Partner Entry and Exit

Rely on the Professional Quality Office to accomplish Partner Entry and Exit From your company, while fulfilling all conditions and adhering to the laws related to the partner’s removal or entry into amendments to contracts and ensuring the rights of all participating individuals in their written shares according to official papers and applicable procedures.

Conditions for partner entry

Non-Saudis may become a partner in a company if the following conditions are met:

His legal record does not contain fraudulent crimes or attempts to violate Saudi law.
His legal record does not contain fraudulent crimes or attempts to violate Saudi law.
Ensure that the proposed business activity is included in the list of activities permitted for foreigners in Saudi Arabia.
The approval of all partners to include the partner with the authorized shares without increase or decrease
Amend the company contract to include the presence of the partner
Determine the value of his contribution and his bearing of losses and profits

Conditions for partner exit

In the event that one of the partners attempts to leave the company, the following must be done:

Attendance of all parties to ratify the entry and exit of a partner from other partners or shareholders
Presence of parties wishing to leave
Disclosure of the shares that the partner will give up
Amendment of the company's articles of association
Amendment of the distribution of the company's capital to existing partners
Signature of both parties on contracts

Documents required for partner entry

The Saudi partner must have the following documents:

Preparing a partner entry form in a limited liability company
New partnership contract committed to the previous terms
Providing evidence of compliance with Saudi laws by partners
Written consent from partners to enter a new partner

Documents required for partner exit

Documents required to release a partner:

Documents proving the partnership
Document indicating the filing of a legal suit to separate the partners and the reasons for the partner’s departure
Evidence supporting the reasons stated, especially if there are allegations of harm or corruption of the public interest
Written approval from other partners as per the terms and conditions of the company contract.

Partner Entry Procedures

To complete the process of your partner entering into a limited liability company, follow these steps:

Provide an account on the electronic service
Log in to your account
Select the "Make a decision" option.
Go to Partner Decisions and select your decision type.
Enter the required data in the boxes shown
Submit the application for inspection and documentation
Pay the required service fees
Contract documentation
Get a copy of the commercial register electronically
Go to one of the Ministry’s branches to complete the process of modifying the partner’s entry

Partner exit methods

There are several ways for a partner to leave different companies, as follows:

Exit from a limited liability company

In the event of the partner leaving, the following is done:

Company's settlement inventory

Distribution of the withdrawing partner’s share to partners or non-partners wishing to purchase

The withdrawing partner has the right to assign his share to one of the partners or shareholders

Partners have the right to receive a letter of assignment, whether for a fee or not

Exit from a joint stock company

Individuals do not have a major role in managing joint stock companies, but they are merely owners of shares in them, and upon withdrawal Partner Entry and Exit The partner shall not be liable for its debts or obligations.

Removing a partner from a partnership

A partner may only be removed from a partnership by:

Judgments issued by various judicial authorities

The lawsuit must be filed by one of the partners with the competent authorities

Withdrawal and death of doubts

There are many ways for partners to exit by withdrawal. Here, the partner offers his shares or stake for sale to one of the group members or to an external party or according to the agreements included in the contract. There is also exit in the event of death, and the percentages are distributed among the heirs.

Joint stock companies are not affected by the partner’s departure or death, but the heirs receive their full rights.

Partner exit procedures

To legally remove a partner from a limited liability company, the following steps must be followed:

Hold an urgent meeting among the members of the organization to discuss the decision of the partner’s exit and vote on it.
Filing a legal action in cases of disagreement between the parties, attaching the reasons for the exit and objections
Court approval of the decision to remove the partner in accordance with the company’s requirements.
Amending contracts and commercial records to suit the changes occurring in the company
Compliance with Saudi laws when taking these measures

Legal advice when changing partners

Here are the most important tips that investors should follow during the process: Partner Entry and Exit They are:

If you are the party that will be leaving the company, you must document the legal papers that prove this in an official and certified manner.
Obtaining an acknowledgment from the company that you have separated from it without any obligations related to you
Ensure your name is removed from the commercial records.
Get legal advice to ensure that there is no liability that will affect your professional future.
If you are choosing a new partner, his or her orientation should be the same as yours, with an assessment of his or her abilities, skills, and usefulness to the company.
Explaining the mechanism for purchasing a partner’s shares in the event that he leaves the company, whether by immediate payment or installments
Ensure that contracts are reviewed by qualified lawyers.

Customer reviews

Thank you for enabling me to get my partner out of the company with easy and simple procedures.
I was able to complete the legal procedures in record time. Thank you for your cooperation.
The partnership has been exited, thank God, and thanks to the quality of your work and your continuous experience.

Why our company is your ideal partner

Professional Quality Company is the ideal partner for those looking for a way to implement Partner Entry and Exit From their companies without facing any legal obstacles.

We help you carry out the entry and exit procedures of a partner in a fully legal manner.
We save you wasted time and effort on routine procedures.
Fast, excellent service available 24/7 thanks to ten years of experience in this field
Modify contracts to suit the new situation of partner entry and exit
Extract or change the commercial register
Establishing a new company after completing the exit from your old company
Change the legal entity of the company
Adjusting capital and redistributing it to partners
Liquidation of companies in a legal manner according to their conditions
Implementing corporate mergers in accordance with Saudi law

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