Comprehensive Guide 2026: Procedures and Cost of Establishing a Cafe or Fast Food Restaurant Company in Saudi Arabia (Riyadh & Jeddah)
Cost of Establishing and Operating a Cafe or Fast Food Restaurant in Saudi Arabia 2026 (Riyadh or Jeddah)
Do you want to open a successful cafe or fast food restaurant serving hot and cold drinks with light quick meals in Riyadh or Jeddah? This type of project is currently one of the most profitable and fastest-growing in Saudi Arabia, especially with the increasing demand for modern cafes, fast food restaurants, and delivery apps.
In this guide, you will learn about:
- Procedures for establishing a cafe or restaurant company in Saudi Arabia
- Establishment and operating costs in 2026 (noting that some fees are subject to change)
- Best neighborhoods and locations
- Operational and setup steps
- The role of Deyafa Business in professionally establishing and operating the project
First: Government and Official Procedures in Saudi Arabia
Most procedures are now available online and can be easily executed electronically.
A. Company Establishment Electronically
The company can be established via the Meras platform and includes:
- Reserving the trade name
- Issuing the commercial register
- Authenticating the articles of association
- Opening the establishment file
- Obtaining basic licenses
Suitable activities: Cafes and beverages, fast food, food and beverage services.
B. Registration with Government Entities
After obtaining the commercial register, you must register with:
- Zakat, Tax and Customs Authority ZATCA
- General Organization for Social Insurance GOSI
- Qiwa platform
- The Chamber of Commerce
- The e-invoicing system
C. Choosing the Location and Lease Contract
Choosing the right location is one of the most critical success factors for the project.
Best cafe neighborhoods in Riyadh: Al Narjis, Al Malqa, Al Yasmin, Al Qairawan, Al Ghadeer, Ar Rayyan, Al Waha.
Best cafe areas in Jeddah: Tahlia, Al Rawdah, As Salamah, Al Shati, Corniche, Major Malls.
The lease contract is documented via the Ejar platform.
D. Licenses and Permits
These include: Municipal license, activity license, Civil Defense approval, Food safety certificate, Establishment registration in the Salamti system via the Balady platform.
💰 Cost of Government and Official Procedures 2026
The cost of government procedures and licenses during the first year ranges between 25,000 – 45,000 Saudi Riyals.
Important Note: Some government fees may vary from time to time according to updates in systems and regulations. It is advisable to check the updated fees directly through government platforms (Meras, Balady, Civil Defense) before starting procedures.
Tip: Most procedures can be done by yourself online to reduce the costs of service agents.
Second: Cost of Constructing and Equipping the Cafe or Fast Food Restaurant
| Project Type | Area | Approximate Cost |
|---|---|---|
| Small Cafe | 30 – 60 m² | 200,000 – 400,000 SAR |
| Medium Cafe | 70 – 120 m² | 450,000 – 650,000 SAR |
| Medium Fast Food Restaurant | 100 – 150 m² | 600,000 – 900,000 SAR |
| Integrated Cafe + Fast Food | 150 m²+ | 900,000 – 1,300,000 SAR |
Third: Professional Operation and Setup Steps with the Role of “Deyafa Business”
1. Designing the Brand Identity – by Deyafa Business
Deyafa Business provides a comprehensive service including: Logo design and complete visual identity, brand color selection, professional menu design, packaging design (cups, bags, boxes), and uniform design for staff. This helps the project compete and gain strong traction from day one.
2. Interior Design and Space Equipping – by Deyafa Business
Successful design depends not only on aesthetics, but also on customer comfort, optimal space utilization, ease of operation and speed of service, and allocating corners for photography and social media. Deyafa Business offers interior design and operational planning for cafes and restaurants.
3. Selecting Equipment and Fixtures – by Deyafa Business
Essential equipment includes: Bar and coffee equipment (espresso machines, grinders), Kitchen and fast food equipment (fryers, grills, ovens), Refrigerators and freezers, and POS systems. Deyafa Business helps in selecting suitable equipment according to project size and budget to reduce costs and improve operational efficiency.
