Saudi Arabia has introduced new laws for commercial registration and trade names to streamline business operations and enhance the working environment.
These changes were approved during the weekly Cabinet session chaired by Crown Prince Mohammed bin Salman in Riyadh.
In the first quarter of 2024, the Kingdom’s trade industry saw 104,000 commercial registrations, a 59% increase from the same period in 2023, when 65,363 permits were issued. Notably, 44% of the registrations were awarded to women.
The total number of commercial certificates issued has now surpassed 1.45 million nationwide.
Commerce Minister Majid bin Abdullah Al-Qasabi stated that the new regulations aim to simplify business processes and reduce burdens by providing a unified national business registration system.
Al-Qasabi emphasized that the regulations will organize trade name reservations and registrations to protect and enhance their value, aligning with Vision 2030’s economic and technological goals.
Municipalities and Housing Minister Majed Al-Hogail added that the new systems will facilitate business operations and enhance transparency, reflecting an ambitious vision for a more advanced business environment under Vision 2030.
Commerce Ministry spokesman Abdulrahman Al-Hussein highlighted that the new system allows business owners to have a single registration, regardless of the number of activities or businesses they manage. Business registers will remain valid indefinitely, provided that owners update their information annually.
Al-Hussein also noted that each business must have a designated bank account for financial transactions. Existing sub-register owners have a five-year period to transfer or cancel their registrations.
Additionally, the Cabinet approved the real estate transaction tax system and several other decisions by the Ministerial Council.