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FAQs

Frequently Asked Questions

Common Questions About Business Setup inSaudi Arabia

At Setup in Saudi Arabia, we’re here to answer your questions and guide you through your business setup journey. Feel free to reach out using the methods below, or browse our Frequently Asked Questions to find answers quickly.

Company Formation Service

How long does it take to register a company in Saudi Arabia?

The process typically takes 2–4 weeks, depending on the business type and required approvals. Our team ensures it’s completed as quickly as possible.

Can foreign investors start a business in Saudi Arabia?

Absolutely! We specialize in helping foreign investors secure MISA licenses and navigate Saudi Arabia’s regulatory framework.

What type of business structure should I choose?

Our experts guide you in selecting the best legal structure, such as LLCs, branch offices, or sole proprietorships, based on your business goals.

Investor Visa Service

 

1. What is the eligibility for an Investor Visa in Saudi Arabia?

To qualify for an Investor Visa, you must:

  • Own or invest in a registered business in Saudi Arabia.
  • Obtain approvals from MISA and CR.
  • Provide proof of financial stability and valid documentation.
2. How long does it take to get an Investor Visa?

The process typically takes 2–4 weeks, depending on the completeness of the application and required approvals.

3. Can I sponsor my family with an Investor Visa?

Yes, an Investor Visa allows you to sponsor your spouse and children for residency in Saudi Arabia.

4. Do I need an existing business to apply for an Investor Visa?

Yes, you must have a registered company or investment approved by MISA and CR to apply.

5. What are the benefits of an Investor Visa?

The visa provides long-term residency, access to local services, and the ability to manage your investments directly within the Kingdom.

6. Can I renew my Investor Visa?

Yes, Investor Visas are renewable as long as you maintain your investment or business ownership.

Taxation and Compliance 

 

1. What taxes are applicable to businesses in Saudi Arabia?

Businesses in Saudi Arabia are typically subject to:

  • VAT (Value-Added Tax): 15% on most goods and services.
  • Zakat: A mandatory contribution for Saudi-owned businesses.
  • Corporate Income Tax (CIT): 20% for foreign-owned companies.
  • Withholding Tax: Applied to cross-border payments.
2. How often do I need to file VAT returns?

VAT returns must be filed monthly or quarterly, depending on your business’s annual revenue.

3. What is Zakat, and who needs to pay it?

Zakat is an obligatory contribution for Saudi-owned businesses based on net income or assets. Foreign-owned entities are exempt but must pay Corporate Income Tax (CIT).

4. What are the penalties for late tax filing?

Penalties for late tax filing can range from 5% to 25% of the unpaid tax, depending on the delay. Timely filing is crucial to avoid these fines.

5. Can you help with tax audits?

Yes, we provide complete support for tax audits, including document preparation, submission, and communication with auditors.

6. How can I reduce my tax liabilities?

Our tax advisory services help you identify deductions, optimize expenses, and comply with regulations while minimizing your tax burden.

MISA Licensing Service


1. What is a MISA License?

The MISA License is issued by the Ministry of Investment Saudi Arabia, allowing foreign investors and companies to establish and operate businesses in the Kingdom legally.

2. Who is eligible for a MISA License?

Foreign investors, global corporations, and entrepreneurs planning to start businesses in Saudi Arabia in sectors like technology, retail, healthcare, tourism, and manufacturing are eligible.

3. How long does it take to get a MISA License?

The process typically takes 2-4 weeks, depending on the completeness of the documentation and the complexity of the application.

4. What documents are required for a MISA License?

Key documents include:

  • Business plan or project proposal.
  • Proof of financial solvency (audited financial statements).
  • Attested copies of passports or company registrations.
  • Any specific documents required by your chosen sector.

5. Can I get 100% foreign ownership with a MISA License?

Yes! One of the major advantages of a MISA License is that it allows 100% foreign ownership in many sectors.

6. What happens after I get my MISA License?

After obtaining your MISA License, you will need to:

  • Register your business with the Ministry of Commerce.
  • Open a corporate bank account.
  • Complete any additional legal and compliance steps.
    We handle all these for you as part of our post-license support services.

7. Are there sectors where foreign ownership is restricted?

Yes, certain sectors like oil exploration and military services may have restrictions. Our team will guide you in identifying eligible sectors for your business.

8. Do I need a physical office in Saudi Arabia?

Yes, most business activities require a physical presence or registered office in Saudi Arabia. We assist in fulfilling this requirement as part of the setup process.

Corporate Bank Accounts:

1. Can foreign-owned companies open a corporate bank account in Saudi Arabia?

Yes, foreign-owned companies can open a corporate bank account after obtaining their Commercial Registration (CR) and fulfilling the bank’s requirements.

2. What documents are required to open a corporate bank account?
  • Commercial Registration (CR).
  • Articles of Association (AOA).
  • ID or passport copies of directors and shareholders.
  • Proof of business address in Saudi Arabia.
3. How long does it take to open a corporate bank account?

The process typically takes 2-3 weeks, depending on the completeness of the documents and the bank’s requirements.

4. Are multi-currency accounts available?

Yes, many banks in Saudi Arabia offer multi-currency accounts to facilitate international transactions.

5. Can I access online banking services?

Absolutely. Most banks in Saudi Arabia provide robust online and mobile banking platforms for corporate accounts.

6. What are the costs involved in opening and maintaining a corporate bank account?

Costs vary by bank and account type. We help you identify options with the most competitive fees and benefits.

Personal Bank Accounts

1. Can expatriates open a personal bank account in Saudi Arabia?

Yes, expatriates can open a personal bank account with valid documentation, such as an Iqama (Residency Permit) or visa, and proof of address.

2. What documents are required?
  • You’ll need:

  • A valid Iqama or visa.

  • A copy of your passport.
    Proof of address in Saudi Arabia.

3. How long does it take to open a personal bank account?

The process typically takes 1–2 weeks, depending on the completeness of your application and the bank’s requirements.

4. Can I access online banking services?

Yes, most banks in Saudi Arabia offer advanced online and mobile banking platforms for personal accounts.

5. What fees are associated with personal bank accounts?

Fees vary depending on the bank and account type. We’ll help you choose the option with the best value for your needs.

6. What are the costs involved in opening and maintaining a corporate bank account?

Costs vary by bank and account type. We help you identify options with the most competitive fees and benefits.

PRO Services

1. What are PRO Services?

PRO Services manage all interactions with government agencies on behalf of your business, including visa processing, license renewals, and regulatory compliance.

2. Who needs PRO Services?

Businesses of all sizes—startups, SMEs, and multinational corporations—can benefit from PRO Services to streamline administrative processes and maintain compliance.

3. What types of visas do you handle?

We assist with:

  • Investor Visas
  • Work Visas
  • Residency Visas (Iqama)
  • Family Visas
  • Exit and Re-entry
  • Permits
 
4. How do you ensure timely renewals?

Our team monitors all renewal deadlines and proactively manages the process to ensure your documents, licenses, and permits are always up to date.

5. Can you assist with Saudization requirements?

Yes, we handle labor quota approvals, employee documentation, and compliance with Saudization regulations.