Company Incorporation in Iran

🏢 Company Incorporation in Iran for Foreign Nationals & International Businesses

🔍 Start Your Own Business in Iran – Full Foreign Ownership, No Local Partner Required

Are you an international entrepreneur or business owner looking to expand into the Iranian market?

At Mobin Pharmed Afra, we specialize in helping foreign nationals and global companies establish a legal and fully-owned business presence in Iran — whether in mainland Iran or in free trade zones.

With favorable regulations allowing up to 100% foreign ownership, Iran offers a promising opportunity for investors in the pharmaceutical, health, nutraceutical, cosmetic, medical device, and general wellness industries.

This comprehensive guide will walk you through:

• ✅ Legal framework for company registration
• ✅ Types of companies available
• ✅ Required documents for foreign nationals
• ✅ Step-by-step process
• ✅ Challenges and how to overcome them
• ✅ Why choose Mobin Pharmed Afra as your partner

Let’s dive in!

🌍 Why Iran? Strategic Benefits for Global Investors

Iran is one of the largest and fastest-growing markets in the MENA region , with over 85 million consumers and strong domestic demand for high-quality healthcare products.

Here’s why setting up your own company in Iran makes strategic sense:

✅ 100% Foreign Ownership Permitted

Unlike many countries in the Middle East, Iran allows full foreign ownership of businesses both in the mainland and in special economic zones — without the need for a local partner.

📈 Growing Pharmaceutical & Health Market

Iran has a well-developed pharmaceutical industry and increasing openness to imported medicines, supplements, and medical devices.

🏛️ Government Incentives for Foreign Investment

The government supports foreign investors through:

• Tax exemptions
• Reduced customs duties
• Access to low-interest loans
• Infrastructure benefits in free zones

🚀 Gateway to Regional Markets

Iran serves as a logistical hub connecting the Middle East, Central Asia, and the Caucasus, making it ideal for regional expansion.

🎯 Who Can Benefit from Setting Up a Company in Iran?

Registering your own company in Iran is ideal if:

• ✅ You’ve confirmed market demand through research
• ✅ You want full control over your operations, pricing, branding, and distribution
• ✅ You plan to participate in public tenders or government contracts
• ✅ You need a local bank account and work permits for expatriates
• ✅ You aim to provide after-sales service or customer support locally
• ✅ You’re considering contract manufacturing or local production
• ✅ You want to benefit from free trade zone advantages
• ✅ You’re targeting export opportunities to neighboring countries

🧩 Types of Companies Available for Foreign Investors

Under Iranian law, several legal structures are available. The most common include:

1. Private Joint Stock Company (PJSC)

• Minimum capital: IRR 1 billion (~$24,000 USD)
• Shareholders: At least 3 individuals or legal entities
• Suitable for medium to large-scale operations
• Public listing possible after certain conditions

2. Limited Liability Company (LLC)

• Minimum capital: IRR 100 million (~$2,400 USD)
• Maximum shareholders: 50
• Popular for small to mid-sized businesses
• Easier management structure

3. Branch Office

• Not a separate legal entity
• Operates under the parent company’s name
• Ideal for short-term projects or market testing

4. Free Zone Companies

• Set up in designated areas like Kish Island, Aras Free Zone
• Enjoy tax exemptions, customs benefits, and simplified procedures
• Can operate with 100% foreign ownership

Each structure comes with its own compliance requirements and operational flexibility. Our team at Mobin Pharmed Afra will help you choose the best fit based on your goals.

📋 Required Documents for Company Registration (For Foreign Nationals)

To register a company in Iran as a foreign national, you’ll need to prepare and submit the following documents:

✅ Identity and Residency Documents

• Valid passport
• Official Persian translation of the passport
• Proof of legal residency in Iran (e.g., residence permit or visa)
• Criminal record clearance (in some cases)

✅ Company-Related Documents

• Draft articles of association
• Certificate of business purpose and scope
• Initial capital documentation
• Verified address for company headquarters

✅ Work and Business Permits

• Work permit from the Ministry of Cooperatives, Labor, and Social Welfare (if applicable)
• Business license from relevant authorities (e.g., IFDA for pharmaceuticals)

✅ Embassy Verification (for Some Nationalities)

• For citizens of countries like China, Pakistan, and Afghanistan, additional verification from their embassy may be required

These documents must be complete, accurate, and properly translated to avoid delays in the registration process.

📝 Step-by-Step Guide to Registering a Company in Iran

1. ✅ Obtain a Unique Identification Code (UID)

All foreign nationals must first obtain a Unique Identification Code (UID) from the Department of Foreign Affairs under the Ministry of Interior.

2. ✅ Choose the Right Type of Company

Based on your business size, investment level, and long-term goals, select the appropriate legal structure.

3. ✅ Select and Reserve a Company Name

Your company name should:

• Be at least three words long
• Not be repetitive or offensive
• Comply with cultural and legal norms

Reserve the name online via irsherkat.ssaa.ir

4. ✅ Prepare and Submit All Required Documents

Compile all necessary paperwork, including identity documents, business scope, and initial capital proof.

5. ✅ Register Online via the Official System

Log in to the official system and enter all company details, including:

• Company name
• Address
• Business activity
• Shareholder information

6. ✅ Pay Legal Fees

Pay all associated fees for registration, publication in official gazettes, and document preparation.

