Saudi Arabia company setup cost 2026: official fees

How much does it cost to set up a company in Saudi Arabia?

The Ministry of Commerce charges SAR 1,700 (about USD 453) before 15% VAT to register a foreign-owned LLC: SAR 1,200 for commercial registration plus SAR 500 to publish the articles of association. Reserving a trade name adds SAR 200 in Arabic or SAR 500 in English. The Chamber of Commerce subscription costs nothing for the first three years. The Ministry of Investment (MISA) sets its Investment Registration fee when it approves your application and does not publish the amount. These figures come from the Ministry of Commerce (mc.gov.sa) service pages, checked on 10 November 2026.

For some businesses, capital matters more than any fee. A 100% foreign-owned trading company, for example, needs SAR 30 million in capital. So your Saudi Arabia company setup cost depends heavily on what the company will do.

The steps run in a fixed order, and each authority charges separately:

• MISA: Investment Registration for the foreign investor.
• Ministry of Commerce: commercial registration through the Saudi Business Center.
• Municipality (Balady): a commercial licence if you have premises.

The commercial registration also opens your company's files with ZATCA, social insurance (GOSI), the Ministry of Human Resources and Social Development, Saudi Post and the Chamber of Commerce. For the wider process, see our guide to setting up a business in Saudi Arabia.

Investment Registration with MISA: the fee is set on approval

The old MISA licence no longer exists. It was replaced by Investment Registration when the Investment Law (Royal Decree M/19) took effect in February 2025. A foreign investor must register with MISA before investing, and the result is an Investment Registration Certificate.

The fee is the awkward part of any budget. MISA's Investor Guide says you pay the registration fee as determined by the Ministry on approval, within 15 business days of the notice, or the registration is void. The annual update fee is set the same way. MISA publishes no tariff, so ask MISA for the current fee before you commit to a budget, and be wary of anyone quoting a fixed figure.

Here is what else you need to know:

• Documents: your foreign company's commercial registration and its financial statements for the last financial year, both authenticated by the Saudi Embassy. Premium Residency holders are exempt.
• Timing: MISA decides within 10 working days once all requirements are met.
• Annual update: filed every year, with a reply within 5 working days.
• No MISA fee: ownership amendments, data updates and cancellation.
• Language: the certificate is issued in Arabic only.

Whether you need a Saudi partner depends on the activity. Our article on Investment Registration and 100% foreign ownership covers the ownership rules in detail.

Commercial registration fees at the Ministry of Commerce

Once you hold an Investment Registration Certificate, you register the company online through the Saudi Business Center. The certificate must have at least 30 days left to run, and the Ministry issues the commercial registration within 72 hours.

Saudi commercial registration fees depend on the legal form, each plus 15% VAT where the Ministry adds it:

• LLC: SAR 1,200
• Joint-stock or simplified joint-stock company: SAR 1,600
• General or limited partnership: SAR 1,000
• Publication of the articles: SAR 500 on top of any of the above

A trade name reservation costs SAR 200 in Arabic or SAR 500 in English and is held for up to 60 days. Extending it costs SAR 100. Amending the articles later costs SAR 1,500.

The registration has no expiry date and one registration covers the whole Kingdom, so no sub-registers are issued for other cities. What you must do is confirm your data every year: SAR 1,200 for an LLC, SAR 1,600 for a joint-stock company and SAR 1,000 for a partnership. Miss the confirmation by more than three months after its due date and the registration is suspended. Suspension lasts one year, after which the registration is cancelled, and the Commercial Register Law allows a fine of up to SAR 50,000. Put the confirmation date in your compliance calendar on day one.

Chamber of Commerce, municipal licence and other official fees

Your Chamber of Commerce subscription is created automatically with the commercial registration. Under Article 30 of the Chambers of Commerce Law, payment starts three years after the registration date. After that, the yearly fee runs from SAR 200 to SAR 5,000 depending on your class: first class (SAR 5,000) applies to capital above SAR 1 million, 250 or more workers, or a listed company; second class (SAR 2,000) covers capital above SAR 375,000 up to SAR 1 million, or 50 to 249 workers; then SAR 1,000, SAR 700, SAR 500 and SAR 200 for the third to sixth classes.

One subscription covers branches in the same chamber's area that use the same trade name. Certifying a document costs SAR 40 on paper or SAR 35 electronically.

If you have premises, you need a commercial licence from the municipality through the Balady platform. Balady does not publish one flat fee: its calculator sets the fee from your activity and floor area. The application needs a lease or title deed and takes 1 to 10 days.

The Ministry of Commerce lists no separate fee for the ZATCA, GOSI and Ministry of Human Resources registrations. Hiring, though, brings work permit, levy, residence permit and social insurance costs. The Companies Law also requires an auditor for a company that is a subsidiary of another company, unless every company in the group is micro or small, and financial statements must be filed within six months of year end. Audit and accounting fees vary by provider, so ask for a fixed quote. Tax registration matters too; see corporate tax and Zakat in Saudi Arabia and the rules on ZATCA e-invoicing phase 2.

