A Saudi RHQ, or regional headquarters, has to employ at least 15 full-time people on RHQ activities within one year of its register being issued, and at least 3 of them must be at Executive Director or Vice-President level (MISA Investor Guide). Time is the tighter constraint: the mandatory RHQ activities must start within six months, so the first senior hires have to be chosen and signed, and their notice periods have to end, before that clock runs out.
Updated 24 October 2026. We checked every figure and rule on this page against its source on 23 October.
This page uses the Ministry of Investment's own Investor Guide for current conditions and treats the newer licensing rules as draft.
Key Takeaways
- An RHQ must employ at least 15 full-time employees deployed on RHQ activities within one year of the RHQ Register being issued, at least 3 of them at Executive Director or Vice-President level (MISA Investor Guide).
- The RHQ must start its mandatory activities within six months of the licence and at least three optional activities within one year (MISA Investor Guide).
- More than 750 companies have joined the RHQ programme, according to the Ministry of Investment (MISA).
- Employees on the mandatory activities need skills and knowledge developed at the group's headquarters or another regional headquarters (MISA Investor Guide). In our reading, that narrows who can fill the first roles.
- The newer licensing rules are still draft in the sources we found. PwC's summary of the draft gives one year for mandatory activities where the Guide gives six months (PwC).
What does a Saudi RHQ have to hire, and by when?
A Saudi RHQ has to reach 15 full-time employees within one year of the RHQ Register being issued, and 3 of them must be Executive Director or Vice-President level (MISA Investor Guide). The mandatory RHQ activities must begin within six months of the licence, so the senior hires come first and the rest follow.
The table sets the Guide's wording beside what it means for a hiring plan. The third column is our own reading of the Guide.
| Requirement | What MISA's Investor Guide says | What it means for hiring (our reading) |
|---|---|---|
| Headcount | At least 15 full-time employees on RHQ activities within one year of the RHQ Register, including the senior executives below (MISA Investor Guide) | About one hire a month on average, but the senior hires cannot wait for the end of the year |
| Seniority | At least 3 employees at Executive Director or Vice-President level (MISA Investor Guide) | Three searches that start first and run in parallel |
| Skills origin | Employees on mandatory activities need skills and knowledge developed at the group's headquarters or another regional headquarters (MISA Investor Guide) | Favours transfers and people with regional-HQ experience over a fully local team |
| Mandatory activities | Start within six months of the licence (MISA Investor Guide) | The activity leaders must be in seat well before month six |
| Optional activities | At least three start within one year, chosen at application (MISA Investor Guide) | Choose them with the hiring plan in mind, since each needs an owner |
| Legal form | A separate legal entity, either a company or a registered branch (MISA Investor Guide) | Contracts are issued by the RHQ entity, so it must exist before offers go out |
A note on that last column: it is our own reading. We would start all three senior searches before the licence is issued.
One caution. The Guide counts the headcount from the issue of the "RHQ Register" and the six months from the issue of the "License". We treat them as the same date for planning, so confirm the start of each clock with MISA.
Which roles should a Saudi RHQ hire first?
Hire the leaders who run the mandatory activities first, because those activities must be running within six months. In our view that means the regional head, then the finance and people leads, then the functional heads. The Guide sets seniority levels but names no roles, so this order is our recommendation.
Candidates for the finance and people roles want to know who they report to before they accept, so the regional head comes first. Titles need care too. The Guide asks for Executive Director or Vice-President level, while PwC's summary of the draft rules speaks of 3 C-suite executives who are the most senior in the MENA region, with an administrative link to the group's regional executives (PwC). If the draft is adopted as summarised, a Vice-President title may fall short.
Under the same summary, all executives responsible for RHQ activities must be on the RHQ's own staff (PwC). A regional leader who stays on another entity's contract therefore does not solve the problem.
How long does it take to hire the first RHQ leaders?
Plan backwards from month six. A senior search needs a shortlist, interviews, an offer and a notice period before the person starts, and the mandatory activities must already be running by month six. That is our own planning rule, and it is why we start the three senior searches before the licence is issued.
Notice periods are easy to mis-estimate. On its Labor Relations page, HRSD says that in an indefinite-term contract with monthly pay, an employee gives at least 30 days' written notice and an employer at least 60 days (HRSD). A contract can set a longer period, so check the current text. Candidates leaving a UAE employer are bound by that contract's notice period, so read each contract.
Should an RHQ hire in Riyadh, relocate from Dubai, or do both?
We expect most RHQs to use both. A hire from Riyadh starts faster and knows the local market, while a transfer or a Dubai relocation brings the group and regional-HQ knowledge that the Guide asks for on the mandatory activities (MISA Investor Guide). The right mix depends on which of the three senior roles you already have.
| Route | Where it helps | Where it fails |
|---|---|---|
| Transfer from the group or another regional HQ | Meets the skills clause most directly and shortens onboarding | The person has to move and join the RHQ payroll for it to count |
| Hire in Riyadh | Local network, no relocation lead time | Candidates who already hold regional-HQ experience may be hard to find locally, so the skills clause may be hard to show |
| Relocate from Dubai or elsewhere in the Gulf | Regional experience, a wider pool | Notice period plus relocation time can overrun the six-month mark |
| Interim leader, then permanent hire | Gets activities started on time | Weak on the draft rules' RHQ-payroll point, and costly if the interim leaves |
These are our judgments from how senior searches run. For pay ranges on Gulf leadership roles, our Salary Benchmarking Tool shows the ranges we hold, and our earlier piece on executive and technical recruitment across the UAE and Saudi Arabia covers the wider search picture.
