The Ministry of Commerce and Industry announced that companies are permitted to complete incorporation procedures and obtain a commercial registration after the partners submit a commitment to deposit the cash capital in a bank within one month of the commercial registration being issued, It should be noted that failure by the partners to deposit the capital exposes them to the penalties prescribed in the Companies Law.

This new measure is intended to facilitate the incorporation of limited liability companies and reduce the time required to obtain a commercial registration, thereby contributing to the improvement of the Kingdom’s investment environment and enhancing its competitiveness in terms of ease of doing business.