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Company setup cost in Saudi Arabia

Official fees, firms' starting prices and registration time, with the source of every figure.

Company setup cost

Saudi Arabia

Setup cost From SAR 11,900 about From EUR 2,830
First year in total From SAR 13,100 + firms' fees on request for accounting and registered office about From EUR 3,120
Registration time Not published once the application is complete

Official fees of the base option plus the starting prices published by firms for the services switched on below. The figures do not include the firm's fees for accounting and registered office, which firms in Saudi Arabia quote on request.

Services from a firm

Starting prices published by firms on Accountanty, one price per firm. Most firms do not say whether government fees are included.

  • From SAR 10,000 one-offStarting prices published by 6 firms
  • Price on requestFewer than 5 firms publish a price (4)
  • Price on requestFewer than 5 firms publish a price (1)
  • Price on requestFewer than 5 firms publish a price (1)

Breakdown of the estimate

Commercial registration, LLC under an investment licence (Ministry of Commerce)SAR 1,200Official, at setupmc.gov.sa
Publication fee (Ministry of Commerce)SAR 500Official, at setupmc.gov.sa
Trade name reservation, Arabic nameSAR 200Official, at setupmc.gov.sa
Annual confirmation of the commercial registration, LLC (Ministry of Commerce)SAR 1,200Official, every yearmc.gov.sa
Company formation by a firmFrom SAR 10,000Firms, one-offStarting prices published by 6 firms
Accounting and annual accounts (small company)Price on requestFirms, per yearFewer than 5 firms publish a price (4)
Registered office or legal addressPrice on requestFirms, per yearFewer than 5 firms publish a price (1)
VAT registrationPrice on requestFirms, one-offFewer than 5 firms publish a price (1)

Base: Ministry of Commerce fees for an LLC with an Arabic trade name, before 15% VAT. The MISA investment licence fee is set on approval and not published, so it is not included.

Get your detailed report and quotes from firms in Saudi Arabia

We email you a PDF with the official fees and their sources, the firms' starting prices, the steps, the documents, the yearly obligations and the firms offering company formation in Saudi Arabia. We also share your request with firms we select there, who may contact you with quotes.

Taxes in Saudi Arabia

Your country of residence may tax the dividends you receive, and it may also tax the company's profits under its rules on foreign companies controlled by its residents. A company managed from your country may be treated as resident there. This is general information, not tax advice.

Corporate tax

  • Income tax is 20% of the tax base of a resident capital company, on the shares held directly or indirectly by non-Saudi persons. zatca.gov.sa
  • Zakat is 2.5% of the zakat base on the shares of Saudi partners and of those treated as GCC citizens. zatca.gov.sa

Tax on dividends paid abroad

  • Withholding tax on dividends paid to non-residents is 5%. zatca.gov.sa

VAT

  • VAT standard rate 15%; registration is mandatory above SAR 375,000 of taxable supplies in 12 months and voluntary above SAR 187,500. zatca.gov.sa

Try a yearly profit

Assumption: one shareholder, an individual who is not resident in Saudi Arabia, holds 100% of the company; the shareholder is not Saudi or a GCC citizen, so the whole company is subject to income tax and not to zakat.

Paid out as dividends

Destination taxes only, before tax treaties and before any tax in your country of residence.

Corporate tax in Saudi ArabiaSAR 100,000 (20%)
Dividend paidSAR 400,000
Tax withheld in Saudi Arabia on the dividendSAR 20,000
Dividend received, before any tax in your countrySAR 380,000
Profit kept in the companySAR 0
  • The figure applies 20% to the profit. The tax base is set by Saudi tax rules and can differ from the accounting profit.

Tax facts checked on 2026-10-23 from the official sources linked above. Rates change: check them with a firm before you act.

How the estimate is built

What the figures include

  • Firms' figures are starting prices published by firms listed on Accountanty, read from their websites in October 2026: the range runs from the lower to the upper quartile, with at least 8 firms; "from" means 5 to 7 firms; below 5 the price is on request.
  • Official fees are added up only for the base option named in the breakdown. Other options and fees that apply only in some cases are listed separately.
  • Euro amounts are approximate: Euro equivalents at the ECB reference rate of 2026-10-22; AED and SAR via their US dollar pegs.
  • Ministry of Commerce fees are stated before 15% VAT.
  • The MISA registration and annual update fees are set by the ministry on approval; no amount is published.
  • No official end-to-end time is published; bank account, chamber, municipal licence, GOSI and visas are not in the figures.
  • No minimum capital is published for services or consulting activities outside the MISA table.
  • Reserving a trade name takes 10 days, according to the Ministry of Commerce.

All official fees

Commercial registration, LLC under an investment licence (Ministry of Commerce)SAR 1,200At setupmc.gov.sa
Publication fee (Ministry of Commerce)SAR 500At setupmc.gov.sa
Trade name reservation, Arabic nameSAR 200At setupmc.gov.sa
Trade name reservation, English nameSAR 500At setupmc.gov.sa
Annual confirmation of the commercial registration, LLC (Ministry of Commerce)SAR 1,200Every yearmc.gov.sa

Not published by the authorities: MISA investment registration fee (set by the ministry on approval; no amount published); MISA annual update fee (set by the ministry on approval; no amount published); Chamber of Commerce subscription and renewal; Municipal licence fees; Document authentication at Saudi missions abroad.

