Cost of Opening a Company in Saudi Arabia: The Updated Financial and Operational Guide for 2026
Analyzing the Cost of Opening a Company in Saudi Arabia is the fundamental pillar for building a sustainable business model in the Kingdom. With recent regulatory changes, especially the updates to Ministry of Investment fees and the new Chamber of Commerce classifications, it has become mandatory for investors to be aware of the exact costs to ensure Business liquidity Saudi Arabia.
Motaded Limited (Motaded), acting as your premier Legal consultant in Saudi Arabia and a certified business incubator, confirms that financial transparency in open company in Riyadh items is what grants the investor the ability to expand strategically in the promising Saudi market.
I. Government and Official Setup Costs
Government fees are subject to continuous updates to enhance investment competitiveness. Here are the latest developments for 2026:
1. Ministry of Investment License Fees (MISA License)
Current Status: The issuance of license fees (which previously amounted to SAR 12,000 for the first year and SAR 62,000 for renewal) has been suspended until further notice by the Ministry of Investment. This is part of a package of facilities to support investors and reduce setup burdens.
2. Commercial Registration Fees (CR)
The fee for issuing a Commercial Registration for Limited Liability Companies (LLC) is approximately SAR 1,200 annually, in addition to an article of association publication fee of SAR 500.
3. Chamber of Commerce Fees (Annual Subscription and Renewal)
Fees now depend on specific categories accurately defined according to the capital and the number of employees in the facility:
| Category | Criteria (Capital / Number of Employees) | Annual Financial Consideration |
|---|---|---|
| First | Listed companies, or capital > SAR 1 million, or workforce ≥ 250 employees. | SAR 5,000 |
| Second | Capital (SAR 375k - 1 million), or workforce (50 - 249 employees). | SAR 2,000 |
| Third | Capital < SAR 375k, and workforce (6 - 49 employees). | SAR 1,000 |
| Fourth | Capital < SAR 375k, workforce ≤ 5 employees, and established ≥ 5 years. | SAR 700 |
| Fifth | Establishments: Capital < SAR 375k, workforce ≤ 5 employees, and established < 5 years. | SAR 500 |
| Sixth | Companies: Capital < SAR 375k, workforce ≤ 5 employees, and established < 5 years. | SAR 200 |
II. Premises and National Address (Motaded's Solutions)
Premises costs are a vital part of the Business setup in Saudi Arabia budget:
Traditional Offices: In Riyadh, small offices (30 - 60 square meters) start from SAR 35,000 per year and above.
Innovative Solution from Motaded: A traditional physical office is not mandatory; a foreign investor can use a Virtual Address and the Ready-made and furnished office services provided by Motaded. These services include (offices, telephones, internet, printer, meeting rooms, and conference halls), which saves high setup and decoration costs.
Subul Fees (National Address): Registration fees for the National Address and related subscriptions remain fixed annual costs.
III. Recruitment and Professional Staff in Saudi Arabia
Operating a facility requires a precise budget for labor. Here is a breakdown of the government and operational costs associated with them in the compliance table:
| Item | Estimated Cost (SAR) | Responsible Authority | Payment Method | Additional Notes |
|---|---|---|---|---|
| Work Visa | SAR 2,000 | Ministry of HR | One-time | Paid upon requesting the visa issuance. |
| Work Permit | SAR 9,700 | Ministry of HR | Annual | Industrial activities receive support to reduce the financial consideration from the Ministries of HR and Industry. |
| Residency Fees | SAR 650 | Ministry of Interior | Annual | Fee for renewing the resident identity for the employee. |
| Medical Insurance | SAR 1,500 - 5,000 | Insurance Companies | Annual | Cost varies based on employee age and insurance class. |
| Salaries | Market-based | The Entity | Monthly | Subject to the Wage Protection System and the approved minimum wage. |
IV. Motaded's Role in Achieving ZATCA Compliance
As a Legal consultant in Saudi Arabia, we ensure that every riyal spent on the Cost of Opening a Company in Saudi Arabia contributes to legal compliance and growth:
Cost Automation: We help you link your operational expenses to the electronic invoicing system compliant with Zakat and Income requirements.
Liquidity Provision: Through ready-made and virtual office solutions, we protect Business liquidity Saudi Arabia from depletion in unnecessary fixed assets during the launch phase.
Industrial Support: We guide industrial entities to benefit from financial consideration support initiatives for work permits in coordination with relevant authorities.
Conclusion: A Precise Budget for Sustainable Growth in Saudi Arabia
Success in Starting commercial in Saudi Arabia depends on balancing fixed government fees with smart operational solutions. Thanks to the services of Motaded Limited (Motaded), an investor can start with calculated costs and an integrated workplace that meets all sovereign requirements, while benefiting from all available government support initiatives.
Contact us today at Motaded Limited to obtain a comprehensive price offer that includes ready-made office solutions and management of recruitment and compliance files.