- Five routes work for foreign companies: cross-border marketplace programmes, your own store shipping DDP, an importer of record, a distributor, or your own Gulf entity.
- Non-residents get no VAT threshold. Hold stock in Saudi Arabia and you register within 30 days of the first sale. The UAE and Oman also register foreign sellers from the first taxable sale. So does Bahrain once you hold stock there, but DDP parcels need no registration.
- Domestic mada needs a Saudi company. Without one, charge co-badged cards as Visa or Mastercard, or let a marketplace collect for you.
- A UAE free zone licence starts from AED 6,000 including a visa. A 100% foreign Saudi trading company needs SAR 30 million in capital.
- Never run your business on a local person's licence. In Saudi Arabia that's concealment, with up to 5 years in prison and SAR 5 million in fines.
You don't need a Gulf company to sell in the Gulf.
Foreign brands sell to Saudi and UAE shoppers every day without a local entity. They use marketplace programmes built for overseas sellers, ship parcels from abroad, or rent a local importer to clear their stock.
What you do need depends on the route. VAT, payments and licences change as you move from testing to scaling.
Here are the five routes, what each needs in all six GCC countries, and a simple way to pick yours.
What are your options as a foreign company?
You have five ways in. Most brands start with the first or second, then move down the list as sales grow:
- Cross-border marketplace programmes. Amazon Global Selling covers Amazon.sa and Amazon.ae. Noon has international seller accounts and noon Global Shipping for Chinese companies. The marketplace collects payment and pays you abroad.
- Your own store, shipping DDP. You run a Shopify (or similar) store abroad and ship each order by courier. DDP (Delivered Duty Paid) means you prepay duty and VAT, so the shopper pays nothing at the door.
- Importer of record (IOR). A licensed local company clears your bulk stock in its name. Your goods then sit in FBA, FBN or a 3PL warehouse for fast delivery, while you stay the seller.
- Distributor. A Gulf company buys your stock and resells it under its own licence. You're a supplier, so you give up margin and control of the customer.
- Your own entity. A UAE free zone company, a Saudi company registered with MISA, or a local company elsewhere. It's the most work, and the only route to domestic mada and cash on delivery in your own name.
Want a deeper look at route 3? Read our guide to importer of record services.
Which route works in which GCC country?
All five routes are open in every GCC state. What changes is the cost and paperwork of each.
| Route | Saudi Arabia | UAE | Qatar and Kuwait | Bahrain and Oman |
|---|---|---|---|---|
| Cross-border marketplace | Amazon.sa, noon (ZATCA VAT certificate needed) | Amazon.ae, noon | Amazon.ae Global Export, noon delivery | Amazon.ae Global Export, noon delivery |
| Own store, DDP parcels | Duty-free under SAR 1,000; 15% VAT on every parcel | 5% VAT; parcel rules vary | No VAT | Bahrain: no registration, no duty or VAT under BHD 100; Oman: 5% VAT |
| IOR plus local stock | Register for VAT within 30 days of first sale | Register for VAT from first taxable sale | IOR clears stock; no VAT | Register from first sale; Oman via a tax representative |
| Distributor | ||||
| Own entity | MISA registration; SAR 30M capital for 100% foreign trading | Free zone from AED 6,000 incl. visa | Qatar: up to 100% foreign in most sectors. Kuwait: partner or KDIPA licence | Bahrain CR via Sijilat; Oman e-commerce licence |
| Domestic local cards without a local entity |
The bottom row is the one that surprises people. Without a local company, you charge Gulf cards on international rails, or let a marketplace collect for you.
For the smaller four markets, our guide to ecommerce rules in Qatar, Kuwait, Bahrain and Oman has the licence and VAT details.
What does each route need?
Four things decide whether a route is ready: VAT, payments, licences and who imports the goods.
VAT registration
Foreign sellers get no VAT threshold in the Gulf. The local thresholds only apply to resident businesses.
Here's how it plays out:
- Saudi Arabia (15%). Hold stock in the Kingdom, for example in FBA or a 3PL, and you register with ZATCA within 30 days of your first sale. The late fine is SAR 10,000.
- UAE (5%). The AED 375,000 threshold doesn't apply to foreign businesses. You register from your first taxable sale.
- Bahrain (10%) and Oman (5%). Foreign sellers with local stock register from the first sale. Oman also requires a local tax representative. DDP parcels into Bahrain are imports, so they need no registration.
- Qatar and Kuwait. Neither has VAT in 2026.
Shipping parcels from abroad usually works differently. Import VAT is paid at the border on each order, so the sale itself rarely triggers registration. The full Saudi process is in our guide to Saudi VAT for non-resident sellers.
Payments
Saudi shoppers love mada, the national debit network. Domestic mada only works for stores based in the Kingdom, with a Saudi company, bank account and gateway.
That's less of a barrier than it sounds. Most mada cards are co-badged with Visa or Mastercard, so a foreign store can charge them on the international rails. Marketplaces collect mada for you and pay out abroad.
The six workable routes, with costs, are in our guide to whether a foreign company can accept mada.
Licences and entity
You need no Gulf licence to sell cross-border through a marketplace, or to ship parcels from your home company. A licence comes into play once you trade from inside a country.
