Types of Business Setup in Saudi Arabia
Choose the business structure that aligns with your goals, each designed to offer unique benefits, ownership opportunities and access to the Saudi market.
Subsidiary
Setting up a subsidiary in Saudi Arabia offers the Company growth and expansion into the region. A subsidiary is a legally independent entity, with its shares owned by a foreign company known as the holding company, but the parent company is not liable for its activities.
Branch of a Foreign Company
A branch is essentially an extension of the parent company, operating under the laws of the jurisdiction of the parent company. It is not a distinct legal entity and conducts the same activities as its parent.
Joint Venture
A business arrangement jointly owned by two or more parties often one foreign and one Saudi entity formed to undertake a specific project or commercial activity. Liability and profit-sharing are determined by the JV agreement.
Joint Stock Company (JSC)
Ideal for large-scale enterprises, a JSC has share capital divided into tradable shares. It allows for easier capital raising through public or private offerings. Shareholders’ liability is limited to the value of their shares.
Representative Office
A non-commercial office established by a foreign company in Saudi Arabia for marketing, research, product promotion, or after-sales support. It cannot engage in profit-generating activities.
Key Advantages of Setting Up in Saudi Arabia
Largest GCC Economy
Strong GDP growth and the region’s biggest market.
100% Foreign Ownership
Full ownership possible with a MISA license.
Vision 2030 Mega Projects
Access to NEOM, Red Sea, Qiddiya & Diriyah Gate.
Tax Efficiency for Investors
0% personal tax; 20% corporate tax for foreign firms.
Government Incentives
Tax holidays, subsidies, and free land in select zones.
Strategic Location
Central in MENA with access to GCC and Africa.
Mandatory Local Presence
Required for many contracts and government tenders.
Prestige & Market Entry
Saudi license signals credibility and long-term commitment.
Extended Services
Trinity Group provides comprehensive 360° services that go beyond company formation, delivering complete end-to-end solutions for our clients.
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