7. ✅ Review and Approval

Once submitted, your application will be reviewed by officials. Any missing or incorrect data will result in rejection and require resubmission.

8. ✅ Publish Founding Announcement

After approval, publish the founding announcement in the Official Gazette and a widely circulated newspaper.

9. ✅ Obtain Economic ID and Stamp Legal Ledgers

Get your company’s Economic ID Number from the Tax Administration and stamp your ledgers as legally valid.

🔍 Challenges Faced by Foreign Nationals When Registering a Company

While the process is structured, foreign entrepreneurs may face several challenges:

🗣️ Language Barrier

Most legal documents and communications are in Persian. Lack of fluency can lead to errors and misunderstandings.

📜 Cultural and Legal Differences

Understanding Iran’s administrative systems and professional etiquette can be challenging for foreigners.

⚖️ Legal Restrictions on Certain Industries

Some sectors like defense, agriculture, and natural resources are restricted for foreign ownership unless special licenses are obtained.

🕰️ Time-Consuming Approvals

Certain nationalities (e.g., Chinese, Afghan, Pakistani) may face longer processing times due to enhanced security checks.

Our team at Mobin Pharmed Afra helps you navigate these hurdles smoothly.

🇨🇳 🇵🇰 🇦🇫 Special Considerations for Citizens of China, Pakistan, and Afghanistan

Due to existing economic ties and geographic proximity, entrepreneurs from China, Pakistan, and Afghanistan form a significant portion of foreign investors in Iran.

🇨🇳 Chinese Nationals

• Often invest in industrial, manufacturing, and tech sectors
• Need special permits from the Ministry of Industry, Mine, and Trade
• Strong interest in machinery, consumer goods, and pharma imports

🇵🇰 Pakistani Nationals

• Typically active in trade, import/export, and services
• Prefer setting up trading companies dealing in food, textiles, and home appliances
• Must secure proper commercial and residency permits

🇦🇫 Afghan Nationals

• Mainly involved in construction, small-scale manufacturing, and retail
• Many have familiarity with Persian language and culture
• Need to ensure valid identification and legal stay status

Mobin Pharmed Afra provides tailored support to all nationalities, ensuring smooth and fast registration.

🧰 What We Offer: Comprehensive Company Setup Services for Foreign Investors

At Mobin Pharmed Afra, we offer end-to-end support for foreign investors seeking to establish a company in Iran’s pharmaceutical and healthcare sectors. Our services include:

✅ Legal Consultancy & Company Registration

We guide you through every step of the registration process, ensuring full compliance with Iranian laws and regulations, particularly those related to the Ministry of Health and IFDA (Iran Food and Drug Administration).

✅ Office & Warehouse Setup

From site selection to design and construction, we help you set up fully compliant office spaces and storage facilities that meet strict pharma and health product standards.

✅ Recruitment Services

We assist in hiring qualified professionals, including technical experts, sales teams, and administrative personnel who understand the local market and regulatory environment.

✅ Licensing & Regulatory Compliance

Our team ensures you obtain all necessary permits and licenses, including:

• IFDA drug and cosmetic registration
• Import/export license
• Commercial registration (from the Company Registration Organization)
• Customs clearance documentation

✅ Tax & Accounting Services

We provide ongoing support for:

• Tax registration and reporting
• Payroll and social security compliance
• Financial auditing and bookkeeping
• VAT and income tax consultancy

✅ Banking Assistance

We help you open corporate bank accounts and navigate the complexities of Iran’s financial system, including foreign currency transfer options and payment solutions.

✅ Visa & Work Permit Processing

We facilitate:

• Business visa applications
• Work and residence permits for expatriate employees
• Immigration documentation

🔑 Why Choose Mobin Pharmed Afra as Your Company Formation Partner?

💼 Specialized in Healthcare & Pharmaceutical Industries

We have deep expertise in the regulatory and operational requirements specific to the healthcare sector, ensuring your business complies with all mandatory standards.

🤝 Strong Relationships with Government Agencies

Our extensive network and experience working with IFDA, the Ministry of Health, and other regulatory bodies enable faster approvals and smoother processing.

📋 Turnkey Solutions

From legal setup to recruitment, office design, and licensing, we handle everything so you can focus on launching and growing your business.

🧭 Local Insight, International Standards

We combine local knowledge with global best practices to ensure your company operates efficiently and sustainably in the Iranian market.

💡 Cost-Effective Operations

By leveraging Iran’s skilled yet affordable workforce and taking advantage of free zone incentives, we help you reduce overhead while maintaining high standards.

📈 Your Gateway to a Booming Market

Registering a company in Iran gives you direct access to one of the largest and most promising pharmaceutical and health product markets in the MENA region.

Whether you’re looking to import and distribute your products, establish a contract manufacturing facility, or explore export opportunities to neighboring countries, having a local presence significantly enhances your credibility, control, and profitability.

📞 Contact Us Today to Begin Your Company Setup Journey

Let us help you build a strong foundation for your business in Iran’s thriving pharmaceutical and healthcare market.

📞 Phone: +98 21 7714 2885
📱 WhatsApp / Mobile: +98 912 769 7187
🌐 Website: www.mobinpharmed.net
📧 Email: info(@)mobinpharmed.net