Micro and small company definitions
How do I know if my company is micro or small?
The situation
The Monsha'at classification cited in the Companies Law overview treats micro companies as up to 5 employees and turnover up to SAR 3 million, and small as 6 to 49 employees with SAR 3 million to 40 million revenue.
The law
- Art 19, Companies Law (audit exemption): Micro and small companies may be exempt from appointing an auditor; not foreign micro and small companies
What it means for you
Size decides the audit exemption for Saudi-owned companies. Check both headcount and revenue every year. Remember the exemption does not apply to foreign micro and small companies, and lenders or ZATCA may still want audited accounts.
What to do
- Check headcount and revenue.
- Record the classification.
- Decide on audit.
We can do this for youAnnual financial statements, statutory audit and Qawaem filing within six months: SAR 6,000