Introduction

Turkey allows foreign individuals and foreign legal entities to establish and own companies, and in most ordinary sectors a Turkish citizen shareholder is not required. This makes company formation an attractive option for foreign entrepreneurs who intend to establish a long-term commercial presence in Turkey.

However, one of the most common misunderstandings among foreign investors concerns the relationship between company ownership and the right to work in Turkey.

A foreigner does not automatically obtain a work permit merely by incorporating a Turkish company.

Likewise, owning 100% of a Turkish limited liability company does not automatically authorise the shareholder to personally manage the company, work from its office, supervise employees or conduct continuous business activities in Turkey.

Under Law No. 6735 on International Labour Force, foreigners falling within the scope of the legislation must generally obtain a work permit or work permit exemption before commencing work in Turkey. The Ministry of Labour and Social Security defines a work permit as an official document granting a foreigner the right to work and reside in Turkey during its validity period.

Foreign entrepreneurs can nevertheless obtain a work permit through a company they establish or acquire in Turkey, provided that the relevant corporate, financial, shareholding and employment criteria are satisfied.

As of August 2026, particularly important requirements apply to foreign company shareholders. Under the current evaluation criteria, a foreign shareholder generally needs:

• at least TRY 500,000 as his or her own capital contribution;
• a company with at least TRY 500,000 paid-up capital;
• at least 20% of the company shares; and
• after the transitional period applicable to the first permit, at least five Turkish employees.

A significant exception applies where the foreign shareholder’s capital share is USD 100,000 or more. In that case, the Ministry’s specific capital, minimum shareholding and five-Turkish-employee criteria for foreign company partners are not applied.

These rules make proper planning extremely important.

A foreign entrepreneur who establishes a company with the statutory minimum capital required under Turkish company law may discover that the structure is insufficient for a shareholder work permit.

This article explains how to obtain a work permit by starting a company in Turkey, the 2026 requirements for foreign shareholders, domestic and overseas application procedures, required documents, employment obligations, work permit duration, renewals, exemptions and the most common legal mistakes made by foreign entrepreneurs.

1. Can a Foreigner Get a Work Permit by Starting a Company in Turkey?

Yes, potentially.

A foreigner may establish a Turkish company and subsequently apply for a work permit based on his or her role as a company shareholder, owner or manager.

However, there are two separate legal stages:

Stage 1: Establishing the Turkish company

and

Stage 2: Obtaining authorisation to work in that company

Company incorporation is primarily governed by the Turkish Commercial Code and foreign investment legislation.

The right of a foreigner to work is governed principally by Law No. 6735 on International Labour Force and the relevant regulations and Ministry evaluation criteria.

The Ministry specifically states that foreigners who establish a workplace and intend to work personally must obtain a work permit before starting work. The establishment procedures of the workplace—such as Trade Registry registration and obtaining a tax number—should first be completed, after which the foreigner applies for the appropriate work permit.

Therefore, the correct sequence is normally:

Company formation → corporate and tax registration → work permit application → approval → lawful commencement of work.

2. Does Owning a Turkish Company Automatically Give a Work Permit?

No.

Ownership and employment are separate concepts.

A foreigner may legally own:

• 20%;
• 50%;
• 75%; or
• 100%

of a Turkish company without automatically obtaining the right to work in Turkey.

For example, a German investor may own 100% of a Turkish limited liability company but continue living in Germany. Share ownership alone does not mean that the investor has obtained permission to work physically in Turkey.

The work permit issue becomes particularly important when the foreign shareholder intends to:

• manage the business;
• work from the company’s Turkish office;
• supervise employees;
• negotiate and execute contracts on behalf of the company;
• manage daily operations;
• provide professional services;
• direct sales or production activities; or
• otherwise participate actively in the company’s commercial operations.

In such circumstances, the foreign shareholder should assess whether a work permit is required before beginning those activities.

3. Do Foreign Company Shareholders Need a Work Permit?

The answer depends on the shareholder’s legal and operational role.

