Company Formation in Turkey for British Citizens

United Kingdom–Turkey Investment Relations

The UK–Turkey Free Trade Agreement (in effect since 2021) maintains preferential terms for trade in goods after Brexit, and a bilateral investment treaty signed in 1991 provides UK investors with legal safeguards. Both countries are members of the G20, reinforcing economic cooperation.

British investment in Turkey has been concentrated in energy, finance and insurance, telecommunications, and healthcare, with long-term investors including Rolls-Royce and Vodafone; the UK was reported as one of Turkey's largest foreign investors by stock value in 2016 (about $21 billion, per the investment promotion agency). The British Chamber of Commerce of Turkey, founded in 1887, provides networking and support services.

Can British Citizens Open a Company in Turkey?

Yes. Citizens of United Kingdom can form a company in Turkey with 100% foreign ownership. Turkish law does not require a local partner or Turkish shareholder. British nationals receive equal treatment under the Turkish Commercial Code, with the same rights and obligations as Turkish-owned companies.

There are no sector restrictions specific to British investors — the vast majority of business activities are open to foreign companies without special permissions.

Visa & Work Permit Information

UK citizens can visit Turkey without a visa for up to 90 days within any 180-day period, so no e-Visa is needed for short visits. A work permit is required for those planning to reside in and manage their Turkish company, and British investors may also be eligible for a short-term residence permit based on company ownership.

Foreign shareholders who do not intend to work or reside in Turkey do not need a work permit or residence permit to own a company. However, if you plan to actively manage your Turkish company from Turkey, a work permit is legally required.

Preparing Your Documents in United Kingdom

The United Kingdom is a party to the Apostille Convention. UK documents are normally certified by a solicitor or notary public and then apostilled by the Foreign, Commonwealth & Development Office (FCDO) Legalisation Office before they go to a Turkish sworn translator. If you would rather not post originals, a Turkish consulate in the UK can notarize a power of attorney for your formation agent.

Moving Capital from United Kingdom to Turkey

There are no UK exchange controls, so sending share capital to a Turkish bank is straightforward in principle. Expect questions from both banks about the source of funds, and keep the transfer records for your accounts and tax filings.

Home-Country Tax and Reporting for British Investors

UK-resident individuals and companies are taxed on worldwide income, and the UK's controlled foreign company (CFC) rules can attribute a foreign subsidiary's profits to UK shareholders in some cases, mainly where profits are artificially diverted or passive. The UK–Turkey double taxation convention helps relieve tax paid in Turkey. Confirm your position with a UK adviser before you commit.

Recommended Company Type

Most foreign investors choose the Limited Liability Company (LLC / Ltd. Şti.): about 91% of the foreign-partner companies established in Turkey in 2019 were LLCs, according to TOBB figures. Compare the three options below.

Requirements for British Citizens

• Valid passport from United Kingdom
• Turkish tax identification number (vergi numarası)
• Registered business address in Turkey
• Notarized Articles of Association (in Turkish)
• Minimum share capital deposit at a Turkish bank
• Power of attorney (if forming remotely without visiting Turkey)

Formation Process

1. Consultation — Choose your company type, define business activities, and plan your structure
2. MERSIS Pre-Registration — Enter company details in Turkey's central registry system
3. Articles of Association — Draft, notarize, and sign (or via power of attorney)
4. Bank Account & Capital Deposit — Open a Turkish bank account and deposit at least 25% of capital
5. Trade Registry — File with the local Trade Registry Office
6. Tax & Social Security — Register with the tax office and SGK
7. Work Permits — Apply if foreign managers or employees will be based in Turkey

The process typically takes 5–10 business days once all documents are prepared. If documents need apostille or consular legalization from United Kingdom, allow additional time.