Saudi Arabia is transforming faster than almost any other economy in the world. Vision 2030 has opened the door to new industries, new investors, and new opportunities for global entrepreneurs. Whether you want to launch a consultancy, start a trading company, explore technology ventures, or enter the booming construction and industrial sectors, one question shapes the entire journey: Which activity should you choose? Understanding business activities in Saudi Arabia is essential before applying for your license. Every investor must select the appropriate activity, comply with sector rules, and obtain the necessary approvals.
This guide breaks it all down in a clear, practical way so you know precisely how to choose your activity and what the regulatory landscape looks like in 2026 and beyond.
Why Understanding Business Activities Matters in Saudi Arabia
- Eligibility for 100% foreign ownership
- Whether you require a commercial license in Saudi Arabia or a professional license
- Which ministry or authority do you need approval from
- Saudization requirements
- The structure of your team
- The type of office space you must maintain
- Your tax obligations under ZATCA
This decision affects every other step in the company formation process in Saudi Arabia.
What Business Activities Are Allowed in Saudi Arabia?
1. Business and trading activities
This includes import, export, distribution, wholesale, and retail. They need a Saudi commercial license, and international investors usually apply through MISA for 100% ownership.
Some examples are:
- Trade in general
- Trade in food and drink
- Construction materials trade
- Trade electronics and IT equipment
2. Professional and Consultancy Activities
These are non-trading services offered by experienced professionals or firms. They are widely popular among foreign investors because many consultancy activities offer full foreign ownership.
Examples:
- Management consultancy
- Marketing consultancy
- IT consultancy and software development
- Engineering consultancy (requires Saudi Engineering Council approval)
3. Industrial and Manufacturing Activities
These include manufacture, assembly, or production. Industry-specific licenses may be needed from the Ministry of Industry and Mineral Resources.
Examples:
- Packing and bottling
- Fabrication
- Industrial machinery production
- Production of chemicals (higher approvals)
4. Contracting and Construction Activities
Saudi Arabia is home to megaprojects like NEOM, The Line, Qiddiya, Diriyah Gate, and Red Sea Global. Contracting activities allow companies to participate in commercial, residential, or infrastructure development.
Examples:
- General contracting
- Electromechanical contracting
- Road and highway construction
- Interior fit-out
5. Tourism and Hospitality Activities
Tourism is a fast-growing industry. Include tourism, hotel, vacation home, and event management.
6. Medical, educational, and specialised services
These sectors need strict compliance and ministry approvals. They include:
- Clinics
- Medical centres
- Training institutes
- Academic support services
7. E-Commerce and Digital Activities
Saudi Arabia supports digital innovation and entrepreneurship through flexible licensing rules.
Examples:
- Online stores
- Marketplace platforms
- Digital marketing agencies
- App development
How to Choose the Right Business Activity in Saudi Arabia
1. Identify Your Core Operations
Write down the primary services or products your business will offer. Saudi authorities require clarity; broad categories like “general services” are not accepted.
2. Match Your Service to the Official List
MISA, MOCI, and other regulatory bodies classify activities under specific codes. Your service must match an existing activity.
3. Check Foreign Ownership Eligibility
Some activities enable 100% foreign ownership. Others need Saudi partners or specific authorisation.
4. Verify Sector Regulations
For example:
- Engineering needs SCE approval
- Training requires TVTC approval
- Food-related activities require municipality and SFDA approvals
5. Consider Long-Term Expansion
Select activities broad enough to support future business development but narrow enough to meet compliance.
General Licensing Flow Through Helpline Group
- Choose and Confirm Activity: We analyse your business model and match it with the correct Saudi activity.
- Get Foreign Investment License (if needed): Required for 100% foreign ownership through MISA.
- Issue Commercial Registration (CR): Your CR officially lists your approved business activities in Saudi Arabia.
- Register with the Chamber of Commerce: Needed for bank account opening and contract signing.
- Activate ZATCA, GOSI, and Qiwa: Essential systems for compliance, invoicing, and hiring employees.
- Obtain Any Special Sector Approvals: We arrange additional approvals based on your chosen activity.
Why Investors Trust Helpline Group
Helpline Group has guided thousands of global investors through company formation in Saudi Arabia, helping them choose the right activities, secure licences, and maintain long-term compliance.
With 25+ years of experience and a strong presence across the GCC, India, the UK, and beyond, we support investors through:
Suppose you want to confidently explore business activities in Saudi Arabia and set up your company the right way. In that case, Helpline Group is your trusted partner, experienced, reliable, and always aligned with Vision 2030.
