Do you have any information about the types of commercial companies

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The company's management structure and related provisions. Provisions and laws for transferring shares. Shareholders’ meetings, their decisions, and the necessary quorum for them. The start and end dates of the fiscal year. Any terms or conditions that shareholders agree to include, provided that they do not conflict with the provisions and laws of the Companies Law. Read also: Ideas for large, successful projects in Saudi Arabia.

The Saudi Commercial Law defines a holding company as: a joint stock company Phone Number Data or limited liability company that aims to control other joint stock companies or other limited liability companies. The companies that the holding companies wish to control are called subsidiaries. Control of these companies is achieved by owning more than half of the capital of these companies, whatever its nature (assets or shares), or by controlling the process of forming their board of directors. There is also a common definition of holding companies in general, which is: The holding company is considered the mother company of several independent companies that are smaller than it.



According to this definition, the holding company fully manages the independent companies and the smaller companies are considered affiliated with it.As for the name of the holding company, it must be accompanied by the word “holding” in addition to its type, so that it is clear to its customers and clients. Managing smaller or independent companies provides the holding company in Saudi Arabia with many benefits and advantages. For example, the process of controlling smaller companies provides a form of protection for the holding company, because the responsibility for the debts and obligations of these companies does not extend to it, as it accrues to these companies only, despite the holding company benefiting from the profits of these companies.