INSTRUCTIONS FOR FOUNDING OF IRAQI COMPANIES

(In accordance with Companies Law No. 21, year 1997  and Instruction of Ministry of Trade No. 196 of 15/3/2004)

 

First : Submitting an application to the Companies Registrar signed by the founders’ legal deputy, in accordance with the Form compiled by the Companies Registrar’s Office which comprises the following information:

1-       1-  COMPANY’s name (which shall be held in custody by the Federation of Chambers of Commerce.

2-      2-Type of COMPANY (limited,  private shareholder,  joint venture,  mixed shareholder [i.e.  share to the government and share to individuals])

3-      3-Founders’ names, addresses, their shares (in case one of the founders is a COMPANY, then details relevant to the managing director or equivalent rank shall be recorded).

 

Second: The following document shall be submitted with the application: 

1-      1- COMPANY’s contract signed by the founders or their legal representative.

2-       2-A bank statement by a bank authorized for operation in Iraq verifying that the founders have deposited the minimum COMPANY’s capital as follows :

A-     A-Two million Iraqi dinars as minimum for a joint stock COMPANY’s capital

B-       B- One million Iraqi dinars as minimum for a limited COMPANY’s capital

C-      C-Fifty thousand Iraqi dinars as minimum for other commercial entities capital

3-       3-  Additional document of the shares’ contribution signed by the founders as well as technical and economic feasibility study if the application involved founding of a joint stock COMPANY.

4-       4- If the entity intended for founding companies has foreign proprietor members and  projected plans for this entity to conduct retail sales in Iraq, it has to submit a bank statement showing that it had deposited  (100 000) one hundred thousand US dollars in a non- interest account. It can support the Companies Registrar with such statement later. Its non- presentation is not considered cause for rejecting the registration application.  However,  it should be submitted prior its commencement of actual sale operation.