Khalifa Al-Ajeel, the Minister of Commerce and Industry, issued a decision regulating freelance activities, covering 120 diverse fields, including consulting, regulatory and investment services, property management, and other business activities, Al Rai newspaper reported.

Minister Al-Ajeel set nine conditions for obtaining a license to practice self-employment activities. The first condition requires that the company applying for the license be a one-person entity, with the founder and manager being a natural Kuwaiti citizen of full legal capacity. The individual must have no final convictions involving penalties restricting freedom for felonies or crimes affecting honor and trust, unless their reputation has been legally restored.

The conditions for obtaining a freelance license include that the license holder be at least 21 years old, unless authorized to practice commerce by a court. The holder must specify a chosen address, post office box, or an email registered with the Public Authority for Civil Information, according to the latest update. If the address is a private residence, approval from the property owner is required.

Applicants must also provide evidence of payment of the prescribed fee, sign the necessary pledge using the designated form, and refrain from dealing with materials harmful to the environment or public health and safety, as specified by competent authorities or any other documents required by a decision issued by the Minister or his delegate.

Promoting transparency

The decision sets a four-year license term, while Article 5 allows the addition of multiple freelance business activities to the same license, provided the added activities are similar, complementary, necessary, or related to the granted license. Articles 7 and 8 require licensees to disclose their commercial registration number in all official accounts and transactions, and all payments must be made electronically.

Capital reduction

Article 10 reduces the capital required for companies practicing licensed freelance activities to half the amount required for similar activities, as outlined in the decision. In matters not explicitly covered, the provisions of Ministerial Resolution No. 411 of 2013 apply.

The decision also mandates that the Ministry of Commerce submit periodic reports to the Public Authority for Manpower on the compliance of beneficiaries of Cabinet Resolution No. 391 of 2001 and its amendments regarding the social allowance.

License holders benefiting from the allowance must annually provide the ministry with the company’s bank statement, annual financial statements, accounts of licensed electronic and social media platforms, and any other documents specified by the minister. The first fiscal year begins on the company’s registration date and ends on the specified end date of the following fiscal year.