Restaurant and Café Licensing in Saudi Arabia: Complete Steps and Requirements
Opening a restaurant or café in Saudi Arabia is a dream for many young and ambitious individuals. With Vision 2030, procedures have become easier and opportunities have increased. But the question remains: what is required to open a restaurant or café legally?
In this article, we outline all the steps for obtaining restaurant and café licenses from A to Z.
Step One: Commercial Registration
The first and most important step. The commercial registration is the foundation. You go to the Ministry of Commerce (via the Business Center platform) and obtain a commercial registration for the activity of “restaurant” or “café” according to your preference.
Available activities for commercial registration:
- Restaurant (serving meals and food services)
- Café (serving beverages and light meals)
- Restaurant and café (mixed activity)
Requirements for commercial registration are simple: national ID, address, and capital. All are processed electronically and take no more than one working day.
Step Two: Municipal License via Baladi
After obtaining the commercial registration, you proceed to the Ministry of Municipal and Rural Affairs via the Baladi platform. Here, you submit an application for a municipal license for the commercial establishment.
Required documents:
- Commercial registration (copy)
- Lease contract or property deed (notarized in Ejari)
- Site and building plan
- Civil Defense license (safety requirements)
- Health license from the municipality
The responsible authority inspects the site and ensures it complies with municipal requirements before issuing the license.
Step Three: Health License
Since restaurants and cafés deal with food, a health license from the municipality is mandatory. This requires:
- Certificate of freedom from diseases for workers (medical examination)
- Food safety training course
- Compliance of the kitchen or preparation area with health requirements
Health requirements include: presence of sterilization sinks, suitable flooring, good ventilation, refrigerators with controlled temperatures, and proper storage of food items.
Step Four: Civil Defense
Safety is paramount. You must obtain approval from Civil Defense, which includes:
- Appropriate fire extinguishers
- Clear emergency exits
- Automatic fire suppression system (for large restaurants)
- Emergency signage
- Inspection of electrical and gas connections
Step Five: Other Registrations
There are additional registrations you need to complete to be fully compliant:
- Registration with the General Organization for Social Insurance (GOSI): For Saudi employees
- Registration with the Saudi Food and Drug Authority (SFDA): For imported food items
- Registration for Value Added Tax (ZATCA): If revenues exceed the required threshold
- Registration with the Ministry of Human Resources: Via the Qiwa platform
- Work permit: For each Saudi or foreign employee
How much does it cost to license a restaurant or café?
Costs vary depending on the city and project size, but approximately:
- Commercial registration: 1,200 SAR (annual fee)
- Municipal license: 100 – 700 SAR depending on activity and area
- Health license: approximately 500 – 1,000 SAR
- Engineering office (plans): 1,000 – 3,000 SAR
- Civil Defense: 200 – 500 SAR
The approximate total for government fees only: 3,000 – 6,000 SAR. Of course, rent, equipment, and hiring are additional significant costs.
Fully Electronic Application
One of the best developments in Saudi Arabia: all these procedures can be completed electronically. The Absher Business and Baladi platforms provide all services, and you do not need to visit a government office.
Frequently Asked Questions
Q: How long does it take to obtain a restaurant license?
A: After completing the documents, the municipal license is issued within 5-15 working days. The commercial registration is issued within 24 hours.
Q: Does a café need a health license?
So restaurant licenses?
A: In general yes, the same procedures. But the difference is in the activity in the commercial register. Small cafes that only serve drinks may have lower health requirements.
Q: Does a small restaurant in the house need a license?
A: Yes, any commercial activity that serves food to the public needs a license. There are licenses specifically for home kitchens (commercial home cooking) through the municipality.
Q: What is the difference between the temporary and permanent municipal license?
A: The temporary license is for one year and is renewable. The permanent one is for a longer period after fulfilling all conditions. Most start with a temporary one.
Q: Is a Saudi partner required if I am not Saudi?
A: In some activities yes. But many commercial activities are now 100% available to foreigners. It is best to check the Business Center platform.
Ready to open your restaurant or café? Procedures today are easier and faster than before. Start today and inquire about the requirements and launch!