By eSEO Solutions on August 18, 2025 in Business Setup Services
Setting up an LLC company in Saudi Arabia is both an exciting opportunity and a structured legal process. Whether you’re a local entrepreneur or an international investor, understanding each stage of the company registration process helps you avoid delays, remain compliant, and launch with confidence.
This guide is designed as both an LLC company setup guide and a practical small business setup guide, breaking down the requirements into simple, actionable steps.
Changing Business Climate in Saudi Arabia
Saudi Arabia is transforming its economy at a rapid pace. Under Vision 2030, the Kingdom is diversifying into technology, innovation, tourism, and high-growth sectors beyond oil.
The Ministry of Investment of Saudi Arabia (MISA) has played a central role, granting foreign investors more access and flexibility than ever before.
- Many industries now allow 100% foreign ownership, a major breakthrough for international businesses.
- Business setup processes have been digitised, reducing reliance on in-person visits.
- Licensing and registration are increasingly streamlined through government online portals.
In short, the environment has never been more favourable for company formation in Saudi Arabia.
LLC Company Setup Guide: Main Steps
When setting up a Limited Liability Company (LLC), clarity is key. Here is a step-by-step breakdown of the company registration process in Saudi Arabia:
- Choose Company Structure
The LLC is one of the most popular formats for company formation. It limits shareholder liability to the invested capital, offers flexibility, and suits activities from retail to manufacturing. Investors may opt for a single-owner LLC or a multi-shareholder structure. - Reserve Company Name
Your chosen name must be unique, comply with Saudi regulations, and be reserved via the Ministry of Commerce portal. Early approval prevents later delays. - Obtain a Foreign Investment Licence (MISA)
For non-Saudi investors, a MISA licence is mandatory. This requires a detailed business plan, audited accounts, passport copies, and certified Arabic translations of documents. Accuracy is crucial to avoid rejection. - Draft and Notarise Articles of Association (AoA)
The AoA sets out ownership, share distribution, and governance rules. It must be written in Arabic, notarised, and submitted to the Ministry of Commerce. - Register for a Commercial Registration (CR)
Approval of the AoA enables issuance of the Commercial Registration (CR), which legally establishes your company. CR details are published in the official A’mali newspaper for transparency. - Register with Regulatory Bodies
Depending on your sector, registrations typically include:
- ZATCA (Zakat, Tax & Customs Authority) – VAT compliance and e-invoicing (Fatoora).
- GOSI (General Organization for Social Insurance) – Social insurance for employees.
- Local Chamber of Commerce – Trade membership and networking.
- Municipality (Baladiya) – Municipal licence for business premises.
- Open a Corporate Bank Account & Deposit Capital
Capital requirements vary: many LLCs operate with SAR 100,000 (£21,000), while sectors such as industry or agriculture may require higher amounts (up to SAR 1.3 million / £273,000). A corporate bank account must be opened, and capital deposited.
Key Rules & Costs to Note
- Capital Requirement: SAR 100,000 is standard, but no universal minimum applies.
- Shareholders: Between 1 and 50 permitted.
- Saudisation (Nitaqat): Mandatory Saudi hiring quotas apply; higher compliance levels grant benefits such as faster visa processing.
- Digital Compliance: VAT-registered companies must use ZATCA’s Fatoora e-invoicing system.
Innovation SA: Your Partner in LLC Setup
At Innovation SA, we simplify the entire company formation in Saudi Arabia process. Our experts manage everything from investment licences to final compliance.
Our services include:
- End-to-end LLC company formation
- Trade name reservation and document drafting
- Commercial Registration (CR) and regulatory filings
- Banking support and capital deposit assistance
- Saudisation and e-invoicing compliance
With extensive experience and direct collaboration with Saudi authorities, we remove bottlenecks, minimise errors, and accelerate your entry to market.
Get in Touch
Ready to begin your LLC company setup in Saudi Arabia? Whether you’re an entrepreneur or a multinational, we provide full-service support to make your company registration process smooth and efficient.
Contact Innovation SA today to transform your vision into a fully operational business in one of the world’s fastest-growing markets.
