The Qiwa platform, affiliated with Saudi Arabia's Ministry of Human Resources and Social Development, has outlined a classification system that divides establishments into seven categories according to the number of employees.

Under the system, small establishments are divided into two categories, medium establishments into three, and large and mega establishments into one category each.

Qiwa's Classification of Establishments

Qiwa explained that small establishments are divided into the following two categories:

• Small Category A: Establishments employing five workers or fewer.

• Small Category B: Establishments employing between six and 49 workers.

Medium establishments are divided into three categories based on their workforce size:

• Medium Category A: Establishments employing between 50 and 99 workers.

• Medium Category B: Establishments employing between 100 and 199 workers.

• Medium Category C: Establishments employing between 200 and 499 workers.

According to Qiwa, large establishments employ between 500 and 2,999 workers, while establishments with 3,000 or more employees are classified as mega establishments.

Monshaat Uses Employee Numbers and Annual Revenue

In a related development, the Small and Medium Enterprises General Authority (Monshaat) follows a classification system consisting of four categories. This system is based on both the number of full-time employees and annual revenue.

Micro-enterprises

Micro-enterprises are defined as businesses employing between one and five people, with annual revenue ranging from zero to SR3 million.

Small Enterprises

Small enterprises employ between six and 49 full-time workers and generate annual revenue exceeding SR3 million and reaching up to SR40 million.

Medium-sized Enterprises

Medium-sized enterprises employ between 50 and 249 people and generate annual revenue exceeding SR40 million and reaching up to SR200 million.

Large Enterprises

Under Monshaat's classification, large enterprises employ 250 or more full-time workers and generate annual revenue exceeding SR200 million.

Different Classification Systems for Saudi Businesses

Qiwa classifies establishments primarily according to workforce size, dividing them into seven categories. Monshaat, meanwhile, uses four categories and considers both the number of full-time employees and annual revenue.