- UAE. Most foreign sellers use a free zone licence with an ecommerce activity. It's 100% foreign-owned and accepted by Amazon and noon. Budget about AED 10,250–25,000 for year one with one visa. Home-based permits like Dubai's eTrader need UAE residence, and goods trading on them is mainly for UAE and GCC nationals. See our UAE ecommerce licence guide.
- Saudi Arabia. A foreign owner registers with MISA, then gets a commercial registration (CR). Selling goods is trading, so 100% foreign ownership needs SAR 30 million in capital. Our MISA investment registration guide covers the steps.
One rule applies with no licence at all. Saudi Arabia's E-Commerce Law covers sellers abroad who sell to Saudi shoppers, so your store needs its disclosures and a returns policy from day one. Our Saudi e-commerce law guide lists them.
Importer of record
Someone local has to be named on the customs declaration for bulk stock. That's your entity, your distributor, a marketplace programme, or an IOR service.
IOR providers such as Carra Globe charge USD 300–800 per standard shipment, plus duty and VAT at cost. In Saudi Arabia, SABER certificates are held by a Saudi importer, so your IOR holds them for regulated products.

Don't borrow a local licence
The tempting shortcut is a friend's licence. A local person lends you their CR, freelance document or bank account, and you trade through it.
In Saudi Arabia, that's tasattur (commercial concealment). The penalties reach 5 years in prison and SAR 5 million in fines, plus deportation for the non-Saudi.
Worked example: a UK skincare brand's path into the Gulf
Here's how a small UK skincare brand might grow, one step at a time.
- Months 1–3Test cross-border
It lists on Amazon.sa and Amazon.ae through Global Selling and ships a few hero products. Amazon collects mada and Apple Pay payments, then pays the brand in the UK.
- Months 4–9Stock Saudi Arabia
Sales prove demand, so it hires an IOR to clear a pallet into FBA Riyadh. It registers with ZATCA before the stock lands. Skincare is regulated by the SFDA, so it picks an SFDA-approved IOR to handle the cosmetics notifications.
- Year 2Open a UAE base
It sets up a free zone company to run GCC operations and stock the UAE. A Saudi company stays a later decision, once Saudi sales can carry the capital rule or a distributor deal makes more sense.
How to pick your route
- 1
Choose your first country
Saudi Arabia for size, the UAE for the easiest setup. Many brands launch both through one marketplace account.
- 2
Check your products
Cosmetics, food, electronics and toys usually need certificates, which push you toward an IOR or distributor.
- 3
Pick a channel
Start on a marketplace or with DDP parcels from your own store. You can test demand in weeks.
- 4
Sort VAT before stock lands
If stock will sit in a Gulf warehouse, register for VAT first. Price every listing VAT-inclusive.
- 5
Set up payments
Use the marketplace payout, or a gateway that handles co-badged mada, Apple Pay and BNPL.
- 6
Scale with local stock
Add an IOR and FBA, FBN or a 3PL. Consider your own entity once sales justify it.
Notes for Chinese sellers
- noon Global Shipping needs only a Chinese business registration. You drop orders at noon's Shenzhen hub, and noon handles customs and delivery across the GCC. See our noon Global Shipping guide.
- Amazon Global Selling China onboards Chinese companies for Amazon.sa and Amazon.ae. FBA stock still needs an IOR and a VAT number.
- Document legalisation is easier now. The Apostille Convention has applied between China and Saudi Arabia since 7 November 2023, so company papers need one apostille, not embassy chains.
Notes for UAE-based companies
- A UAE company is still a foreign company in Saudi Arabia. Saudi stock means Saudi VAT registration and an IOR.
- noon Global store lets a UAE VAT-registered seller list in Saudi Arabia with no Saudi CR or Saudi VAT number. Noon converts the price and adds Saudi VAT.
- Free zone or mainland? Our free zone vs mainland guide explains which suits online selling.
Start with the route that gets your products in front of Gulf shoppers fastest. For every other rule, the GCC regulations hub is your map.
Frequently asked questions
Yes. Foreign companies register through Amazon Global Selling with their home-country documents. If you use FBA, you also need an importer of record to bring the stock in, because Amazon won't play that role, and a VAT number in the country where the stock sits.
Sources & further reading
- Investor Guide (13th edition, March 2026) — Ministry of Investment (MISA)
- Anti-Concealment Law — Ministry of Commerce, Saudi Arabia
- Implementing Regulations of the VAT Law (consolidated, English) — Zakat, Tax and Customs Authority (ZATCA)
- E-stores customers (customs rules for online purchases) — Zakat, Tax and Customs Authority (ZATCA)
- Use mada bank cards for buying products through the internet — SAMA Rulebook
- Expand to the Middle East — Amazon Global Selling
- Importer of record cost — Carra Globe
- UAE to KSA onboarding guide for noon sellers — noon
This guide is for general information only and is not legal, tax or financial advice. Rules and fees change — always confirm with the official source or a licensed advisor.

Maya is MiddleEastEcom's lead guide and editor. She researches GCC marketplaces, payments and regulations and turns them into practical playbooks for sellers.
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