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Business Advisory Agreement for Saudi Arabia

Business Advisory Agreement Template for Saudi Arabia

A comprehensive legal agreement governed by Saudi Arabian law that establishes the terms and conditions under which a business advisor or consulting firm provides professional advisory services to a client. The document outlines the scope of services, fee structure, deliverables, confidentiality obligations, and compliance requirements in accordance with Saudi Commercial Law and Sharia principles. It includes specific provisions for protecting both parties' interests while ensuring alignment with local regulatory requirements, including those related to commercial registration, professional licensing, and foreign investment regulations where applicable.

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What is a Business Advisory Agreement?

The Business Advisory Agreement is essential for formalizing professional advisory relationships in Saudi Arabia's business environment. It is typically used when a company or individual seeks specialized business guidance, strategic consulting, or expert advisory services from qualified professionals. The document must comply with Saudi Arabian law, including the Commercial Law framework and Sharia principles, while addressing specific requirements under Vision 2030 initiatives. This agreement type is particularly relevant given Saudi Arabia's rapidly evolving business landscape and increasing focus on economic diversification. It covers crucial elements such as service scope, deliverables, confidentiality, intellectual property rights, and dispute resolution mechanisms, while ensuring alignment with local regulatory requirements and business practices.

What sections should be included in a Business Advisory Agreement?

1. Parties: Identification of the advisor and client, including full legal names, commercial registration numbers, and authorized representatives

2. Background: Context of the agreement, including the advisor's expertise and the client's requirements

3. Definitions: Key terms used throughout the agreement, including Service Scope, Deliverables, Confidential Information, etc.

4. Scope of Services: Detailed description of advisory services to be provided, including specific deliverables and exclusions

5. Term and Termination: Duration of the agreement, renewal provisions, and circumstances for termination

6. Fees and Payment Terms: Advisory fees, payment schedule, expenses, and any variable compensation elements

7. Obligations of the Advisor: Advisor's duties, service standards, and compliance requirements

8. Obligations of the Client: Client's responsibilities, including information provision and cooperation

9. Confidentiality: Protection and handling of confidential information and trade secrets

10. Intellectual Property: Ownership and usage rights of pre-existing and created IP during the engagement

11. Liability and Indemnification: Limitation of liability, indemnification obligations, and insurance requirements

12. Force Majeure: Events excusing performance and related procedures

13. Compliance with Laws: Commitment to comply with Saudi laws and Sharia principles

14. Dispute Resolution: Process for resolving disputes, including jurisdiction and applicable law

15. General Provisions: Standard clauses including notices, amendments, assignment, and entire agreement

What sections are optional to include in a Business Advisory Agreement?

1. Anti-Corruption and Anti-Bribery: Required when dealing with government entities or international transactions

2. Data Protection: Needed when personal or sensitive data processing is involved

3. Non-Competition: Added when protecting against competitive activities is crucial

4. Foreign Currency Provisions: Required for international agreements with non-SAR payments

5. Shariah Compliance Declaration: Specific declaration when required by Saudi financial institutions

6. Key Personnel: When specific individuals are crucial to service delivery

7. Service Levels: When specific performance metrics need to be maintained

8. Change Control: For long-term agreements where scope changes are likely

9. Succession Planning: For long-term strategic advisory relationships

10. Third Party Rights: When other entities might need rights under the agreement

What schedules should be included in a Business Advisory Agreement?

1. Schedule 1 - Detailed Scope of Services: Comprehensive breakdown of services, methodologies, and deliverables

2. Schedule 2 - Fee Structure: Detailed fee calculations, rates, and payment milestones

3. Schedule 3 - Key Personnel: Details of key team members and their roles

4. Schedule 4 - Service Levels: Specific performance metrics and measurement criteria

5. Schedule 5 - Client Materials: List of materials and information to be provided by the client

6. Schedule 6 - Compliance Requirements: Specific regulatory and compliance obligations

7. Appendix A - Report Templates: Standard formats for deliverables and reports

8. Appendix B - Communication Protocol: Procedures for routine communications and escalations

9. Appendix C - Security Requirements: Information security and data protection protocols

Authors

Alex Denne

Head of Growth (Open Source Law) @ Ƶ | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

Jurisdiction

Saudi Arabia

Publisher

Ƶ

Cost

Free to use
Relevant legal definitions




















































Clauses









































Relevant Industries

Financial Services

Professional Services

Technology

Healthcare

Manufacturing

Real Estate

Energy

Telecommunications

Education

Retail

Construction

Transportation

Mining

Tourism

Agriculture

Relevant Teams

Legal

Finance

Procurement

Business Development

Strategy

Operations

Risk Management

Compliance

Commercial

Executive Leadership

Project Management

Contract Administration

Relevant Roles

Chief Executive Officer

Managing Director

Chief Financial Officer

Legal Counsel

Procurement Manager

Business Development Director

Strategy Director

Operations Manager

Project Manager

Risk Manager

Compliance Officer

Finance Director

Contract Manager

Commercial Director

General Manager

Industries










Teams

Employer, Employee, Start Date, Job Title, Department, Location, Probationary Period, Notice Period, Salary, Overtime, Vacation Pay, Statutory Holidays, Benefits, Bonus, Expenses, Working Hours, Rest Breaks,  Leaves of Absence, Confidentiality, Intellectual Property, Non-Solicitation, Non-Competition, Code of Conduct, Termination,  Severance Pay, Governing Law, Entire Agreemen

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