The Iranian Elementary School in Istanbul was one of the most important educational institutions established by Iranian immigrants in the Ottoman Empire. Its continued operation, particularly during its early years, depended on securing funds for educational and operating expenses. This study examines the mechanisms of financing the school and the transformation of its financing structure from its establishment to the end of the First Pahlavi period. It asks: What sources financed the school during the Qajar and First Pahlavi periods, and how did the composition of these sources change in response to political and administrative transformations in Iran? The research employs a descriptive-analytical method based on unpublished documents of the Iranian Ministry of Foreign Affairs, correspondence of the Iranian Embassy, contemporary newspapers, and library sources. The findings show that during the Qajar period, the school relied on a diversified financing pattern. Donations and financial assistance from merchants, guilds, and affluent Iranians, revenues from concerts and theatrical performances, lottery-ticket sales, and the sale of used school equipment collectively contributed to its expenses. Although flexible, this pattern lacked financial stability because it depended on the economic capacity of the immigrant community and fluctuations in commerce. During the First Pahlavi period, as government intervention in education expanded, official appropriations assumed a growing role. Consequently, the school’s financing structure shifted from substantial reliance on community contributions toward increasing dependence on formal government resources. This shift changed relations between the school and the Iranian government.