The Ministry of Labour and Social Security distinguishes between actively managing shareholders and certain non-managing investors.

Under the current Ministry guidance, foreigners who are:

• shareholder-managers of limited liability companies;
• shareholder board members of joint stock companies; and
• managing partners in relevant company structures

may work in Turkey by obtaining a work permit.

By contrast, certain non-resident board members of joint stock companies and non-managing partners of other companies may fall within the work permit exemption framework rather than requiring an ordinary work permit.

This distinction is important.

A passive foreign investor should not automatically apply under the same route as a foreign founder who personally manages the Turkish operation.

The investor’s:

• shareholding;
• management authority;
• residence in Turkey;
• representation powers; and
• actual daily activities

should be analysed together.

4. What Are the 2026 Work Permit Requirements for Foreign Company Owners?

The Ministry of Labour and Social Security has established specific evaluation criteria for foreigners who open a new business or become shareholders of an existing business.

For businesses operating under the balance sheet method, the principal 2026 criteria are as follows.

Requirement 1: The Company Must Have at Least TRY 500,000 Paid-Up Capital

The company in which the foreigner is a shareholder must generally have at least:

TRY 500,000 paid-up capital.

The phrase paid-up capital is important.

It is not necessarily sufficient for TRY 500,000 to appear only as subscribed capital in the articles of association if it has not actually been paid when the work permit criteria require paid-up capital.

The company’s accounting and Trade Registry documentation should therefore correctly reflect the capital position.

Requirement 2: The Foreign Shareholder Must Personally Hold at Least TRY 500,000 of Capital

The foreigner’s own capital contribution must generally be at least:

TRY 500,000.

For example:

If a Turkish company has TRY 2,000,000 paid-up capital but the foreign shareholder owns only TRY 300,000 of that capital, the shareholder would not satisfy the ordinary TRY 500,000 foreign-partner capital criterion.

Requirement 3: The Foreigner Must Generally Own at Least 20%

The foreign shareholder must generally hold at least:

20% of the company.

Accordingly, a foreigner holding only 10% of a company would not ordinarily satisfy the standard foreign company partner criteria even if the company itself has substantial capital.

The Ministry expressly sets the ordinary combination as:

• company paid-up capital of at least TRY 500,000;
• foreigner’s own capital amount of at least TRY 500,000; and
• foreigner’s shareholding of at least 20%.

5. Is the Minimum Capital for Company Formation the Same as the Capital Required for a Work Permit?

No.

This distinction is extremely important.

Under Turkish commercial law, the current statutory minimum capital is:

• TRY 50,000 for a limited liability company, and
• TRY 250,000 for a joint stock company.

The Ministry of Trade confirms these minimum amounts.

However, these figures relate to company establishment.

They should not be confused with the foreign shareholder work permit criteria.

For example, a foreign entrepreneur may legally establish a limited liability company with TRY 50,000 capital.

But if that foreign entrepreneur intends to apply for a work permit as a company shareholder under the ordinary company-partner criteria, TRY 50,000 will generally be insufficient because the work permit rules require the company to have at least TRY 500,000 paid-up capital and the foreign shareholder’s own capital contribution to be at least TRY 500,000.

Therefore:

Minimum capital to establish an LLC: TRY 50,000

does not mean:

Minimum capital to obtain a shareholder work permit: TRY 50,000.

For foreign entrepreneurs whose objective includes obtaining a work permit, the company should therefore be structured with immigration and labour-law requirements in mind from the beginning.

6. Is There a Five Turkish Employee Requirement?

Yes, under the ordinary foreign company partner criteria.

A company applying for a work permit for a foreign shareholder must generally employ at least five Turkish citizens.

However, the current rules provide an important start-up period for the first work permit.

For a foreign company partner or workplace owner receiving a first work permit, the permit is issued with a notation concerning the employment requirement.

The business is generally required to employ at least five Turkish citizens every month from the beginning of the seventh month of the first work permit period.

This creates a practical establishment period for new businesses.

