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Business Articles Of Organization

Business Articles Of Organization Template for Saudi Arabia

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Key Requirements PROMPT example:

Business Articles Of Organization

"I need Business Articles of Organization for a Saudi-owned manufacturing company with three local partners, to be established in Riyadh by March 2025, with an initial capital of 500,000 SAR and provisions for future expansion into retail operations."

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Document background
Business Articles of Organization are essential documents required for establishing any formal business entity in Saudi Arabia. This document must be prepared and filed when founding a new company or converting an existing business structure. The Articles must comply with the Saudi Companies Law of 2015, Ministry of Commerce regulations, and Shariah principles, making them distinct from similar documents in other jurisdictions. They contain crucial information about the company's structure, including ownership details, capital allocation, management framework, and operational scope. The document serves as the primary reference for corporate governance and must be authenticated by appropriate authorities, including the Ministry of Commerce and, in some cases, the Saudi Arabian General Investment Authority (SAGIA) for foreign investments.
Suggested Sections

1. Article 1: Company Name and Form: Legal name of the company in Arabic and English, and specification of the company type (e.g., LLC, Joint Stock Company)

2. Article 2: Company Objectives: Detailed description of permitted business activities and scope of operations

3. Article 3: Principal Office: Location of the company's head office and provisions for establishing branches

4. Article 4: Duration: Term of the company's existence (typically indefinite or fixed period)

5. Article 5: Capital Structure: Details of company's capital, number and value of shares/units, and ownership distribution

6. Article 6: Management Structure: Composition of management, appointment procedures, and authorities

7. Article 7: Shareholders Meetings: Procedures for conducting shareholders meetings, voting rights, and quorum requirements

8. Article 8: Financial Affairs: Fiscal year definition, accounting records, profit distribution, and loss handling

9. Article 9: Transfer of Shares: Rules and procedures for transferring ownership interests

10. Article 10: Termination and Liquidation: Conditions and procedures for company dissolution and liquidation

Optional Sections

1. Foreign Investment Provisions: Required when there are foreign shareholders, detailing compliance with SAGIA regulations and special requirements

2. Shariah Compliance: Specific provisions ensuring compliance with Islamic law principles, particularly relevant for financial services

3. Special Resolution Matters: List of decisions requiring special majority or unanimous approval, useful for companies with complex governance needs

4. Regulatory Compliance: Special provisions for regulated industries (e.g., healthcare, education, professional services)

5. Intellectual Property Rights: Provisions for companies with significant IP assets or technology focus

6. Non-Competition Provisions: Restrictions on shareholders' competing activities, relevant for specialized industries

Suggested Schedules

1. Schedule 1: Shareholders Information: Detailed information about shareholders, including ID numbers, addresses, and shareholding percentages

2. Schedule 2: Capital Contributions: Detailed breakdown of capital contributions, including in-kind contributions if any

3. Schedule 3: Management Powers: Detailed list of management authorities and limitations

4. Schedule 4: Business Activities: Comprehensive list of approved business activities with their respective ISIC codes

5. Appendix A: Shareholders' Resolution: Initial shareholders' resolution appointing managers and authorizing company formation

6. Appendix B: Required Declarations: Statutory declarations required by Ministry of Commerce and other authorities

Authors

Alex Denne

Head of Growth (Open Source Law) @ Ƶ | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

alex.den.21@genieai.co
Relevant legal definitions








































Clauses







































Relevant Industries

Manufacturing

Technology

Professional Services

Retail

Healthcare

Construction

Financial Services

Education

Hospitality

Real Estate

Transportation

Energy

Telecommunications

Agriculture

Mining

Relevant Teams

Legal

Corporate Governance

Compliance

Executive Leadership

Finance

Corporate Affairs

Risk Management

Business Development

Operations

Investment

Administrative

Relevant Roles

Chief Executive Officer

Chief Legal Officer

Legal Counsel

Company Secretary

Chief Financial Officer

Compliance Officer

Corporate Governance Manager

Business Development Manager

Managing Director

Board Member

Shareholder Relations Manager

Corporate Affairs Director

Risk Management Officer

Investment Manager

Operations Director

Industries









Teams

Employer, Employee, Start Date, Job Title, Department, Location, Probationary Period, Notice Period, Salary, Overtime, Vacation Pay, Statutory Holidays, Benefits, Bonus, Expenses, Working Hours, Rest Breaks,  Leaves of Absence, Confidentiality, Intellectual Property, Non-Solicitation, Non-Competition, Code of Conduct, Termination,  Severance Pay, Governing Law, Entire Agreemen

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