The terms and phrases mentioned below, wherever they appear in this Regulation, shall have the meanings specified next to each of them unless the context requires otherwise.
1- Law: Law of Municipal Licensing Procedures.
2- Regulation: Implementing Regulation of the Law.
3- Municipal License: A written approval from the competent authority in the Ministry, including the approval to practice the activity in accordance with the conditions and requirements governing it.
4 - Cancellation of the Municipal License: The annulment of the municipal license by the competent authority in the Ministry.
5- Renewal of the Municipal License: The approval of the competent authority in the Ministry for the continuation of the municipal license.
6- Amendment of the Municipal License: The approval of the competent authority in the Ministry to practice the licensed activity after adding a new activity for which the conditions and requirements for its practice have been met, or deleting an activity based on the request of the license holder.
7- Suspension of the Municipal License: The cessation of practicing the licensed activity while the license remains valid until the reasons for the suspension are removed.
8- Location: The place or site licensed for practicing the activity.
9- Municipal Fines: The fines and penalties stated in the Regulation of Fines and Penalties for Municipal Violations or in any other legal text addressing a municipal violation.
10 - Initial Municipal Approval for the Municipal License: The acceptance by the municipality of the municipal license application for the specified location from the license applicant, provided that the general conditions prescribed by law are met, and this approval does not replace the final approval under which the municipal license is issued.
First - The municipal license for opening a shop is issued according to the following conditions:
1- Legal capacity, which is achieved by any of the following:
A- To be a natural person who is a Saudi national and not less than eighteen years old.
B- To be a legal entity that is a Saudi national licensed to engage in the activity.
C- To be a foreign investor licensed to engage in the activity.
2- The legal right to benefit from the real estate, which is achieved by one of two matters:
A- To be the owner of the real estate.
B- A lease or investment contract issued by a licensed entity with a duration of not less than one year.
3- The municipal requirements for the activity for which the license is requested are as follows:
A- Location: Its coordinates must be recorded in the license document.
B- Area: It must be recorded in writing and in numbers.
C- Building: It includes specifying the type of building and its number according to the numbering procedures.
4 - Approval from the government agency that supervises the activity.
5- Approval from the Civil Defense.
6- Payment of municipal fees and any fines, if applicable.
Second - The municipality is responsible for issuing the building license for all types of buildings after verifying the construction standards required by the Ministry, Civil Defense, and the government agencies supervising the activity, based on an application submitted by the license applicant, provided that the following is available:
1- A copy of the property owner's identity with the original for verification.
2- A copy of the property title deed with the original for verification.
3- Completion of all requirements and conditions for building licenses communicated to engineering offices.
The Ministry is working to coordinate with all relevant government entities regarding municipal licenses, to complete the electronic linkage with them. The submission of the municipal license application shall be as follows:
1- Through the electronic portal (Baladi) on the internet, provided that the municipality is ready and the electronic linkage with the relevant entities for the implementation of this law is available.
2- Submission to the coordination office as stipulated in Article Nine of this regulation in case it is not possible to apply through the aforementioned electronic means.
3- Direct submission to the municipality in case it is not possible to apply as indicated in paragraphs (1) and (2) of this regulation.
In consideration of the provisions mentioned in Article Three of this Regulation, the following steps shall be followed in issuing the municipal License:
1- The municipality shall issue the municipal License after the conditions specified in Article Two of this Regulation are met.
2- The municipality must receive the application for the municipal License after verifying the completeness of what is stated in Article Two of this Regulation and shall issue the License within a period not exceeding ten working days from the date of submission.
3- The application for the municipal License shall be submitted according to the form approved by the Ministry, and the applicant shall be provided with proof of receipt of their application.
4- In the event that the application for the municipal License is not accepted due to the lack of the conditions mentioned in Article Two of this Regulation or any of them, the applicant shall be notified in writing of the reason at the address specified in their application, or by one of the legally established notification methods.
5- The municipality shall refer the application for the municipal License or its renewal or modification for opening a shop for any activity to the Civil Defense within a period of two working days in the absence of a coordination office.
6- The applicant for the License shall be given a preliminary approval within three working days to complete the requirements for the final License without allowing them to practice if the License requires its holder to fulfill certain obligations, and they shall be notified in writing at the address specified in their application, or by one of the legally established notification methods.
7- The preliminary approval referred to in paragraph (6) above shall be considered void if the applicant for the License does not fulfill the required obligations within a period not exceeding three months.