company formation and choice of entity under Iranian law
Choosing a company type is more than a registration decision. Ownership, the extent and type of liability, management, capital transfers and members’ exit arrangements differ between company types and must fit the actual business model.
Request a consultationcompany formation and choice of entity under Iranian law
Choosing a company type is more than a registration decision. Ownership, the extent and type of liability, management, capital transfers and members’ exit arrangements differ between company types and must fit the actual business model.
Important aspects of this matter
Point 1
Number and role of founders and actual business ownership model
Point 2
Capital, Method of financing and possibility of new investor entry
Point 3
Management, voting rights, authorised signatories and decision-making arrangements
Point 4
Method of share transfer, Partner withdrawal and termination of company activity
Legal points and course of action
A private joint-stock company and a limited-liability company are two commonly used structures with important differences in capital, ownership, and management. The articles of association or company agreement must be drafted to suit that structure and the founders’ actual needs.
In every case, compare the company’s current registration records, internal documents and actual events. Similar case labels do not mean that the relief sought, opposing party or legal outcome will be the same.
Related topics
Claims for profit distributions and shareholders’ rights
Shareholders’ financial and management rights, distributable profits, voting rights and access to information within statutory limits.
increase or reduction of an Iranian company’s capital
Changes to company capital, funds introduced or withdrawn, effects on ownership percentages, and decision-making and registration formalities.
partner or shareholder dispute in an Iranian company
Disputes over management, profits, voting rights, document access, general-meeting decisions and performance of members’ agreements.
Registration of company changes and meeting minutes
General-meeting and board minutes; changes to directors, capital, address, business objects and authorised signatories.
Relevant legal sources
Iranian Commercial Code («قانون تجارت»)
Iranian Companies Registration Act
Iranian Act Amending Part of the Commercial Code
This list identifies the principal legal provisions relevant to the page. The applicable law and amendments must be checked against the dates, subject matter and circumstances of each case.
The official texts and latest amendments are available in the National Database of Iranian Laws and Regulations.
Frequently asked questions
Methods of contact
For legal advice or follow-up on a case, contact us using one of the methods below.