The bookstore industry in Saudi Arabia is growing fast, with increasing demand for educational, religious, and leisure reading materials. Whether you want to open a small local bookstore or a large retail chain, starting a bookstore in the Kingdom requires legal approval.
Getting a bookstore license in Saudi Arabia is the first and most important step. The licensing process has specific requirements based on the business location, ownership type, and regulatory approvals. Whether you’re a Saudi national or a foreign investor, this guide breaks down everything in simple terms.
Why Open a Bookstore in Saudi Arabia?
The Kingdom is focusing on literacy, education, and cultural development as part of Vision 2030. This makes the book-selling industry more relevant than ever. With a large youth population, rising education levels, and support for local publishing, bookstores have a great opportunity to thrive.
Opening a bookstore also allows you to offer school books, religious texts, Arabic literature, international titles, and educational materials—all under one roof.
How to Get a Bookstore License in Saudi Arabia
To start your bookstore legally, you need to obtain a commercial license from the Ministry of Commerce and Investment (MCI). The license is required for both physical and online bookstores.
Step-by-Step Process for Getting a Bookstore License
Let’s break down the process into clear steps.
Step 1: Decide the Business Structure
Before applying, you must select the type of legal structure. This could be:
- Sole Proprietorship
- Limited Liability Company (LLC)
- Joint Venture (if partnering with a local business)
Foreign investors usually opt for LLC with full ownership under SAGIA (Saudi Arabian General Investment Authority), now merged under MISA (Ministry of Investment Saudi Arabia).
Step 2: Select a Trade Name
You must choose a trade name that reflects your bookstore business. This name should be:
- Unique
- Not already registered
- Related to your bookstore activities
You can check name availability on the MCI portal.
Step 3: Reserve the Trade Name
Once selected, reserve it online through the Ministry of Commerce’s website. This reservation is temporary, valid for a limited time until registration is complete.
Step 4: Draft the Articles of Association (AoA)
For companies like LLCs, you need to prepare the Articles of Association, outlining company objectives, ownership, capital, and responsibilities.
These documents must be notarized and approved by the relevant authorities.
Step 5: Register the Business
Now register your business under the MCI. The documents you’ll need include:
- Owner’s ID or Iqama
- Articles of Association
- Commercial registration form
- Lease contract or property ownership proof
- Activity description (Bookstore or Book Sales)
Once registered, you will receive a Commercial Registration (CR) certificate.
Legal Requirements for Bookstore Licensing
To get a bookstore license in Saudi Arabia, you must follow specific legal requirements set by the Ministry of Commerce and Investment. This includes registering your business activity, reserving a trade name, obtaining a commercial registration certificate, securing municipality approvals, and registering for VAT if required. Civil Defense approval ensures safety compliance.
Business Activity Code for Bookstores
You must register your activity under the proper business activity code, which falls under the retail of books, newspapers, and stationery. The correct coding ensures that your operations are compliant and authorized.
Municipality License (Baladiya License)
After obtaining the CR, you must apply for a Baladiya (Municipality) license. It includes:
- Fire safety approvals
- Property compliance
- Health and cleanliness standards
- Proper signage
This is required for your physical bookstore location.
GAZT Registration for VAT
If your annual revenue exceeds SAR 375,000, you must register with GAZT (now ZATCA) for VAT (Value Added Tax). You’ll be required to issue VAT-compliant invoices and file returns regularly.
Civil Defense Approval
For any public retail store, especially bookshops that store large amounts of paper, you need approval from Saudi Civil Defense to confirm fire safety compliance.
Documents Required for Bookstore License in Saudi Arabia
To simplify the process, here is a list of documents you’ll likely need:
- Passport copy or Iqama
- National Address certificate
- Tenancy contract or title deed
- CR (Commercial Registration) application form
- SAGIA/MISA license (for foreign investors)
- Trade name reservation certificate
- Municipality license application
- AoA (if LLC or joint ownership)
- Tax registration certificate (if required)
Cost of Bookstore License in Saudi Arabia
The cost of getting a bookstore license in Saudi Arabia can vary based on:
- Business structure (individual, LLC, foreign-owned)
- Municipality or city of registration
- Additional approvals (Civil Defense, VAT registration, etc.)
On average, local investors may spend SAR 5,000 to SAR 10,000, while foreign investors may need a larger budget due to investment licensing fees, notarization costs, and MISA approvals.
Online Bookstore License in Saudi Arabia
With eCommerce booming, many entrepreneurs want to open an online bookstore in Saudi Arabia. For this, you need a Saudi E-Commerce license or simply include “online sales” in your primary activity when registering.
You will also be required to:
- Comply with the E-Commerce Law in Saudi Arabia
- Register your online store with the Maroof Platform (run by the Ministry of Commerce)
- Display store details, return policy, and license info clearly on your site
Online bookstores enjoy low operational costs, but you must still register your business and follow VAT and consumer protection laws.