Example

Assume a foreign entrepreneur establishes a Turkish company and receives a one-year work permit.

During the initial months, the five-employee condition is not yet required in the same manner.

However, starting from the beginning of the seventh month of the permit period, the company should generally maintain employment of at least five Turkish citizens each month.

Failure to satisfy the requirement can create significant problems, particularly during the extension process.

Foreign founders should therefore budget not only for corporate capital but also for:

• salaries;
• social security contributions;
• payroll taxes;
• workplace costs; and
• ongoing employee expenses.

7. What Is the USD 100,000 Exception?

This is one of the most important rules for significant foreign investors.

Under the Ministry’s current foreign company partner criteria, where the foreign shareholder has a capital share of USD 100,000 or more, the specific criteria contained in the ordinary capital/shareholding and Turkish-employee provisions are not applied.

This means that the Ministry does not apply the ordinary company-partner requirements concerning:

• the TRY 500,000 foreigner capital threshold;
• the TRY 500,000 company paid-up capital threshold under that provision;
• the 20% minimum shareholding requirement; and
• the five Turkish employee requirement

where the foreign partner’s qualifying capital share is at least USD 100,000.

This can be highly relevant for foreign investors making more substantial investments in Turkey.

However, this exemption does not mean that work permit approval becomes automatic.

The Ministry continues to evaluate the application within Turkey’s international labour force policy and applicable legislation.

Investors should therefore avoid interpreting the USD 100,000 rule as a guaranteed work permit programme.

8. Can a Foreign Entrepreneur Own 100% of the Turkish Company?

Yes, in most ordinary commercial sectors.

Foreign investors may generally establish wholly foreign-owned Turkish companies.

Accordingly, a foreign entrepreneur may establish a limited liability company in which he or she holds 100% of the shares.

For work permit planning, a 100% shareholder structure can make the capital requirement easier to understand.

For example:

Company paid-up capital: TRY 500,000
Foreign shareholder’s ownership: 100%
Foreign shareholder’s capital contribution: TRY 500,000

This structure would satisfy the ordinary capital and percentage components of the foreign company partner criteria.

The employment requirement and other legal criteria must still be separately considered.

9. Which Company Type Is Better for a Foreign Entrepreneur Seeking a Work Permit?

For small and medium-sized foreign-owned businesses, the limited liability company (Ltd. Şti.) is frequently used.

A joint stock company may be more appropriate where:

• significant external investment is expected;
• several investors will enter;
• venture capital financing is planned;
• shares may frequently change hands;
• complex corporate governance is required; or
• the company may eventually pursue institutional financing.

From a work permit perspective, however, the company type should not be selected solely because one form appears cheaper to establish.

The foreigner’s intended role is equally important.

A foreigner who will be an active shareholder-manager should ensure that the company structure, management appointment, shareholding and capital are compatible with the work permit application.

10. How Do You Apply for a Work Permit After Establishing a Company?

There are two principal routes:

1. Domestic application from Turkey
2. Application from abroad

The correct route depends primarily on the foreigner’s current immigration status.

11. How Does a Domestic Work Permit Application Work?

A domestic application may generally be made where the foreigner is in Turkey and holds a residence permit that:

• was issued for at least six months; and
• remains valid on the date of the work permit application.

The application is made electronically to the Ministry through the e-Permit system.

The company or its authorised representative completes the relevant electronic application and uploads the required documentation.

A foreign entrepreneur considering this route should not assume that any short stay or tourist presence automatically allows a domestic work permit application.

The status of the residence permit should be examined before determining the application route.

12. How Does a Work Permit Application From Abroad Work?

Where the foreigner does not qualify for a domestic application, the ordinary process begins outside Turkey.

The process generally has two stages.

Stage One: Turkish Consulate Application

The foreigner applies in person to the relevant Turkish embassy or consulate in:

• the country of citizenship; or
• the country where the foreigner legally resides.

The Turkish foreign mission issues a 16-digit reference number relating to the work permit/work visa application.

Stage Two: Application to the Ministry

The reference number is communicated to the Turkish company.

