Question 1

How much does it cost to set up a company in Saudi Arabia with EL-LWAA?

Accepted Answer

Our price is fixed and published: SAR 20,000 for service, industrial or agricultural activities, and SAR 34,000 for trading. It covers every step, from the parent company to registration on the government platforms.

Question 2

Do I need a company outside Saudi Arabia to set up a company there?

Accepted Answer

Yes, the investment rules require an existing company outside the Kingdom. If you don't have one, we set it up for you in Egypt as part of the package, at no extra cost.

Question 3

Do investors still pay SAR 62,000 a year for the investment license?

Accepted Answer

No. Collection of that fee stopped in February 2025, when the new Investment Law came into force.

Question 4

How long does it take to get a commercial registration in Saudi Arabia?

Accepted Answer

About 45 working days for a service activity with EL-LWAA, and a little longer for trading.

Question 5

What is the best company type to set up in Egypt?

Accepted Answer

In most cases, a limited liability company, because it protects your personal money and doesn't require a capital deposit.

Question 6

Where are EL-LWAA's offices?

Accepted Answer

We have offices in Riyadh, Jeddah and Cairo, and we work with clients in Saudi Arabia, Egypt and abroad.

Question 7

Can a foreigner own a company in Saudi Arabia without a Saudi partner?

Accepted Answer

Yes. In most activities you can own 100%, and a Saudi partner is only required in a limited number of activities.

Question 8

What is the difference between opening a branch and setting up a Saudi company?

Accepted Answer

A branch carries the parent company's name and the parent company is liable for its obligations, while a Saudi company is an independent entity whose liability is limited to its capital.

Question 9

Can a foreign company registered a year ago, but not yet operating, be the parent company?

Accepted Answer

It has to be officially registered and have financial statements for at least one year. If it hasn't actually operated, acceptance depends on its papers and statements, so send them to us and we'll review them before applying.

Question 10

I bought an existing company and its ownership was recently transferred to me. Can I use it to invest in Saudi Arabia?

Accepted Answer

It may qualify if its financial statements are certified and the transfer documents are complete, but that depends on the company's details and the transfer date. Send us its papers through the ASSIS platform or contact the EL-LWAA team to review them.

Question 11

A foreign company wants to sell its product in Saudi Arabia. Does it have to set up a company?

Accepted Answer

Not always. There are alternatives, such as working with a Saudi distributor or agent, but a company gives you full control over sales, marketing and government contracts. Contact us and we'll compare the options for your product.

Question 12

Are there special requirements for technology companies in Saudi Arabia?

Accepted Answer

The new law lets you combine several activities in one license, and some technology activities have their own requirements depending on their type. Contact us to check the requirements for your activity.

Question 13

Which activities fall under Law 72 in Egypt?

Accepted Answer

The list of Law 72 activities is in the activity guide on the General Authority for Investment (GAFI) website, and we can review your activity with you.

Question 14

Can a foreigner living in Egypt get a commercial registration or a sole proprietorship?

Accepted Answer

Foreigners can invest in Egypt, and the best route is usually a company under Law 72 because it allows residency, while a sole proprietorship has its own conditions. Contact us to find the right structure for you.

Question 15

I have a company in Dubai and want to open a branch in Egypt. What are the steps?

Accepted Answer

You can open a branch of your foreign company in Egypt, or set up an Egyptian company owned by it. Each option has different documents and costs, so contact us and we'll compare them for you.

Question 16

Does an online store run from home need an office and a lease contract in Egypt?

Accepted Answer

An online activity can be registered, but the premises requirements depend on the legal form and the activity. Contact us and we'll tell you which documents your store needs.

Frequently Asked Questions about Company Formation in Saudi Arabia and Egypt

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