KSA COMPANY FORMATION

Ready to Launch in the Saudi Arabia?

We’ll Guide You Every Step of the Way

Setting up a company in Saudi Arabia can feel complex. From obtaining government approvals to understanding post-license registrations, the Kingdom’s regulatory landscape is unlike anywhere else in the GCC. Auxilium comes in to manage the process so you can focus on your business goals.

A Comprehensive Step-by-Step Guide to Establishing Your Company in Saudi Arabia

Types of Companies in Saudi Arabia

Choosing the right legal structure is key to your success in the UAE. Here are the most common options:

Limited Liability Company (LLC)

Ideal for small to medium sized companies as shareholder liability is limited to investment.

Branch Office

For expansion of an existing foreign company looking to operate directly in Saudi Arabia without establishing a new entity.

Joint Stock Company (JSC)

For large-scale operations and businesses planning IPOs.

Professional Company

Tailored for consultants and professional service providers like architects, engineers, lawyers and auditors, among many others, and  allows full foreign ownership in most cases.

Regional Headquarters License (RHQ)

Required for multinationals managing regional operations and government projects. RHQs have multiple benefits when compared to other Saudi company setups.

Why Choose Auxilium?

Comprehensive Business Setup & Compliance Support

  • Company Formation & Licensing

    We handle everything from MISA licensing and CR registration to corporate structuring and market entry strategy.

  • Regulatory Compliance

    Our experts ensure your business meets all post-incorporation obligations, including VAT, GOSI, ZATCA, and sector-specific licenses.

  • Residency & Workforce Solutions

    We manage employee residency processing, and Iqama issuance enabling compliant operations in Saudi Arabia.

  • Banking & Financial Services

    We assist with corporate bank account setup and registrations on essential government platforms like Muqeem, Qiwa, and Mudad.

Why Saudi Arabia is an Investment Powerhouse

782 bn

Nominal GDP (2023)

230.8 bn

FDI Inward Stock

400

Regional Headquarters (RHQs) Set Up

$23,570

GDP per Capita

31%

Investment increase YOY

94%

of 2020 Investment achieved by August 2021

Case Studies

Frequently Asked Questions

Saudi company formation ranges anywhere between 2-3 months typically. However, our company formation experts can guide you on the exact timeline after your initial complimentary consultation with us.

Yes. In most sectors, foreign investors can retain 100% ownership of their Saudi-based entity, provided they obtain the required investment license from the Ministry of Investment (MISA).

 

The most common legal structures include:

  • Limited Liability Company (LLC)
  • Branch Office
  • Joint Stock Company (JSC)
  • Professional Company
  • Regional Headquarters (RHQ) License

We can advise on the best fit based on your business activity and scale

No, in most cases, foreign investors can set up a 100% foreign-owned entity without a local sponsor, though some regulated sectors may require local participation.

The documents vary by entity type but typically include:

  • Parent company documents (for branches)
  • Shareholder passports and company profile
  • Power of Attorney
  • Articles of Association
  • Board resolution and appointment of General Manager
    Auxilium will guide you through all document preparation and translation.

MISA (Ministry of Investment Saudi Arabia) is the authority that issues the investment license required for foreign-owned companies to operate in KSA. It is the first step in the setup journey.

Yes. Most licenses require proof of a commercial lease or office space. Our team can assist with identifying cost-effective options based on your business needs.

 

The CR is your official company license issued by the Ministry of Commerce, allowing you to legally operate in KSA. It is mandatory to open bank accounts, hire staff, and sign contracts.

Yes. A resident General Manager must be appointed as part of the licensing process. If needed, we can support with interim management or onboarding.

 

Post-incorporation steps include:

  • Registering with ZATCA (Tax Authority)
  • Subscribing to platforms like MUQEEM, GOSI, MUDAD
  • Setting up payroll and employment compliance systems
    Auxilium manages all post-setup registrations for you.

Yes. We assist with bank account opening as part of the company setup, including preparing required documentation and coordinating with banking partners.

Most industries are open, including consulting, tech, manufacturing, and services. However, some strategic sectors like oil & gas, insurance, and security may have restrictions. We'll advise based on your activity.

 

Unlike the UAE, KSA has centralized federal licensing, a mandatory residency requirement for General Managers, and more extensive post-registration steps. Auxilium ensures full compliance and seamless navigation of the regulatory landscape.

Thinking of Expanding into KSA?

Saudi Arabia’s pro-business policies, strategic location, and thriving market make it an ideal destination for global expansion. Whether you’re setting up a new venture or expanding your existing operations, we provide expert guidance on company formation, compliance, and local market insights to ensure a seamless entry into the Kingdom.

Let’s build your presence in Saudi Arabia

Talk to our KSA setup team.