To start an online store in Saudi Arabia, get legal cover first (a commercial registration through the Saudi Business Center, or a freelance document if your activity qualifies), verify the store on the Business Platform, register for VAT once you pass the threshold, then offer mada, Apple Pay and buy-now-pay-later at checkout, connect a carrier, and pick a platform that fits your growth plans.
This guide is written by TheCoins, which sells online store, loyalty and commerce software, including to businesses in Saudi Arabia. We link every legal, tax and market fact to its source, we do not quote fees we could not verify, and we tell you when to check the official portal yourself. Rules change, so treat this as a map, not legal advice.
Legal setup: registration and store verification
Commercial registration or freelance document
Every online store needs legal cover. For most restaurants, cafés and retailers that is a commercial registration, issued electronically through the Saudi Business Center platform. Saudi nationals aged 18 or over with an active Absher account can instead use a freelance document, but only for activities on the Freelance Platform's approved list. Non-Saudis follow separate investment or company paths, not the freelance document.
Store verification on the Business Platform
Store verification has moved from Maroof to the Business Platform of the Saudi Business Center. You need an active commercial registration or freelance document and a bank account linked to it. Salla reports that the service is free and takes about 5 to 7 working days. Building a store on any platform is not a license and does not replace registration or verification.
Product approvals
Registration does not mean every product is permitted. Food, cosmetics, perfumes, supplements, imported goods and products subject to conformity rules may need separate approvals. If you sell food, check what your category needs before you list it.
E-commerce law basics
The E-Commerce Law was issued by Royal Decree M/126 in July 2019 and took effect in October 2019; its implementing regulations took effect on 31 January 2020. In practice, your store must:
- Show your contact details, store name, the name on your commercial registration and, if registered, your VAT number.
- Show the total price, including fees, taxes and delivery charges, before the customer pays.
- Let customers cancel within seven days of receiving a product they have not used, with listed exceptions such as food and catering services and custom-made goods.
- Let customers cancel and recover payments if delivery is more than 15 days late, unless agreed otherwise or in force majeure.
- Protect customer data, use it for marketing only with prior consent, and report a breach to the Ministry within three days.
- Label ads clearly as advertising and avoid false or misleading claims.
Penalties can include a warning, suspension, blocking of the store and a fine of up to SAR 1 million. Read the current text on the Ministry of Commerce site before you write your policies.
VAT and ZATCA e-invoicing
VAT in Saudi Arabia is 15%. Registration with ZATCA is mandatory for resident businesses whose taxable turnover exceeds SAR 375,000 over a rolling 12 months, and voluntary above SAR 187,500. Once registered, you must follow the Fatoora e-invoicing rules. Phase 1 (generation) has applied since 4 December 2021 and requires invoices to be issued and stored with a compliant electronic solution. Phase 2 (integration) connects your invoicing system to ZATCA and is rolled out in waves; ZATCA notifies each taxpayer at least six months before its wave. Ask your platform whether its invoices are Fatoora-compliant.
Payment methods Saudi customers expect
Saudi shoppers already pay electronically: SAMA reports that electronic payments made up 85% of retail payments in 2025, up from 79% in 2024. The local debit network, mada, is central to online spending; SAMA data cited by Arab News puts e-commerce spending on mada cards at SAR 29.86 billion in July 2025 alone, up 79% on the year.
At checkout, plan for mada, Visa and Mastercard, Apple Pay, and buy-now-pay-later. Tabby and Tamara both hold SAMA licenses for BNPL. A gateway such as PayTabs lists mada, Apple Pay, STC Pay, Tabby and Tamara among its Saudi methods. Fees differ by provider and contract, so compare current rates before you sign.
Delivery and shipping options
You can run your own drivers for nearby orders, use a carrier, or combine both. Saudi Post (SPL) offers doorstep, parcel locker and post office delivery, cash on delivery, pickup from your store or warehouse, returns and API integration. Salla, for example, lists integrated carriers including Saudi Post, Aramex, SMSA, DHL Express and Careem for same-day delivery. For restaurants and cafés, fast local delivery matters more than national coverage; for retail, returns and cash on delivery matter more.
