Guide · Localized for Jordan

    How to Start a Business in Jordan

    A step-by-step guide to legally starting a business in Jordan: entity types, MIT registration, ISTD tax setup, Social Security, banking, licensing, and Amman-based support organizations.

    The Jordan context

    Jordan offers one of the most predictable registration environments in MENA. Sole establishments can be set up in under a week through the Ministry of Industry, Trade and Supply (MIT) portal, and the country's investment law gives foreign investors access to most sectors. The Jordan Investment Commission has been folded into the Ministry of Investment, which now acts as the one-stop shop for larger projects. Amman is the commercial center, but Aqaba's ASEZA free zone and the King Hussein Business Park offer separate regimes worth comparing.

    Currency is quoted in Jordanian dinar (JOD). If you have limited savings, pair this page with the Jordan-specific no-money playbook.

    Choose the right legal entity

    Entity typeBest forMinimum capitalTax treatment
    Sole establishment (mu'assasa fardiyya)Freelancers, home businesses, single-owner shopsNoneOwner taxed at personal income rates
    Limited Liability Company (LLC)Most SMEs, foreign-owned businessesNo statutory minimum for most sectors20% corporate tax + 16% GST if registered
    Private Shareholding Company (PSC)Growth-stage firms preparing for equity rounds50,000 JOD authorized20% corporate tax
    Free zone company (ASEZA / Development Zones)Export, logistics, ICT with regional customersVaries by zone5% flat corporate tax, GST exemptions inside zone

    Registration steps

    1. Reserve a trade name through the MIT online portal (Companies Control Department).
    2. Choose your entity type and prepare the memorandum and articles of association (LLC) or the sole-establishment form.
    3. Pay the registration fees at MIT and obtain the commercial registration certificate.
    4. Register with the relevant Chamber of Commerce or Chamber of Industry (mandatory for most activities).
    5. Register for a tax number with the Income and Sales Tax Department (ISTD).
    6. If your annual turnover will exceed 30,000 JOD in services or 75,000 JOD in trade, register for General Sales Tax.
    7. Enroll the business and any employees with the Social Security Corporation (SSC).
    8. Apply for a municipal vocational license (rukhsat mihan) from Greater Amman Municipality or the relevant governorate.

    Tax registration and filing

    1. File monthly withholding and payroll returns with ISTD if you have employees.
    2. File GST returns every two months (bi-monthly) once registered.
    3. File the annual corporate income tax return within four months of the fiscal year end.
    4. Keep bilingual (Arabic and English) invoices; Arabic is legally required for ISTD audits.
    5. Consider a licensed local accountant, at least in year one - ISTD audits are common for new LLCs.

    Banking and payments

    1. Open a business account at Arab Bank, Cairo Amman Bank, Bank al Etihad, or Jordan Ahli Bank once you have the MIT certificate and tax number.
    2. Expect a 250-1,000 JOD opening balance and copies of the memorandum, signatories' IDs, and lease.
    3. Enable CliQ and JoMoPay for local instant transfers; both are near-universal for B2C payments.
    4. For card acceptance, use PayTabs, HyperPay, or MEPS - Stripe is not yet fully available in Jordan.
    5. For international income, add Wise Business (via a partner in the region) or Payoneer to receive USD and EUR.

    Licensing and sector permits

    • Food and beverage: Ministry of Health license plus municipal food-handling permits.
    • Tourism: Ministry of Tourism and Antiquities license for tour operators, guides, and accommodations.
    • ICT and outsourcing: register with the Ministry of Digital Economy and Entrepreneurship for sector benefits.
    • Healthcare, education, and financial services require sector-specific licenses before commercial registration is finalized.

    Hiring your first employees

    • Employment contracts must be filed with the Ministry of Labour; Arabic is the official contract language.
    • Minimum wage is 260 JOD/month (2025) for Jordanian workers; different scales apply for some non-Jordanian workers.
    • Social Security contributions total 21.75% of gross salary, split between employer (14.25%) and employee (7.5%).
    • Work permits for non-Jordanian staff are required and quota-limited in some sectors.
    • End-of-service indemnity has been largely replaced by SSC coverage; check the current rules with the SSC.

    Sector opportunities in Jordan

    • ICT services and outsourcing to Gulf clients - Jordan has a bilingual, tech-literate talent pool.
    • Cleantech and water-tech given Jordan's severe water scarcity and strong donor interest.
    • Health tourism, especially for patients from Iraq, Yemen, Sudan, and the Gulf.
    • AgriTech and food processing, supported by USAID and EU programs.
    • Creative industries (film, animation, design) with support from the Royal Film Commission.

    Government agencies and portals

    Support organizations and networks

    Interactive Starter Checklist

    Launch a Business in 8 Weeks: Interactive Starter Checklist

    Work through these six stages in order. Tick items off as you go, your progress saves in your browser. Prefer paper? Download the printable PDF and take it into the field.

    Download printable PDFPreview in new tab

    0 of 30 complete

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    1. 1. Validate the idea (Week 1)

      0 of 5 done

      Before spending money, prove someone will pay. Interview at least 10 potential customers.

    2. 2. Choose a legal structure (Week 2)

      0 of 5 done

      The right structure depends on liability, taxes, and who you plan to raise from.

    3. 3. Build the minimum viable offer (Weeks 3-4)

      0 of 5 done

      Ship a version customers can actually buy. Not a prototype, a real service or product.

    4. 4. Set up basic operations (Weeks 5-6)

      0 of 5 done

      Boring plumbing that prevents customer churn and tax headaches later.

    5. 5. Get your first 10 customers (Weeks 7-8)

      0 of 5 done

      Distribution beats product at this stage. Do things that don't scale.

    6. 6. Plan the next 90 days

      0 of 5 done

      Move from launch mode to a repeatable operating rhythm.

    FAQ: starting a business in Jordan

    Yes, foreigners can own up to 100% of an LLC in most sectors. A short negative list covers activities such as retail, land transport, and some construction categories where local participation is required. Check the current Investment Law negative list at the Ministry of Investment before choosing your entity.

    A sole establishment can be issued in 1-3 business days once your paperwork is complete. LLCs typically take 3-10 business days including chamber and tax registration. Free-zone entities in ASEZA can be issued in about a week if the sector fits an existing category.

    A small LLC in a standard sector typically faces 20% corporate income tax on profits, 16% GST on taxable sales (with input credit), and social security of 21.75% on payroll. Effective tax burden depends heavily on sector and deductions - modeling it with a Jordanian accountant is essential before pricing.

    You need a registered address with a lease contract. For sole establishments this can be a home in most residential areas that allow the activity. LLCs generally require a commercial lease; some shared offices in Amman (like ZINC or Boom) provide compliant registration addresses.

    Yes, especially for services (design, software, marketing, education). Bilingual staff, a stable currency pegged to the USD, and direct flights to all GCC capitals make Amman a common back-office hub. Gulf clients typically pay via bank transfer, Wise, or PayPal.

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