Turkish Residence Permit for Shareholders

Many foreign nationals are allowed to stay in Turkey for 90 days within a 180-day period without requiring a visa. This allows foreigners to travel freely to Turkey. However, it does not provide the essential benefits of having a foreign identification number in the Turkish system, which can only be obtained by holding a residence permit in Turkey.

The Turkish residence permit allows foreign business owners to utilise the essential accounting and legal tools required by their businesses and comply with the KYC requirements of banks and various sectors in Turkey. Turkish business frameworks are sophisticated and digitised. Entering the system smoothly is easy once you obtain a residence number.

This article covers the route for obtaining a short-term residence permit—which is highly beneficial for running an active business in Turkey—for foreign investors who wish to move to Turkey for personal or business reasons. The four main types of residence permits in Turkey are family, short-term, long-term, and education. This article focuses on the short-term residence permit, which can be granted for tourist, business, or other reasons.

The two main types we are reviewing are the tourist and property residence permits, as these are the most practical options according to our experience. These are also the primary routes available to foreigners travelling to Turkey exclusively for business. Note that the tourist residence permit is usually valid for 6 months, and the property residence permit is valid for 2 years, but both can be extended at the end of each term.

Main Documents Required

The essential documents required for a short-term residence permit in Turkey are available on the official website of the Göç İdaresi (the Directorate General of Migration Management). Here is a summary list of the required documents:

• Signed and stamped bank statements or salary payment documents that prove the applicant has sufficient income to sustain themselves during their stay in Turkey.
• A copy of the notarised translation of the applicant’s passport.
• An insurance document that covers the period of their stay in Turkey.

Touristic Residence Permit

Even though the name of this permit type implies that it does not cover business purposes, the legal nature of this permit includes business travellers. In fact, this is the route to follow in most business cases. A tourist residence permit can be issued for a period of 6 months.

The essential documents for this type of short-term residence permit, in addition to those listed above, are:
• A notarised rental contract or similar proof of accommodation + utility bills.
• A travel itinerary.

Residence Permit Through Property Ownership

A short-term residence permit in Turkey through property ownership is one of the most popular routes to obtaining a legal foothold in the country. It provides a more secure alternative pathway to the tourist residence permit.
• The primary requirement is the purchase of a residential property with a land registry (tapu) value of at least 200,000.00 USD.
• The value of the property must be proven by the transaction value written on the land registry.
• A Numerataj certificate must be obtained from the district municipality where the property is located.
• A copy of the land registry document (tapu) must be submitted.

The most important part of applying for a property-based residence permit is conducting appropriate due diligence before purchasing a residential property in Turkey. There are strict rules governing the types of property foreigners can own in Turkey, and the requirements for property to be eligible for immigration purposes are equally strict. Finally, the transaction must be carried out in the exact procedural form required for residence applications.

Renewing a Short-Term Residence Permit

Short-term residence permits can be renewed before their term ends. The Göç İdaresi sends a notification at the beginning of the 60-day period before the residence permit expires, reminding foreigners that their renewal period has begun. Foreigners must renew their permits within this 60-day window. Foreigners must obtain a UETS address for their renewal application. UETS is an electronic notification system used for binding legal and official notices. It is mandatory for companies and lawyers in Turkey. Although individuals are generally not required to have a UETS address, foreigners who are renewing their residence permits must obtain one.

In addition to the documents listed in the relevant sections above, foreigners must also submit a copy of their existing Turkish residence permit card alongside their application folder.

Conclusion

Holding a residence permit in Turkey is not required to incorporate a company in Turkey. It is not strictly required for any of the post-incorporation steps either, but it significantly reduces the administrative burden. That is why it is advisable to have a Turkish national or resident director for a foreign-owned corporation in Turkey.

Foreign investors may prefer to fulfil this role themselves by obtaining a short-term residence permit. Whether this is the case or the foreign shareholder simply prefers to hold a residence permit in Turkey, the most practical options are to obtain either a tourist residence permit or a property residence permit, depending on their circumstances.

The term “touristic” should not be interpreted to exclude business purposes, as it is a general category that includes investors. Both the tourist and property residence processes are straightforward and can be completed swiftly with an experienced legal representative, especially since the Turkish immigration authorities have undergone extensive reorganisation to make the processes as efficient as possible.