At the Crossroads of Europe and Asia, Turkey Has Become Not Only a Geographical Hub but Also a Key Strategic Springboard for Chinese Enterprises Going Global.
"Our company name has been approved, and we should receive the business license next week." Since the beginning of 2025, more and more Chinese entrepreneurs have been hearing such good news at commercial registration offices in Turkish cities like Istanbul and Ankara.
With the full implementation of Turkey's International Direct Investment Strategy, this country connecting two continents has become a hotbed for foreign investment. In the first quarter of 2025, Foreign Direct Investment (FDI) in Turkey surged by 89% year-on-year to $3 billion.
01 Investment Advantages
Turkey boasts significant geographical advantages, straddling Europe and Asia. It possesses abundant mineral resources, a relatively stable political environment, and a well-established legal system, providing favorable conditions for foreign investment.
In July 2024, the Turkish government officially released the Turkey International Direct Investment Strategy (2024-2028), aiming to increase its share of global FDI to 1.5% by 2028.
This strategy focuses on eight priority areas, including climate-friendly investments, digital investments, and global supply chain-oriented investments. Turkey aims to attract foreign direct investment projects that are high-value-added, sustainable, and promote digital transformation.
02 Choice of Company Types
In Turkey, Joint Stock Companies and Limited Liability Companies are the two most common forms of business entities.
In addition, the Turkish Commercial Code permits the establishment of partnerships (including general partnerships, limited partnerships, and partnerships limited by shares), branches, and liaison offices.
Limited Liability Company (LLC)
This is the preferred choice for 90% of small and medium-sized enterprises (SMEs) due to its simple structure and flexible management.
The minimum registered capital is 50,000 Turkish Lira. It is suitable for start-ups, trading companies, and branch offices.
Partners may bear personal liability for public debts in case of the company's default and insufficient assets.
Joint Stock Company (JSC)
Financial institutions, insurance companies, and enterprises planning to go public must adopt this form.
The minimum registered capital is 250,000 Turkish Lira. The liability of shareholders is limited to their subscribed capital.
Requires a stricter general assembly and board of directors structure, ensuring more standardized governance.
Partnerships are suitable for family businesses or close-knit collaborative enterprises, with partners bearing unlimited liability for company debts.
Branches are suitable for multinational enterprises with existing international operations looking to expand into the Turkish market. Liaison offices are used for market research and contact purposes and cannot engage directly in business activities.
03 Registration Timeline
The time required to register a company in Turkey mainly depends on the company type and the completeness of the application documents.
Typically, the complete registration process can take anywhere from several months to up to half a year.
If the process goes smoothly, the core steps of company registration can be completed within 7 to 10 working days.
From name pre-approval to finalizing all registrations, the entire process can be broadly divided into six stages.
Name Pre-approval: Takes 3-5 working days. Requires submitting alternative names on the website of the Turkish Trade Registry.
Document Preparation & Notarization: Usually takes 1-2 weeks. Includes drafting the articles of association and authenticating overseas documents, which must be notarized by Turkish consulates.
Opening a Temporary Bank Account: Takes about 1 week. Requires depositing 25% of the registered capital.
Submitting Registration Application: May take 2-3 weeks. Involves submitting all documents to the Trade Registry.
Tax Registration & License Acquisition: Usually takes 1 week. Involves obtaining the company tax number and VAT number.
Announcement & Filing: The final stage also takes about 1 week. The company's establishment information is published in the Trade Registry Gazette.
04 Detailed Registration Process
When registering a company in Turkey, the registration transactions for all types of companies are conducted through the MERS?S system. This is a central registration system that records and stores information and data on commercial entities.
When submitting company registration documents via the MERS?S system, the articles of association must be submitted in Turkish.
Foreign investors must first obtain a tax identification number, which is necessary for opening a bank account to deposit the registered capital. 0.04% of the company's registered capital must be paid into the account of the Turkish Competition Authority.
For Joint Stock Companies, 25% of the registered capital must be paid before the company is established, and the remaining 75% must be paid within two years after establishment.
For Limited Liability Companies, the registered capital only needs to be paid within two years after the company is established.
After reviewing the registration application, the Trade Registry will publish the company registration announcement in the Commercial Registry Gazette within 10 days.
05 Advantages and Challenges
Turkey allows 100% foreign ownership and does not require a local sponsor. It has double taxation avoidance agreements with 85 countries, including China.
Turkey has implemented an electronic commercial ledger system. As of January 1, 2026, the share registers of newly established companies must be managed through this system.
For Chinese enterprises seeking to expand into the European market, Turkey offers an ideal springboard. However, Turkey's legal and tax systems are quite complex, and seeking professional support is advisable.
All legal documents must be translated into Turkish and notarized.
After registration, the company needs to open a corporate account with a bank in Turkey. Due to strict anti-money laundering regulations, this step can be one of the most challenging for foreign investors.
After opening their Turkish company bank account, many Chinese entrepreneurs find that their company has already appeared in the Turkish Official Gazette, officially becoming part of the economic landscape of this country straddling two continents.
A local tax office official will personally visit the registered address to verify the company's physical existence. The company's e-invoice system must be fully integrated with the Turkish Revenue Administration; paper invoices are a thing of the past here.
In the Turkish market, every newly established foreign-invested company is like a seed, sown in this fertile land connecting the East and the West.