The company’s authorised representative then submits the work permit application electronically through the Ministry’s system using the reference number.

This two-stage procedure requires coordination between:

• the foreign shareholder;
• the Turkish company;
• the Turkish foreign mission; and
• the Ministry of Labour and Social Security.

Errors in timing or documentation can result in delays or refusal.

13. What Documents Are Required for a Work Permit Application?

The precise documentation varies according to the applicant, company structure and profession.

The Ministry’s current guidance identifies documents including:

• employment or service documentation where applicable;
• passport copy;
• Turkish translation of the passport where required;
• diploma or graduation documents for professions where these are required;
• Turkish Trade Registry Gazette showing the company’s current capital and shareholder structure;
• latest balance sheet;
• profit and loss statement; and
• other documents depending on the occupation or regulated activity.

For a company shareholder application, particular importance should be given to documents establishing:

• the foreigner’s shareholding;
• the amount of capital;
• the paid-up status of the capital;
• the company’s current management;
• the company’s tax registration;
• the company’s commercial activity; and
• the employee structure where the five-Turkish-citizen criterion applies.

The information submitted through the e-Permit system should be consistent with:

• Trade Registry records;
• accounting records;
• Social Security Institution records; and
• tax filings.

Inconsistencies can materially weaken the application.

14. Does the Foreigner Need a Residence Permit After Receiving a Work Permit?

Generally, no separate residence permit is required during the validity of the work permit.

A valid work permit issued under Law No. 6735 generally also operates as a residence permit under Article 27 of Law No. 6458, subject to statutory exceptions applicable to certain protection categories.

This is one of the principal advantages of obtaining a proper work permit.

A foreign company owner with a valid work permit can therefore generally both:

• legally work in Turkey; and
• legally reside in Turkey

during the permit period.

15. How Long Is the First Work Permit Valid?

A first fixed-term work permit may be issued for up to one year, provided that it does not exceed the relevant employment or service period and subject to the approved workplace and activity.

If the extension application is approved:

• the first extension may be issued for up to two years; and
• subsequent extensions may be issued for up to three years

when continuing under the same employer structure.

A work permit should therefore be viewed as a continuing compliance process rather than a one-time application.

The company must preserve the conditions on which the original permit was granted.

16. When Must a Work Permit Extension Be Filed?

An extension application may be submitted starting 60 days before the existing permit expires and must be made before the permit expires.

If the permit expires without a timely extension application, a subsequent application will generally be evaluated under first-application procedures.

Foreign entrepreneurs should therefore monitor expiry dates carefully.

This is particularly important where the company needs to demonstrate that:

• paid-up capital remains compliant;
• shareholding remains compliant;
• Turkish employee requirements have been maintained;
• Social Security obligations have been fulfilled; and
• the company’s commercial activity remains genuine.

17. Can the Foreigner Continue Working While the Extension Is Pending?

Where a valid extension application has been filed, the foreigner may generally continue working during the evaluation period for up to 90 days after the existing permit expires, provided that the work and workplace do not change.

During this period, the employment is treated as lawful and the related rights and obligations continue.

This protection depends on a properly filed extension application.

18. How Long Does the Ministry Take to Decide the Application?

According to the Ministry, duly completed work permit applications are generally evaluated within 30 days, provided that the required information and documentation are complete.

Where additional documents are requested, the 30-day evaluation period runs according to the Ministry’s completion rules after the requested information has been provided.

Foreign investors should distinguish between:

• the Ministry’s legal/administrative evaluation period; and
• the entire preparation process.

Company formation, capital payment, consular procedures, document preparation and banking procedures can make the overall timeline longer.

19. How Much Does a Work Permit Cost in Turkey in 2026?

For 2026, the Ministry publishes specific work permit fees.

For a fixed-term work permit valid for up to one year, the 2026 work permit document fee is:

TRY 12,574.90

In addition, the 2026 valuable paper fee is:

TRY 964.00

Different fees apply for permits covering longer periods, permanent permits and independent work permits.

