Business Glossary /

Business Setup

Branch Office

Branch Office

A Saudi-registered extension of a foreign parent company that operates under the parent's legal identity.

A branch office in Saudi Arabia allows a foreign company to establish a legal presence in the Kingdom under the parent company's name and legal identity rather than as a separate legal entity. Branch offices must obtain MISA foreign investment licenses, Commercial Registration and sector-specific approvals where applicable. The parent company bears unlimited legal liability for the branch's activities. Branch offices can employ staff, sponsor Iqamas, enter contracts and undertake commercial activity. They are particularly suited to professional services firms and companies in market testing phases. Inclusive Solutions manages the full branch office establishment process.