Can a Foreigner Buy a Restaurant or Café in Turkey?

Yes. Foreign investors can generally buy a restaurant or café business in Turkey.

Under Turkey’s foreign direct investment framework, foreign investors are generally treated equally with Turkish investors. They may establish a Turkish company or acquire shares in an existing Turkish company.

However, buying an operating restaurant involves more than simply purchasing the company or paying the current owner. Several legal issues should be checked before completing the transaction.

1. Decide How the Restaurant Will Be Purchased

The investor may purchase:

• the shares of the existing company;
• the commercial business itself; or
• selected assets such as equipment, furniture and intellectual property.

These structures have different legal consequences.

When buying the shares of an existing company, the company continues with its previous rights and liabilities. Therefore, historical debts and legal problems can remain inside the company.

For this reason, legal due diligence should be completed before acquiring the shares.

2. Check Tax and SGK Debts

Before buying a restaurant, foreign investors should investigate whether the business has outstanding:

• tax debts;
• Social Security Institution (SGK) liabilities;
• employee debts;
• commercial debts;
• bank loans; or
• enforcement proceedings.

The seller’s statement that “the company has no debt” should not be accepted without supporting documents.

A company may have liabilities that significantly reduce its real value.

3. Check the Restaurant Licence

A restaurant or café must have the appropriate licences and registrations required for its activities.

Food businesses are also subject to registration and regulatory requirements administered through the Ministry of Agriculture and Forestry. Current Ministry procedures specifically include registration processes for retail and mass-consumption food establishments.

Before purchasing the business, the investor should determine:

• whether the licences are valid;
• whether the current activity complies with the licence;
• whether additional permits are required; and
• whether the ownership change affects existing permits.

If alcohol is sold, additional licensing requirements should also be reviewed separately.

4. Review the Lease Agreement

Many restaurants operate from rented premises.

The lease agreement can therefore be one of the most valuable assets of the business.

The investor should check:

• remaining lease period;
• current rent;
• rent increase provisions;
• deposit;
• landlord consent requirements;
• termination rights; and
• whether the lease can continue after the business transfer.

A profitable restaurant may lose most of its commercial value if the investor cannot continue operating from the same location.

5. Review Employees

Employee liabilities should also be investigated.

The investor should review:

• employment contracts;
• salaries;
• SGK registrations;
• unpaid wages;
• overtime;
• annual leave;
• severance liabilities; and
• pending employment disputes.

Restaurants with long-serving employees may have significant accumulated employment liabilities.

6. Check Equipment and Assets

Tables, kitchen equipment, refrigerators, ovens, POS systems and other assets should be identified.

The buyer should confirm whether these items:

• belong to the company;
• belong personally to the seller;
• are leased;
• are financed; or
• are subject to any pledge.

An asset list should ideally be attached to the purchase agreement.

7. Check the Brand and Online Accounts

For many modern restaurants, significant value comes from the brand rather than physical equipment.

The investor should therefore check ownership of:

• trademarks;
• trade names;
• domain names;
• websites;
• Instagram and other social media accounts;
• Google Business profiles;
• online reservation accounts; and
• food delivery platform accounts.

The buyer should ensure that these assets can actually be transferred or controlled after completion.

8. Protect the Buyer in the Purchase Agreement

The acquisition agreement should contain protections regarding:

• undisclosed debts;
• tax liabilities;
• employee claims;
• ownership of equipment;
• validity of licences;
• pending lawsuits;
• seller warranties;
• indemnification;
• payment conditions; and
• transfer of digital assets.

Where appropriate, part of the purchase price may also be retained until certain legal conditions are completed.

Can Buying a Restaurant Provide a Residence or Work Permit?

Purchasing a restaurant does not automatically provide a foreign investor with a residence or work permit.

If the foreign shareholder intends to actively work in or manage the business, the applicable work permit requirements should be reviewed separately.

Therefore, immigration and work permit planning should ideally be considered before determining the company’s ownership and management structure.

Conclusion

A foreigner can generally purchase a restaurant or café in Turkey, but the investment should not be evaluated only on turnover, location or customer numbers.

Before paying the purchase price, the investor should verify:

company debts, tax and SGK liabilities, licences, lease rights, employees, equipment ownership and the restaurant’s brand rights.

A legal due diligence review and carefully drafted purchase agreement can substantially reduce the risk of discovering hidden problems after acquiring the business.

This article provides general information and does not constitute legal advice. Each restaurant or café acquisition should be reviewed according to its corporate structure, location, licences and commercial circumstances.