Finding an office space in Saudi Arabia is key to ensuring a successful landing and maximizing the company’s chances of rapid scaling.
This guide is intended to simplify the search, providing expert tips for choosing the ideal office space, from location to budgeting.
Required Documents for Setting Up a Branch Office
The process of setting up an office in Saudi Arabia typically starts by preparing the essential paperwork. This includes
- A copy of the certificate of incorporation.
- A copy of the Articles of Association and Memorandum of Association.
- A Power of Attorney (POA) that has to be attested by the Saudi consulate.
Top Districts to Establish an Office in Riyadh
As the country’s largest financial center and business hub, Riyadh offers readily available offices and workspaces across several financial business districts and industrial parks.
AstroLabs’ fast-growing network of private offices in Al-Malqa district acts as a premium springboard for high-growth companies entering the Kingdom. The ready-to-use private offices offer the move-in convenience of instant access to private amenities, desk spaces, and other tailored services.
Besides, AstroLabs provides a string of co-working spaces perfectly designed to meet evolving business needs and scalability layouts by offering great flexibility and cost-effectiveness.
Other popular locations to set up an office in Riyadh include:
- The King Abdullah Financial District (KAFD) hosts various global financial institutions, multinational companies (MNCs), and many professional service providers.
- The Olaya District provides a variety of offices tailored to different company needs, featuring a mix of both high-rise and traditional office buildings.
- Al-Murabba is a large-scale mixed-use development that combines Saudi culture with contemporary, world-class amenities.
- Riyadh Business Gate is recognized for its modern office environments, luxurious hotels, and advanced state-of-the-art conference and meeting venues.
- Al-Nakheel District provides contemporary office spaces ideal for both startups and established companies, located within a vibrant residential and commercial area.
Primary Factors Influencing the Office Costs in Saudi Arabia
Making an informed decision requires a full understanding of the company’s needs and financial considerations.
Below is a comprehensive guide from AstroLabs’ experts covering the key factors that influence office pricing, such as location, size, and amenities.
- Shell and Core Offices
Shell and core office spaces allow businesses to design and complete the interiors based on their needs. Typically, this type of space only provides a basic structural framework.
– SAR 2,500-3,500 per sqm
– Minimum size: 50 sqm
– Average size available: 100-140 sqm, the most common size in the market, as it accommodates future team expansion
- Serviced Offices
Serviced offices are fully furnished and equipped workspaces that come with essential amenities and furniture, which are ready for immediate use.
– 3-4 people: SAR 10,000 – 15,000 per month
– 6-8 people: SAR 16,000 – 25,000 per month
- Coworking Spaces:
Coworking spaces offer dynamic hubs with a vibrant, collaborative atmosphere that is conducive to innovation, offering greater flexibility, networking opportunities, and cost savings.
– SAR 1,000-1,500 per person per month
– The cost includes access to a desk, high-speed internet, shared meeting rooms, and communal areas.
Finding an Office in Saudi Arabia: Frequently Asked Questions
- How much does it cost to set up a business in Saudi Arabia?
Typically, for the first year of operations, costs can total SR550,000. The renewal process for a license for the following year starts in the 11th month of the year, meaning that it is vital to factor it into the budget for the first year.
Read the full cost breakdown of the market expansion here.
- How do I set up a business in Saudi Arabia?
Foreign companies must first secure a MISA license and a commercial registration (CR). Then, registrations with governmental portals will be necessary for a foreign company to be up and running.
The market entry process of a foreign company formation in Saudi Arabia concludes with issuing a GM iqama and opening a corporate bank account.
A detailed description of the business setup roadmap can be found here.
Partnering with AstroLabs can expedite the setup process and ensure regulatory compliance at every step of the way. Most of our clients get operational in Saudi Arabia within 3 months.
- Can a foreigner own 100% of a business in Saudi Arabia?
100% foreign ownership is permitted in many sectors, provided the investor meets capital and licensing requirements. Incentives are also offered at the Kingdom’s special economic zones. This access to tax incentives and relaxed Saudization policies.
- Do I need a physical office to register a company in Saudi Arabia?
Yes, the registered national address is a legal requirement to complete a successful business setup in Saudi Arabia.