Translation of the attached article:
Transferring ownership of a commercial register with workers is not merely a simple administrative procedure. Rather, it is a legal process that requires a deep understanding of the controls and conditions necessary to complete it, in order to ensure that the process proceeds correctly without any future problems or obstacles.
Due to the digital transformation in legal services in the Kingdom, business owners and companies can now complete commercial register ownership transfer procedures faster and more accurately through digital platforms, reducing the effort and time required for the transfer.
In this article, we will explain the method and conditions for transferring ownership of a commercial register with workers, and the best lawyer you can seek assistance from to complete this procedure legally and properly.
How to Transfer Ownership of a Commercial Register with Workers
Ownership of a commercial register with workers is transferred by following these steps:
- First, you must ensure that the employer’s commercial register is valid, and confirm that the establishment to which the transfer will be made complies with the Wage Protection System.
- You must log in to your account on the Unified National Platform and ensure that the establishment account data and your personal account data are complete.
- Search for the service related to transferring ownership of the commercial register on the website and select it.
- Fill in all required data, such as the new owner’s information, the details of the commercial register to be transferred, and the details of the workers who will be transferred with the register.
- Make sure that all required data is correct before submitting the request.
- The competent authorities will review your request and verify that all requirements are complete. Then, they will issue a statement confirming the transfer of ownership of the commercial register.
Also read about renewing the commercial register of an establishment, and learn about the conditions, steps, and fees required to complete the renewal legally.
Conditions for Transferring Ownership of a Commercial Register with Workers
Before transferring ownership of a commercial register with workers, the following conditions must be met:
- The applicant must not be under 18 years old.
- The worker or buyer must not be listed among government employees.
- All required social insurance dues must be paid.
- The name of the commercial register must not be the same as the personal name of the establishment owner. Instead, it should be an independent trade name. If the register owner is a government employee or the register is under the owner’s personal name, the ownership transfer process will be subject to special procedures handled manually at Ministry of Commerce branches.
Also read about adding an activity to the commercial register, and learn about the conditions and steps required to complete the procedure legally.
When Is Ownership of a Commercial Register with Workers Transferred?
There are several reasons that may require transferring ownership of a commercial register with workers. These reasons include:
- Assigning or selling the activity to another person. In this case, the commercial register must be transferred to transfer ownership legally and officially, ensuring that all obligations and rights of the company are transferred to the new owner.
- The employer may wish to convert the establishment from a sole proprietorship into a company, which requires following certain procedures to register the new entity.
The Lawyer’s Role in Transferring Ownership of a Commercial Register with Workers
Seeking the assistance of a lawyer when transferring ownership of a commercial register with workers in Saudi Arabia is a very necessary step. The lawyer you choose must have extensive experience in this field and a good reputation.
Nawaf bin Awad Al-Harbi Law Firm is considered one of the best law firms that guarantees you dealing with the best lawyers in this field, as it ensures that you receive the following services and advantages:
- Providing the necessary legal consultations and explaining the requirements, procedures, and conditions required to transfer ownership of the commercial register with workers, while clarifying the required documents, competent authorities, timeframes, fees, and so on.
- Clarifying the obligations and rights of all parties under the Saudi Labor Law and other relevant regulations.
- Assessing the legal status of the establishment whose ownership is to be transferred, and identifying any obstacles or legal issues that may hinder the transfer process.
- Reviewing the required documents and ensuring their validity, and completing administrative and legal procedures before the competent authorities properly and legally.
Contact now with the best companies and establishments lawyer to ensure that ownership of the commercial register with workers in Saudi Arabia is transferred legally and smoothly, while following up on all official procedures, reviewing the required conditions and documents, and avoiding any mistakes that may delay the transfer process or cause future problems.
Conclusion
Although transferring ownership of a commercial register with workers may seem like a simple process, you need a specialized lawyer to ensure that the procedures proceed correctly without any future problems or obstacles, so that all transfer procedures are completed legally and properly.
Also read about commercial register ownership transfer, and learn more details, conditions, and steps to complete the transfer legally.
Frequently Asked Questions
How Much Does It Cost to Transfer a Commercial Register with Workers?
The fees for transferring ownership of a commercial register are fixed and are not affected by the number of workers registered under the register. They are SAR 100 according to the Saudi system, in addition to fees for publishing the transfer of ownership of the trade name, which amount to SAR 1,500, plus value added tax at 15%.
Does Transferring Ownership of a Commercial Register with Workers Require Workers’ Approval?
The transfer does not require workers’ approval. However, it must be ensured that the employment contracts will remain valid after completing the ownership transfer procedures.
