Clearly, you register a foreign branch in Saudi Arabia by securing a MISA foreign investment license, obtaining a Commercial Registration (-CR-) from the Ministry of Commerce, joining the Chamber of Commerce, completing municipality licensing, opening files with ZATCA (-tax/VAT-), GOSI and Qiwa (-labour platforms-), and then opening a corporate bank account. After that, stay compliant with Saudization (-Nitaqat-) rules, issue e-invoices (-ZATCA-), and you hire legally.
Branch vs Subsidiary: choose the right path first
Before filing, decide whether a branch or LLC fits your goals.
- A foreign branch keeps the parent company liable for Saudi operations. You operate under the parent name, with permitted activities set by your license.
- A Saudi LLC limits liability locally and allows shareholding structure tweaks, but it adds equity and governance layers.
If you expect one customer segment, a defined scope, and direct control, a branch often works best. When you need partners or investment, an LLC may win. Either way, the process begins with MISA. Get details on Business Setup in Saudi Arabia.
Step 1: Prepare parent documents and appoint a GM
Start with clean, consistent documentation. You will:
- Gather parent Articles/Memorandum, Certificate of Incorporation, and Board Resolution authorizing a Saudi branch and appointing a General Manager (GM).
- Prepare an audited financial statement set (usually the latest fiscal year).
- Secure a Power of Attorney (PoA) for the Saudi process agent or GM.
- Translate everything into Arabic and legalize/attest through your local authorities and the Saudi Embassy.
Name spellings must match passports exactly. The GM must have a valid passport and later a residence permit (iqama) after visa issuance.
Step 2: Apply for the MISA (formerly SAGIA) investment license
You submit the online application to MISA with the attested documents, parent profile, activity description, and—when required—proof of sector experience. MISA then issues a Foreign Investment License that states your approved activities and the form as a branch of a foreign company.
Tips that speed approvals:
- Align the Saudi branch scope with the parent’s track record
- Describe activities with precision and match them to the Ministry of Commerce nomenclature.
- Upload neat, searchable PDFs to avoid queries.
Step 3: Obtain the Commercial Registration (CR) with the Ministry of Commerce
Apparently,with the MISA license in hand, file at the Ministry of Commerce to obtain your Commercial Registration (CR). You will submit the parent charter, MISA license, GM details, and Arabic translations.
At this stage you also:
- Register the trade name (often your parent name + “Saudi Branch”).
- Record the branch address (temporary is possible; you finalize before municipality licensing).
- Appoint a Saudi-licensed auditor and define your fiscal year.
Deliverable: the CR unlocks most downstream steps.
Step 4: Join the Chamber and activate National Address
Next, enroll with your local Saudi Chamber of Commerce to authenticate letters and access services. At the same time, register your National Address (Wasel) with Saudi Post (SPL). Banks, ZATCA, and platforms require a valid National Address for onboarding. Looking for a Business Setup Consultants in KSA?
Step 5: Municipality (Balady) license and office lease
You must hold a compliant lease for your chosen city (e.g., Dammam Jeddah,Riyadh,,). After that you apply for the municipality (Balady) license. Some activities require site inspections (signage, HSE, fire safety). A serviced office can work for many services sectors; industrial activities need zoning-appropriate premises.
Step 6: Open tax and labour files—ZATCA, GOSI, Qiwa
Create your compliance spine immediately:
- ZATCA (Zakat, Tax and Customs Authority): register for VAT when you cross the threshold or expect taxable activity; enroll for corporate income tax/zakat as applicable to a foreign branch; enable e-invoicing (FATOORA) readiness.
- GOSI: open your social insurance account to enroll Saudi and expatriate employees.
- Qiwa: activate your labour platform account; this coordinates transfers visa quotas and contracts with MHR systems.
Why now? Banks and key customers will ask for TRN, e-invoicing readiness, and labour compliance.
Step 7: Corporate bank account and guarantees
Additionally Open a corporate bank account once you hold the CR, Chamber membership, National Address, and KYC pack (-MISA license, GM ID, lease, UBO chart, audited parent accounts-).Moreover Some municipalities or sectors may request a bank guarantee or letters of comfort, especially for government contracting or visas. Ask your bank about multi-currency accounts and online channels (SAR, USD, EUR).
