Beyond the legal necessity, having a Saudi business account offers a range of financial services that streamline financial operations and ensure compliance with local regulations. A business account isn’t just a tool for managing day-to-day transactions, but also serves as a means to obtain a Capital Deposit Certificate, which is required to finalise your company’s registration.
Setting up a business bank account in Saudi Arabia is integral to establishing a solid financial foundation for your company. It not only enables you to meet regulatory requirements, but also simplifies the management of financial transactions across different currencies such as Saudi Riyals (SAR), US Dollars (USD), Euros (EUR), and British Pounds (GBP). For businesses working in international markets, this simplifies handling transactions in different currencies, making it essential for global trade and cross-border payments.
A corporate account in Saudi Arabia also provides access to a wide range of banking services, including corporate credit facilities, local and international payment solutions, and secure online banking platforms that are tailored to the needs of businesses in the Kingdom. Whether managing payroll or conducting large financial transactions, a business account ensures seamless and compliant operations.
Before opening a business bank account in Saudi Arabia, it’s essential to meet the eligibility criteria and prepare the necessary documents. The primary requirements are straightforward, but accuracy and compliance are crucial for avoiding delays.
To be eligible, the account holder must be at least 21 years old, and a minimum share capital amount is typically required. The key documents that must be submitted include:
If the AoA does not clearly mention that the General Manager is authorised to open the bank account, then the shareholders need to provide Power of Attorney to the GM, and the bank would need shareholder passport copies and other compliance documentation. Additional documents may be required depending on the bank’s requirements.
For foreign parent companies, additional documents such as an attested Memorandum of Association, ownership structure chart, and shareholder IDs are also required.
1: Choose the right bank
Begin by selecting a bank that aligns with your company’s needs. Consider services like multi-currency handling, online banking, and credit facilities. Major local banks include Al Rajhi Bank, Saudi National Bank, and Samba Financial Group, with other international banks also having a presence in Saudi Arabia such as HSBC.
2: Prepare and submit documents
Ensure all required documents are complete and accurate. This includes the Commercial Registration (CR), business licence, board resolution, and identification for the General Manager and shareholders. Submit these documents either online or in person, depending on the bank’s application process.
3: Compliance review
Once your documents are submitted, the bank’s compliance team will review the information, conduct background checks, and ensure all regulatory requirements are met. This stage can take a few weeks, depending on the complexity of the business and bank requirements.
4: Sign agreements and fund the account
After approval, you’ll be required to sign agreements outlining the terms and conditions of your account. Once this is done, you must fund the account with the required minimum share capital amount. This step is crucial to officially open the account.
5: Obtain capital deposit certificate
Once the account is funded, the bank will issue a Capital Deposit Certificate, which you need to submit to the Saudi government’s SIJILAT system to activate your company’s CR and finalise the registration.
Sovereign PPG have extensive experience navigating Saudi Arabia's banking and regulatory landscape. From preparing the necessary documentation to liaising with banks and handling any complexities, we provide end-to-end support to ensure a smooth and efficient process.