Can Foreigners Open a Bookstore in Saudi Arabia?
Yes, foreign investors can open a bookstore business in Saudi Arabia under 100% ownership, but only through MISA licensing. Here’s what they need:
- A minimum capital (as defined by MISA based on sector)
- Clean criminal record
- Company documents attested in home country and Saudi Embassy
- Appoint a General Manager with valid residency (Iqama)
Once approved, they will be issued a foreign investment license followed by standard CR and municipal licensing.
Important Regulations and Compliance Rules
Saudi Arabia is strict about content. All books sold, especially foreign publications, must be approved by the Saudi Ministry of Culture or Education depending on the type.
You must avoid:
- Politically sensitive content
- Religious criticism
- Explicit or immoral materials
Books in bulk are often inspected at customs for import compliance.
Publishing License (Optional)
If your bookstore plans to print or publish books, you’ll need an additional publishing license from the Ministry of Culture or the General Commission for Audiovisual Media.
Choosing a Location for Your Bookstore
The success of your bookstore depends heavily on location. Here are some ideal places:
- Near schools, universities, or mosques
- Inside shopping malls
- Business districts or near public transport hubs
Make sure your lease agreement allows retail operations and has space for storage, counters, and public seating if needed.
Marketing Your Bookstore in Saudi Arabia
Once your bookstore license is active, you need to market it the right way.
Use Digital Marketing to Reach Readers
Create an online presence through:
- Google Business Profile
- Instagram, Twitter (X), TikTok campaigns
- Online delivery apps
- E-commerce website with delivery and COD options
Also, promote reading clubs, author events, or school partnerships to build a loyal community.
Taxation for Bookstores in Saudi Arabia
If your bookstore earns more than SAR 375,000 annually, VAT applies. You must:
- File returns quarterly
- Charge 15% VAT on book sales
- Keep clean invoices and expense records
Foreign-owned companies must also file Zakat or corporate tax depending on their shareholding structure.
Bookstore Franchise License in Saudi Arabia
If you’re planning to bring in a global bookstore brand, you’ll need to:
- Apply for a franchise license
- Submit a copy of the franchise agreement
- Ensure the foreign brand allows retail presence in Saudi
- Follow branding, store layout, and corporate guidelines
Popular bookstore franchises like Jarir or Kinokuniya have already set benchmarks in the region.
Timeline for Bookstore License Approval
The process generally takes:
- 1–3 working days to reserve the trade name
- 3–5 working days for Commercial Registration
- 7–14 days for municipal, VAT, and safety approvals
- Up to 30 days for foreign investors (due to attestation and approvals)
Hiring a business consultant in Saudi Arabia helps cut this time significantly.
Challenges of Starting a Bookstore in Saudi Arabia
Every business has challenges, and bookstores are no exception.
- Strict content regulation
- Import restrictions for foreign books
- Price sensitivity among readers
- Competition from digital books
- Managing unsold inventory
Still, with the right business plan, you can succeed in this growing sector.
Conclusion
Starting a bookstore in Saudi Arabia is a promising opportunity if done legally and strategically. From choosing the right legal structure to obtaining licenses, complying with cultural regulations, and building a strong presence, every step matters.
Whether you want to run a local Arabic bookstore, an international franchise, or an online bookshop, Saudi Arabia has space for all.
To simplify the entire process, it’s wise to work with business setup consultants in Saudi Arabia. They understand the rules, help with documentation, and ensure you’re compliant from day one—saving you time, money, and stress.
FAQs
Can I open a bookstore in Saudi Arabia as a foreigner?
Yes, but you need to obtain a MISA (foreign investment) license and follow certain capital and ownership rules.
What is the cost of a bookstore license in Saudi Arabia?
It depends on the structure. For locals, it may range from SAR 5,000 to SAR 10,000. Foreigners may spend more for approvals and attestation.
Can I sell foreign books in Saudi Arabia?
Yes, but they must be approved by the cultural authorities. You can’t sell banned or controversial books.
Do I need a different license for an online bookstore?
You can include online activity in your CR or register your e-store separately under the eCommerce law.
How long does it take to open a bookstore in Saudi Arabia?
It can take 2–4 weeks, depending on your business type, paperwork, and whether you’re a local or foreign investor.
Can I sell educational material in my bookstore?
Yes, educational books are in high demand, but make sure they’re approved and sourced legally.
Is VAT registration mandatory?
Only if your annual revenue exceeds SAR 375,000. Otherwise, it’s optional.
Do I need a publishing license to sell books?
No, only if you plan to publish or print books locally.
What languages can I sell books in?
Arabic is primary, but you can also sell books in English, Urdu, French, or other approved languages.
Can I apply for a bookstore license online?
Yes, most steps including name reservation and CR registration are done through the Ministry of Commerce online portal.
