Company Setup
The complete operational guide to setting up a Professional Services Licence in Saudi Arabia — MISA licensing, capital requirements, the 6–14 week process, costs, tax treatment and the structural questions worth deciding upfront.
What is a Professional Services Licence in Saudi Arabia? The Professional Services Licence is the Saudi vehicle for regulated professional firms — law, audit, engineering consulting, medical, architectural — and is issued jointly by MISA and the relevant professional regulator.
The Professional Services Licence is the Saudi vehicle for regulated professional firms — law, audit, engineering consulting, medical, architectural — and is issued jointly by MISA and the relevant professional regulator. It is one of several entity options foreign companies have when entering the Kingdom — and the right vehicle depends on activity, scale, liability appetite, and whether the entity will need to invoice or hire under its own name.
Capital requirement: Activity-dependent. Engineering consulting requires SAR 500,000 and SCE registration; legal practices require Saudi Bar Association approval; auditing requires SOCPA licensing. Ownership: Foreign professional firms can typically establish via partnership with a Saudi-licensed professional or directly under MISA's Foreign Professional Practitioner pathway. Some professions (notably Saudi law practice) restrict equity ownership to qualified Saudi practitioners.
Tamra manages the full lifecycle — MISA application, AoA drafting, CR registration, Chamber of Commerce, government portals (Qiwa, Muqeem, Mudad, GOSI, ZATCA, Absher, Nafath), bank account opening and the GM Iqama.
| Entity type | Professional Services Licence (Maktab Khidmat Mihaniyya) in Saudi Arabia |
|---|---|
| Capital requirement | Activity-dependent. Engineering consulting requires SAR 500,000 and SCE registration; legal practices require Saudi Bar Association approval; auditing requires SOCPA licensing. |
| Foreign ownership | Foreign professional firms can typically establish via partnership with a Saudi-licensed professional or directly under MISA's Foreign Professional Practitioner pathway. Some professions (notably Saudi law practice) restrict equity ownership to qualified Saudi practitioners. |
| Setup timeline | 10–14 weeks (regulator approvals add 4+ weeks beyond standard MISA) |
| Year-one cost | SAR 150,000 – SAR 350,000 year-one depending on professional regulator fees |
| Tax treatment | Standard 20% CIT on foreign-owned profits, 2.5% Zakat on Saudi-owned share. |
| Sponsoring authority | MISA (Ministry of Investment of Saudi Arabia) |
10–14 weeks (regulator approvals add 4+ weeks beyond standard MISA)
10–14 weeks (regulator approvals add 4+ weeks beyond standard MISA)
SAR 150,000 – SAR 350,000 year-one depending on professional regulator fees. This includes MISA, CR, Chamber of Commerce, government portal registrations, office lease, GM Iqama and Tamra's professional fee. Annual renewal costs are materially lower.
Foreign professional firms can typically establish via partnership with a Saudi-licensed professional or directly under MISA's Foreign Professional Practitioner pathway. Some professions (notably Saudi law practice) restrict equity ownership to qualified Saudi practitioners.
Standard 20% CIT on foreign-owned profits, 2.5% Zakat on Saudi-owned share.
Yes. A registered office address with an Ejar-validated lease is required for CR and Baladiya licensing. Virtual offices are not generally accepted by MISA for foreign-investor entities.
Yes. Tamra handles the formation end-to-end, then provides ongoing operational support: payroll, GR, Iqama renewals, GOSI/WPS filings, ZATCA compliance and government portal maintenance.