Iran Risk Matrix

There remain serious legal, political, financial, and reputational risks associated with doing business in Iran, particularly in sectors of the Iranian economy dominated by the Islamic Revolutionary Guard Corps (IRGC), which remains sanctioned by the U.S. Government and the international community as a terrorist organization.

The risks inherent in doing business in Iran can be classified into the 10 categories below. In light of such risks, it should be clear to all responsible companies that Iran is not genuinely “open for business.”

  • IRGC Front Company Risk
    Firms that go into Iran will likely do business with Islamic Revolutionary Guards Corps (IRGC) front companies.
  • Violations of Int’l Laws/Treaties & Revocation of JCPOA Risk
    Iran continues to violate international law, U.N. Security Council resolutions, and the JCPOA, including testing Intercontinental Ballistic Missiles…
  • Kidnap and Arrest Risk
    International corporations cannot guarantee that their employees will not be subject to arbitrary arrest and detention.
  • Hacking & Cybersecurity Risk
    Businesses face the threat of hacking by Iranian operatives including the disclosure of proprietary information and confidential employee and…
  • “Blood on Hands” / Terror Risk
    Firms run the high risk of inadvertently providing tools to Iran’s human rights abusers. Iran is the leading state sponsor of terror (Hezbollah,…
  • Reputational Risk
    Business in Iran poses myriad reputational risks due to the regime’s egregious record of human rights violations and international sponsorship of…
  • Insurance Risk
    Due to compounded risks associated with Iran, business is risky both for companies and their insurance providers, who cannot guarantee normal and…
  • Sanctions Risk
    Companies that go into Iran will still be subject to extraterritorial secondary U.S. sanctions ($14 billion in fines since 2009 for violating U.S.…
  • Country & Corruption Risk
    Iran still rates highly in terms of political risk, exchange rate risk, sovereign risk, and transfer risk due to its sponsorship of terror groups,…
  • Banking & Money Laundering Risk
    Banks and other financial institutions run the risk of massive fines and/or frozen assets for Iran business. Iran is designated as area of primary…