal personality can own real estate, but a purchase by a foreign-capital company is not the same as a personal purchase. Under Article 36 of the Land Registry Law, a company in which foreign investors hold 50 per cent or more of the shares, or appoint the majority of the managers, may acquire real estate only for the activities in its articles and through a review procedure before the governorship.
If the investor’s ultimate aim is residence or citizenship, the effect of ownership through a company on that aim must be clarified before buying. Having a company does not mean that buying through it is always the best structure.
Obligations after registration
- keeping statutory books and records;
- tax, accounting and filing obligations;
- registering and announcing changes to capital, management, shareholders or address;
- employment and social security obligations;
- foreign investment and beneficial ownership notifications.
Even a company with limited activity should not be left without legal and accounting follow-up.
Warning for older companies: capital deadline of 31 December 2026
Statutory minimum capital was raised from the start of 2024. Under Provisional Article 15 of the Turkish Commercial Code, limited liability companies with capital below TRY 50,000 and joint stock companies with capital below TRY 250,000 must raise their capital to the statutory minimum by 31 December 2026; otherwise they are deemed dissolved.
For a non-public joint stock company in the registered capital system, failing to reach TRY 500,000 by the deadline means leaving that system, not dissolution.
The Ministry of Trade may extend the period by one year at a time, at most twice. No extension had been announced as of the date of this article; check the position again when you act.
Iranian nationals who formed a Turkish company with lower capital in earlier years should review its capital before the end of 2026. For some owners of older companies this is urgent.
What to decide before formation
- What is the company’s real activity, and does it need a licence?
- Is an Ltd. Şti. or an A.Ş. the better fit?
- Who will be shareholders and who will manage?
- What are the statutory capital and the real capital the business needs?
- Does the owner intend to work or live in Türkiye personally?
- Will the company need a bank account and international transfers, and who are its counterparties?
- Does it plan to buy property, import, export or employ foreign staff?
What registration does not guarantee
Registering a company in Türkiye does not by itself guarantee that:
- you will receive a residence permit or a work permit;
- a particular bank will open an account or accept an international transfer;
- buying property through the company suits your aim;
- or any right to Turkish citizenship arises.
Each of these has its own rules and its own process.
How Tercan Legal can help
The best time for legal review of a company structure is before registration. Tercan Legal reviews and handles the company structure, shareholding and management, the foreign investor’s documents, the power of attorney and the registration steps, and aligns the structure with the investor’s later aims such as trading, work permits and banking needs. The firm has formed hundreds of companies for foreign investors.
If you own a Turkish company formed before the minimum capital was raised, review its capital before 31 December 2026.
Contact Tercan Legal: info@tercanlegal.com · WhatsApp and Telegram: +90 506 689 97 22. We can communicate in Persian. The first 20-minute online introductory meeting is free; document review, written opinions and detailed consultation are provided for a fee.
Scope and compliance note
This article is general information on Turkish law as it stood in October 2026. It is not legal advice, does not create an attorney–client relationship and is no substitute for a review of your own file. It does not cover Iranian law or the sanctions laws of the United States, the European Union, the United Kingdom or any other jurisdiction; where those rules may apply, advice should be taken from counsel qualified in that jurisdiction.
Tercan Legal carries out identity and sanctions-list checks before accepting any engagement. We do not act for persons or entities that are subject to an asset-freezing decision in Türkiye or listed under applicable sanctions regimes, except to the extent the law permits, and we do not advise on or take part in arrangements designed to avoid bank controls or sanctions. No outcome before a court, a public authority or a bank can be guaranteed.
