Balady licence before opening a shop

Landlord says the municipal licence is my job. What do I need for Balady?

The situation

A business with a physical premises applies for a commercial (municipal) licence on Balady against its CR, with a registered lease and activity details.

The law

  • Commercial Register Law (published 4 October 2024, effective April 2025): CR has no expiry; data must be confirmed every year or the CR may be suspended or cancelled

What it means for you

Balady checks that the address is zoned for your activity and that safety requirements are met. Fees depend on activity, city and area, so there is no flat figure. Register the lease first, then apply. Opening before the licence risks fines and closure.

What to do

  1. Register the lease electronically.
  2. Apply on Balady with CR and activity.
  3. Complete any safety inspection.
  4. Pay and display the licence.

Signing a lease before checking zoning is the most common costly error.

We can do this for youMunicipal licence on Balady and Chamber of Commerce registration for a new shop, office or warehouse: SAR 2,500

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