LLC and Joint Stock Company Formation

Most foreign-partnered companies in Turkey are set up as either a limited liability company (LLC) or a joint stock company (JSC). Both are separate legal entities and, broadly speaking, limit partner liability to the capital contributed — but they differ in management structure, how easily shares can change hands, and overall flexibility. We help you decide which fits your number of partners and how you plan to run the business.

Average Processing Time: A few weeks (can vary)
Where to Apply: The relevant Trade Registry Office (via the MERSİS system)
Validity: Legal personality is acquired upon trade registry registration

Initial Assessment

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Who It’s For

Those wanting a relatively flexible structure with a small number of partners

An LLC offers a simpler day-to-day management setup.

Those wanting to make future share transfers easier or bring in outside investors

A joint stock company’s share structure tends to suit this better.

Those who prefer operating with a formal board structure

A joint stock company requires a board of directors as a mandatory body.

Foreign partners who want their liability limited to the capital they contribute

In both types, partner liability is broadly limited to the capital share.

Required Documents

Identity/passport details of the founding partners

A passport copy is required for foreign partners.

Proposed trade name and description of business activity

The activity description needs to be clear and complete.

Draft articles of association

Prepared through the MERSİS system according to the company type.

Proof of the company’s registered address

A lease agreement or title deed, for example.

Tax identification number of the partners

For foreign partners, a potential tax number is obtained separately.

Details of the manager(s) or board members

Clarifies who is authorised to represent the company.

Notary appointment for the signature declaration

The authorised signatories’ signature circular is issued before a notary.

Trade registry application form and MERSİS number

The incorporation application is generated through the system.

The document list can vary by application reason and personal circumstances; the current requirements of the Provincial Directorate of Migration Management apply.

Process Steps

01

Choosing the Type and Initial Assessment
Within 1-2 days

Based on your number of partners and how you plan to run the business, we determine whether an LLC or JSC fits.
02

MERSİS Application and Drafting the Articles
A few days

The trade name, activity description, and articles of association are prepared through the system.
03

Notary Procedures
Within 1-2 days

Signature declarations and required documents are executed before a notary.
04

Trade Registry Registration
A few days

The application file is submitted to the relevant Trade Registry Office; legal personality is acquired upon registration.
05

Tax Office and Chamber Registration
In the days following registration

After incorporation, registration with the tax office and the relevant chamber of commerce/industry is completed.

Not sure whether your situation fits this process?

Initial Assessment

Legal Basis

Turkish Commercial Code No. 6102

Sets out the incorporation, management, and share transfer rules for LLCs and joint stock companies.

Trade Registry Regulation

Sets out the procedure for registration applications, the MERSİS system, and registry transactions.

Common Mistakes

Choosing a company type that doesn’t fit how the business will actually run

Converting to a different type later requires a separate legal process.

Describing the business activity incompletely or vaguely

Any future activity outside that description needs a separate amendment and registration.

Not clarifying signature authority and the representation structure

An unclear division of authority delays banking and official transactions.

Leaving agreements between partners only verbal

Anything not reflected in the articles of association offers no protection if partners later disagree.

Registering the company at a temporary or unverifiable address

Address mismatches cause problems at registration and with later official notices.

Frequently Asked Questions

The main differences show up in management structure, how easily shares transfer, and overall flexibility; liability is broadly capital-limited in both.

Yes, both types can be set up with a sole partner.

A joint stock company’s share structure generally allows transfer with fewer formalities; an LLC’s transfer depends on registration.

Yes, converting from one type to another is possible, but it’s a separate legal process.

Foreign investment law grants foreign partners the same treatment as Turkish partners; we assess your partnership structure together.

No, a manager or board member can be a foreign national; some cases involve additional conditions to assess.

Yes — we cover that in detail on a separate page, Foreign-Owned Company Formation.

Related Services

Foreign-Owned Company Formation When a foreign individual or foreign company becomes a partner in a Turkish company, a handful of points sit on top of the standard incorporation steps: obtaining a potential tax number, getting documents issued abroad apostilled and sworn-translated, and providing paperwork that verifies the foreign partner’s identity or corporate status. Branch and Liaison Office A branch and a liaison office are two ways to have a presence in Turkey without incorporating a separate company — neither is an independent legal entity. Work Permit for Company Partners Getting a work permit through a company you’ve founded or hold a share in is a separate process from setting the company up — this page isn’t about incorporation, it’s about obtaining a work permit for a partner or manager of an already-established company.

This content is for informational purposes only and does not constitute legal advice.