Which business is best in Saudi Arabia?
A new land of opportunity is in making, both in ambition and reality, and it’s Saudi Arabia. This former oil titan is redefining its future, shifting from black gold to bold innovation as it emerges as a global business pioneer. With the Vision 2030 initiative the ambition is to create a land with a compelling and opportunity-driven environment. KSA has a stronghold of youth, with over 70% of Saudis are under 35, driving an energetic, forward-thinking workforce ready to shape the future. Moreover, government is also putting massive funds into development, with more than $500 billion dedicated to transformative initiatives like NEOM. This has made KSA an attractive business hub for investors and entrepreneurs from around the globe.
If you are also planning to invest in KSA, we have here shortlisted some of the best business ideas in Saudi Arabia, Lets have a look.
1. Tourism and Hospitality
KSA government is emphasizing on expanding economy by attracting tourists, the goal is to expand its economic contribution from 3% to 10% of the GDP by 2030. This push has resulted in the development of many initiatives like NEOM, Red Sea Project, and AlUla. Business person can look into investing in Boutique hotels, eco-resorts, travel agencies, tour services, cultural and heritage tourism ventures.
2. Food and Beverage
Food and Beverage in a good opportunity for those with less budgets as the Saudi food industry is expanding progressively. The Saudi Food market is expected to reach USD 27.38 billion by 2029 and one of the key reasons is growing consumers demands and changing dietary habits of young population. Which is why investing in organic and healthy food products can be profitable. Likewise, food franchises, cloud kitchens, Packaged food production and distribution is also high in demand. Business with low budgets can put their money in online food delivery or food trucks.
3. Renewable Energy
Renewable Energy is also a financially rewarding alternative. Wind power and solar energy business is flourishing on large scale in KSA, targeting a 50% renewable energy share by 2030. Government is also encouraging the investors to put money into renewable energy. It gives an opportunity to start solar panel manufacturing or installing business. Energy efficiency consultancy and solutions can also be a fruitful option.
4. Healthcare and Wellness
KSA is prioritizing on privatizing and digitally transforming healthcare sector. Their goal is to launch 21 health clusters, advancing e-health services, and transitioning 290 hospitals and 2,300 primary health centers to private ownership. Some of the potential businesses in health care include pharmaceutical manufacturing, specialized healthcare services and telemedicine. Amid increasing focus on well-being, opening a boutique gym or producing organic products and fitness equipment can be a good option as well.
5. Information and Communication Technology (ICT)
As KSA is adopting Digitization, it is a leading and rapidly expanding industry in the Kingdom with a market value of 40.9 billion. As vision 2030 has lifted the ICT to transform KSA in a global IT hub, it can be one of the best business ideas in Saudi Arabia. There are many possibilities for ICT startups specifically, such as web development, mobile app development and cybersecurity services can be suitable selection to start with.
6. Gaming and Esports Business
KSA is expected to host some mega sports events including the Asian Football Confederation’s (AFC) Women’s Asian Cup in 2026, the FIFA World Cup in 2030, and the Asian Winter Games in 2029. This has sparked a major surge in sports business in Saudi Arabia, giving a huge number of opportunities to private sector to create revenue-generating enterprises by planning, marketing, and overseeing major sports events. Furthermore, manufacturing sports gear can also generate substantial revenue.
7. Education Business
Importance of Academics and quality education is highly in demand in KSA. Education sector is modernizing to meet the global educational criteria, giving both local and global investors a chance to invest for a more accelerated expansion. Similarly, tutoring services or launching educational platforms are widely requested too. Financiers can allocate funds to building schools, online learning platforms, technical and vocational training institutes. Some of the low budget options include virtual training classes like English learning courses, Test preparation (SAT, GRE, etc.) and coding and tech skills, this gives a strong earning potential as well.
8. E-Commerce and Drop shipping
With the exponential growth in e-commerce across the globe, the middle east market is anticipated to reach $57 billion by 2026. This business is specifically favorable for low budget entrepreneurs who want to start a home-based small business since it eliminates the need for a physical storefront and inventory. Scaling an online or drop shipping business is also economical and easy to handle. Among the trending-commerce niches are gadgets, fashion accessories, health products and handmade crafts.
9. Real Estate and Construction
Massive developments and urban expansion shaping the sector making construction a leading industry in market. Projects like NEOM and Red Sea Development open the doors for new possibilities. The expanding population and the futuristic transformation of cities makes it an attractive investment option for businesspersons. Some of the best construction business ideas in Saudi Arabia includes Residential and commercial property development, property management, rental services and smart home technology solutions
10. Consumer & Luxury Goods
It is the best time to invest in consumer and Luxury goods sector since the market is expected to grow at a CAGR of 3.75%. Along with the big brands, small brands also have high chances to flourish. It is important to conduct research on emerging trends to built a strong business and online presence. Perfume, Jewelry, watches, Luxury automobiles and concierge services are some of the preferred and most demanding choices.
11. AI and Blockchain
KSA is significantly investing in AI and Blockchain to meet the need of vision 2030, and is rapidly adopting these technologies across various sectors. Top recommendations include AI-driven business automation and analytics, Blockchain-based supply chain and financial solutions and cyber security applications.
Saudi Arabia is bringing up a wealth of opportunities for entrepreneurs looking to channel money into successful and wealth-building endeavors. Be it technology, tourism, healthcare or real estate KSA offer dynamic environment for growing businesses. However, there comes some challenges specifically for establishing a business and understanding the legal framework of KSA. By getting business consultation services or hiring top accounting firms in KSA these hurdles can be navigated to establish successful ventures in this thriving economy.
SS&CO: Future-Proofing Your Business
Establishing a business in KSA can be a tough nut to crack, with many possibilities yet choosing the right one can be complex. SSCOKSA is one of the top accounting firms in KSA, who is renowned for guiding entrepreneurs and investors to steer through the legal and administrative hurdles of establishing a business in KSA. From choosing the best business and location to getting the licenses and understanding the KSA legal framework we walk you through every step with ease and expertise. With our team’s global experience and personalized strategies, we promise to craft your business with great precision and professionalism, serving as your trusted partner on the path to success. If you are ready to start your business journey, book an appointment today and access the boundless potential of Saudi Arabia.