JOINT STOCK AND LIMITED LIABILITY COMPANIES ARE REQUIRED TO INCREASE THEIR CAPITAL TO THE MINIMUM CAPITAL AMOUNTS BY 31 DECEMBER 2026

The minimum capital amounts prescribed for joint stock companies and limited liability companies under Turkish Commercial Code No. 6102 (“TCC”) have been increased pursuant to Presidential Decree No. 7887 dated 24 November 2023 and Law No. 7511 Amending the Turkish Commercial Code and Certain Other Laws, published in the Official Gazette on 29 May 2024, as follows:
 

• The minimum capital requirement for joint stock companies has been increased from TRY 50,000 to TRY 250,000;
• The minimum capital requirement for limited liability companies has been increased from TRY 10,000 to TRY 50,000; and
• The minimum initial capital requirement for non-public joint stock companies that have adopted the registered capital system has been increased from TRY 100,000 to TRY 500,000.

Capital Increase Requirement for Existing Companies

Pursuant to Provisional Article 15 added to Turkish Commercial Code No. 6102 by Law No. 7511 Amending the Turkish Commercial Code and Certain Other Laws, published in the Official Gazette on 29 May 2024, joint stock companies and limited liability companies whose capital is below the applicable minimum capital requirements are required to increase their capital to the minimum amounts stipulated under Articles 332 and 580 of the TCC by 31 December 2026.
If the required capital increase is not completed within the prescribed period, the relevant joint stock or limited liability company will be deemed dissolved.

Furthermore, non-public joint stock companies that have adopted the registered capital system and have an issued capital of at least TRY 250,000 are required to increase both their initial capital and issued capital to TRY 500,000 by 31 December 2026. Otherwise, such companies will be deemed to have exited the registered capital system.

In this context, we strongly recommend that companies whose capital remains below the minimum amounts specified above contact us as soon as possible in order to avoid the year-end workload and the risk of delays.

Kind regards,