Iran, Islamic Rep.

Ease of Doing Business in

Iran, Islamic Rep.

This page summarizes Doing Business 2014 data for the Islamic Republic of Iran. The first table lists the overall "Ease of Doing Business" rank (out of 189 economies) and the rankings by each topic. It also lists the economy's distance to frontier (DTF)** measure. The rest of the tables summarize the key indicators for each topic and benchmark against regional and high-income economy (OECD) averages.

Economy Overview

Region Middle East & North Africa
Income Category Upper middle income
Population 76,424,443
GNI Per Capita (US$) 7,211
City covered Tehran
Doing Business 2014 Rank Doing Business 2013 Rank*** Change in Rank
152 152 0

Doing Business 2014 DTF** (% points) Doing Business 2013 DTF** (% points) Change in DTF** (% points)
54.09 54.09 0.00
 

Starting a Business

Info

The challenges of launching a business are shown below. Included are: the number of steps entrepreneurs can expect to go through to launch, the time it takes on average, and the cost and minimum capital required as a percentage of gross national income (GNI) per capita.

DB 2014 Rank 107 DB 2013 Rank*** 101 Change in Rank down-6
DB 2014 DTF** (% points) 83.72 DB 2013 DTF** (% points) 83.68 Change in DTF** (% points) up0.04

Information on new business density and number of newly created firms with limited liability can be found at Entrepreneurship Database.

Indicator Iran, Islamic Rep. Middle East & North Africa OECD

The total number of procedures required to register a firm. A procedure is defined as any interaction of the company founders with external parties (for example, government agencies, lawyers, auditors or notaries).

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Procedures (number)
8 8 5

The total number of days required to register a firm. The measure captures the median duration that incorporation lawyers indicate is necessary to complete a procedure with minimum follow-up with government agencies and no extra payments.

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Time (days)
16.0 19.8 11.1

Cost is recorded as a percentage of the economy’s income per capita. It includes all official fees and fees for legal or professional services if such services are required by law.

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Cost (% of income per capita)
3.1 28.9 3.6

The amount that the entrepreneur needs to deposit in a bank or with a notary before registration and up to 3 months following incorporation and is recorded as a percentage of the economy’s income per capita.

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Paid-in Min. Capital (% of income per capita)
0.4 45.4 10.4
No. Procedure Time to Complete Associated Costs
1 Obtain a criminal record clearance 3-7 days IRR 50,000 per criminal record
2 Reserve a unique company name 3 days IRR 60,000
3 Deposit at least 35% of the subscribed shares in a bank account and obtain proof thereof 1 day no charge
4 Register at the Companies Registration Office and Pay the registration fees 3 days IRR 375,000 for registration and IRR 40,000 for name search and reservation.
5 Place a notice of the company formation in the Official Gazette and the selected newspaper of general circulation 1 day IRR140,000 for official Gazette; IRR 240,000 for general circulation newspaper
6 Retrieve the officially sealed books of account within 30 days of registration 1 day IRR 100,000
7 Pay the share certificate stamp duty within 60 days of company registration 1 day 0.2% of the par value of the subscribed share capital
8 Enroll workers in the social security program at the Iranian Labor Department and Obtain a workplace number 1 day no charge

** The distance to frontier (DTF) measure shows the distance of each economy to the "frontier," which represents the highest performance observed on each of the topics including Getting Electricity across all economies included in Doing Business. An economy’s distance to frontier is indicated on a scale from 0 to 100, where 0 represents the lowest performance and 100 the frontier. Read more...

***Last year's rankings are adjusted: they are based on 10 topics and reflect data corrections.

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