Ease of Doing Business in

Iran, Islamic Rep

Iran, Islamic Rep Download Profile (1789.7KB, pdf)
Region Middle East & North Africa
Income Category Upper middle income
Population 79,109,272
GNI Per Capita (US$) 6,019
City covered Tehran



DB 2017 Rank



DB 2017 DTF (% points)

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Topics DB 2017 Rank DB 2016 Rank info_outline Change in Rank DB 2017 DTF (% points) info_outline DB 2016 DTF (% points) info_outline Change in DTF (% points) info_outline
Overall 120 117 down
57.26 57.08 down
Starting a Business 102 97 down
85.06 84.86 up
Dealing with Construction Permits 27 27
78.50 77.90 up
Getting Electricity 94 90 down
69.15 69.17 down
Registering Property 86 85 down
64.17 64.33 down
Getting Credit 101 97 down
45.00 45.00
Protecting Minority Investors 165 166 up
35.00 35.00
Paying Taxes 100 99 down
69.79 69.79
Trading across Borders 170 171 up
40.66 39.38 up
Enforcing Contracts 70 69 down
60.00 60.00
Resolving Insolvency 156 155 down
25.25 25.32 down

Positive= Doing Business reform making it easier to do business.Negative= Change making it more difficult to do business.

DB 2017 Rank:


DB 2016 Rank:


Change in Rank:


DB 2017 DTF (% points):


DB 2016 DTF (% points):


Change in DTF (% points):


Legal form Limited Liability Company (شرکت با مسئوليت محدود)
Paid-in minimum capital requirement IRR 0
City Tehran
Indicator Iran, Islamic Rep Middle East & North Africa OECD high income
Procedure – Men (number) info_outline 8 7.9 4.8
Time – Men (days) info_outline 15 20.2 8.3
Cost – Men (% of income per capita) info_outline 1.1 26.3 3.1
Procedure – Women (number) info_outline 9 8.6 4.8
Time – Women (days) info_outline 16 20.9 8.3
Cost – Women (% of income per capita) info_outline 1.1 26.3 3.1
Paid-in min. capital (% of income per capita) info_outline 0 11.2 9.2
  • No. Procedure Time to Complete Associated Costs

    Obtain husband's permission to open a business

    Agency: Domicile

    According to Civil Code Art. 1117, the husband can prevent his wife from occupations or technical work which is incompatible with the family interests or the dignity of himself or his wife. Therefore, a married woman must obtain the permission of her husband to open a business and commence the business incorporation process.

    1 day no charge

    Obtain a criminal record clearance

    Agency: Police Electronic Service Centers

    Under articles 111 and 147 of the amendments to the Commercial Code of 1969, a criminal record clearance must be obtained from all company directors in order to register a new company.

    5 days on average IRR 150,000 (IRR 50,000 per criminal record and IRR100,000 to the account of the Justice Department in Tehran)

    Reserve a unique company name, Register at the Companies Registration Office and Pay the registration fees

    Agency: Companies Registration Office

    To register with the Companies Registration Office, the company must submit the following documents:
    - Articles of association, signed by all shareholders
    - Declaration stating that all shares have been subscribed
    - Minutes of the general assembly of founders and board of directors
    - Minutes of the shareholders’ meeting, reflecting the election of the first directors and inspector(s)
    - Written statement accepting the position of directorship and inspectorship
    - National ID Card (Carte Melli) and birth certificates (certified copies) of the shareholders and inspectors
    - Name of a mass circulation newspaper in which all company announcements will be published

    Application files are assigned a bar code so that each internal desk that receives the file tracks its entrance and exit. In addition, an electronic payment system is conducted with a card and a machine is used to pay registration fees.

    3 days IRR 375,000 for registration and IRR 40,000 for name search and reservation.

    Place a notice of the company formation in the Official Gazette and the selected newspaper of general circulation

    Agency: Official Gazette

    It is possible to directly publish the notice of the company formation through the Official Gazette and the selected newspaper or general circulation or submit it to the post office, which then forwards them to the Gazette. This process takes 15 to 30 days. However, businesses do not need to wait until the publication is completed to start their business. Upon submission of the registration notice to the official gazette for publication, a copy thereof is affixed with the stamp of the official gazette office indicating that the notice is in the process of publication. This notice, bearing the stamp of the official gazette, in terms of the start of business operations holds the same value as the notice published in the Gazette. Thus, with this notice, the company can proceed with business operation formalities.

    1 day IRR140,000 for official Gazette; IRR 240,000 for general circulation newspaper

    Notify the State Tax Affairs Organization of the commencement of business activities

    Agency: State Tax Affairs Organization

    As per Article 177, Note 3 of the Direct Tax Act, the new company must notify the State Tax Affairs Organization in writing of the commencement of its business operations within 4 months. Failure to do so will result in a fine and a deprivation of any applicable tax facilities and exemptions.

    1 day no charge

    Register for VAT

    Agency: State Tax Affairs Organization

    The registration for VAT is needed for a company performing general industrial or commercial activities such as the case-study measured by Doing Business. The legal basis for such registration is the Law of Implementation of the Value Added Tax enacted in 1387 (as amended). There is no cost for VAT registration, and it can be completed online through www.evat.ir. The State Tax Affairs Organization is part of the Ministry of Economic Affairs and Finance.

    2 days no charge

    Retrieve the officially sealed books of account within 30 days of registration

    Agency: Authorized Vendor

    The cost depends on the number of pages of the official sealed books of account.

    1 day IRR 100,000

    Pay the share certificate stamp duty within 60 days of company registration

    Agency: Bank

    According to Article 48 of the Direct Taxation Act, the stamp duty must be paid within 60 days of company registration. It is paid at Bank Melli Iran because it is an official government duty.

    1 day 0.05% of the par value of the subscribed share capital

    Enroll workers in the social security program at the Iranian Labor Department and Obtain a workplace number

    Agency: Labor Department

    To open files in the social security program, the applicant sends a copy of the first monthly salary report to the Iranian Labor Department with a premium contribution of 33% of the employee’s monthly salary (7% worker, 23% employer, 3% unemployment contribution, and 3% government).

    1 day no charge

    Applies to women only.