Syria

Operating a Business in Syria

Setting up a company | Working conditions | Cost of labor | Social partners

Setting up a company

Legal business entities

Different types of companies	Number of partners/ shareholders	Maximum and/or minimum capital	Liabilities	Registration fees
Private Limited Company	Minimum 2.	No minimum capital.	Liability is limited to the amount contributed.	Pick up forms of articles of incorporation from the Ministry of Economy and Trade: SYP 250. Apply for company name reservation & commercial registration: SYP 10. Open a financial record for the company and register for taxes at the tax authority: 0.5% of the capital + SYP 10,000. Publication in the Official Gazette: SYP 1500. Deposit the initial capital in a bank and obtain a statement: SYP 150. Visit commercial registry with the signed copy of articles of incorporation: SYP 200. Register with the Social Security Organization: SYP 20. Make a company seal: SYP 500.
Public Limited Company.	No minimum.	30 000 SYP	Liability is limited to the amount contributed.	Pick up forms of articles of incorporation from the Ministry of Economy and Trade: SYP 250. Apply for company name reservation & commercial registration: SYP 10. Open a financial record for the company and register for taxes at the tax authority: 0.5% of the capital + SYP 10,000. Publication in the Official Gazette: SYP 1500. Deposit the initial capital in a bank and obtain a statement: SYP 150. Visit commercial registry with the signed copy of articles of incorporation: SYP 200. Register with the Social Security Organization: SYP 20. Make a company seal: SYP 500.
Limited Partnership.	No minimum.	No minimum capital.	Liability is limited for some partners and unlimited for others.	Pick up forms of articles of incorporation from the Ministry of Economy and Trade: SYP 250. Apply for company name reservation & commercial registration: SYP 10. Open a financial record for the company and register for taxes at the tax authority: 0.5% of the capital + SYP 10,000. Publication in the Official Gazette: SYP 1500. Deposit the initial capital in a bank and obtain a statement: SYP 150. Visit commercial registry with the signed copy of articles of incorporation: SYP 200. Register with the Social Security Organization: SYP 20. Make a company seal: SYP 500.
Joint stock limited partnership.	No minimum.	No minimum capital.	Liability is limited for some partners and unlimited for others.	Pick up forms of articles of incorporation from the Ministry of Economy and Trade: SYP 250. Apply for company name reservation & commercial registration: SYP 10. Open a financial record for the company and register for taxes at the tax authority: 0.5% of the capital + SYP 10,000. Publication in the Official Gazette: SYP 1500. Deposit the initial capital in a bank and obtain a statement: SYP 150. Visit commercial registry with the signed copy of articles of incorporation: SYP 200. Register with the Social Security Organization: SYP 20. Make a company seal: SYP 500.
General Partnership.	Minimum 2.	No minimum capital.	Partners' liability is indefinite and joint.	Pick up forms of articles of incorporation from the Ministry of Economy and Trade: SYP 250. Apply for company name reservation & commercial registration: SYP 10. Open a financial record for the company and register for taxes at the tax authority: 0.5% of the capital + SYP 10,000. Publication in the Official Gazette: SYP 1500. Deposit the initial capital in a bank and obtain a statement: SYP 150. Visit commercial registry with the signed copy of articles of incorporation: SYP 200. Register with the Social Security Organization: SYP 20. Make a company seal: SYP 500.

Business setup procedures: Companies have to deposit a registration application with the Ministry of the Economy and Foreign Trade. The company has to include a copy of the following documents:
-The Memorandum of Association signed by the Chairman of the Board of Directors.
- A document on the internal structure of the company.
- A financial report of the company's accounts.
- The Articles of the company.
- A declaration specifying that the company is not shared or controlled by a government or by another company (joint venture).
- A declaration specifying the decision to open a subsidiary in Syria.
- The company's balance sheet.
The competent organization: Foreign companies have to be registered with the Ministry of the Economy and Foreign Trade.

Working conditions

Legal weekly duration: 42 hours.
Retirement age: 60 in the Civil Service.
Working contracts: Employment contracts are precisely regulated by law. The sources of employment legislation in the Syrian Arab Republic are law n°91 of 5 April 1959 and legislative decree n°49 of 3 July 1962. The contract must be drawn up in Arabic and in duplicate, with a copy for each party (art. 43, LC). The trial period is fixed in the contract, but it cannot exceed 3 months (art. 44, LC). An employment contract can be concluded for a set period or be open ended. If it is concluded for a set period and both parties continue to comply with it after the expiry date, it must be renewed for an undetermined duration (art. 71, LC).

Cost of labor

Minimum wage: 5 880 SYP (USD118) for the public and private sector
Average wage: 15 000 - 20 000 SYP (370 - 500 USD).
Social contributions: Social security contributions paid by employers: 14% of salary.
Social security contributions paid by employees: 7% of income.

Social partners

Social dialog and involvement of social partners: The General Federation of Trade Unions (GFTU) is the organization which represents workers in Syria. Since 1968, a decree has obliged all the country's trade unions to belong to the GFTU. This organization is strictly controlled by the ruling Ba'th party. It coordinates most aspects of union activity and determines which sectors or activities may create a union or a federation.
Unionization rate: The unionization rate in Syria is 100 %. Belonging to a trade union is compulsory in order to be employed.
Labor regulation bodies: Syrian Ministry of Social Affairs and Labor.