What does Iran's flag design mean?

Answer 1

The symbol on the Iranian flag means two things. It spells "Allah" (Al-llah, "the creator"), although it does demand some creativity in order to see this. Secondly, it represents the double-edged sword of Ali, a highly revered figure to Shiites. The "W" looking symbol over the middle of the symbol is called a "shadda" or "tashdid", which basically doubles the letter that is beneath it, or places extra emphasis on it. This allows for "Allah" to be spelled correctly, and also "doubles" the "blade" of Ali's sword.

Among opponents of Ayatollah Khomeini, there is also a sort of conspiracy theory that suggests he is actually a Sikh; Khomeini grew up in a province with a large Sikh minority, and the Sikh symbol does bear a significant resemblance to the symbol on Iran's flag. However, it is more likely he simply found the symbol aesthetically pleasing.

Answer 2

The colors of green, white, and red are the traditional colors of Iran and of Islam which the country used under the previous government as well. There is also a red tulip in the center of the flag to represent the flowering of the Islamic Republic. In small white letters both above and bellow the white band it says "Allah hu Akbar" which means "God is the Greatest" and is another symbol of Iran's Islamic nature.