Obtaining a MISA License in Saudi ArabiaLearn more about the requirements and the process of gaining your MISA license

The Importance of a MISA License

• Legal Operation

MISA ensures that your business activities are lawful and recognized by the Saudi government.

• Investor Protection

MISA safeguards your investments by providing legal protection and support.

• Market Access

MISA grants you access to the Saudi market, allows you to conduct business, and explore investment opportunities.

• Compliance

MISA helps you adhere to the Kingdom's investment regulations and guidelines.

What Is a MISA License in Saudi Arabia?

MISA license is a mandatory permit issued by the Ministry of Investment of Saudi Arabia (MISA/formerly known as SAGIA) that authorizes foreign investors to establish and operate businesses within the Kingdom.

As part of its services, MISA offers a wide range of business licenses. The type of MISA license required varies based on your business activities. For instance, a commercial license might be suitable for retail or wholesale operations, while a service license caters to businesses offering consulting, IT, or financial services. Other options include industrial, temporary, and entrepreneur licenses.

Read more about the types of business licenses on our website.

Obtaining a MISA license involves a series of steps, including document preparation, application submission, and fee payment. To streamline the process and mitigate potential challenges, consider seeking guidance from a local business setup advisor or legal professional.

The expertise of local market entry partners can be invaluable in navigating the intricacies of Saudi Arabia's investment landscape and ensuring your business is set up for success.

Important Considerations for Gaining a MISA License:

• Getting the right type of license

The specific type of MISA license you need depends on your business activities and company structure (e.g., foreign investment, national investment, branch, representative office).

• Gathering all required documentation

The exact documents needed may vary based on your business and investment details.

• Familiarizing yourself with timeframes

processing times can change, so it's essential to inquire about current timelines.

Key Steps and Requirements for Obtaining a MISA License

Understand the steps involved in obtaining a MISA license and begin your investment journey.

Step 1: Determine Your Business Structure

Getting your company registered with MISA involves choosing the right legal structure for your business in Saudi Arabia. Several options exist, including:

• Limited Liability Companies (LLCs)
• One-Person Companies
• Joint Stock Companies
• Foreign Company Branches
• Solidarity Professional Companies

Each structure has unique implications for ownership, liability, and tax obligations. We recommend seeking professional legal counsel or assistance in choosing the right structure for your business needs.

Step 2: Gather and Prepare Documentation

Before applying for a MISA license, you'll need to compile specific documentation.

To apply for an investor license, below are the documents and requirements needed:

1. Copy of the commercial registration of the entity in its original country, authenticated by a Saudi Embassy;
2. Financial statements for the last year, prepared by an internationally acclaimed legal office and authenticated by the Saudi Embassy;
3. Articles of Association/Memorandum of Association
4. All documents need to be attested at the Ministry of Foreign Affairs and the Saudi Embassy
5. Companies that are a part of the HAUGE Convention need to have their documents attested by Apostille Seal

However, depending on the business activity and license type, additional documents may be required. Visit the Ministry of Investment’s website to learn more.

Step 3: Apply Online Through MISA’s E-Services Portal

1. Start by registering an account on the MISA website.
2. Fill in your company details.
3. Create a username and passport, then log in.
4. Verify your account through a mobile phone and/or email.
5. Complete the application form. There are three sections:
   1. Entity Information
   2. Stakeholders Information
   3. Contact Details

Applying For Two MISA Licenses Under One Entity in Saudi

Apply for the first (main license) following the standard process described above. Once this is done:

• Set up a new account specifically for the second (branch) license.
• Use the details from the first MISA license as the shareholder information.
• Choose "فرع شركة ذات مسؤولية محدودة" (Branch of an LLC) as the legal form.
• Ensure a minimum capital of 25,000 SAR for the branch, regardless of the main license's capital.
  

Step 4: Reserve Your Business Name

Every business in Saudi Arabia needs to have a trade name registered in the Commercial Register. Go to the Ministry of Commerce's website to book a commercial name for your business.

For branches of foreign companies, the name typically matches the parent company. Subsidiaries have more flexibility in choosing a name.

If you’re applying for two MISA licenses under one entity, keep the reserved name for the main Saudi MISA license, and then reserve a new, unique name for the branch MISA license.

Step 5: Drafting the Articles of Association

The Articles of Association (AoA) outline your company's internal operations and governance. This crucial document defines shareholder rights, responsibilities, and decision-making processes.

Regardless of how many Saudi MISA licenses you have, you’ll need one AoA for your business. Use the name reserved for the main MISA license, but list the activities of both MISA licenses, starting with the main one and including the license number and issuance date.

Mention the total combined capital for both the main and branch licenses without differentiating between them. Everything else remains the same.

If you need help drafting the AoA, book a free consultation with the AstroLabs team of expansion experts.

Step 6: Commercial Registration (CR)

Obtaining a commercial registration from the Ministry of Commerce is the final step in establishing your business in Saudi Arabia.

If you have applied for two MISA licenses, apply for the main CR as usual. For the second (branch) license, apply via the Ministry of Commerce (MoC) electronic portal using the delegated person’s account.

Once you complete this process, ensure that you have both accounts registered and up-to-date in all government portals. You can read more about portal management here.

Local market entry partners can streamline this process. Don't miss out on any opportunities within the Kingdom – expand to Saudi Arabia with AstroLabs.

Learn more about the different types of MISA licenses in Saudi Arabia here.