With one of the biggest economies in the GCC, the Kingdom of Saudi Arabia is projected to become a prosperous business and investment destination. Following the Kingdom’s Vision 2030 initiatives, many foreign investors make the critical choice to establish a business structure with 100% foreign ownership in Saudi Arabia.
New Investor-friendly Policies of Saudi Arabia
The new Investment Law of Saudi Arabia, which came into effect in 2025, has simplified MISA license requirements for foreign investors, making it more attractive for them to register a business in Saudi Arabia. The Law protects investors, streamlines the registration process, and incentivises investment. The salient features are,
- Investor Protection: Freedom to transfer money, protection of trade secrets and intellectual property, and equal treatment for domestic and foreign investors.
- Registration Process simplified: No need for a foreign investment licence, and investors can register with the Ministry of Investment.
- Investment Incentives: These are based on transparent criteria established by competent authorities for eligible investors.
- Applicable to all investors (including those in special economic zones).
Opportunities for Foreign Entrepreneurs in KSA
Saudi Arabia has become one of the most attractive destinations for global investors and entrepreneurs thanks to its Vision 2030 reform agenda. From tourism to finance, the Kingdom is actively opening up key sectors to foreign ownership, offering a unique window of opportunity for international businesses. Here are some high-potential industries ripe for investment:
1. Tourism & Hospitality
Saudi Arabia is investing heavily in mega-projects like NEOM, The Red Sea Project, and Qiddiya, positioning itself as a global hub for tourism. This opens doors for foreign entrepreneurs to fully own and operate resorts, entertainment centres, boutique hotels, travel tech platforms, and a wide array of support services catering to domestic and international tourists.
2. Manufacturing & “Made in Saudi”
The Kingdom’s push for industrial diversification includes strong incentives under the “Made in Saudi” initiative. Foreign investors can tap into sectors such as food processing, automotive parts, renewable energy components, and consumer goods manufacturing. Tax benefits, industrial zones, and government-backed funding further sweeten the deal.
3. Financial Services
With global financial giants such as Citigroup, BNY Mellon, and Goldman Sachs establishing regional headquarters in Riyadh, the financial sector is poised for increased foreign participation. Qualified foreign firms can now obtain licenses to fully own and operate in areas such as asset management, fintech, insurance, and investment banking.
4. Real Estate Development
New regulations allow foreign companies to invest in and own commercial properties under defined conditions. From office towers and retail spaces to large-scale mixed-use developments, the sector offers high returns for those ready to meet regulatory requirements and minimum capital thresholds.
How to start a business in Saudi Arabia as a Foreigner?
In Saudi Arabia, business set up by foreigners is now a standard and streamlined process, with the Kingdom welcoming global investors and entrepreneurs. If you’re planning to establish your company here, follow these essential steps to get started:
- Investors must register with Saudi Arabia (MISA): Previously, acquiring an investment license from the Ministry of Investment of Saudi Arabia (MISA) was the required step. Now, foreign investors can operate within the country by registering with the Ministry of Investment and Industry.
- Reserve a company name: Reserve a unique name for your company.
- Draft articles of association: Draft your Company’s articles of association, which should include the internal rules of the business, such as the share capital, management structure, and operating processes. The AOA needs to be submitted to MOCI for approval after being notarised.
- Register with the Ministry of Commerce and Industry: Register your Company with the Ministry of Commerce and Industry to obtain a commercial registration.
- Register with the GAZT: Register your Company with the General Authority for Zakat and Tax (GAZT). All companies in Saudi Arabia are required to register with the General Authority of Zakat and Tax for taxation purposes.
- Obtain necessary permits and approvals: Make sure that you have all required permits and approvals in place. They may include licenses for specific industries.
- Issue the General Manager’s Visa: Obtain the necessary approval for your General Manager’s residence permit and visa, managing essential labour documentation through the Ministry of Labour and Social Development.
- National Address Enrolment: Establish a recognized business address for inclusion in government records.
- Filing with Qiwa Portal-Human Resources & Social Development: Filing with the Qiwa platform to optimise the Ministry of Human Resources & Social Development services is necessary to improve electronic solutions for the labour sector.
- Muqeem Portal Listing: Streamline residency data management with Muqeem, ensuring real-time coordination with Saudi authorities for efficient entry and exit processes.
- Absher Portal Filing: The Absher Portal Filing allows Saudi residents to access over 279 services, including appointments, passport renewals, ID cards, driver’s licenses, and more, all within a convenient application.
- General Organization for Social Insurance Enrolment: Enrol with the General Organization for Social Insurance to guarantee the welfare of your workers.
- Open bank accounts: Open bank accounts for your company to conduct business transactions, pay salaries, receive customer payments, and manage financial operations by providing the necessary documents.
Additional Documents Required
- IDs and addresses of directors & shareholders
- Passport copies of directors & shareholders
- Trade name declaration: Registering a unique trade name for the business.
- Notarized MoA & AoA
- Bank reference letter
How does the Helpline Group help in a business setup in Saudi Arabia?
Helpline Group brings over 25 years of expertise in company formation, providing a seamless and hassle-free experience for clients. Our experienced professionals possess exhaustive knowledge of the latest rules and regulations, ensuring compliance and efficiency.
The Helpline Group will assist foreign entrepreneurs in leveraging the numerous opportunities to set up a business in Saudi Arabia, including all necessary registrations, licenses, and approvals from the relevant authorities of the Saudi Arabian government.
