Terms and steps for transferring a commercial register

Terms and steps for transferring a commercial register

Transferring a commercial register is one of the most important legal procedures necessary to preserve the rights of all parties and employees. This is done to ensure the transfer of all financial and legal responsibilities. The goal is to avoid any disputes and preserve the rights of all new parties. Therefore, there are a set of conditions or mechanisms under which ownership of a commercial register is transferred.

Steps to transfer a commercial register

There are some procedures through which a commercial register is transferred electronically, which is considered one of the necessary services when transferring ownership of a commercial register with workers, which was launched by the Ministry of Human Resources and Social Development through its official website in order to shorten the time required and facilitate the completion of services related to commercial registers without the need to go to institutions directly. Let us thus learn about the line or what is required to transfer a commercial register to workers as follows:

• It is necessary to ensure that the commercial register of the owner of the new establishment is valid.
• It is necessary to ensure that the facility on which the transfer is taking place is actually existing, registered in the wage protection system, and complies with its laws.
• Log in to your account on the unified national platform.
• Register any personal data about you such as username, password and national ID number.
• Find a commercial registry ownership transfer service.

To open a form that requires entering some personal data such as:

1. Commercial registry data to which you will be transferred.
2. New owner data.
3. Data of transferred workers.

• Before sending the request, you must ensure that all the data entered is correct.
• Click on Submit Request.
• The responsible authorities will review your application and ensure that all requirements and conditions are met.
• Then send a successful transfer of ownership statement.

How to renew the commercial register

The Saudi Ministry of Commerce has launched an electronic platform through which a commercial register can be transferred or renewed, which was announced by the Saudi Business Center. The goal is to record the procedures for transfer, renewal, and other services related to commercial registers for workers or institutions electronically. Let us learn about the required steps as follows:

• Log in to the Saudi Business Center.
• Enter your username and password.
• Write the national ID number.
• Click on my business records.
• Click on Renew Commercial Register.
• Determine the renewal period.
• Payment of the fees required to be paid in order to renew the commercial register.
• Update data: If there is old data, any new changes must be made, such as your mobile number or national address.
• To complete all renewal procedures.
• Click Print Commercial Register if desired.

Conditions for transferring a commercial register

Transferring a commercial record from one person to another requires observing a set of conditions announced by the Ministry of Commerce, which must be observed by the authorities responsible for transferring commercial records, or when transferring from one institution to another. The goal is to complete the process of transferring commercial records without any problems or defects in the legal procedures announced by the Saudi government to facilitate this service. Let us learn about the most prominent conditions as follows:

• The applicant for a transfer of ownership must be at least 18 years old.
• The buyer or worker must not be registered in government jobs.
•  It is necessary to pay the fees for transferring the commercial register.
• Payment of Saudi social insurance fees.
• The name of the commercial registry must not bear the same name as the person, so an independent name appropriate to the organization must be chosen.
• If the name of the commercial register matches the person’s name, there are some procedures carried out by the Ministry of Commerce to transfer ownership that are not traditionally done electronically.

How long does it take to transfer a business record

Transferring ownership of an individual institution from the services affiliated with the Ministry of Commerce, which does not take more than one business day, if all required papers and documents are submitted and are valid, also requires payment of a sum of money amounting to 100 Saudi riyals in order to amend the commercial register, with some fees specific to the Chamber of Commerce, which is announced according to the type of activity.

However, if it is an institution that has a portion of the workforce and wants to transfer the register from a main to a branch, or transfer a commercial register from one city to another, this requires some time, starting from one day to two working days, but all papers and documents related to the owner of the institution and its employees must be brought to expedite the transfer procedures.

What are the procedures for transferring a commercial register

When transferring the record from one person to another, there are some procedures that must be implemented by the old business establishment. In the event of completion, the new owner follows simple steps in order to complete the process of transferring a commercial record from one person to another electronically, and ensures the availability of all the papers and documents required to transfer the commercial record and the validity of the submitted papers. Let us learn about the procedures as follows:

• Register the old owner and log in to the Ministry of Commerce platform or log in directly to the National Unified Access platform.
• Open a business practice department.
• Click on transfer of ownership of a commercial register.
• Then choose the commercial register you want to transfer.
• Press Continue.
• Read and agree to all terms and conditions.
• Click on Submit Application.
• Register the new owner’s data such as (mobile number – email – national address – photo of national ID card).
• Click on submit application.
• Register the verification code sent on your mobile phone to confirm your order.
• The new owner logs in to the personal account.
• Open the mailbox.
• Click on Actions.
• Pledge to accept all obligations related to transferring the record.
• To amend any data related to the commercial register.
• Approval of the request.

How to transfer a worker from one institution to another

When wanting to transfer a worker from one institution to a new institution, it is necessary to use the worker transfer service launched by the Ministry of Human Resources and Social Development, which is accomplished through the official Qawa platform and requires following some procedures represented by the following:

• Log in to the Ministry of Human Resources and Social Development website.
• Or log in electronically to the Qawa platform to complete the electronic commercial register transfer service.
• Opening electronic services.
• Choose an employee service transfer service.
• Pressure to transfer an employee from another employer.
• Choose the facility you want to transfer the worker to.
• Enter all the data for the workers you wish to transfer.
• Add a new employment contract.
• Click on submit application.

Transferring a commercial record from a Saudi to a foreigner

When transferring a commercial register from a Saudi to a foreigner, you must log in to the Saudi Ministry of Commerce website, making sure that the conditions for transferring ownership are met, the most important of which is that the applicant must be at least 18 years old, and that the foreign owner must be registered with the General Investment Authority. Let us learn about the procedures for transferring his commercial register as follows:

• The current owner submits the application by logging in to the Saudi Business Center platform.
• Commercial register transfer of ownership test.
• Strictly enter any required personal data and record the new owner’s data.
• The new owner will be notified that he needs to log in to his account.
• To review the data and contract details.
• Payment of fees required to issue a new commercial register.

Transferring a commercial record from a deceased person

When conducting such a commercial registration for a deceased person, it is necessary to bring papers proving the person’s death, such as bringing a guardianship deed and bringing the paper, and the application must be submitted by the children or heirs of the deceased, provided that the application is submitted on the business platform of the Saudi Ministry of Commerce. Let us learn about the papers required to complete this service as follows:

• Bring a document listing the heirs.
• State deed if there are minors on the paper.
• Providing legal agency that includes the waiver of all heirs.
• Bring a pledge of allegiance contract with the commercial registry number and confirm that the heirs have waived it.
• Original and certified death certificate of the deceased.

Finally, completing commercial register transfer services from one institution to another or from one person to another requires bringing official documents and following the steps officially announced by the Ministry of Commerce.

If you have any questions regarding your business record, you should contact the office of Attorney Abdul Majeed Al Rashid for Law and Legal Consultations.

Frequently Asked Questions

How much are the fees for transferring the commercial register?

The fee for transferring a commercial register is approximately 100 Saudi riyals. It does not increase with the number of employees in the organization, but it is a fixed fee. There are some administrative fees that vary depending on the type of activity specific to the organization.

Is it useful to transfer the commercial register to another person?

Yes, but in light of the fulfillment of all conditions for transferring the commercial register from one person to another, and that the conditions are identical for both parties, the most important of which is submitting the required documents and paying the full financial obligations.

Do workers move with the transfer of the commercial register?

Yes, but it must be ensured that their full rights are guaranteed when they are transferred to a new institution, as there are some laws and procedures in light of which the rights of all parties are preserved when transferring records.