The Ministry of Internal Trade and Consumer Protection in Syria issued Resolution No. 1170, which sets forth the executive instructions for establishing companies dedicated to providing "flexible office" services. The aim of this resolution is to regulate this specific type of service, define the conditions for establishing companies operating within this sector, and establish the mechanism for accrediting their contracts as the official legal domicile for companies and sole proprietorships.
The Resolution defines a "flexible office" as an available workspace allocated to companies and sole proprietorships under flexible terms, thereby enabling them to select a workspace that best suits their specific needs. This office serves as both the headquarters and the designated legal domicile for these companies and entities, allowing them to formally and legally commence their business operations.
As for the "Flexible Office Company" itself, it is defined as a Limited Liability Company (LLC) comprising at least two partners, with the exclusive objective of providing flexible office services in accordance with the conditions stipulated in the Resolution.
The Resolution outlines a set of fundamental conditions for establishing flexible office companies, most notably:
* The company's name must explicitly include the phrase "Flexible Office Services." Furthermore, the company's business objective must be strictly limited to providing this specific service, to the exclusion of any other business activities.
* The Resolution also stipulates that the property designated as the company's headquarters must be situated within an approved urban zoning plan and must be zoned for commercial use. Additionally, the property must either be owned by the company itself; provided by one of the partners under a gratuitous loan agreement (commodatum); or provided by a public sector entity pursuant to a formal investment or lease contract.
* The total floor area of the property must not be less than 300 square meters. This space must include an administrative office, a conference room, a secretarial office, and a minimum of three additional rooms—each of which must accommodate at least three individual workstations (desks). **Capital and Financial Obligations**
The Resolution mandates that "Flexible Office" companies must maintain a minimum capital of 300 million Syrian Pounds. This capital may consist of cash, in-kind assets, or a combination of both; provided that any in-kind capital constitutes ownership of the real estate property housing the company's operations.
In the event that the capital is in cash, it must be paid in full as a single installment within thirty days from the date of the resolution ratifying the company's Articles of Association. Furthermore, such cash capital is prohibited from being withdrawn or utilized for any purpose throughout the entire duration of the company's existence.
The Resolution also specifies the fees and charges applicable to the ratification of Articles of Association, the issuance of certified copies, the review of statutes and amendments, and the certification of contracts concluded with beneficiaries.
The Resolution requires Flexible Office companies to establish and maintain a dedicated website utilizing a ".sy" domain. This website must be used to record data regarding the available rooms and offices, as well as all contracts concluded with beneficiaries—including the beneficiary's name, the contract date, the start and end dates of the agreement, and any other details stipulated within the contract.
Furthermore, a specific username and password must be provided to the Ministry to enable the monitoring of these contracts, thereby ensuring the integrity of their registration and organization.
Flexible Office companies are prohibited from commencing their business operations until they have obtained all requisite licenses. This includes undergoing a physical inspection conducted by the Directorate of Companies—or an entity authorized by it—to verify that both the real estate property and the company itself comply with the conditions stipulated in the Resolution.
The Directorate of Companies is responsible for overseeing these companies and conducting physical inspections whenever deemed necessary. Additionally, the companies are required to submit a comprehensive list of all contracts concluded by them to the Directorate every six months. **Services to be Provided**
The Resolution clarifies that a "Flexible Office" company is obligated to provide necessary services to its beneficiaries. These services include, but are not limited to:
Secure and high-speed internet, landline telephones, fax machines, email services, lockable storage lockers, photocopiers, secretarial services, and refreshment/buffet services. The specific scope of these services must be defined within the contract concluded between the two parties.
The Resolution stipulates that the duration of a Flexible Office contract must be at least one calendar year, renewable upon the mutual agreement of both parties.
Once duly certified by the Ministry—or by its authorized directorates—the Flexible Office contract serves as an acceptable document for establishing the official headquarters of companies and sole proprietorships. It holds the same legal standing as standard lease agreements, investment contracts, and other approved documents used to verify a business's registered address.
This Resolution represents a significant step toward regulating flexible office services in Syria, particularly for startups, entrepreneurs, investors, and organizations requiring a legal headquarters and office support services without incurring substantial operational overheads.
Furthermore, the Resolution paves the way for a new model of investment in office spaces, offering real estate owners and investors the opportunity to establish specialized companies dedicated to providing flexible workspace solutions for businesses and sole proprietorships.
ScopeOut assists investors and entrepreneurs interested in establishing Flexible Office companies in Syria by analyzing legal requirements, preparing incorporation dossiers, drafting contracts, designing operational models, and supporting investors in building a service that fully complies with the executive directives issued by the Ministry of Internal Trade and Consumer Protection.
Leveraging its expertise in company formation, market entry, and project structuring, ScopeOut works to transform this emerging opportunity into a clear, legally sound, and fully operational investment model.
