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Registration through the Ministry of Investment Saudi Arabia (MISA) is the first step insetting up a foreign-owned business in Saudi Arabia. MISA is the gateway to permission to operate in the Kingdom with the primary goal to facilitate and encouraging foreign investment. Local and fully owned GCC national companies are set up directly through theMinistry of Commerce. The principal business entities in the Kingdom include Limited Liability Company (LLC), Branch of a foreign entity and a Regional Head Quarters (RHQ). However, the most common is the Limited Liability Company (LLC) for which100% Foreign Ownership is permissible throughMISA and is applicable from day one. This makes it appealing to foreign investors and applies to many business activities. However, there are some activities which require a Saudi National Shareholder to be active in the business and become a true 25% Shareholder, e.g.Engineering & Consultancy.
It is essential to obtain independent tax and legal advice, specific to your companies operations in Saudi Arabia before setting up in the Kingdom.