The Saudi Arabia LLP is the mode of establishing small scale partnerships under a new form of business structure.

The new structure will remove the difference between two types of firms: sole proprietorships/partnerships – the liability of whose partners is unlimited, and the firms whose sponsors enjoy the benefits of limited liability.

Key Features of Saudi Arabia LLP

Saudi Arabia LLP

Corporate Details

General

  • Type of Entity

Limited Liability Partnership (LLP)

  • Registered Office in Saudi Arabia

Yes

  • Shelf company availability

Yes

  • Corporate Taxation

None

  • Access to Double Taxation Treaties

No

  • Annual Zakat rate payable

2.5%

Share capital or equivalent

  • Standard currency

Saudi Riyal

  • Permitted currencies

Any

  • Minimum paid up

US $27000

  • Usual authorized

None

No

  • No par value shares allowed

No

Directors

  • Minimum number

One

  • Local required

Yes

  • Publicly accessible records

N/A

  • Location of meetings

N/A

  • Corporate directorship allowed

N/A

Members

  • Minimum number

Two

  • Publicly accessible records

Yes

  • Corporate shareholder allowed

Yes

  • Location of meetings

Anywhere

Accounts

  • Requirements to prepare

Yes

  • Audit requirements

Yes (small companies are exempt)

  • Requirements to file accounts

Yes

  • Publicly accessible accounts

Yes

Other

  • Requirement to file annual return

Yes

  • Migration of domicile permitted

No

Tax treatment

Statutory Income Tax (paid by non-Saudis) 20%.

Duration for set up of the Partnership

2 months. 

Distinctive Advantages of Saudi Arabia LLP

  • Foreign companies are allowed to bid for government contracts and can operate in the Kingdom without a Saudi Agent or Partner
  • Foreign companies enjoys exemption from customs duties on imports of machinery, equipments , tools and spare parts for Industrial projects
  • The Kingdom remains by far the largest Arab market, and is one of the world’s main trading nations in terms of goods and services.

The Valsen Advantage

  • Speedy, Efficient and consistent Services.
  • Relentless effort to obtain bank accounts.
  • Expert advice on structuring options.
  • Dedicated ongoing compliance support.