How Can Foreigners Obtain a Work Permit on the Basis of Their Newly Established Company?
In recent years, Türkiye has seen a substantial rise in the amount of companies and businesses being established, becoming a globally recognized hot-spot for foreign investors looking to expand their reach.
However, it is observed that there is a general misconception regarding the process and requirements in which foreigners incorporating a Company may receive a work permit on this basis.
Here are some points to consider before embarking on this endeavour and taking the necessary steps accordingly:
- It is possible to register a 100% foreign owned Company, however in order to employ foreign employees it is compulsory to employ at least five (5) Turkish citizens, who are insured with SGK (social security). If there is a situation of employing more than one foreign worker, 5 Turkish citizens must be employed for each foreigner. If the foreigner requesting a work permit is a partner of the company, the requirement is compulsory for the last six months of the one-year permit to be given by the Ministry.
- The paid-in capital of the workplace requesting permission to employ foreign workers must be at least 100,000 TL. If the paid-in capital requirement is not met, but the Company implements exporting activities, the exported amount for the previous year should be 250,000 USD or its annual turnover should be 800,000 TL
- The foreigner who is a partner of the company who wishes to receive a work permit must have at least 20% of the capital share and the share value is required to be at least 40,000 TL
- The salary to be paid to the foreigner by the workplace should be proportional to the duty and work of the foreign employee and must be more than the minimum wage.
Exceptions to the Requirement of Employing Five (5) Turkish Citizens
- If the company belongs to the entertainment, tourism and travel agencies sector and 10 Turkish citizens are employed within the company, the prerequisite of employing 5 Turkish nationals for each foreign employee is not mandatory.
- In activities that require advanced technology or in cases where there is no Turkish expert with the same qualifications, the aforementioned criteria will not be applied upon the approval to be given by the General Directorate.
- For foreigners who will be employed in enterprises that meet the conditions of Special Foreign Direct Investment, other than the key personnel, the requirement shall be determined based on the number of Turkish citizens employeed in all workplaces of the enterprise throughout the country.
- During the evaluation of the work permit request for the first foreigner who is a key personnel in businesses that meet the criteria for Foreign Direct Investments, the requirement of employing five (5) Turkish citizens are not sought.
Prepared By: Att. Selen Şirinoğlu