
Saudi Arabia’s tourism industry is growing fast, creating strong demand for travel agencies across the country. The rise of religious tourism, international visitors, and domestic travel has made starting a travel agency in Saudi Arabia a profitable opportunity.
To operate legally, you must obtain a travel agency license in Saudi Arabia, which allows your business to offer ticketing, hotel bookings, visa services, tourism packages, and more.
In this guide, you’ll learn the process, legal requirements, documents needed, and step-by-step instructions to open your own travel agency.
What is a Travel Agency License in Saudi Arabia?
A travel agency license in Saudi Arabia is an official approval issued by the Ministry of Tourism (previously SCTH) that allows individuals and companies to provide services related to:
- Travel bookings
- Tourism packages
- Hajj and Umrah packages
- Visa assistance
- Airline ticket sales
- Hotel and transportation bookings
- Tour guide services
No travel agency can legally operate in Saudi Arabia without securing this license.
Why Start a Travel Agency in Saudi Arabia?
- Growing tourism sector under Vision 2030
- High demand for Hajj and Umrah packages
- Increasing interest in domestic tourism
- Opportunities in corporate travel management
- Government support for small and medium businesses
With millions visiting Makkah and Madinah each year and new tourist attractions opening across Riyadh, Jeddah, Al-Ula, and Abha, there’s never been a better time to invest in a travel business in Saudi Arabia.
How to Get a Travel Agency License in Saudi Arabia
To get a travel agency license in Saudi Arabia, choose your business activity, reserve your trade name, and submit your application to the Ministry of Tourism. After approval, register your business with the Ministry of Commerce, secure your municipality license, and register with ZATCA for VAT compliance if required.
Step 1: Choose Your Business Activity
Before applying, decide your business activities. Options include:
- Ticket booking agency
- Umrah and Hajj packages provider
- Corporate travel agency
- Domestic tourism agency
- Tour guide services
- Visa processing services
- Online travel agency (OTA)
Clearly define your scope to apply for the correct license type.
Why Activity Selection Matters
The Ministry of Tourism classifies agencies based on activities. Choosing the wrong activity may result in delays or rejection.
Step 2: Choose the Legal Structure
Your travel agency can be structured as:
- Sole proprietorship
- Limited Liability Company (LLC)
- Branch office (for foreign companies)
- Joint venture with local partners
Foreign investors need a license from MISA (Ministry of Investment Saudi Arabia) to operate under 100% foreign ownership.
Step 3: Reserve Your Trade Name
Pick a unique trade name that reflects your services. This name must follow Saudi naming rules and be reserved on the Ministry of Commerce’s online portal.
Step 4: Submit Application to Ministry of Tourism
To apply for a travel agency license, submit your documents to the Ministry of Tourism through their official online portal. Required approvals will be based on your selected activities.
Step 5: Obtain Commercial Registration (CR)
Once the Ministry of Tourism approves your application, register your company with the Ministry of Commerce to receive your Commercial Registration (CR).
Step 6: Secure Municipality License (Baladiya)
Obtain a municipality license for your office premises. This license ensures your business location meets all operational, safety, and public health standards.
Step 7: Register with ZATCA for VAT
If your annual turnover exceeds SAR 375,000, you must register your business with ZATCA (Zakat, Tax, and Customs Authority) to comply with VAT regulations.
Documents Required for Travel Agency License in Saudi Arabia
- Passport/Iqama copy of owner(s)
- Trade name reservation certificate
- Lease contract or office ownership proof
- Detailed business activity description
- Saudi address registration (National Address Certificate)
- Investment license from MISA (if foreign-owned)
- Capital proof (bank certificate if required)
- Commercial Registration (CR)
- Municipality license application
- VAT registration (if required)
Costs of Travel Agency License in Saudi Arabia
Your total cost depends on your business type, ownership, and location:
- Local travel agency license: SAR 5,000 to SAR 10,000
- Foreign travel agency license (via MISA): SAR 20,000 to SAR 50,000
- Additional costs include office lease, marketing, staffing, and government fees.
Online Travel Agency License in Saudi Arabia
Planning to run an online travel agency (OTA) in Saudi Arabia? You still need to apply for a license but must also:
- Include “online services” in your business activity
- Register your website on Maroof platform
- Follow Saudi e-commerce regulations
- Ensure proper invoicing and VAT compliance
Online travel businesses are booming, offering global reach with minimal operational costs.
Types of Travel Agency Licenses in Saudi Arabia
There are different types of travel agency licenses in Saudi Arabia, including general travel agency licenses, Hajj and Umrah service licenses, domestic tourism licenses, and corporate travel management licenses. Each license type depends on your business activities and services offered. Selecting the right license ensures legal compliance and smooth operations.
General Travel Agency License
Allows the sale of all types of travel services, including domestic, international, and corporate bookings.
Hajj and Umrah License
Specific license allowing agencies to offer Hajj and Umrah packages. Requires additional approvals from Ministry of Hajj and Umrah.
