📌 The Key Point
Setting up a company in Turkey and working in or managing it are two different legal questions. A foreign investor can be a shareholder under the same rules as a Turkish citizen. But a foreigner who will act as a manager, board member with representation, or otherwise work in the company needs a work permit under Law No. 6735 on International Labour Force.
Acting as a founder or manager without a permit can make those actions invalid and lead to administrative fines, so the permit should be planned together with the company formation.
1. Who Needs a Work Permit?
Practitioners' guidance and the Ministry's framework treat these roles as work in the company:
- A partner who is also the manager of a limited company
- A shareholder who is a board member of a joint stock company (non-resident board members are generally treated differently)
- A managing general partner of a partnership limited by shares
- Any foreigner who will be employed by the company
A foreign shareholder who does not work or manage the company does not need a work permit just for owning shares.
2. The Conditions for a New Company
The Ministry of Labour and Social Security publishes work permit evaluation criteria. The version in force since October 1, 2024 sets these rules for workplaces assessed on a balance-sheet basis:
| Condition | Rule |
|---|---|
| Paid-in capital of a newly established workplace | At least TRY 500,000 |
| Turkish employees | At least 5 Turkish citizens for each foreign employee |
| Foreign vs Turkish headcount | Foreign workers with permits cannot exceed Turkish employees |
| More than three foreigners | The fourth and later foreigners each need 5 additional Turkish employees and the financial criteria |
For foreign partners specifically, practitioner guidance for 2026 adds that the partner's share should be at least 20% of the company and at least TRY 500,000 in value. The five-employee requirement is applied from around the seventh month of the first permit. If the partner's capital share reaches about USD 100,000 or more, these capital, percentage and employee conditions are not applied.
⚠️ Check Before You Rely on These Numbers
Thresholds are changed by Ministry announcements and older articles still quote lower figures (for example TRY 40,000 or TRY 100,000 capital). The Ministry's current criteria and your specific position should be confirmed before you file.
3. How the Application Works
- Form the company first. The company, not the individual, is the employer applicant.
- Apply through the Ministry's e-İzin system. If you are abroad, the process starts through a Turkish consulate; if you are in Turkey with a valid residence permit, you can apply online.
- Submit the company documents, the foreign partner's passport and the required forms.
- A decision is normally expected within about 30 days, and the first permit is usually issued with conditions that are checked at extension.
A work permit also serves as the basis for residence in Turkey. If the permit is refused or the conditions are not kept, extension can be rejected, so the employment numbers must be maintained.
4. Other Routes Worth Knowing
- Turquoise Card: a points-based route for qualified profiles under Law No. 6735, with its own transition period and annotation rules.
- Technology investor fast track: an invitation-based accelerated route for foreign technology founders and engineers, reported by practitioners as not requiring the standard capital and Turkish-employee ratios.
- Independent work permit: available later, after a period of work, for those who qualify.
Which route fits depends on your activity and timeline. Budgeting for formation and permit together is easier with the company formation cost guide.
5. Frequently Asked Questions
Does owning shares in a Turkish company give me the right to work there?
No. Shareholding gives ownership rights, but working in or managing the company requires a work permit under Law No. 6735.
How much capital is needed for a foreign partner work permit?
Under the Ministry of Labour criteria, a newly established workplace needs paid-in capital of at least TRY 500,000. Practitioner guidance for 2026 also asks for a foreign partner share of at least 20%, with an exemption when the partner's share reaches about USD 100,000. Confirm the current criteria before applying.
How many Turkish employees do I need to hire?
In general at least five Turkish citizens for each foreign employee, and the number of permitted foreigners cannot exceed the number of Turkish employees. For a new permit the requirement is checked from around the seventh month.
How long does the work permit decision take?
Practitioner sources report a decision within about 30 days of a complete application.
Can I run my Turkish company from abroad without a permit?
You can be a shareholder from abroad. If you hold a manager position in a limited company or a board seat with executive role, the permit question applies, so check your exact role.
Conclusion
Plan the work permit at the same time as the company: capital, share structure and Turkish headcount decide whether a foreign partner can legally run the business. Getting this wrong early costs more than getting it right with a short checklist.
Koray Akdağ / Sistem Global Danışmanlık can map your company structure to the permit conditions and coordinate formation and permit filings. Get in touch.
General information as of October 2026, not legal or tax advice. Confirm current rules with the relevant authority before acting.