Company registration in Saudi Arabia
Choose the largest economy in the Middle East to grow your business
- 0% – capital gains tax
- 5% – dividend tax for foreign investors
- 0% – personal income tax
- 5% – real estate transaction tax (RETT)
Choose the largest economy in the Middle East to grow your business
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A company in Saudi Arabia is an effective commercial vehicle for implementing a wide range of business projects in the largest market in the Middle East. Registering limited liability companies (LLCs), joint stock companies (JSCs), foreign-invested enterprises, as well as branches of international corporations, enables you to grow your business in a rapidly developing economy under a modern legal framework. Saudi Arabia’s advantageous geographical position at the crossroads of trade routes between Asia, Africa, and Europe provides access to Gulf countries’ markets and offers unique logistical advantages.
An LLC can be established by a single person and include up to 50 members, making this form versatile for various types of business activities.
A corporate structure designed for large businesses with the ability to raise capital through the issuance of shares on the stock market. Suitable for companies planning extensive growth.
Direct presence of a foreign enterprise in the market without creating a separate legal entity. Allows the parent company to directly control operations and leverage its international reputation.
A limited form of presence to promote the parent company’s interests without the right to conduct commercial activities. Used for marketing, market research, and preparation for a full market entry.
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iWorld's corporate experts conduct a detailed analysis of your business project, determine the optimal organizational and legal form, and develop an individual strategy for entering the Saudi Arabian market, taking into account the specifics of the industry and the scale of operations.
iWorld's lawyers prepare a complete set of documents for the Ministry of Investment, including a business plan, financial forecasts, and a feasibility study for the project. The company's specialists accompany the process of reviewing your application and communicate with government agencies until approval is obtained.
iWorld specialists check the availability of a corporate name, prepare the memorandum of association and articles of association for your company, and ensure that all documents comply with Saudi Arabian legislation and international corporate governance standards.
With the support of iWorld lawyers, you submit documents to the Ministry of Commerce to obtain a commercial registration certificate, obtain the necessary industry licenses, and register with the relevant authorities.
The iWorld team helps you complete the company registration process, including obtaining an Iqama (residence permit), opening corporate bank accounts, contributing share capital, registering with ZATCA for tax purposes, and preparing to start commercial activities.
When registering a company in Saudi Arabia, the residence permit (IQAMA) is issued simultaneously with the corporate license. Along with the primary applicant, the following can also receive residency status:
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Saudi Arabia provides entrepreneurs access to markets in Asia, Africa, and Europe, as well as opportunities to develop trade relations with over 50 countries through free trade agreements.
The Kingdom is a G20 member and the largest economy in the Middle East, with a total GDP exceeding 800 billion USD, creating a vast domestic market of over 35 million people with high purchasing power.
The Saudi government is actively implementing a comprehensive economic reform program aimed at reducing oil dependency and developing new sectors, including tourism, financial services, technology, and logistics.
The Kingdom invests billions of dollars in IT infrastructure, smart cities, and digital technologies, opening wide opportunities for high-tech businesses.
There are 5 special economic zones in the country with favorable tax regimes, including zones in Jazan, KAEC, Ras Al-Khair, and specialized logistics zones offering unique benefits for investors.
Saudi Arabia boasts one of the most stable banking systems among Gulf countries, featuring modern financial instruments, a developed capital market, and active support for startups and small businesses.
The government has significantly streamlined bureaucratic processes, reducing company registration time to 72 hours via the Saudi Business Center electronic platform and minimizing administrative barriers.
The Kingdom actively invests in education and human capital development, providing entrepreneurs access to a base of skilled professionals and training programs tailored to specific business needs.
Foreign entrepreneurs can register a limited liability company (LLC), joint stock company (JSC), limited partnership, or establish a branch or representative office of a foreign company. LLCs are the most popular form for small and medium businesses due to limited liability of members and minimal capital requirements for service companies.
For most service companies in the LLC form, there are no legal minimum capital requirements in the first year. However, in practice, the Ministry of Investment may require a minimum deposit of 500,000 SAR (about 135,000 USD) to issue an investment license. For manufacturing companies, the minimum capital is 5,000,000 SAR (about 1,335,000 USD), and for agricultural projects, 25,000,000 SAR (about 6,675,000 USD).
Basic company registration via the Saudi Business Center electronic platform takes 72 hours if all documents are ready. However, the full cycle—from obtaining an investment license from MISA, commercial registration, bank account opening, to Iqama issuance for managers—typically takes 1 to 2 weeks, depending on business complexity and sector specifics.
Initial registration steps, including submitting documents for the investment license and commercial registration, can be done by proxy without founders’ physical presence. However, physical presence is mandatory for opening a corporate bank account, obtaining an Iqama (residence visa), signing office lease agreements, and handling other formalities.
Most economic activities allow 100% foreign ownership—especially in services, consulting, technology, and manufacturing. Restrictions apply in strategic sectors like oil and gas extraction, defense industry, and real estate investment in the holy cities of Mecca and Medina. Some activities, such as retail trade, may require local partners or meeting specific investment thresholds.
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