Importantly, where the Ministry approves an application, the required work permit and valuable paper fees must generally be paid within 30 days of notification.

Failure to pay within the required period may cause the application to be rejected.

These official fees are separate from:

• company formation expenses;
• notary expenses;
• translations;
• apostilles;
• accounting costs;
• professional fees;
• Social Security contributions; and
• payroll costs.

20. What Happens After a Work Permit Is Approved?

For a domestic application, the foreigner must generally commence work and fulfil the relevant legal obligations within one month from the start date of the work permit.

For an application made from abroad, the foreigner must generally:

• enter Turkey;
• begin working and fulfil applicable obligations within one month from entry; and
• in any event enter Turkey within six months from the commencement date of the work permit.

A foreigner who receives a permit through an overseas application but does not enter Turkey within the applicable six-month period may have the permit cancelled.

Foreigners entering with a work visa are also required to comply with address registration obligations.

21. What Are the Social Security Obligations?

Obtaining a work permit does not end the company’s obligations.

The company must also comply with Turkish Social Security legislation.

The Ministry states that for domestic applications, the foreigner must commence work and satisfy Social Security obligations within the applicable one-month period.

For applications from abroad, the foreigner must generally commence work and fulfil Social Security obligations within one month of entry into Turkey.

International social security treaties may affect the position of certain foreign nationals temporarily assigned to Turkey.

Accordingly, nationality and existing foreign social security coverage should be checked separately.

22. Is an Independent Work Permit Better for a Company Owner?

Turkey also recognises an independent work permit.

An independent work permit allows a foreigner to work in Turkey in his or her own name and account without being tied to an employer.

However, it should not be assumed that every foreign entrepreneur automatically qualifies for this route.

The Ministry evaluates independent work permit applications by considering matters such as:

• education;
• professional experience;
• contribution to science and technology;
• impact of the activity or investment on the Turkish economy;
• impact on employment; and
• the foreigner’s capital share where the applicant is a company partner.

For many ordinary foreign-owned limited liability companies, a fixed-term work permit structured around the shareholder’s active corporate role may be the more practical route.

The correct option depends on the business model.

23. Are There Exceptions From the Standard Work Permit Evaluation Criteria?

Yes.

The Ministry currently provides certain exemptions from employment, financial sufficiency and wage criteria for particular categories of foreigners.

The current categories include, subject to evidence and applicable conditions, persons such as:

• foreigners whose mother, father or child is a Turkish citizen;
• holders of long-term residence permits;
• foreigners who have lived in a genuine marital union with a Turkish citizen for at least three years;
• certain foreigners with at least eight years of qualifying lawful presence in Turkey;
• stateless persons;
• certain persons of Turkish origin recognised under the relevant procedure; and
• citizens of the Turkish Republic of Northern Cyprus.

The existence of an exemption from particular evaluation criteria does not create an absolute right to a work permit.

The Ministry retains its authority to evaluate the overall application.

24. What Is the New 2026 Rule for Certain Foreigners Already Living in Turkey?

The Ministry’s general evaluation criteria were amended with provisions effective from 3 August 2026.

Under the current general criteria, where a foreigner has lawfully remained in Turkey for at least one year during the previous three years under qualifying status and makes a domestic work permit application, certain employment and financial sufficiency criteria may not be applied for up to three foreigners at the workplace, subject to the specific conditions laid down by the Ministry.

The number of foreigners working under this mechanism generally cannot exceed the number of Turkish citizens working at the same workplace.

However, foreign company partner applications have their own specific Section C criteria.

Accordingly, an entrepreneur should not automatically assume that a general employee exemption overrides the separate rules applicable to company shareholders.

The correct classification of the application should be determined before filing.

25. Can a Foreign Entrepreneur Start Working Immediately After Incorporating the Company?

No.

The Ministry specifically states that foreigners who establish a workplace and intend to work in it must obtain the relevant work permit before commencing work.

Accordingly, the following sequence creates risk:

1. establish company;
2. immediately begin working;
3. apply for work permit several months later.

