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    Company Formation in Saudi Arabia: MISA, Ownership & the New Law

    Setting up in Saudi Arabia: 100% foreign ownership via MISA registration, the new Companies Law, capital expectations, and the Regional HQ program.

    June 22, 2026
    8 min read
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    Company Formation in Saudi Arabia: MISA, Ownership & the New Law

    Arabic-language reference guide to company formation in Saudi Arabia under the new Companies Law (M/132, 2023) and the MISA foreign-investment regime. General legal information, not legal advice; capital figures are MISA practice and the fee/registration regime changed in 2025 — verify with Saudi counsel or MISA.

    Foreign investors set up through MISA (the Ministry of Investment). Under the new Investment Law (in force ~Feb 2025) the old 'MISA license' was replaced by a single registration in a National Investor Register before commercial registration. 100% foreign ownership is allowed in most activities; some are on a negative list. The LLC has no statutory minimum capital, but MISA applies activity-based expectations (e.g. SAR 30M for 100%-foreign trading). The Simplified Joint Stock Company is a flexible new form.

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    Frequently asked questions

    Can a foreigner own 100% of a company in Saudi Arabia?

    Yes in most activities, by registering with the Ministry of Investment (MISA), subject to a negative list and regulated sectors that may need local participation.

    What is the minimum capital in Saudi Arabia?

    There is no statutory minimum for an LLC, but MISA applies activity-based expectations — up to SAR 30 million for 100%-foreign trading companies.

    What is the Regional Headquarters program?

    Since 2024, government entities cannot contract with multinationals whose regional HQ is outside the Kingdom; a qualifying RHQ gets tax incentives.

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