Jordan Company Registration Guide (Outlook for 2025)

This guide summarizes practical steps, likely policy directions, and important precautions for registering a company in Jordan as you enter 2025. It balances operational detail with compliance reminders so entrepreneurs—local or foreign—can plan and execute registration efficiently. Note: laws and administrative practices can change. Always confirm with official Jordanian authorities or a licensed local advisor.

Policy highlights and interpretations relevant for 2025

• Digitalization and one‑stop services: Jordan has been moving toward streamlined electronic filings and simplified registration channels. Expect continued expansion of e‑registration portals and faster name reservation and company incorporation procedures.
• Focus on AML/CFT and beneficial ownership transparency: Authorities are tightening anti‑money laundering checks and requiring clearer disclosure of ultimate beneficial owners. Prepare to provide verifiable identity documents and source‑of‑fund explanations.
• Incentives and sectoral emphasis: The government remains focused on attracting investment in ICT, renewable energy, export processing, and pharmaceuticals. Special economic zones or investment incentives may be expanded—check current lists for eligibility.
• Employment and foreign labor controls: Work permits and residence procedures for expatriate staff continue to be regulated to protect local labor; expect administrative steps and quota checks for foreign hires.
• Regulatory alignment and tax clarity: Ongoing administrative clarifications are likely around VAT registration, corporate tax compliance, and transfer pricing documentation for multinationals.

Who can register and common company types

Typical forms used in Jordan include:

• Limited Liability Company (LLC) — common for small and medium enterprises.
• Private or Public Joint Stock Company — suited for larger or fund‑raising businesses.
• Branch or Representative Office — options for foreign companies wanting presence without a separate legal persona.
• Sole proprietor / professional practice — often used by individual traders or professionals.

Step-by-step operational checklist

1. Decide company type and structure: Choose the legal form that fits liability, governance, and funding needs. Consider shareholder numbers, board requirements, and governance obligations.
2. Name reservation: Propose several unique company names and reserve the preferred one through the Companies Registry or the online name reservation service (if available).
3. Prepare foundational documents: Draft the memorandum and articles of association (or equivalent). Clearly define activity scope, capital structure, share classes, and director/shareholder powers.
4. Gather required identity documents: Collect passports/IDs, proof of address, and any translated/notarized and legalized documents for foreign shareholders or directors. Prepare certified signatures and, where applicable, notarized powers of attorney.
5. Deposit share capital (if required): Some company forms may require an initial capital deposit in a Jordanian bank; obtain bank certification of deposit when applicable.
6. File incorporation application: Submit incorporation forms, MOA/AOA, and supporting documents to the Companies Registry (or the electronic portal) and pay registration fees.
7. Obtain commercial registration and municipality/licensing approvals: After company registration, secure the Commercial Registration Certificate and any municipal trade licenses or sectoral permits (construction, health, tourism, pharmaceuticals, etc.).
8. Register for taxes and social security: Register at the Income & Sales Tax Department (VAT and corporate tax as applicable) and the Social Security Corporation for employee contributions.
9. Obtain work permits and visas for expatriate staff: Apply for work permits via the Ministry of Labor and secure residence/work visas through immigration channels.
10. Open corporate bank account: Use the registered company documents and proof of director identity to open accounts in Jordanian banks; banks will perform enhanced due diligence per AML rules.

Documents commonly required

• Completed application forms from the Companies Registry.
• Memorandum & Articles of Association (or equivalent statutory documents).
• Copy of national IDs/passports for shareholders, directors, and managers.
• Proof of registered office address (lease or title).
• Bank certificate for capital deposit (when applicable).
• Power of Attorney and notarized/legalized translations for foreign documents.
• Relevant sector licenses or pre-approvals (if activity is regulated).

Special considerations for foreign investors

• Choose between incorporating a local company, opening a branch, or setting up a representative office. Branches tie liabilities to the parent company; representative offices have activity limitations.
• Foreign investment incentives: Check current investment promotion agency lists for incentives, tax exemptions, or land/utility facilitation.
• Work permits and Jordanian labor rules: Factor time for quota approvals and skilled‑worker validations.
• Currency and repatriation rules: Confirm repatriation rights, banking requirements, and possible reporting on cross‑border payments.

Compliance, corporate governance and ongoing obligations

• Annual filings and financial statements: Prepare timely audited accounts and comply with accounting standards.
• Tax filings and VAT: Register and file corporate tax returns and VAT reports as required by law.
• Beneficial ownership and AML reporting: Maintain up‑to‑date ownership registers and be prepared for audits and enhanced customer due diligence.
• Board minutes, shareholder registers, and statutory books: Keep proper corporate records to avoid penalties.

Common pitfalls and Notes (Precautions)

• Don’t rely solely on outdated fee or timeline estimates—official fees and processing times are subject to change.
• Ensure translations and notarizations follow Jordanian legalization requirements; improper documents delay registration.
• Clarify the permitted business scope in MOA/AOA; overly broad or vague activities can create licensing issues.
• Prepare AML documentation early—banks and regulators may request detailed source‑of‑fund explanations.
• Plan foreign hires ahead of time for work permits; hiring without proper permits can lead to fines and deportation.
• If you plan to raise capital or list shares, select an appropriate corporate form from the outset to avoid restructuring costs later.

Practical examples

Case 1: Small tech start‑up (local founders)

1. Choose LLC for limited liability and simplified governance.
2. Reserve name, prepare MOA defining software development and export services.
3. Register, obtain commercial license, then register for VAT once revenue passes the threshold.

Case 2: Regional manufacturer (GCC parent)

1. Open a branch or form a Jordanian joint stock/subsidiary depending on liability and tax planning.
2. Secure industrial permits and check incentives for export processing zones.
3. Apply for necessary environmental and municipal approvals before operations commence.

Where to verify and whom to contact

Always consult the Companies Registry, Ministry of Industry, Trade & Supply, Income & Sales Tax Department, Ministry of Labor, and the Jordan Investment Commission (or their online portals). For complex transactions, use a licensed local attorney or corporate service provider.

For foreign clients seeking hands‑on help with incorporation and administrative follow‑up, consider international corporate support services like SailGlobal for remote assistance and formation management.

Quick checklist before submitting

• Reserved company name and final MOA/AOA
• All identity documents translated and notarized
• Proof of office address and bank deposit certificate (if required)
• Sectoral permits pre‑checked
• Plan for tax and social security registrations

Final tip: build compliance and recordkeeping into day one operations. Early discipline reduces regulatory risk and accelerates growth. For the most current 2025 regulatory details, check official Jordanian portals or consult a local legal advisor.