Total Cost of Company Formation
One of the most common questions we receive from foreign investors is: "How much does it cost to set up a company in Saudi Arabia?" The answer depends on several factors, but this guide provides a transparent breakdown of typical costs.
Government Fees
| Item | Cost (SAR) |
|---|---|
| MISA License (annual) | 2,000 |
| Commercial Registration (annual) | 1,200 |
| Chamber of Commerce membership | 1,500-10,000 |
| Articles of Association notarization | 1,000-3,000 |
| Municipality License | 2,000-5,000 |
| GOSI Registration | Included in payroll |
Office Space
Costs vary significantly by location:
- Virtual Office: SAR 5,000-15,000/year
- Co-working Space: SAR 1,500-5,000/month
- Small Office (Riyadh): SAR 30,000-60,000/year
- Premium Office (KAFD): SAR 80,000-200,000/year
Professional Services
- Business setup consultancy: SAR 15,000-50,000
- Legal retainer: SAR 3,000-10,000/month
- Accounting & bookkeeping: SAR 2,000-5,000/month
- PRO services: SAR 2,000-5,000/month
Staffing Costs
Minimum staffing for Nitaqat compliance:
- General Manager (expat): SAR 15,000-30,000/month
- Saudi employee: SAR 5,000-12,000/month
- GOSI contribution: 12% (2% employee + 10% employer)
- Medical insurance: SAR 3,000-8,000/person/year
Total Estimated Budget
For a small to medium foreign company:
- Initial Setup: SAR 50,000 - 150,000
- Monthly Operating: SAR 30,000 - 80,000
- First Year Total: SAR 400,000 - 1,100,000
How SafaArban Saves You Money
Our all-inclusive packages start from SAR 25,000 for basic company formation. We negotiate government fees, office rents, and banking charges on your behalf, typically saving clients 20-30% on total setup costs.