HomeIco

Home
Deutsch|English
Insights EMEA Region: Business Setup in Kenya, the KSA, South Africa, the UAE and the UK

EMEA Region: Business Setup in Kenya, the KSA, South Africa, the UAE and the UK

PrintMailRate-it

​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​published on 15 August 2025 | reading time approx. 5


​Establishing a business in a foreign jurisdiction involves understanding a wide range of legal, financial, and regulatory factors. The type of business entity, setup process, capital requirements, tax and compliance obligations can vary significantly across different jurisdictions. The below analysis highlights the business setup landscape in five key markets within the EMEA region: Kenya, the Kingdom of Saudi Arabia (KSA), South Africa, United Arab Emirates (UAE) and the United Kingdom​.
 

​
Most commonly chosen business entity

​

Kenya

Private limited liability company


Kingdom Of Saudi Arabia (KSA)​

Limited liability company ​
 

South Africa

Private limited liability company
​

United Arab Emirates (UAE)

Freezone limited liability company ​
 

United Kingdom​

Private company limited by shares 
 
 
Reasons for preference
 
Kenya

Ease of setting up and limited liability for shareholders.


Kingdom Of Saudi Arabia (KSA)​

Combines flexibility and limited liability while retaining control and ownership by founders.
  

South Africa

Limited risk, credibility with investors, professional image, flexibility in capital raising, and ease of transferring ownership.
 ​

United Arab Emirates (UAE)

Ability to fully own the company without a local sponsor in free zones, ideal for foreign investors. For several years now, foreign investors have also been able to establish companies in the mainland without the need for a local sponsor. A local sponsor is only required in a few specific sectors, such as the insurance industry.
  

United Kingdom​

Ease of setting up; minimum capital requirement; flexible capital increase rule; limited liability for shareholders.​
 
 
Setup process

Kenya

The set-up process is fully online and involves name reservation and filing of application documents/information and issuance of the registration certificate. Kenya does not have a statutory minimum capital requirement, except for some regulated sectors such as the banking and insurance sector. However, practical considerations and business needs often dictate the amount of capital required. 


Kingdom Of Saudi Arabia (KSA)​

The set-up process includes choosing a business activity and company name, preparing required documents, obtaining the initial approval, drafting and notarizing the Articles of Association, opening the bank account and depositing the capital, registering with the Ministry of Commerce, obtaining the necessary licenses, registering with the Zakat, Tax and Customs Authority and completing the Labor and Social Insurance Registration. The minimum capital requirements vary for the business activity. The procedure of Saudi Arabia company formation for an LLC prescribes different categories for the minimum share capital, but as a general rule, there are no requirements in this sense. 
 

South Africa

The process is relatively quick. The first step will be to reserve a company name. Thereafter, the company is submitted for registration with the Companies and Intellectual Property Commission. Once the company is registered, a bank account must be opened. Once the bank account is active, the share capital will be issued and paid.
​

United Arab Emirates (UAE)

The set-up process includes selecting the freezone and business activity, choosing a company name, submitting the application and getting initial approval and drafting the legal documents (such as the Articles of Association etc.), opening a bank account and depositing the capital, obtaining the necessary licenses and registering with the Federal Tax Authority. The minimum capital requirements vary for the respective freezones and depending on the nature of the licensed activity. Some free zones have no minimum capital requirement, while others may require a minimum share capital. 
 

United Kingdom​

The set-up process is online and includes checking the availability of the proposed company name (including from an IP/trademark perspective) and filing of an incorporation application and Articles of Association with the Registrar of Companies.
 
 
Minimum capital requirement

Kenya

No specific minimum capital requirement unless in regulated sectors like banking or insurance.

 

Kingdom Of Saudi Arabia (KSA)​

Varies by business activity, but no general statutory capital requirements.
  

South Africa

No specific minimum capital requirement unless in regulated sectors.
 ​

United Arab Emirates (UAE)

Varies by free zone and activity, some require no capital while others may have a minimum share capital.
  

United Kingdom​

GBP 1.
 
 
Typical duration for setup

Kenya

5–7 days for online registration and certificate issuance.


Kingdom Of Saudi Arabia (KSA)​

2 to 4 months, depending on the complexity of activities and document submission efficiency.
  

South Africa

1-2 weeks for company registration and setup.
 ​

United Arab Emirates (UAE)

2 to 6 weeks, depending on freezone and complexity of business. As the UAE is not a party to the Hague Apostille Convention, the documents of the parent company must be legalized in the case of incorporations in the form of a subsidiary. This process typically takes 6 to 8 weeks.
  

United Kingdom​

Can be incorporated within one day.
 
 
Exchange controls

Kenya

No exchange control restrictions. 

 

Kingdom Of Saudi Arabia (KSA)​

No exchange control restrictions.
  

South Africa

Yes – Share capital, shareholder loans, management fees, royalties, etc., require registration with the South African Reserve Bank.
 ​

United Arab Emirates (UAE)

No exchange control restrictions.
  

United Kingdom​

No exchange control restrictions.
 
 
Local shareholding requirements

​

Kenya

No local shareholding requirements except for some regulated sectors, such as, banking, insurance, telecommunication, etc. 

 

Kingdom Of Saudi Arabia (KSA)​

Yes – Some sectors require local shareholding; foreign investors can own up to 100% in many sectors with licenses.
  

South Africa

No local shareholding requirements, but shareholding affects B-BBEE compliance.​
 ​

United Arab Emirates (UAE)

No local shareholding requirements except for some regulated sectors, such as, banking, insurance, etc.
  

United Kingdom​

No. 

