Convertible Debt and Digital Companies: Türkiye Updates Its Startup Toolkit

Article 11 is highly important for technology startups.

The proposal facilitates investment through convertible debt agreements for non-public companies holding a technostartup badge. It also introduces chamber registration and fee exemptions for certain digital companies.

This means Türkiye is moving closer to the global startup financing language.

Globally, convertible notes and SAFE-like instruments are widely used in early-stage investments. They create a quick bridge between founders and investors by postponing valuation discussions.

In Türkiye, however, these structures have long been used cautiously due to legal uncertainty.

The new article may:

• accelerate investment processes,

• create common ground with foreign investors,

• improve access to finance for early-stage startups,

• and deepen the venture capital market.

The fee exemptions for digital companies may look small, but they are symbolically important.

The message is clear: Türkiye wants to reduce the cost of entering the system and make fundraising easier for founders.