Entrepreneur License

Saudi Arabia Entrepreneur License, issued by the Ministry of Investment (MISA), grants entrepreneurs the legal right to operate, promoting supportive scenarios for business growth. Introduced to stimulate economic expansion, these entrepreneurship licenses streamline the establishment process, backed by MISA’s startup centers. This enables commercial operations within the nation and attracts global innovators. Adherence to predefined criteria facilitates a straightforward application process, promoting the establishment and expansion of new corporate ventures. This official document not only empowers entrepreneurs but also contributes to Saudi Arabia’s notion of Vision 2030.

Licensing Requirements For Entrepreneur License In Saudi Arabia

Applicants need legal residency and must be 21 years old for the license
Either a patented idea, VC-backed, or support letter from a government entity (MISA, PIF, CODE, KAUST, TDF)
Either a patented idea, VC-backed, or support letter from a government entity (MISA, PIF, CODE, KAUST, TDF)

Service Rules and Restrictions

Strict adherence to Saudi regulations is imperative for successful Entrepreneur License acquisition, encouraging responsible entrepreneurship in Saudi Arabia. Both local and foreign entrepreneurs are eligible to apply. The Entrepreneur License in the Kingdom is sector-specific, and different types of company establishments may have specific requirements, particularly for public transportation services.

Applicants are also required to demonstrate the financial capability to initiate and sustain their business operations. For business established outside of KSA for more than 1 year (not a sole proprietorship), a minimum capital of SAR 25,000 is required.

Service Documentations

Entrepreneurs must complete and submit the official application form for the Entrepreneur License. Submission of financial statements and evidence of a solid financial foundation is needed for the application process. Foreign entrepreneurs are mandated to engage and collaborate with a Kafil (Local Saudi Arabian Sponsor) to establish a local presence and support. This sponsor can be an individual or a company.

Age & Residency

To qualify for the Entrepreneur License in Saudi Arabia, applicants must be at least 21 years old and possess legal residency in the country. This requirement ensures that only individuals with a valid residential status can establish and operate a business within the Kingdom.

Business Validation

Entrepreneurs must validate their business concept to be eligible for licensing. This can be achieved by having: ✔ A patented idea that demonstrates uniqueness and innovation. ✔ Venture capital backing (VC-backed), proving financial credibility. ✔ A support letter from MISA, PIF, CODE, KAUST, or TDF, indicating government or institutional endorsement.

Financial Proof

Foreign entrepreneurs who have operated a business for more than a year outside of Saudi Arabia (excluding sole proprietorships) must provide evidence of a minimum capital investment of SAR 25,000. This financial requirement ensures that businesses have the necessary resources to sustain operations.