An Iranian firm is a company which is established according to the Trades Law; and also a company which is established and registered abroad; established and registered in Iran as well; even if one hundred percent of the stocks or shares equity of those companies belong to foreign natural persons or legal entities.

Yes, any foreign company is allowed to establish a legal base in Iran through registering a branch and/or representative of the holding company in order to develop its trading and business affairs and to fulfil its contract duties, marketing activities; etc. There are particular regulations for establishing a branch or representative office and the applicants shall directly check with the General Department for the Registration of Corporations and Industrial Ownership.

Establishing branch and/or representative office is not considered as foreign investment. The foreign investor; however, can establish a new Iranian company, participate in an existing Iranian company and/or reach contract agreements with an Iranian investee firm.

By term “Iranian Firm” it means, regardless of shareholders or stockholders nationalities, the company should have been established and registered according to the Trade Law of Iran.