If you have a business and you have interest in making it grow on time KSA is your best option; since being very similar to the procedure in other countries. The country can become an ideal place for foreign companies, since the local institutions, through the General Investment Authority of Saudi Arabia, created a legislative framework that is adapted to the needs of foreign entrepreneurs.
In this article, we will be discussing the benefits of investing on time KSA, how you will see the results reflected in your business and why to consider this country as the best among all existing possibilities.
- Why is it the right time now for business in saudí?
- Business opportunity in current in KSA?
- How to open a branch of your business in KSA?
- Type of business license in Saudi Arabia
- Advantages of having a business branch in KSA
- How can you find more information about opening a new branch of your business on time KSA?
1. Why is it the right time now for business in Saudi?
Saudi Arabia has always been the largest oil exporter in the world, although its stock market was not opened to international investors until 2015. Therefore, this is milestone marked the beginning of an economic expansion and opening plan that is still in full swing today.
Currently, it is possible to choose this country to invest through shares on the stock market, global funds with assets in said state, and even create a business in this territory. For its part, the objective pursued by the country concerning diversifying its economy and the new projects it is launching have helped to restore this dynamic and on time KSA business your best option.
As a result, bearing this in mind, it is important to know what are the advantages of investing in Saudi Arabia:
- Since its entry into the World Trade Organization, more and more investors focus on this country.
- Currently, it is one of the states that enjoys the greatest economic stability due, in part, to a large number of oil reserves. Therefore, any investment is backed and the profits guaranteed, so Saudi time now.
- The Kingdom of Saudi Arabia has a population of more than 34 million inhabitants with one of the highest spending levels on the planet. These inhabitants become potential customers for your business so don’t wait to grow it, Saudi time now
- The finance and banking sector in this country fully consolidates each day and authorities regulates it. This makes this area one of the most attractive to invest in if this is your destination country, so we recommend you Saudi Time Now.
2. Business opportunity in current in KSA
In turn, if you want to invest on time KSA and do not know how then we will be giving you suggestions about the most outstanding items. The best thing is that it works both for those who already have a company established and startups in Saudi Arabia that have great reach and expansion opportunities:
Water management: desalination plants, recycling, and water supply. Water treatment is a priority given the characteristics of the country.
Renewable energy: 33% of production is destined for domestic consumption, this sector recieves a high subside. Mainly solar energy. There are several public tenders underway.
Construction and management of nuclear power plants
2.2 Transportation
– Railways, which serve as the economic backbone. Cargo and passengers
– Airports: management modernization and construction of new airports. Auxiliary services; so, construction has a great future in Saudi Arabia, start now
– Roads. Management of Tolls on main roads.
– Ports: Saudi Arabia is the world’s fourth-largest importer. Defense represents a very important epigraph.
Touristic infrastructure. Become a world tourist destination and satisfy the tourist needs of the locals. The granting of tourist visas starts now.
Important tourism project in the Red Sea. Creation of a tourism cluster with Egypt.
Entertainment industry: theme parks, cinema (audiovisual creation and exhibition have been prohibited for 40 years), opera, TV, and Spanish football.
Consultancy. Very broad, a country in need of transformation.
Know how. Help local businesses learn to work well and have a great logistics system.
2.4 Logistics
Food: Saudi Arabia is a country of 30 million inhabitants who import 100% of it. Attention on Halal food. But despite being deeply rooted in their customs, they have one of the most varied cuisines in the world, which is why startups In Saudi Arabia that are based on international food are a success. What are you waiting to invest?
Subsequently, the need to negotiate with supermarkets and local distributors, which are the important agents in the distribution chain.
The vision of the Spanish state in Saudi Arabia is good and based on 3 points
1.- Important relations between the royal houses.
2.- Islamic historical past in part of the current Spanish state.
3.- Soccer: The most watched on TV in La Liga
Business opportunities are very clear for large companies and startups in Saudi Arabia; The best thing is that they come from all kinds of sectors. The bandwidth of business opportunities in Saudi Arabia is increased. Lastly, the best is that you can start from nothing, even a small online business, come to Saudi Arabia
3. How to open new branch of your business in KSA?
The opportunity has come to invest on time KSA. Since Saudi Arabia is among the few countries where it is relatively easier to start a new business. Several factors make it easier for new entrepreneurs to start a business, and some of those factors are the ease of regulatory requirements, availability of venture capital, ease of minimum capital requirements, Favorable tax laws, ease of registration process, and extensive support from regulatory authorities. This is why companies in Saudi Arabia are often the most prosperous and easiest to incorporate. So, register now your branch and experience it by yourself
3.1 The creation of the company
When setting up a company in Saudi Arabia, these factors may need to be considered, such as the type of business, which may be industry-based, the nationality of the headquarters and the person, as well as the presence of agreements and business relationships existing.