Choosing a platform
There are three broad routes. Choose by what you sell, how many branches you run, and whether you need loyalty and an app in the same system.
| Route | Examples | Suits | Check before you choose |
|---|---|---|---|
| Local hosted store builder | Salla, Zid | Retailers who want a fast start with local payments and carriers | Plan price, transaction fees, app add-ons |
| Global store builder | Shopify | Brands selling across borders with a large app ecosystem | Saudi payment and carrier support, Arabic checkout |
| Own-brand commerce platform | TheCoins | Restaurants, cafés and multi-branch retail that want store, ordering, loyalty and app on one profile | Plan fit, POS connection, setup time |
Compare Salla, Zid and TheCoins side by side
Add loyalty and a branded app
Selling online is the start; getting the second order is where margin is made. A loyalty program gives customers a reason to return to your own store instead of a marketplace. TheCoins, for example, combines an online store, ordering links and QR codes, coins loyalty with tiers, referrals and rewards, Apple Wallet loyalty and gift cards, and WhatsApp, SMS, email and push journeys. The Pro plan adds a branded iOS and Android app. There is no per-order commission, it connects to Oracle MICROS and other POS systems via API, and it can connect to an existing Shopify store.
Step-by-step checklist and cost example
| Step | What to do | Where |
|---|---|---|
| 1 | Get a commercial registration, or a freelance document if eligible | Saudi Business Center / Freelance Platform |
| 2 | Open a bank account linked to the registration | Your bank |
| 3 | Verify the store | Business Platform, Saudi Business Center |
| 4 | Check product approvals for food, cosmetics or imports | The relevant authority |
| 5 | Register for VAT when required and set up e-invoicing | ZATCA |
| 6 | Choose a platform and publish prices, returns and privacy policies | Your store |
| 7 | Activate mada, Apple Pay and BNPL | Payment gateway |
| 8 | Connect a carrier or set up local delivery | Carrier account |
| 9 | Launch loyalty and invite existing customers | Your store or app |
Example: monthly software cost in SAR
This is an example, not a quote. The riyal is pegged at 3.75 per US dollar, so TheCoins plans convert as follows. Platform, payment and shipping fees from other providers are not included; check their current terms.
| TheCoins plan | USD a month | Working | SAR a month |
|---|---|---|---|
| Basic | 79 | 79 x 3.75 | 296.25 |
| Growth | 199 | 199 x 3.75 | 746.25 |
| Pro (includes branded app) | 349 | 349 x 3.75 | 1,308.75 |
Example: a café takes 400 online orders a month at an average of SAR 60. Monthly online sales are 400 x 60 = SAR 24,000, or SAR 288,000 a year. That is above the SAR 187,500 voluntary VAT threshold but below the SAR 375,000 mandatory one, so registration is optional until sales grow or other taxable sales push the total over. On the Growth plan, software costs 746.25 / 24,000 = about 3.1% of online sales; on Pro, 1,308.75 / 24,000 = about 5.5%.
See how the TheCoins online store works
Sources
- Does opening an online store in Saudi Arabia require a license? (Salla, reviewed July 2026)
- Saudi Arabia's new E-Commerce Law, client alert (Latham & Watkins / Al-Sudairi, May 2020)
- Saudi Arabia regulates e-commerce: implementing regulations (Global Compliance News, March 2020)
- VAT registration in Saudi Arabia: ZATCA step-by-step guide (Wafeq, October 2026)
- E-invoicing roll-out phases (ZATCA)
- E-payments account for 85% of total retail payments in 2025 (SAMA, April 2026)
- Saudi e-commerce via mada cards surges 79% to $8bn (Arab News, September 2025)
- SAMA licenses Tamara Finance for consumer finance and BNPL (SAMA, March 2025)
- SAMA licenses Tabby Finance for BNPL activity (SAMA, 2025)
- Payment methods by country (PayTabs)
- E-commerce services (Saudi Post | SPL)
- Shipping for online stores (Salla)
- SAMA affirms commitment to the riyal peg at 3.75 per dollar (Arabian Business, May 2020)
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