Setting up a company in Saudi Arabia
Posted by Betty95 on December 26th, 2019
Setting up a company in Saudi Arabia was pretty hard in the last couple of years or even decades. However, with the end of 2018 and the beginning of 2019, a lot of things have changed. This period has introduced many new regulations and rules, which made it easier for people to both set up and transfer their businesses to Saudi Arabia. For instance, getting a license has been simplified and sped up. And, even if you are not a Saudi, now you can own 100% of your company, and do most of your business without a partner. So, as you can see, now is the perfect time to set up a company in this kingdom called Saudi Arabia. Thus, if you are interested in how to do it right, keep on reading.
Get Acquainted With the Region
First things first, before you decide to set up a company in Saudi Arabia, you must get acquainted with the region. We are not going to lie to you, this process will require a lot of time and energy. You must do detailed research on the market. If you have never done this before, it would be a good idea to talk to an expert too. However, if you want to do this by yourself, that is also okay. Make sure to research the market conditions first. Then, check out the competition. Moreover, see what kind of investments you have at your disposal. You might use your own resources or get a loan from your bank. There is also an option of applying locally, but for that, make sure you have a valid and credible business plan.
Create a Business Plan
As mentioned above, in order to set up a company in Saudi Arabia, you must have a credible business plan. So, after doing market research, and getting acquainted with all the laws, rules and regulations, you should start figuring out all the details of your new business. Again, if you have never done this before, it would be a good idea to talk to the business strategy expert. There are trained and experienced people who know exactly what you will need to do in order to set up a company in any state, not just in Saudi Arabia. With their help, you will be able to finish making your plan and organizing everything in no time. If possible, find a person from Saudi Arabia to help you with your plan. Working with locals is always a better idea.
Find a Perfect Location
While doing market research and making a business plan, with your partner or alone, you should also consider finding a perfect location for your business in Saudi Arabia. That too requires a lot of researching, so start ahead of time. The location you choose might make or break your business. So, choose wisely! Find a location that will suit your company's needs the most, that is easily accessible on foot and by car, and that is not crowded by competition. Moreover, be sure to find something that will not break your bank too. Find a real estate agent if this is your first time in Saudi Arabia.
It is also a good idea to look for a location where you can have your own warehouse as well. And if that is not possible, look for a property that is big enough so that you can build your own warehouse or some kind of storage facility. That will really come in handy, once you start shipping all the equipment necessary for your work. Get informed about storage options. And, do not forget to use pallets for optimal usage of space and proper packing and stacking techniques.
Find a Local Partner
Yes, it is possible to start your own company without a local partner. As mentioned previously, that regulation has changed during the last year. However, according to many experts, working with a local partner still has a lot of benefits. You will be able to set up your company a lot quicker, you will be able to get approved for a local bank loan, and you will be able to attract local support as well as get customers. So, again, do your research and see what kind of partner will suit yours and your company's needs the most. Your partner can be both an individual and a company. And, it is also worth mentioning that the partner you choose can, but does not have to participate financially in setting up your company. It is all a matter of agreement.
Make Sure You Know All the Regulations
Keeping up with all the possible rules, laws and regulations is hard work. And, doing the same in a foreign country is even harder. If you skip some steps, it might cost you a lot of time, money and energy. Thus, before you sign any papers, make sure you know exactly what you are signing, that is, make sure you know all the rights, laws and regulations. You can talk to a lawyer or a business strategy consultant who has expertise in this field too. You will see that the guidance of an experienced consultant will save you a lot of money by lowering all the financial risks. This is an important thing to do whether you are opening just a one-man company or a large corporation.Also See: Saudi Arabia, Setting Up, Business Plan, Local Partner, Up, Saudi, Company
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