If you’re planning to open a commercial shop or establishment in Saudi Arabia, the municipality license is the first legal step you must complete before starting your activity. In this guide, we explain everything — requirements, documents, steps, and fees — based on the latest updates from the Balady platform 2026.
Who it is for: Business owners and commercial establishments
Where: https://balady.gov.sa
Cost: 500 – 5,000 SAR per year depending on activity
When: Issued immediately after payment
💡 Tip: License is issued with a QR code — print and display in your shop immediately
Municipality License Requirements 2026
- Requirement 1 — Valid commercial register from the Ministry of Commerce via business.sa
- Requirement 2 — Notarized lease contract via Ejari platform (ejar.sa)
- Requirement 3 — National address for the establishment registered on SPL (splonline.com.sa)
- Requirement 4 — Site compliance with activity regulations (distance from mosques, schools, etc.)
- Requirement 5 — Civil Defense license (safety) — mandatory for all commercial activities
- Requirement 6 — Electronic cleaning contract or pay cleaning fees with the license
- Requirement 7 — Additional approvals depending on activity type
Required Documents for Municipality License 2026
| Document | Notes |
|---|---|
| Commercial Register | Valid |
| Electronic Lease Contract | Notarized via Ejari |
| Owner’s ID | Saudi or valid Iqama |
| Civil Defense License | Obtained before or with license |
| Cleaning Contract | Or fee added to invoice |
| Other Authority Approvals | Depends on activity |
Steps to Obtain Municipality License via Balady
- Go to balady.gov.sa or the Balady+ app
- Login via unified national access (Absher)
- Select: Commercial License Services → Issue Commercial License
- Choose applicant status (owner or manager)
- Pin the shop location on the map — automatically linked to the lease
- Enter business activity details and area size
- Upload the required documents
- Pay via SADAD or Mada
- License issued instantly with QR code — print and display
Activities That Need Additional Approvals
| Activity | Approval Authority |
|---|---|
| Restaurants & Cafes | Food Authority + Municipality |
| Pharmacies | Food and Drug Authority |
| Gold & Jewelry Shops | Ministry of Commerce |
| Gas Stations | Ministry of Energy |
| Medical Centers | Ministry of Health |
| Foreign Investment Activities | Ministry of Investment (MISA) |
Municipality License Fees
Fees are calculated based on the commercial activity, area size, and location. The Balady system calculates them automatically when you submit your application. On average, they range from 500 to 5,000 SAR per year, with installment options available.
❓ Frequently Asked Questions
One full calendar year. Renew annually via Balady platform using the same steps.
Yes, a lease contract notarized via Ejari is a basic requirement.
Usually issued immediately after payment. Some activities need review that may take 1-3 business days.
No, a valid commercial register is required. It must be obtained first via the Ministry of Commerce.
The municipality license covers the business activity and location. The civil defense license covers safety and fire requirements. Most activities need both.
Have questions about the municipality license? Write to us in the comments 💼
Official Links: Balady Platform
