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Company Formation

Free Zone Company

A company established in areas deemed outside the customs territory, for production and export-focused structures. The option with the strongest tax advantages.

Minimum capital
TRY 50,000
Paid up at incorporation
No
Shareholders
at least 1
Incorporation time
20–45 business days
Foreign ownership
100% permitted
Commercial activity
Yes

Who it suits

  • Export-oriented industrial manufacturing investments
  • Transit trade, warehousing and distribution centre operations
  • Software and R&D activities (varies by zone)
  • Assembly and processing plants using imported inputs

Key points

Türkiye has 18 operating free zones. Zone selection should weigh port and airport proximity, sectoral clustering and rental costs together.

Advantages

  • Corporate tax exemption on income from manufacturing activities
  • Income tax withholding exemption on wages for companies exporting at least 85% of the FOB value of what they produce
  • Customs duty and fund exemption; no VAT on imports
  • No restriction on profit repatriation
  • Stamp duty and fee exemptions

Points to watch

  • Requires an operating licence application and approval by the zone operator; the process takes 3–6 weeks
  • Operating licence, warehouse and land rental create additional fixed costs
  • Domestic sales are subject to the import regime, reducing the advantage for domestic-market business models
  • Activity outside the scope of the licence is not permitted

Let's start with a conversation

In a free 30-minute call, let's clarify which company structure and which incentives fit you. Non-binding, but useful.