A safer sequence is:

1. establish the legal entity;
2. complete tax and Trade Registry formalities;
3. structure and pay the required capital;
4. submit the work permit application;
5. receive approval;
6. complete payment and Social Security obligations; and
7. commence work in accordance with the permit.

26. Can a Work Permit Application Be Rejected Even If All Capital Requirements Are Met?

Yes.

Satisfying financial thresholds does not create an absolute right to a work permit.

Applications are evaluated under Turkey’s international labour force policy and the Ministry’s current assessment criteria.

The Ministry may consider factors including:

• the nature of the business;
• the applicant’s qualifications;
• the proposed position;
• the company’s genuine commercial activity;
• the foreigner’s role;
• the company’s financial position;
• employment structure;
• sector-specific restrictions;
• public order and security considerations; and
• consistency of submitted documentation.

A company created solely as a formal mechanism to obtain immigration status without genuine business substance may therefore face additional scrutiny.

27. What Are the Most Common Reasons Foreign Entrepreneurs Face Work Permit Problems?

1. Establishing the Company With Insufficient Capital

A foreigner establishes an LLC with TRY 50,000 because that satisfies the commercial-law minimum, but later discovers that the ordinary shareholder work permit criteria require substantially more capital.

2. Failing to Pay the Capital

The articles of association show TRY 500,000, but the company’s records do not demonstrate the necessary paid-up capital.

3. Holding Less Than 20%

Under the ordinary shareholder criteria, a foreign applicant may fail because the shareholding percentage is below the required threshold.

4. Ignoring the Five-Employee Requirement

The initial permit is obtained, but from the seventh month onward the company fails to maintain five Turkish employees.

5. Confusing a Residence Permit With a Work Permit

A residence permit generally does not itself authorise the foreign shareholder to work.

6. Beginning Work Before Approval

The company starts operating immediately while the foreign founder works actively before obtaining work authorisation.

7. Inconsistent Corporate Documents

Trade Registry records, accounting records and the work permit application contain different information concerning capital or shareholders.

8. Using the Wrong Application Route

A foreigner attempts a domestic application despite not having the necessary residence permit status.

9. Ignoring Social Security Obligations

The permit is approved but necessary SGK procedures are not completed on time.

10. Missing the Extension Deadline

The foreign entrepreneur fails to submit the extension application before the existing permit expires.

28. Practical Example: Establishing a Company in Istanbul and Obtaining a Work Permit

Consider the following example.

A British entrepreneur wants to establish a software company in Istanbul.

He intends to own 100% of the Turkish limited liability company and personally manage the company’s operations.

Option A: TRY 50,000 Capital

The company may satisfy the minimum capital requirement for establishing a Turkish limited liability company.

However, it would not ordinarily satisfy the current TRY 500,000 company/shareholder capital criteria applicable to the foreign partner work permit route.

Option B: TRY 500,000 Paid-Up Capital

The entrepreneur establishes the company with TRY 500,000 capital, owns 100% of the company and fully pays the capital.

Under the ordinary company-partner criteria, the capital and percentage requirements can potentially be satisfied.

The entrepreneur must still address the Turkish employee requirement and all other work permit conditions.

Option C: Capital Share of USD 100,000 or More

If the entrepreneur’s capital share is USD 100,000 or more, the specific ordinary company-partner capital, percentage and employment criteria described above are not applied under the Ministry’s current rules.

The work permit application must nevertheless still be filed and approved.

29. Frequently Asked Questions About Getting a Work Permit by Starting a Company in Turkey

Can I get a work permit by opening a company in Turkey?

Yes, potentially. Establishing a company can provide the corporate basis for a foreign owner or shareholder to apply for a work permit, but company establishment itself does not automatically provide work authorisation.

How much money must I invest?

Under the ordinary foreign company partner criteria, the company must generally have at least TRY 500,000 paid-up capital and the foreigner’s own capital share must be at least TRY 500,000.

What percentage of the company must I own?

