Company Formation Saudi Arabia | Business Setup in Riyadh, Jeddah & Dammam

Establish your business in the Kingdom of Saudi Arabia with comprehensive support through MISA licensing, entity selection, commercial registration, and post-incorporation compliance. Our team delivers end-to-end company formation services in Riyadh, Jeddah, and Dammam — guiding multinational enterprises and investors from eligibility assessment to operational readiness within 4 to 8 weeks.

500+

Companies Formed

UAE & KSA

Dual Jurisdiction Coverage

19+

Years Regional Experience

4.9★

Client Satisfaction

Company Formation Options in Saudi Arabia

Saudi Arabia offers multiple corporate structures designed to accommodate foreign direct investment, regional operations, and multinational expansion. Selecting the right entity type is the first critical decision in your market entry strategy.

Limited Liability Company (LLC)

  • Up to 100% foreign ownership under MISA licence
  • No minimum capital for most activities
  • Separate legal personality with limited liability
  • Minimum two shareholders, maximum 50
  • Ideal for trading, services, and consulting

Wholly Owned Subsidiary

  • 100% ownership by foreign parent company
  • Full repatriation of profits and capital
  • Board appointed by parent company
  • Can engage in same activities as parent
  • Preferred by multinational enterprises

Branch Office

  • Extension of the foreign parent company
  • No separate legal personality required
  • Can conduct revenue-generating activities
  • Parent company bears full liability
  • Simpler compliance than full entity

Regional Headquarters (RHQ)

  • Vision 2030 flagship programme
  • 30-year tax holiday on qualifying income
  • Eligible for government contract preferences
  • Visa facilitation and streamlined licensing
  • Mandatory for MNCs with government contracts

MISA Licensing Process

The Ministry of Investment of Saudi Arabia governs foreign business entry through a structured licensing process. Our team manages each stage — from eligibility screening through to final registration with government authorities.

Step 1

Eligibility Assessment

We evaluate your business activity, shareholder structure, and capital against MISA's foreign investment guidelines to determine eligibility and optimal entity type.

Step 2

MISA Licence Application

We prepare and submit the Ministry of Investment application with supporting documentation, business plan, and financial statements for licence approval.

Step 3

Commercial Registration (CR)

Once MISA approval is received, we register the company with the Ministry of Commerce and obtain the Commercial Registration certificate.

Step 4

Chamber of Commerce Enrolment

We enrol the company with the Riyadh, Jeddah, or Dammam Chamber of Commerce and obtain the membership certificate required for visa processing.

Step 5

Municipality Licence

We secure the municipal operating licence (Baladiyah) for your business location, verifying zoning compliance and premises suitability.

Step 6

GOSI & ZATCA Registration

We register the company with the General Organisation for Social Insurance, obtain the tax identification number from ZATCA, and set up the Qiwa account.

Key Benefits of Saudi Arabia Company Formation

The Kingdom has fundamentally reshaped its foreign investment framework under Vision 2030, creating one of the most attractive business environments in the Middle East for international companies.

100% foreign ownership permitted across most business activities
No minimum share capital requirement for standard activities
Full repatriation of capital, profits, and dividends
No personal income tax on salaries or capital gains
Access to the GCC market of over 55 million consumers
Competitive 20% corporate income tax rate
Vision 2030 incentives for tech, tourism, and manufacturing
Strategic logistics hub connecting Asia, Europe, and Africa
Growing pool of highly skilled Saudi talent
World-class infrastructure and digital government services

Saudi Arabia at a Glance

GDP (nominal)$1.1 trillion
Population35 million
Corporate Tax Rate20%
Foreign OwnershipUp to 100%
Time to Incorporate4-8 Weeks
Key CitiesRiyadh, Jeddah, Dammam

Saudisation & Compliance

Operating a company in Saudi Arabia requires ongoing adherence to the Kingdom's Saudisation framework, labour regulations, and social insurance obligations. Our compliance team ensures your entity remains fully compliant from day one.

Nitaqat Bands

Every company is assigned a Nitaqat band (Platinum, Green, Yellow, Red) based on the proportion of Saudi nationals employed. Higher bands unlock visa privileges and government contract eligibility.

Qiwa Platform

The Ministry of Human Resources' digital platform manages all labour compliance, including contract registration, wage protection, annual leave, and Nitaqat band monitoring.

GOSI Registration

All employees must be registered with the General Organisation for Social Insurance for occupational hazard and annuity coverage. Contributions are shared between employer and employee.

Professional Certification

Certain professions require certification from the Saudi Commission for Health Specialties, Saudi Authority for Accredited Valuers, or other professional bodies before licensing.

Saudisation Planning

We help structure your workforce to meet Nitaqat requirements through strategic role allocation, training programmes, and alignment with the Ministry's Saudisation initiatives.

Frequently Asked Questions

What are the company formation options available in Saudi Arabia for foreign investors?+

Foreign investors can establish a Limited Liability Company (LLC) with up to 100% foreign ownership for most activities, a wholly owned subsidiary of an existing foreign company, a branch office of a foreign parent, or a Regional Headquarters (RHQ) under the new Ministry of Investment programme. Each structure offers distinct advantages depending on the business activity, ownership preferences, and operational scope within the Kingdom.

Is 100% foreign ownership allowed in Saudi Arabia?+

Yes, since the 2015 amendments to the Foreign Investment Law, 100% foreign ownership is permitted across most business activities through MISA licensing. Certain strategic sectors — including oil and gas exploration, military industries, and select service activities — may require joint ventures with Saudi partners or carry specific ownership caps. Our team conducts an eligibility assessment before any application.

What is the typical timeline for company formation in Saudi Arabia?+

The full process from initial consultation to commercial registration typically takes 4 to 8 weeks. This includes MISA licence approval (2-3 weeks), commercial registration with the Ministry of Commerce (1 week), Chamber of Commerce enrolment, municipality licence, and GOSI and ZATCA registration. Timelines vary based on business activity, documentation readiness, and whether a physical office needs to be secured.

What are the minimum capital requirements for a Saudi company?+

For most business activities under a MISA licence, there is no minimum capital requirement for LLCs where 100% foreign ownership is permitted. However, the capital must be sufficient to support the intended business operations and meet the requirements of the licence category. Certain regulated activities — such as financial services, insurance, and healthcare — carry specific capital thresholds. Share capital can be contributed in cash or in kind and must be deposited in a Saudi bank account.

What ongoing compliance and Saudisation obligations apply after company formation?+

All Saudi companies must comply with the Nitaqat Saudisation programme, which assigns a band based on the proportion of Saudi nationals employed. Companies must register with GOSI for social insurance, enrol with the General Organisation for Vocational Training for professional certification, and maintain accurate records through the Qiwa platform. Annual ZATCA tax filings, commercial register renewal, and professional licence renewals are also required. Our team provides ongoing PRO and compliance support to ensure your company remains in good standing.

Ready to Establish Your Saudi Entity?

From MISA licensing and commercial registration to compliance and Saudisation planning, 6thMove provides end-to-end company formation support across Riyadh, Jeddah, and Dammam.

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