Minimum capital rules for foreign-owned companies

The Companies Law sets no minimum capital for an LLC (Articles 156 and 158). Your articles state the capital and confirm it is fully paid, and one person can form an LLC on their own. A joint-stock company needs SAR 500,000 with a quarter paid up (Article 59), though that minimum does not apply to a simplified joint-stock company.

That is only half the picture, because MISA sets its own minimums by activity. Trading is the big one:

• 100% foreign-owned trading: SAR 30 million capital and a presence in at least 3 regional or global markets.
• Trading with a Saudi partner: SAR 26,666,667 and at least 25% Saudi participation.
• Investment commitment for 100% foreign trading: SAR 300 million over five years (the SAR 30 million cash capital counts towards it), or SAR 200 million plus one listed commitment on local manufacturing, research and development or logistics. The company must also train 30% of its Saudi staff each year.

Some activities carry conditions without a capital figure. Communications needs 40% Saudi participation, and a 100% foreign engineering consultancy needs a presence in 4 countries and at least 10 years of experience. MISA confirms the requirements for your chosen activity when it reviews the application, so check before you plan around a zero-capital LLC. Larger groups weighing a regional base should also read about the Saudi Regional Headquarters programme.

Year one and yearly cost: a worked example

Take a 100% foreign-owned services LLC with one Arabic trade name. The table below sets out the numbers, and every total is a sum of published official fees, not a quote.

• Year one: SAR 1,900 before VAT (trade name SAR 200, registration SAR 1,200, publication SAR 500), or SAR 2,185 if 15% VAT is charged on every line. Sum of published official fees, not a quote.
• Years two and three: SAR 1,200 a year for the annual confirmation. Sum of published official fees, not a quote.
• From year four: SAR 1,400 to SAR 6,200 a year (SAR 1,200 plus a Chamber fee of SAR 200 to SAR 5,000, depending on class). Sum of published official fees, not a quote.

These totals leave out the MISA registration and annual update fees (set by MISA), the municipal licence fee (from the Balady calculator), embassy authentication of the parent's documents, staff costs, audit, office and provider fees. Those excluded items can be larger than the government fees, so include them when you budget the cost of company formation in Saudi Arabia. If you are still comparing locations, our Saudi Arabia vs UAE comparison sets the two side by side.

Cosmos is an AI-native platform with named specialists. In Saudi Arabia we arrange Investment Registration, company formation and regulated filings through licensed local partners, and keep the MISA annual update and the yearly commercial registration confirmation in one calendar.

FAQ

How much does it cost to register a company in Saudi Arabia?

For a foreign-owned LLC, the Ministry of Commerce charges SAR 1,200 for commercial registration plus SAR 500 to publish the articles, SAR 1,700 before 15% VAT. Add SAR 200 (Arabic) or SAR 500 (English) for the trade name. MISA's Investment Registration fee is set on approval, and the Balady licence fee depends on your activity and floor area.

How much is the MISA licence fee in 2026?

The MISA licence was replaced by Investment Registration in February 2025, when the Investment Law (Royal Decree M/19) took effect. MISA sets the registration fee when it approves your application and publishes no amount. You pay within 15 business days of the notice or the registration is void. Ask MISA directly for the current fee.

What is the minimum capital for a foreign-owned company in Saudi Arabia?

The Companies Law sets no minimum for an LLC, but MISA sets minimums by activity. A 100% foreign-owned trading company needs SAR 30 million and a presence in at least 3 markets; trading with a Saudi partner needs SAR 26,666,667. A joint-stock company needs SAR 500,000 with a quarter paid up.

Does a foreign investor need a Saudi partner?

It depends on the activity. Some activities allow 100% foreign ownership, while others set conditions: trading with a partner needs at least 25% Saudi participation, and communications needs 40%. MISA confirms the requirements for your chosen activity when it reviews your Investment Registration application.

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

MISA decides within 10 working days once all requirements are met. The Ministry of Commerce then issues the commercial registration within 72 hours, and a Balady municipal licence takes 1 to 10 days. Embassy authentication of your parent company's documents happens beforehand and is not included in those times.

Do new companies pay Chamber of Commerce fees?

No. The subscription is created with the commercial registration, but payment starts three years after the registration date under Article 30 of the Chambers of Commerce Law. From then on you pay between SAR 200 and SAR 5,000 a year, depending on your class.

What does it cost each year to keep a Saudi company registered?

An LLC pays SAR 1,200 a year to confirm its commercial registration data, plus the MISA annual update fee set by MISA. From year four, add the Chamber subscription of SAR 200 to SAR 5,000. Audit, staff, office and municipal costs come on top.

Want your Saudi company's filings and annual confirmations handled in one place? Book a demo with Cosmos to see how it works.