4. Suppliers and Raw Materials – by Deyafa Business
Choosing the right suppliers helps maintain quality consistency, reduce costs, increase profit margins, reduce waste, and stabilize operations. Deyafa Business provides assistance in selecting the best approved suppliers for raw materials, equipment, and packaging.
5. Menu Design and Development – by Deyafa Business
The menu is one of the most important profitability elements. The service includes: Menu engineering (identifying few, high-profit items), Product pricing, Recipe development suitable for Saudi tastes, and Waste reduction. Deyafa Business prepares a professional menu that increases profit margins and reduces operational complexity.
6. Hiring, Staffing, and Training – by Deyafa Business
Deyafa Business offers integrated services in this area: Assistance in selecting suitable staff (baristas, cashiers, customer service, chefs) and specialized training including barista training, cashier training, customer service, and kitchen team training on speed of preparation and cleanliness, in addition to raising team efficiency through clear operational procedures.
7. Trial Operation and Opening – by Deyafa Business
The trial operation phase helps test service speed and product quality, discover operational errors, and practically train the team. Deyafa Business professionally manages the Soft Opening and official project opening to ensure a strong and trouble-free launch.
Fourth: Marketing and Commercial Operation
This includes: Social media management and advertising campaigns, Professional product photography, Opening marketing to attract the first 1,000 customers, and Managing delivery applications (Jahez, HungerStation, Mrsool, The Chefz). Deyafa Business helps build a strong marketing plan to increase sales and visibility.
Fifth: Success Tips for the Cafe or Fast Food Restaurant
- Choose the right location: A strong location can double sales.
- Build a professional brand: A strong identity helps in expansion and visibility.
- Focus on quality and speed of service: Especially in fast food and cafe projects.
- Utilize delivery apps: They can account for more than 50% of sales.
- Monitor costs and profitability: It is preferable to maintain a gross profit margin between 55% – 68%.
Common Mistakes Leading to Project Failure
- Choosing a weak location
- Expensive decor without study
- Overly large and complex menu
- Weak operational management
- Poor pricing
- Not monitoring costs
- Complete reliance on labor without a clear operating system
Frequently Asked Questions (FAQ)
It starts from approximately 200,000 SAR and can reach over 1,300,000 SAR.
It ranges between 25,000 – 45,000 SAR in the first year, noting that some government fees may vary from time to time, and it is advisable to verify directly through government platforms.
Yes, some fees such as commercial register fees, municipal licenses, or Civil Defense fees may undergo periodic updates. Therefore, it is always preferable to check official platforms (Meras, Balady, Civil Defense platform) to obtain the latest figures.
Yes, it is one of the most profitable and fastest-growing projects, with success depending on operational quality, location selection, and proper management.
Often between 8 to 18 months depending on location strength, rent size, and operational quality.
Hybrid projects (cafe + light fast food) are currently considered among the most successful models due to the higher average check and diverse customer base.
Small cafe: 3 – 6 employees, Medium cafe: 6 – 12 employees, Medium fast food restaurants: 10 – 18 employees.
Yes, Deyafa Business offers integrated services including: Project study, Brand identity design, Interior design, Selection of equipment and suppliers, Menu design, Hiring and training, Trial operation, Official opening, and Operational and franchise development.
Yes, they have become an essential component, with some projects achieving more than 50% of their sales through apps like Jahez, HungerStation, Mrsool, and The Chefz.
📌 Conclusion
The success of a cafe or fast food restaurant project in Saudi Arabia depends not only on capital, but on proper study, location selection, building a strong brand, and professional management. Collaborating with Deyafa Business helps reduce errors and increase the project’s chances of success from the start through to expansion and franchising, by providing comprehensive coverage of design services, visual identity, equipment selection, hiring, and training.
Final reminder: Since some government fees are subject to change, it is advisable to contact the relevant authorities or visit their electronic platforms to obtain the most up-to-date fee schedule before proceeding with establishment.
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