Starting a business in Saudi Arabia is fairly simple, straightforward process:
You need to prepare documents and submit an application to the Saudi Arabian General Investment Authority (SAGIA) and obtain an investment license. Then, Obtain approval from the Companies Department at the Ministry of Commerce and Industry after submitting the Articles of Association and the company name. This takes 5 days. Sign the Articles of Association in front of a notary public. Publication of the company name and a summary of the Articles of Association in the official gazette. This costs approximately 5500SR. Open a bank account, transfer the share capital and obtain a certificate stating that the capital has been deposited. Register with the General Department of Passports, Ministry of Interior and the Ministry of Labor and obtain a work visa for the company manager. Company manager getting his visa stamped at the Saudi consulate and obtaining his work permit and residence permit upon arrival in Saudi Arabia. Registrations with the Commercial Registry at the Ministry of Commerce and Industry and the Chamber of Commerce. This costs 8100 SR. Obtain a file number and certificate of business commencement by registering with the Department of Zakat and Income Tax (DZIT), Ministry of Finance. Register with the General Organization of Social Insurance.
The process takes about 11-13 weeks with ordinary law firms. However, Pangea Worldwide can do it in a shorter time.
There are several ways of doing business in Saudi Arabia. Among them are commercial agents & distributors, direct exports, franchises, joint venture companies, non-resident execution of projects, permanent branches, self-owned companies, sole proprietorships, technical & scientific offices, and temporary branches
The law permits foreign investment in all sectors of the economy, except for certain particular operations. These include audio/visual & media services, blood banks, poison centers & quarantines, catering to military sectors, commission agents, fisheries, foreign media offices & correspondents, industrial sector, land transportation services, (excluding the inter-city passenger transport by trains), manufacturing of civilian explosives, manufacturing of military equipment, devices & uniforms, media consultancies & studies, motion picture & video tape distribution, oil exploration, drilling & production (except the services related to mining), press services, printing & publishing (except pre-printing services, printing presses, drawing & calligraphy, photography), production, selling & renting of computer software, promotion & advertising, public relations, publication, radio & television broadcasting studios, real estate brokerage, real estate investment in Makkah & Madina, recruitment & employment services including local recruitment offices, security & detective services, service sector, services provided by midwives, nurses, physical therapy services & quasi-doctoral services, tourist orientation & guidance services related to hajj & umrah, typing & copying
Agreements are overseen by Royal Decrees, Ministry of Commerce Resolutions, and the Council of Ministers Resolutions, as well as principles of Islamic law. The contract is not immune from alteration, providing it does not contradict with the relevant law and regulations.