Business Formation

Applies to women only: Obtain husband’s permission to leave the home

Agency: Domicile

According to articles 61 and 62 of Personal Status Law, a wife must obtain permission to leave the home. If she doesn’t, she is considered disobedient and will not be entitled to financial support.

Time and cost: 1 day, no charge

Register at the Ministry of Industry and Trade and obtain a letter to open a bank account

Agency: Ministry of Industry and Trade

To register, the entrepreneur must submit the following documents to the Companies Registry of the Ministry of Trade and Industry:

  • Duly completed application for company registration;
  • The memorandum and articles of association (standard forms are often used);
  • Proof of 50% capital deposit from the Bank (submitted after opening the bank account and depositing the capital);
  • Copy of the entrepreneur’s ID card.

Fees include:

  • Registration fees of 0.002 (2/1000) of the capital of the company, or 250 JD, whichever is greater
  • Stamp Fees of 0.003 (3/1000) of the capital of the company
  • Fee for publication in the official gazette: JOD 15
  • Fee for filing the first general assembly meeting and board of directors’ meeting minutes: JOD 40
  • Fee for obtaining the standard form of the memorandum and articles of association: JOD 10
  • Fee for the Registration Certificate: JOD 10
  • Filing fee: JOD 10

At the moment of submitting the documents for registration, an entrepreneur needs to request a letter from the Ministry of Industry and Trade, in order to open a bank account. The letter shall state the name of the company, the name of the shareholders (percentage of their shares) and the capital amount.

Time and cost: 1 day, see procedure details

Open a bank account and deposit 50% of the capital

Agency: Bank

All new businesses must open a bank account and deposit at least 50 percent of their startup capital. In order to open a bank account, the following documents are submitted:

  • National ID;
  • Letter from the Companies Registry of the Ministry of Industry and Trade address to the shareholders to open a bank account, deposit the capital and get a bank certificate to that effect.

Time and cost: 1 day, no charge

Obtain a tax identification number and Register for VAT

Agency: Tax Office

The entrepreneur must apply for tax registration (including corporate tax, income tax, and VAT) by completing the application form and submitting it to the relevant Tax Office. After registration, the company obtains a unique tax identification number (TIN).

Time and cost: 1 day (simultaneous with previous procedure), no charge

Register at the Chamber of Industry or the Chamber of Commerce

Agency: Chamber of Industry or Chamber of Commerce

If the company conducts commercial activities, it must register with the Chamber of Commerce. If the company conducts industrial activities, it must register with the Chamber of Industry. Representatives of both Chambers are available at the Companies Registry office (in separate windows). In order to register, the following documents are required for submission:

  • Certificate of Registration from the Ministry of Trade and Industry;
  • Memorandum and articles of incorporation;
  • Original lease agreement of workplace premises;
  • Copy of the identity cards (ID) of the company’s authorized signatories.

Registration fees vary as a function of the startup capital. If the company conducts industrial and commercial activities, it is required to register with both chambers.

To register at the Chamber of Commerce, fees vary between JOD 50 and JOD 1,500.

To register at the Chamber of Industry, fees vary between JOD 100 and JOD 1,500.

Fees can be paid directly at the window where the registration documents are submitted.

Time and cost: 1 day (simultaneous with previous procedure), JOD 75 for registration at the Chamber of Commerce or JOD 200 for registration at the Chamber of Industry

Obtain a vocational license from the Greater Municipality of Amman (GAM)

Agency: Greater Municipality of Amman (GAM)

The entrepreneur must submit a complete application form along with the following documents in order to obtain a vocational license from the municipality:

  • A planning location map issued by the Greater Amman Municipality (GAM) – obtained from landlord if property is leased;
  • Occupancy permit issued by GAM – obtained from the landlord if property is leased;
  • A copy of the property deed or lease agreement.

Once the GAM officer verifies that the location is situated in the right zoning area and that no property taxes or fees are due, a municipal officer sets a date for inspection of the company premises. If the conducted inspection is deemed satisfactory, the entrepreneur must submit the following documents to the competent vocational licenses division of the municipality:

  • The company’s certificate of registration;
  • A certificate of the company’s authorized signatories;
  • Memorandum and articles association;
  • Certificate of registration with either the Chamber of Commerce or the Chamber of Industry;
  • The lease contract (stamped by GAM once received);
  • The planning location map issued by GAM;
  • The occupation permit issued by the GAM.

If the company premises is 150 square meters or more (or for certain businesses requiring civil defense measures), GAM sends a letter to the Civil Defense Directorate. If the company meets the requirements of the Civil Defense Directorate inspection but does not undergo inspection by the Directorate within 4 days of the letter receipt, GAM grants the applicant a conditional vocational license which may be revoked in the subsequent year if the Civil Defense Department does not grant its approval.

Time and cost: 8 days, JOD 200

Receive the Civil Defense inspection by the Greater Municipality of Amman (GAM)

Agency: Greater Municipality of Amman (GAM)

In addition to the Civil Defense inspection, from certain businesses (e.g., the food industry, gas stations), a representative of the Ministry of Health will conduct a health inspection of the company premises.

Time and cost: 1 day (simultaneous with previous procedure), no charge

Register for social security

Agency: Social Security Office

Every business must register for social security. In order to register for the Social Security, the company must submit a complete application form along with the following documents:

  • Vocational License;
  • Registration Certificate;
  • Power of Attorney authorizing a person to represent the company before the social security, if needed.

The company must submit the social security contributions for its employees on a monthly basis (total contributions are at 14.25% from the employer and 7.5% from the employee).

Time and cost: 1 day (simultaneous with previous procedure), no charge