How to do Company Registration in Saudi Arabia?

Company registration in Saudi Arabia can take a few days to several weeks. This might look similar to other countries, but in Saudi Arabia, it is much easier with the help of experts like Commitbiz.

The country is gradually becoming an ideal location for a company formation in Saudi Arabia.

Company Registration in Saudi Arabia - Facts

Before company registration, you should be aware of the facts mentioned below. Let's start with the types of entities;




Corporate Tax


Time Frame for Registration

Around 2 months

Minimum Number of Directors


Number of Shareholders Required

Minimum 1

Minimum Share Capital

SAR 100,000

Resident Director Required


Full Foreign Ownership


Tax Incentives

If you open a company in the regions of Ha’il, Jazan, Najran, Al-Baha, Al-Jouf, and the Northern Territory, you will benefit from the tax concessions.


Exemption of customs duty is also applicable for raw materials and machinery that cannot be found in Saudi Arabia.

Why Does Starting a Business in Saudi Arabia Benefit an Investor?

Below listed are the reasons why starting a business in Saudi Arabia can benefit an investor;

  • As per the World Bank’s 2002 report, Saudi Arabia has ranked 62nd in terms of business-friendly environment.
  • It is one of the top 10 global business improvers.
  • Company formation in Saudi Arabia will take almost 11 days.
  • An investor just has to invest 5.4% of per capita income.

How to do Business Registration in Saudi Arabia?

Setting up a business in Saudi Arabia has a few steps to be adhered to by both local and foreign investors and entrepreneurs; they are

Trade name selection should be done under the following conditions: avoid using repetitive names, avoid using offensive names, and avoid religious names.

The next step is to register the trade name with the relevant authority.

Prepare all the relevant documents for incorporation in accordance with the selected entity.

Open a bank account for the company to deposit the share capital.

Obtain tax registration and VAT numbers from the authority.

Obtain a business license as per your business activity.

Starting a company in Saudi Arabia will require a local agent to handle all the company registration processes in Saudi Arabia.

Documents Required for Doing a Business Setup in Saudi Arabia

Clearing the documentation process is one of the crucial parts, and thus, submitting the business papers to the business consultant is a must.

The initial set of documents involved in doing a business setup in Saudi Arabia are:

  • A duly filled application form
  • Identity proof of the business shareholders and investors
  • Address proof of the business investors and shareholders
  • Well-drafted blueprint of the business
  • Passport and visa of the business investors and shareholders
  • Selected business name
  • Register the company’s trading name with the Ministry of Commerce and Industry

How Business Setup Worldwide can Help?

Business Setup Worldwide has been one of the top-performing business consultants in the UAE who has helped business professionals carry out their business ideas across the globe.

Since incorporation, we have assisted some business investors and entrepreneurs, guiding them on the perfect way to channel the incorporation process.

For more information, feel free to speak with our business expert. Contact us now- we'd be glad to assist!


Can a subsidiary company take the form of a limited liability company?


Who issues the investment license in Saudi Arabia?

Saudi Arabian General Investment Authority (SAGIA) issues the investment license.

How long does it take to do a company registration in Saudi Arabia?

2 months

Can a foreigner start a company in Saudi Arabia?

Yes, foreigners can apply to set up a business in Saudi Arabia and have 100% ownership.