Starting a business in Saudi Arabia as a foreigner
The MISA investment licence, commercial registration, Saudisation quotas and the taxes you will pay.
In short
Foreign investors register with MISA, then obtain a commercial registration (CR) from the Ministry of Commerce. Regional headquarters in Riyadh are needed to win most government contracts.
- Licence
- MISA investment licence
- Registration
- Commercial Registration (CR)
- Corporate tax
- 20% (foreign share)
- Time
- 4–12 weeks
Step by step
Tick each step as you finish it. Open a step to see what to do.
Online with attested documents.
1–4 weeks
Documents checklist
Do’s and don’ts
Do
- Plan for Saudization quotas from day one
Don’t
- Don’t start trading before CR is issued
Cost estimator
Untick what doesn't apply to you. These are rough figures and fees change often, so check with the authority.
Watch out
- Document attestation from abroad is often the slowest part.
Common questions
Can a foreigner own 100%?
Yes, for most activities.
Official links
Background and more detail
The investment licence
Foreign investors start with a licence from the Ministry of Investment (MISA). Most sectors allow 100% foreign ownership; a few, such as some media and defence activities, are restricted. MISA checks capital, activity and the parent company documents, which must be attested.
Commercial registration
With the MISA licence you register the company with the Ministry of Commerce to get a Commercial Registration (CR), then register with the Chamber of Commerce, ZATCA (tax), GOSI (social insurance), Qiwa and Muqeem.
Saudisation (Nitaqat)
Every private company has a Saudi employee quota that depends on sector and headcount. Your Nitaqat colour band controls whether you can issue new work visas, so plan Saudi hires from the start.
Tax
- Corporate income tax 20% on the share of profit owned by non-GCC shareholders
- Zakat 2.5% on the Saudi and GCC-owned share
- VAT 15%
- Withholding tax on certain payments abroad
Regional headquarters
Since 2024, government contracts generally go to companies with a regional HQ in the Kingdom. The RHQ programme offers tax incentives for qualifying multinationals.
Practical tips
- Budget for document attestation in your home country and at the Saudi embassy
- A local lawyer or licensed consultant saves weeks on the first filings
- Open the bank account only after the CR and tax registration are issued
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Related guides
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What expats pay and what businesses must file.