Commercial Registration
Essential Document
keep it clear, valid and updated
Commercial Registration:
Like any other business, the sewer contractor who is operating in the Middle East, Saudi Arabia and within the gulf region needs to apply for a Commercial Registration for his company or establishment.
This tool do the job of gathering information about traders and companies, and place it at the disposal of the public. Issuing the CR is done by the CR Writer in the Court of First Instance, and supervised later by the President or by any officer appointed by the judges.
Information is useful for:
1) Trader Registrar: Identity, status and work conditions.
2) The Registered Company: Definition, Legal Status, The status of the staff assigned to manage, partner's conditions, company financial status.
3) Business Place: Licenses.
Below is a list of the legal documents an entrepreneur must get to incorporate and register a new firm:
1) Register at the Ministry of Commerce.
2) Open bank account.
3) Founders should sign the articles of association before a notary public is announced.
The CR is one of the important documents that no company can work without it. Therefore, it is necessary to be always valid.
For example, we need the CR for the following issues:
A) To open accounts with banks.
B) Buy of tenders from government departments.
C) Get buying credit limit from the suppliers.
D) Classification of the company.
E) Buy of equipment, vehicles.
F) A Proof for the director identity.
G) Merging with other companies.
H) Provide the tax declaration.
I) Customs and clearance of goods.
J) Work permits.
K) Registration in the Chamber of Commerce.
Main Roles:
1) To regulate commerce activities in general.
2) To know Traders and Industrialists and to obtain information about their legal and economic status.
Informative, economic and statistical roles:
Since the trade based on trust and credibility, registering in the Trade Register, makes other people, whether they are traders or not fully informed about the financial and legal status of the trader.
Therefore, the counter party with the trader will go to the Trade Registration Department to request information about a particular merchant, or a specific company and request a copy of the data contained in the CR.
Statistical role:
It is reflected in the knowledge of the number of natural or trade businesses, as well as the dominant form of these companies, whether it is individual companies or funding companies. Furthermore, it is reflected in the businesses and industrial practices, as well as the nationality of the traders and the value of Prevailing capital. These statistical data provided by the CR enables state agencies to know about its full economic status, and thus to intervene and guide as well as in developing schemes.
Return from Commercial Registration to Starting a Contracting Business page
Return from Commercial Registration to Sewer Contractor Management Guide