New Law Lets Saudis Aged 15+ Run Businesses

Saudi Arabia has introduced a new Commercial Transactions Law that allows citizens aged 15 or older to conduct commercial activities, subject to specified controls. The move opens the door for younger Saudis to enter the business world earlier, under clear legal conditions.

Under the law, a person between the ages of 15 and 17 must obtain authorization from a guardian, legal custodian, or a court before carrying out commercial activity. The provision is intended to give young people a regulated path into entrepreneurship while maintaining oversight for minors.

The comprehensive law contains 271 articles and regulates merchants, commercial establishments, accounting records, sales, supply, brokerage, commercial agency, bills of exchange, promissory notes, and cheques. It replaces three earlier laws that previously governed commercial activities, commercial papers, and commercial books, consolidating them into a single framework.

The law takes effect 180 days after its publication in the Official Gazette, giving businesses and individuals time to prepare for the new rules.

What it means for the community

At present, official Commercial Registration requirements still state that an applicant must be at least 18 years old. Current fees are SAR 200 for a main registration and SAR 100 for a branch registration. The available official information does not yet set out the required procedure, fees, validity period, or electronic channel for issuing a Commercial Registration to a 15–17-year-old under the new law.

For families and young aspiring entrepreneurs across the Kingdom, the change signals a broader push to encourage early business participation. Those planning to benefit are advised to follow official announcements for the detailed procedures expected as the law comes into force.

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