Before starting the on-time KSA business formation procedure, a national or foreign investor must first select the business form under which the company will operate. Are you ready to invest in Saudi Arabia? do it now
3.2 Commercial agents
While direct sales to the private sector can be made from outside Saudi Arabia, it is recommended to use a Saudi agent or distributor. The on-time KSA law does not allow a foreign company to operate as a commissioned agent. Wholesale and retail trade and distribution are subject to a minimum foreign investment of SR 20 million with a 25% local partner.
3.3 Reserve company name
If you want, you can reserve a name at the Ministry of Trade and Industry, and the name reservation is valid for 2 months; but you can do it entirely online through the website of the Ministry of Trade and Industry.
3.4 Request the investment license at the General Investment Authority
Obtaining an investment license is the first requirement for establishing an on-time KSAcompany with foreign shareholders. This can be done by applying to the Saudi Arabian General Investment Authority (SAGIA) for an investment license. Everything depends on the PRO needs of the field you want to invest
you must submit the following documents:
The first thing to know to open a branch is a standard license application form that each applicant must complete and sign; which must include a notarized statement that the applicants have reviewed the Foreign Investment Regulations and its implementing regulations.
An authenticated resolution of the applicant’s board of directors; to incorporate a limited liability company on time KSA.
As well as, you will need an authenticated copy of the certificate of incorporation; and the statutes of the applicant to open new branch.
An authenticated copy of the balance of the applicant for two years before the year of application.
For their part, companies in Saudi Arabia require a full copy of the proposed company manager’s passport; including blank pages, as well as four passport-size photographs.
Finally, to open new branch you will need, complete copies of the passport, including blank pages, as well as four passport-size photographs of each person listed in the applicant’s statutes. Likewise, the processing time is 3 to 4 weeks, and it has a cost of 2000 SR. As you can see there are no restrictions to invest on time KSA. We will be here for you during all the time that your license process takes.
4. Type of business license in Saudi Arabia
4.1 Opening license
The first thing to consider when opening companies in Saudi Arabia is an opening license. This document certifies that a premise, warehouse, or office has the necessary and adequate conditions to carry out the activity for which it is intended, without causing inconvenience to third parts.
The City Council of the municipality can grant the license where the premises are located and the requirements vary from one to another. The different conditions refer to technical, hygienic, urban, and environmental aspects. In addition, the regulations separate the activities that the premises will host into two: the harmless or unclassified and the harmful or classified.
- Unqualified activities. They are the ones that do not cause inconvenience to third parties, nor do they harm the environment. They should not be harmful or dangerous for people or the environment, therefore, the application for the opening license will be easier.
- Qualifying activities. These activities are those that can be annoying, unhealthy, or dangerous for both people and the environment. In this case, the license application, in addition to being more expensive, will involve a longer procedure.
Likewise, there are activities for which it is not necessary to request a license, such as professional, craft, or artistic activities that you can carry out in the home itself, as long as you do not disturb the neighbors and you can not attend the public in the same time. You just need to follow the steps and you will come to Saudi Arabia
4.2 Work license
If the premises need conditions to put the business into operation, they should request a building license. A municipal technician will verify the works indicated in the declaration of responsibility and will check if they adapt to the type of activity, in addition, he will verify the veracity of the amounts which bases on the work carried out.
5. Advantages of having a business branch in KSA
The on time KSA process represents an advantage as a country to do business because it is a regional economic power, it is one of the only Arab countries that is a member of the G20. It relies heavily on its oil industry, which accounts for almost half of its GDP. As well as, it depends on foreign workers, as around 80% of private sector employees are non-Saudi.
Likewise, there are three types of business forms available to foreign companies in Saudi Arabia. Each of these business forms has distinct advantages and disadvantages, as well as a different scope of business activities, registration requirements, and minimum capital requirements. In most situations, these requirements depend on the degree of commitment a company has to Saudi Arabia and the proposed business activity.
6. How can you find more information about opening a new branch of your business on time KSA?
Nowadays, most businesses are looking to grow their brand internationally, although it is usually a simple process and they may require legal help during the process. That is what we are here for, to advise you and get you the results you expect.
- Immigration services.
- Visa solutions.
- Legal services.
- Virtual office.
- Saudi company formation.
- Payroll solutions.
- Branch opening assistance.
- Accountant services.
Allow us to advise you during this process so that everything turns out great. You just have to contact us through the following phone number +971 43 316 688. As well as you can send us the following email contact@companyformationsaudi.com and we will gladly resolve all your concerns.