Domestic Tourism License
For businesses focusing on tours and packages within Saudi Arabia.
Corporate Travel Management License
For agencies offering exclusive services to businesses, including flight bookings, hotel reservations, and transportation arrangements.
Special Approvals for Hajj and Umrah Travel Agencies
Offering Hajj and Umrah packages requires:
- Separate license from Ministry of Hajj and Umrah
- Proof of knowledge in religious tourism
- Financial capability to manage package logistics
- Clear pricing and package details
- Background checks of owners and managers
The market for Umrah packages from Saudi Arabia is highly profitable, but strictly regulated.
Office Setup Requirements for Travel Agencies
You must have a physical office in Saudi Arabia to secure a municipality license. Requirements include:
- Lease agreement (minimum one year)
- Proper office layout for customer interaction
- Compliance with health and safety standards
- Visible business signage
A virtual office is not allowed for traditional agencies but acceptable for online-only businesses.
Foreign Ownership of Travel Agencies in Saudi Arabia
Foreign investors can open a travel agency in Saudi Arabia under 100% foreign ownership by:
- Obtaining a foreign investment license from MISA
- Attesting company documents from their home country
- Appointing a local or foreign manager
- Meeting minimum capital requirements (depends on activity)
However, managing Hajj and Umrah services as a foreign agency is not allowed without a local Saudi partnership.
Marketing Your Travel Agency in Saudi Arabia
Growing your customer base requires smart marketing strategies:
- Professional website with online booking
- Social media marketing (Instagram, TikTok, Twitter)
- Google Business Profile optimization
- Partnerships with airlines, hotels, and tourism boards
- Loyalty programs and promotions
- SMS and WhatsApp marketing campaigns
Remember to comply with Saudi advertising standards, especially for religious packages.
Tax Compliance for Travel Agencies in Saudi Arabia
If your revenue exceeds SAR 375,000 annually, your agency must:
- Register for VAT with ZATCA
- Charge 15% VAT on services (unless exempt)
- Issue VAT-compliant invoices
- File quarterly VAT returns
- Maintain clear financial records
Non-compliance may lead to fines or license suspension.
Business Opportunities in Saudi Arabia’s Travel Sector
- Domestic tourism promotion
- Corporate travel management
- Religious tourism (Umrah and Hajj)
- Luxury tourism services
- Eco-tourism and desert safari packages
- Medical tourism coordination
- Event and conference travel planning
The Saudi government’s push for Vision 2030 tourism goals is creating space for small, mid-sized, and large travel agencies.
Challenges in Starting a Travel Agency in Saudi Arabia
- Strict regulatory controls, especially for Hajj services
- Need for proper licensing and approvals
- Strong competition from established agencies
- Requirement for local office setup
- Price-sensitive market segment
Yet, with proper planning, your travel agency can thrive.
Conclusion
Getting a travel agency license in Saudi Arabia is essential for launching a legal, successful travel business. Whether you plan to sell flight tickets, offer Umrah packages, or manage corporate bookings, following the correct licensing process is key.
From selecting your business activity and applying to the Ministry of Tourism, to securing a Commercial Registration (CR) and municipality license, each step must be handled carefully.
Foreign investors can also participate by securing a MISA license and operating under 100% ownership for most travel services (excluding Hajj and Umrah packages). With the right strategy, proper legal setup, and compliance with VAT and advertising laws, your agency can serve customers across Saudi Arabia and beyond.
For expert help and fast-track licensing, many entrepreneurs partner with professionals who specialize in business setup in Saudi Arabia to simplify the process.
FAQs
Can foreigners open a travel agency in Saudi Arabia?
Yes. Foreigners can open travel agencies with MISA licensing, but cannot offer Hajj or Umrah services without a local partner.
What is the cost of a travel agency license in Saudi Arabia?
Costs start from SAR 5,000 for local businesses, while foreign-owned agencies may pay SAR 20,000 to SAR 50,000 including approvals.
Do I need a physical office to start a travel agency?
Yes, for traditional agencies. However, online agencies may operate with virtual offices, provided they comply with e-commerce laws.
How long does the licensing process take?
Typically, 3 to 6 weeks, depending on documentation and approvals.
Can I operate an online-only travel agency?
Yes, as long as your license mentions online services and your website is registered with Maroof platform.
Are Hajj and Umrah packages allowed for foreign companies?
No. Only Saudi-owned agencies or joint ventures with locals can offer Hajj and Umrah services.
What activities can a travel agency license cover?
Ticketing, hotel bookings, visa assistance, tourism packages, corporate travel management, and tour guide services.
Is VAT registration mandatory?
Yes, if your annual revenue exceeds SAR 375,000, VAT registration is compulsory.
Who regulates travel agencies in Saudi Arabia?
The Ministry of Tourism, previously known as SCTH (Saudi Commission for Tourism and National Heritage).
Can I apply for a travel agency license online?
Yes. Most parts of the application process are available through the Ministry of Tourism and Ministry of Commerce portals.