Required Capital for Establishing a Company in Türkiye

Establishing a company in Türkiye remains one of the most attractive investment decisions for entrepreneurs seeking access to Europe, the Middle East, and Central Asia. However, one of the first and most critical legal and financial questions investors ask is: What is the required capital for establishing a company in Türkiye?

As Akkas CPA & Turkish Accounting Firm, a full-service company formation and governance firm based in Istanbul and serving international clients since 2017, we regularly advise foreign and domestic investors on capital requirements, compliance, and optimal structuring under Turkish law. This comprehensive 2026 guide explains the minimum capital rules, payment methods, timelines, and strategic considerations for company formation in Türkiye.

Table of Contents

Understanding Capital Requirements Under Turkish Commercial Law

Company capital in Türkiye is governed primarily by the Turkish Commercial Code (TCC No. 6102). Capital represents the shareholders’ financial commitment to the company and serves as a key indicator of credibility for banks, investors, and public authorities.

Capital requirements vary depending on the legal form of the company. In practice, most investors choose either a limited liability company or a joint-stock company, each with different capital thresholds, payment obligations, and governance structures.

Minimum Capital for a Limited Liability Company in Türkiye

A limited liability company (Ltd. Şti.) is the most common choice for small and medium-sized enterprises and foreign investors entering the Turkish market.

Minimum Capital Amount (2026)

• TRY 50,000 minimum share capital
• Capital may be divided into shares with a nominal value of at least TRY 25

This capital may be contributed in cash or in kind (such as machinery, real estate, or intellectual property), subject to valuation and registration requirements.

Capital Payment Rules

• It is not required to pay at least 25% of the cash capital before registration
• The remaining amount may be paid within 24 months following incorporation

Unlike joint-stock companies, limited liability companies are not required to deposit capital into a blocked bank account prior to registration, which simplifies the incorporation process.

Practical Considerations

Limited liability companies are preferred due to:

• Lower capital threshold
• Simplified governance structure
• Fewer compliance and reporting obligations

This structure is particularly suitable for service providers, trading companies, and family-owned businesses.

Minimum Capital for a Joint-Stock Company in Türkiye

A joint-stock company (A.Ş.) is commonly used for larger investments, regulated industries, and businesses seeking institutional financing or future public offerings.

Minimum Capital Amount (2026)

• TRY 250,000 minimum capital for standard joint-stock companies
• TRY 500,000 for non-public joint-stock companies adopting the registered capital system

Capital Payment Requirements

• 25% of cash capital must be deposited into a blocked Turkish bank account before registration
• Remaining capital must be paid within 24 months

This blocked capital is released to the company after registration with the Trade Registry.

Strategic Advantages

Joint-stock companies offer:

• Easier share transfers
• Stronger corporate credibility
• Eligibility for certain licenses and incentives
• Better alignment with international corporate governance standards

They are often preferred by multinational groups, investors planning mergers or acquisitions, and companies operating in finance, energy, or technology sectors.

Capital Contributions in Kind

Both limited liability and joint-stock companies may be established using non-cash capital, including:

• Real estate
• Machinery and equipment
• Vehicles
• Intellectual property rights
• Trademarks and patents

These assets must be:

• Valued by a court-appointed expert
• Free from encumbrances
• Registered in the company’s name after incorporation

In-kind capital contributions can be a tax-efficient and strategic solution for asset-heavy investors.

Foreign Investors and Capital Requirements

Türkiye fully liberalized foreign direct investment under the Foreign Direct Investment Law No. 4875. As a result:

• Foreign shareholders are subject to the same capital requirements as Turkish nationals
• No minimum foreign investment threshold applies
• 100% foreign ownership is permitted in most sectors

Foreign investors may freely transfer capital into Türkiye in foreign currency, which is converted into Turkish Lira during the incorporation process.

Professional guidance from experienced company formation lawyers is essential to ensure compliance with foreign exchange regulations, banking procedures, and documentation requirements.

Capital vs. Paid-In Capital: A Common Misconception

Many investors mistakenly assume that all registered capital must be paid immediately. In reality:

• Registered capital reflects the company’s commitment
• Paid-in capital represents the actual funds transferred

Turkish law allows deferred payment of capital, provided statutory deadlines are respected. Failure to comply may result in:

• Shareholder liability
• Administrative fines
• Potential dissolution proceedings

Careful planning of capital commitments is therefore essential.

Choosing the Right Capital Structure

While minimum capital thresholds are clearly defined, investors should not treat them as a mere formality. Capital size impacts:

• Bank account approvals
• Creditworthiness
• Commercial reputation
• Work permit applications for foreign directors

In many cases, a higher-than-minimum capital enhances credibility, particularly for companies engaged in international trade or regulated industries.

During the company formation in Türkiye process, Akkas CPA & Turkish Accounting Firm assists clients in structuring capital in line with commercial objectives, tax efficiency, and long-term growth plans.

Sector-Specific Capital Requirements

Certain regulated sectors require higher capital thresholds, including:

• Financial institutions
• Insurance companies
• Energy and mining companies
• Tourism and travel agencies
• Licensed logistics and transportation companies

These requirements are imposed by sector-specific authorities and may exceed standard TCC minimums. Early legal assessment is crucial to avoid delays or rejection of license applications.

Capital Increase After Incorporation

Companies may increase their capital after establishment to:

• Attract new investors
• Strengthen balance sheets
• Meet regulatory thresholds

Capital increases require:

• Shareholders’ resolutions
• Amendment of articles of association
• Trade Registry registration

Our firm regularly advises clients on compliant capital increases, including valuation, documentation, and tax implications.

Why Professional Legal Support Matters

Errors in capital structuring may result in:

• Delays in registration
• Banking issues
• Regulatory penalties
• Shareholder disputes

With over three years of experience, Akkas CPA & Turkish Accounting Firm provides end-to-end legal support covering incorporation, capital planning, governance, and post-establishment compliance.

Contact us for Establishing a Company in Türkiye

Choosing the right amount of capital is a strategic decision that impacts your tax liability, your ability to secure credit from Turkish banks, and your corporate reputation. A capital amount that is too low may hinder your growth or lead to work permit rejections, while an unnecessarily high amount might lock up liquidity.

If you are planning to establish a company in Türkiye or wish to assess the optimal capital structure for your investment, we invite you to contact Akkas CPA & Turkish Accounting Firm. Our multilingual legal team in Istanbul is ready to provide tailored, strategic, and fully compliant company formation solutions for local and international investors.