Time to register: MISA registration: estimated 10 working days. The Ministry of Commerce then establishes the company within 72 hours. No official end-to-end figure is published. Minimum share capital: No minimum is set for most activities. Trading activities need SAR 26,666,667 with a Saudi partner, or SAR 30,000,000 when 100% foreign.

Steps

  1. Have each foreign partner's documents authenticated through a Saudi mission abroad misa.gov.sa
  2. Register the investment with the Ministry of Investment (MISA) before investing misa.gov.sa
  3. Pay the MISA registration fee within 15 business days of notification, or the registration is void misa.gov.sa
  4. Reserve the trade name with the Ministry of Commerce mc.gov.sa
  5. Establish the company with the Ministry of Commerce once the investment certificate has at least 30 days of validity mc.gov.sa
  6. Open files with the labour ministry, ZATCA and GOSI, register the national address with Saudi Post and join the chamber mc.gov.sa
  7. Open a bank account linked to the establishment mc.gov.sa

Documents and requirements

  • Copy of the foreign partner's commercial registration, certified by the Saudi embassy misa.gov.sa
  • Financial statements of the foreign partner for the last fiscal year, authenticated by the Saudi embassy misa.gov.sa
  • Articles of association, authenticated electronically through the Ministry of Commerce misa.gov.sa
  • A foreign investor registers with MISA before engaging in any investment misa.gov.sa
  • Whether a local partner is needed depends on the activity misa.gov.sa
  • Professional companies need licensed Saudi partners holding at least 25% mc.gov.sa
  • The company has Saudi nationality and its headquarters in the Kingdom misa.gov.sa
  • An LLC can be set up by one or more natural or legal persons misa.gov.sa

Every year

  • Electronic confirmation of the commercial registration every 12 months; a delay of 3 months suspends the register mc.gov.sa
  • Annual update of the investment registration with MISA misa.gov.sa
  • Financial statements deposited within six months of the end of the fiscal year misa.gov.sa
  • Income tax return within 120 days of the end of the taxable year zatca.gov.sa

What the cost of a company in Saudi Arabia is made of

The cost of setting up a company in Saudi Arabia as a foreign investor has two official stages, and only the second has published fees. First the investment is registered with the Ministry of Investment (MISA), which sets its fee on approval and publishes no amount. Then the Ministry of Commerce issues the commercial registration of the LLC for SAR 1,200 plus a SAR 500 publication fee. Reserving the trade name costs SAR 200 for an Arabic name or SAR 500 for an English one. These amounts are stated before 15% VAT.

MISA estimates its registration at 10 working days, after which the Ministry of Commerce establishes the company within 72 hours. No official end-to-end time is published, and the bank account, chamber membership, municipal licence and visas come on top.

Check the share capital for your activity early: no minimum applies to most activities, but trading needs SAR 30,000,000 when the company is 100% foreign.

Starting prices for formation are published by 6 firms, from SAR 10,000, and 4 of them do not say whether government fees are inside. For accounting, too few firms publish a price, so that part needs a quote. Each year the commercial registration is confirmed for SAR 1,200, and the MISA registration is updated for an unpublished fee.

The calculator below lists the ministry fees for a Saudi LLC; to see the firms, read the Saudi Arabia guide or company formation in Saudi Arabia, and request quotes for the services without published prices.

Setup costs in Saudi Arabia: questions and answers

What does a Saudi Arabia business licence cost?

The MISA investment registration, which works as the foreign investor's licence, has no published fee: the ministry sets it on approval, and the same applies to its annual update. The Ministry of Commerce fees are published: SAR 1,200 for the commercial registration of an LLC and SAR 500 for publication, before VAT.

Do I need a Saudi partner?

It depends on the activity, according to MISA. Professional companies need licensed Saudi partners holding at least 25%. For trading, the capital required is SAR 26,666,667 with a Saudi partner or SAR 30,000,000 when the company is wholly foreign owned, so the choice changes the cost considerably.

What yearly costs follow the setup in Saudi Arabia?

The commercial registration is confirmed online every 12 months for SAR 1,200, and a delay of 3 months suspends the register. Financial statements are deposited within six months of the year end, and the income tax return is due within 120 days. Bookkeeping and audit fees from firms come on top and need a quote.

How is a foreign-owned Saudi company taxed?

Income tax is 20% on the tax base attributable to non-Saudi partners, zakat is 2.5% on the shares of Saudi and GCC partners, and dividends paid to non-residents bear 5% withholding tax (ZATCA). The country where you live may tax those dividends again, so ask an adviser there as well.

Sources and notes

  1. misa.gov.sa read 2026-10-23
  2. mc.gov.sa read 2026-10-23
  3. mc.gov.sa read 2026-10-23
  4. mc.gov.sa read 2026-10-23
  5. misa.gov.sa read 2026-10-16
  6. misa.gov.sa read 2026-10-16
  7. mc.gov.sa read 2026-10-16
  8. mc.gov.sa read 2026-10-16
  9. misa.gov.sa read 2026-10-16
  10. zatca.gov.sa read 2026-10-16
  11. zatca.gov.sa read 2026-10-23
  12. zatca.gov.sa read 2026-10-23
  13. zatca.gov.sa read 2026-10-23

Official figures checked on 2026-10-23. General information, not legal or tax advice: check the official sources and confirm costs with a firm before you act.