🤝
Saudi Business Setup
Yes, fully foreign-owned companies are permitted. The Ministry of Investment (MISA)
issues foreign investment licenses enabling international entities to operate 100% owned
subsidiaries. Learn more about business setup in Saudi
Arabia.
Yes, 100% foreign ownership is allowed in most sectors including trading, services, and
industrial activities, following the economic liberalization under Vision 2030.
With the MISA license
streamlined process, the investment license can be issued in less than a day. The
subsequent commercial registration (CR) and post-licensing steps typically take 2-4
weeks to be fully operational.
Yes, a registered National Address is required to open bank accounts and for labor
files. However, for initial setup, verified co-working spaces or virtual office
solutions may be accepted for certain license types.
📊
Accounting & Auditing
Yes, all companies must maintain proper books of accounts. Visit our Accounting Services
page for more details.
Yes, annual audited financial statements must be submitted to MISA and ZATCA. Saudi tax and Zakat
compliance depends on accurate auditing.
Saudi Arabia follows IFRS (International Financial Reporting Standards) as endorsed by
SOCPA (Saudi Organization for Chartered and Professional Accountants).
Financial statements are typically prepared annually, but quarterly reporting may be
required for tax purposes or internal governance.
🏛️
Regulatory Authorities
The Ministry of Investment of Saudi Arabia (MISA) is the primary regulator issuing
foreign investment licenses. See our Saudi regulatory
authorities overview.
The Ministry of Commerce (MCI) issues the Commercial Registration (CR) certificate.
The Zakat, Tax and Customs Authority (ZATCA) manages all tax and zakat collections and
compliance.
The Ministry of Human Resources and Social Development (MHRSD) regulates labor laws,
Saudization (Nitaqat), and employment contracts (Qiwa).
📄
Business Licenses
Common licenses include Service (Consulting/IT), Trading (Retail/Wholesale), Industrial
(Manufacturing), and Entrepreneurship licenses.
Yes, providing the activities fall under the same ISIC classification group approved by
MISA. Diverse activities may require separate licenses or entities.
Yes, both the MISA license and Commercial Registration (CR) must be renewed annually or
for the duration of the registered period (up to 5 years).
🏗️
Business Sectors
Most sectors are open, including construction, retail, IT, rigorous healthcare, and
tourism. A market feasibility
study can help identify the best opportunities.
A limited "Negative List" restricts foreign investment in specific areas like oil
exploration and certain military services.
🚀
Entrepreneur License
The entrepreneur
license is a specialized MISA license designed for innovative startups and SMEs,
often requiring university credentials or incubator support rather than high capital.
Entrepreneurs with a unique business model, patent, or backing from a Saudi governing
entity or incubator are verified eligible.
📋
Vendor Registration
Vendor registration
is the process of registering your company with large entities (like Aramco, NEOM,
SABIC) to be eligible for their tenders.
Yes, you generally need a valid CR and MISA license to complete vendor qualification
for major Saudi projects.
🛂
PRO & GRO Services
Government Relations Officers (GRO) or Public Relations Officers (PRO) handle all
government liaison tasks, including visas, labor office files, and license renewals. See
our PRO services in Saudi
Arabia page.
While outsourcing isn't legally mandatory, having a designated Saudi representative or
agency to manage the complex government portals (like Qiwa, Muqeem) is operationally
essential.
⚖️
Legal Services
Drafting the Articles of Association (AoA) and ensuring compliance with the Companies
Law typically requires professional legal oversight.
Contract review, employment disputes, and intellectual property protection are common
areas requiring legal support.
Still have questions?
Speak to a Saudi Business Advisor