If you are weighing these routes for your own RHQ, our executive search team can talk them through in confidence.
What could change under the draft RHQ rules?
The draft licensing and supervision rules could tighten who counts as RHQ staff and how fast activities must start. PwC's summary of the draft says employees must be dedicated to the RHQ and make Saudi Arabia their main residence (PwC). We found no final version, so this section describes the draft only.
| Topic | MISA Investor Guide (current conditions) | Draft rules, as summarised by PwC |
|---|---|---|
| Mandatory activities | Start within six months of the licence (MISA Investor Guide) | One year to activate the mandatory activities and at least three optional ones (PwC) |
| Senior executives | At least 3 at Executive Director or Vice-President level (MISA Investor Guide) | 3 C-suite executives, the most senior in the MENA region (PwC) |
| Who counts as staff | Full-time employees deployed on RHQ activities (MISA Investor Guide) | Dedicated to the RHQ, paid through the RHQ's local bank account, main residence in the Kingdom (PwC) |
| If the staffing target is missed | Not stated in the Guide section we read | Licence suspension, then cancellation if not fixed within 90 days of suspension (PwC) |
The two sources disagree on the first row. We would plan to the shorter six-month Guide wording until MISA issues final rules, since missing a deadline costs more than finishing early.
Does every company that sells to Saudi government need an RHQ?
No. Saudi Arabia now lets government entities contract with some international companies that have no regional headquarters in the Kingdom, under an exemption route reported in February 2026 (Gulf News). An RHQ is therefore a decision to weigh.
A sceptical finance director would ask whether the headcount and the payroll are worth it when an exemption exists. That question belongs with tax and legal advisers. We could not find the official text of the exemption on a government site, so confirm its conditions with counsel. If you do choose an RHQ, the hiring clock above applies.
What would we do in the first three months?
We would split the work into three phases: define the three senior roles against the Guide's wording, run the searches in parallel, then test each offer against the notice period and the relocation plan. This is the method we would follow.
The first three months end when the three senior searches have shortlisted candidates who can start inside the six-month window. For a confidential brief on a Saudi RHQ search, talk to our executive search team through our contact page. Our UAE and GCC hiring outlook gives the wider market background.
Frequently Asked Questions
How many employees does a Saudi RHQ need?
At least 15 full-time employees deployed on RHQ activities, within one year of the RHQ Register being issued, including the senior executives the Guide describes (MISA Investor Guide).
How senior do the first RHQ hires have to be?
At least 3 of the RHQ employees must be at Executive Director or Vice-President level, according to the Guide (MISA Investor Guide). PwC's summary of the draft rules goes further and speaks of 3 C-suite executives who are the most senior in the MENA region (PwC).
How long does a new RHQ have to start its activities?
Under the Guide, the RHQ must start its mandatory activities within six months of the licence and at least three optional activities within one year (MISA Investor Guide). The draft rules, as summarised by PwC, give one year for the mandatory activities and at least three optional ones, so we treat the Guide as the current wording.
Can we staff a Saudi RHQ entirely with local hires?
The Guide says employees carrying out the mandatory activities must have relevant skills and knowledge developed at the group's headquarters or another regional headquarters (MISA Investor Guide). In our reading that favours people with group or regional-HQ experience, so a fully local team with no such background may not fit. Confirm how MISA applies the clause before you plan the search.
Are the new RHQ licensing rules final?
We could not find final rules. The Ministry of Investment published draft licensing and supervision rules for consultation, and PwC summarises them. They may change before they are issued, so we describe them as draft throughout.
How many companies have joined the Saudi RHQ programme?
MISA says more than 750 companies have now joined the programme (MISA). Other sources give different counts, so we use only the MISA figure.
What notice period applies when a candidate leaves a Saudi employer?
On its Labor Relations page, HRSD says that in an indefinite-term contract with monthly pay, an employee must give at least 30 days' written notice and an employer at least 60 days (HRSD). Contracts can set longer periods, so read the individual contract and the Ministry's current text.
Sources
- Ministry of Investment (MISA), Investor Guide, March 2026 edition, Regional Headquarters (RHQ) License obligations
- Ministry of Investment (MISA), Saudi Arabia Strengthens Position as Regional Financial Hub with BNP Paribas Headquarters, 25 August 2026
- Ministry of Human Resources and Social Development (HRSD), Labor Relations, Article 75
- PwC Middle East, Draft RHQ Rules: Key Takeaways, 2025
- Gulf News, New rule: Saudi Arabia reverses restriction, allows foreign companies in government projects, February 2026
