The Ministry of Commerce clarified the procedures that must be followed when transferring the ownership of an existing commercial registration for a sole proprietorship to a new owner, in order to preserve rights and prevent any unforeseen liabilities.
The Ministry stated that both the current owner of the commercial registration and the transferee must verify the obligations attached to the commercial registration, ensuring that it is free from violations, fines, delayed fees, or pending lawsuits. The formal documentation of the transfer must be completed electronically using the code sent to the mobile number registered on the Absher platform.
It is also required, when transferring the ownership of a commercial registration for a sole proprietorship, to complete the procedures with all the relevant authorities, most notably: the Ministry of Human Resources and Social Development, the Zakat, Tax and Customs Authority, the General Organization for Social Insurance, the Chambers of Commerce, and the banks.