Generally at least 20% under the ordinary foreign company partner criteria.

Can I own 100% of the company?

Yes, subject to any sector-specific restrictions.

Do I need five Turkish employees?

Under the ordinary company-partner criteria, yes. For the first permit, the company must generally begin maintaining at least five Turkish employees from the start of the seventh month of the permit period.

Is there an exception for larger investors?

Yes. If the foreign partner’s capital share is at least USD 100,000, the specific company-partner criteria in the ordinary capital/shareholding and five-employee provisions are not applied.

Can I establish a company with TRY 50,000 and receive a work permit?

A limited liability company may currently be established with TRY 50,000 minimum capital, but that does not ordinarily satisfy the TRY 500,000 foreign company partner work permit criterion.

Does the work permit also allow me to live in Turkey?

Generally yes. A valid work permit normally also substitutes for a residence permit during its validity period.

How long is the first permit?

A first fixed-term work permit may generally be issued for up to one year.

Can it be renewed?

Yes. A first extension may be granted for up to two years and later extensions for up to three years under the applicable conditions and same-employer framework.

Can I apply from outside Turkey?

Yes. The foreigner first applies through the Turkish embassy or consulate and obtains a 16-digit reference number, after which the Turkish company completes the Ministry application electronically.

Can I apply from inside Turkey?

Generally, a domestic application may be available where the foreigner has a residence permit issued for at least six months and still valid on the application date, subject to the applicable rules.

Does approval happen automatically if I invest enough money?

No. Financial eligibility is only one component of the Ministry’s evaluation.

Conclusion: How Should a Foreign Entrepreneur Structure a Turkish Company for a Work Permit?

Obtaining a work permit by establishing a company in Turkey is legally possible, but company formation should be planned carefully before incorporation.

The most important point is that:

Company ownership does not equal permission to work.

A foreign person can legally own a Turkish company without automatically acquiring the right to personally work in Turkey.

Where the investor intends to actively manage and operate the Turkish business, an appropriate work permit should generally be obtained before beginning work.

Under the ordinary 2026 foreign company partner criteria, a foreign shareholder should particularly consider:

• at least TRY 500,000 paid-up capital in the company;
• at least TRY 500,000 capital contribution belonging to the foreign shareholder;
• at least 20% foreign shareholding;
• employment of at least five Turkish citizens from the applicable stage of the first permit; and
• the special USD 100,000 capital share exception.

These requirements should be considered before the company’s articles of association and capital structure are finalised.

A foreign investor planning to establish a Turkish business should therefore ask several questions at the outset:

• Will I personally work in Turkey?
• Will I be a passive investor or active manager?
• How much capital should the company have?
• What percentage of shares should I hold?
• Can the business economically support five Turkish employees?
• Would the USD 100,000 investor exception be relevant?
• Should I apply from Turkey or abroad?
• Do I have the correct residence status for a domestic application?
• Is the company’s accounting and capital documentation consistent?
• Are there sector-specific work permit or licensing requirements?
• What immigration status will my spouse and children use?
• How will the work permit be renewed after the first year?

For foreign entrepreneurs, the best approach is usually to design company formation, corporate governance, work permit planning, taxation and immigration strategy together.

A company established without considering work permit rules may later require:

• capital increases;
• shareholder restructuring;
• changes in management;
• additional employee recruitment; or
• a completely different immigration strategy.

By contrast, a properly structured company can allow the foreign founder to establish genuine operations in Turkey while also obtaining the legal authority to live and work in the country.

Foreign investors, startup founders, company directors and entrepreneurs considering establishing a business in Turkey should therefore obtain a legal assessment of the proposed company structure before registration, particularly where obtaining a Turkish work permit is one of the primary objectives of the investment.

This article reflects the legislation and official Ministry evaluation criteria available as of August 2026. It is prepared for general informational purposes and does not constitute individual legal advice. Work permit eligibility depends on the applicant’s nationality, immigration status, corporate role, shareholding structure, investment amount, business activity and the administrative criteria applicable on the date of application.