Israel–Turkey Investment Relations
Israel and Turkey signed a Free Trade Agreement in 1997, one of Turkey's earliest FTAs. A bilateral investment protection agreement provides legal safeguards for investors. Bilateral trade between Israel and Turkey has historically exceeded $7 billion annually, though it has been affected by recent geopolitical developments.
Israeli investment in Turkey has included technology, diamond trading, healthcare, and construction sectors. The Israel-Turkey FTA provides preferential tariff treatment for traded goods. Istanbul's position as a logistics hub between Asia and Europe has attracted Israeli trading companies.
Can Israeli Citizens Open a Company in Turkey?
Yes. Citizens of Israel can form a company in Turkey with 100% foreign ownership. Turkish law does not require a local partner or Turkish shareholder. Israeli nationals receive equal treatment under the Turkish Commercial Code, with the same rights and obligations as Turkish-owned companies.
There are no sector restrictions specific to Israeli investors — the vast majority of business activities are open to foreign companies without special permissions.
Visa & Work Permit Information
Israeli citizens can obtain an e-Visa for Turkey for business stays. Visa status may change based on diplomatic relations — confirm current requirements at the Turkish consulate or evisa.gov.tr before travel. Work permits follow the standard Ministry of Labour process after company formation.
Foreign shareholders who do not intend to work or reside in Turkey do not need a work permit or residence permit to own a company. However, if you plan to actively manage your Turkish company from Turkey, a work permit is legally required.
Recommended Company Type
The most common structure among Israeli investors is the Limited Liability Company (LLC / Ltd. Şti.).
LLC (Ltd. Şti.)
- Min. 50,000 TRY capital
- 1–50 shareholders
- Simple management structure
- Best for SMEs and service businesses
Joint Stock (A.Ş.)
- Min. 250,000 TRY capital
- 1+ (no limit) shareholders
- Board of directors required
- Best for large-scale or IPO-track businesses
Branch Office
- No separate legal entity
- No minimum capital
- Extension of parent company
- Best for companies testing the market
Requirements for Israeli Citizens
- Valid passport from Israel
- Turkish tax identification number (vergi numarası)
- Registered business address in Turkey
- Notarized Articles of Association (in Turkish)
- Minimum share capital deposit at a Turkish bank
- Power of attorney (if forming remotely without visiting Turkey)
Formation Process
- Consultation — Choose your company type, define business activities, and plan your structure
- MERSIS Pre-Registration — Enter company details in Turkey's central registry system
- Articles of Association — Draft, notarize, and sign (or via power of attorney)
- Bank Account & Capital Deposit — Open a Turkish bank account and deposit at least 25% of capital
- Trade Registry — File with the local Trade Registry Office
- Tax & Social Security — Register with the tax office and SGK
- Work Permits — Apply if foreign managers or employees will be based in Turkey
The process typically takes 5–10 business days once all documents are prepared. If documents need apostille or consular legalization from Israel, allow additional time.