Step 8: Immigration, visas, and onboarding the GM
After Qiwa/GOSI activation and bank account setup, proceed with employee visas. You will:
- Open a labour file and request work visa quotas.
- Issue a work visa for the GM (or use an existing residency if already in KSA).
- register the GM on Absher and Convert the visa to iqama for digital services.
Apparently, With the GM resident, the branch can manage payroll end-to-end, stamp documents, and sign contracts. Get details on Visa Services in Saudi Arabia.
Step 9: Sector approvals and special regimes
Some lines of business require extra approvals—for example:
- Engineering/ consulting: professional body registration, engineer classification.
- Education/ Healthcare ministry facility standards and approvals .
- Contracting: contractor classification and project-specific NOCs.
- Logistics/ customs: special permits, bonded zones.
Confirm these before you pitch tenders. Approvals align with the MISA license scope and the CR activities.
Step 10: Accounting, tax calendar, and e-invoicing go-live
Install an accounting system that supports Arabic/English invoices, ZATCA XML integration, and e-invoicing phases. Build a compliance calendar for:
- VAT returns, withholding tax (for cross-border services), and Zakat/Income tax.
- GOSI monthly filings and payroll (WPS).
- Chamber and municipality renewals.
- Statutory audit and financial statement filing (e.g., Qawaem).
This discipline keeps cash predictable and audits uneventful.
Timelines, costs, and practical expectations
Indicative timeline (clean files):
- MISA license: ~2–4 weeks (faster for straightforward services).
- CR issuance: ~three to seven business days after MISA.
- Chamber + Address + Municipality: 1–2 weeks depending on lease.
- ZATCA/GOSI/Qiwa + bank: 1–3 weeks, bank KYC varies by institution.
- Visas & iqama: ~2–4 weeks after quotas and contracts.
Budget buckets:
- Legalization/translation, MISA/MoC fees, Chamber membership, municipality license.
- Office lease and fit-out (or serviced office).
- Professional fees (PRO, tax/accounting, payroll).
- HR platforms,e-invoicing enablement,Bank charges.
Related Articles:
» How to Start Foreign Company Branch in Saudi Arabia?
» Difference Between Branch and Subsidiary Company in KSA
» Opening a Branch Office in Saudi Arabia
» The Benefits of Registering a Company in Riyadh, KSA
» Steps to Registering Your Company in Saudi Arabia
Common mistakes and how to avoid them
- Vague activities in MISA that don’t match contracts. Fix: mirror client scope in the license.
- Late e-invoicing prep. Fix: choose software that meets ZATCA XML and security rules.
- Skipping Qiwa/GOSI until hiring day. Fix: open files right after the CR.
- Address mismatch across documents. Fix: keep the National Address identical on every file.
- No local auditor appointed. Fix: appoint during CR stage and align on the chart of accounts.
- Ignoring Saudization/Nitaqat planning. Fix: model headcount mix early.
Expanding Your Business into the Saudi Market
In order to Register a foreign branch in Saudi Arabia, secure your MISA license, after that obtain the Commercial Registration from the Ministry of Commerce.Besides this,complete municipality licensing,activate your National Address, and join the Chamber. Open Qiwa, GOSI, and ZATCA files, enable e-invoicing, and then open a corporate bank account. In the end, process visas and plan for Saudization. With organized documents and a clear activity scope, most branches go live in six to twelve weeks.
FAQs
No. Usually, a foreign branch can be 100% foreign-owned with a valid MISA license.
The parent company bears full liability for branch obligations.
Clean files often finish in 6–12 weeks including post-CR steps.
Branches usually don’t require paid-in capital; some sectors request bank guarantees.
Register with ZATCA when you expect taxable transactions or meet thresholds.
Yes. Comply with ZATCA FATOORA phases and approved technical controls.
After CR, tax setup, and e-invoicing readiness, yes—if your activity permits.
Yes, for municipality licensing, banking, and hiring; serviced offices can work for services firms.
Qiwa for contracts/quotas; GOSI for social insurance; Absher for individual services.
Yes—apply to expand scope with MISA and MoC, then update downstream licenses.