 
Beneficial ownership disclosure

​

Kenya

Yes – Beneficial owners with 10% or more shares, or significant influence, must be disclosed.

  

Kingdom Of Saudi Arabia (KSA)​

Yes – Disclosure of beneficial owners with 25% or more shares, or significant influence required, in line with international anti-money laundering standards.
   

South Africa

Yes – Beneficial owners holding 5% or more shares must be disclosed annually.
  ​

United Arab Emirates (UAE)

Yes – Requires disclosure of beneficial owners with 25% or more shares, or significant influence, and maintenance of beneficial ownership registers.
   

United Kingdom​

Yes – Must disclose individuals with 25% or more of the issued shares/voting rights or significant influence/control.
 
 
Single shareholder/director setup

​

Kenya

Yes – A business entity can be set up with a single shareholder and director.

   

Kingdom Of Saudi Arabia (KSA)​

Yes – Possible with the creation of Single Member LLC (SMLLC) or sole proprietorship structure.
    

South Africa

Yes – A business entity can be set up with a single shareholder and director.
   ​

United Arab Emirates (UAE)

Yes – Possible for certain company types.
    

United Kingdom​

Yes – A business entity can be set up with a single shareholder and a single director (if that director is a natural person).
 
 
Ongoing compliance obligations

​

Kenya

Annual return filings, tax filings, maintenance of statutory records, renewal of permits and licenses, among others.

    

Kingdom Of Saudi Arabia (KSA)​

Annual corporate governance compliance, Saudization (Nitaqat) requirements compliance, Zakat, tax filings, and renewal of licenses and permits, among others.
     

South Africa

Annual return filings, tax filings, maintaining statutory records, financial audits, renewal of business permits and licenses, among others.
    ​

United Arab Emirates (UAE)

Annual corporate governance compliance, Free Zone regulations compliance, tax filings, renewal of licenses and permits, among others.
     

United Kingdom​

Annual return filings, tax filings, maintaining statutory records, renewal of permits and licenses, among others.
 
 
Corporate taxes

​

Kenya

30% corporate tax and 16% VAT. 

     

Kingdom Of Saudi Arabia (KSA)​

20% corporate tax and 15% VAT.
      

South Africa

27% corporate tax and 15% VAT.
     ​

United Arab Emirates (UAE)

9% corporate tax on profits above USD 100,000 and 5% VAT.
      

United Kingdom​

19% – 25% corporate tax rate depending on taxable profits and 20% VAT, in addition to, if applicable) business rates for business premises and national insurance payments etc.
 
 
Tax incentives/investment programs

​

Kenya

Investment Deductible Expenses, Special Economic Zones (SEZs), Export Processing Zones, Industrialization and Investment Promotion Programs, Infrastructure Bonds, Research and Development Incentives, Double Taxation Agreements, etc.

      

Kingdom Of Saudi Arabia (KSA)​

Foreign tax credit, Incentives for investment in less-developed regions, Customs incentives, Tax Rules for Regional Headquarters, etc.
       

South Africa

Industry-specific incentives (manufacturing, automotive, tourism, etc.), tax reliefs for certain sectors, etc.
      ​

United Arab Emirates (UAE)

Foreign tax credit small business relief, Transfers within qualifying group, Business restructuring relief Free Zones, etc.
       

United Kingdom​

These include: 
  • Double tax treaties
  • Substantial Shareholding Exemption (exempting certain gains from UK taxation)
  • Enterprise Investment Scheme (EIS)
  • Seed Enterprise Investment Scheme (SEIS)
  • Social Investment Tax Relief
  • Venture Capital Trust arrangements
  • ​Research and Development tax reliefs
  • Patent Box Scheme (corporation tax reduction on profits from inventions patented in the UK, etc.) 
 
 
Other business setup processes

​

Kenya

Bank account opening, tax registration, local authority approvals and sector licensing.

       

Kingdom Of Saudi Arabia (KSA)​

Registration with Ministry of Commerce, Chamber of Commerce, GOSI, ZATCA, Office space leasing and other local agencies.
        

South Africa

Bank account opening, tax registration, and industry-specific compliance filings.
       ​

United Arab Emirates (UAE)

Office space leasing, Bank account opening, VAT registration, Chamber of Commerce registration, and compliance with local regulations.
        

United Kingdom​

These include (as applicable) opening a bank account, VAT and PAYE (payroll) registrations, business insurance obligations, intellectual property protection registrations etc.

Conclusion​

While all five jurisdictions offer opportunities for business growth, each has its own unique advantages and challenges. The United Arab Emirates and the Kingdom of Saudi Arabia stand out with their favourable foreign ownership policies and specialized freezones, while South Africa, Kenya and the United Kingdom, provide relatively straightforward business formation and operation processes.

Tailoring business strategies to each jurisdiction’s legal and economic landscape is key to successful international operations. A careful consideration of local and industry specific regulations, tax structures and compliance obligations, when choosing a market for expansion, remains a critical component of the business strategy. As a caring partner, Rödl & Partner is available to facilitate the expansion into the EMEA region and beyond.

Contact in Kenya

Contact Person Picture

Winnie Githire

+254 702 4632 72

Send inquiry

Contact in South Africa

Contact Person Picture

Anna-Lena Becker, LL.M.

+27 21 4182 350

Send inquiry

Contact in KSA | UAE

Contact Person Picture

Benjamin Kozica

Senior Associate

+971 4295 0020

Send inquiry

Contact in the UK

Contact Person Picture

Philip Walton

Associate Partner

+44 (0) 730 1238 176

Send inquiry

How we can help

good to know
Skip Ribbon Commands
Skip to main content
Deutschland Weltweit Search Menu