# ERP in Saudi Arabia: what it must support and what it costs

> An ERP for a company in Saudi Arabia must unify finance, inventory, sales, purchasing and branches, issue the 15% VAT tax invoice and integrate with Fatoora, and prepare payroll data for Mudad. At Al-Arjan an ERP starts from $3,000 (about SAR 11,250) for finance, inventory and sales modules, over 3 to 6 months.

Source: https://www.al-arjan.com/en/blog/erp-system-saudi-arabia · العربية: https://www.al-arjan.com/ar/blog/erp-system-saudi-arabia.md

Author: Al-Arjan — Published 2026-11-11

## When does a Saudi company need an ERP?

When you have more than one branch or warehouse, when stock in the system differs from the shelf, when the manager waits for month-end to know the profit, or when an invoice is entered once in the POS and again in accounting. These are signs that separate systems now cost more than one unified system. The signs in detail: [from Excel to ERP](https://www.al-arjan.com/en/blog/excel-to-erp).

## What must an ERP support in Saudi Arabia specifically?

On top of the usual modules, a system in the Kingdom needs: the 15% VAT tax invoice and its returns, Phase 2 integration with Fatoora ([e-invoicing guide](https://www.al-arjan.com/en/blog/zatca-e-invoicing-phase-2-saudi)), riyal currency, payroll data for Mudad ([payroll guide](https://www.al-arjan.com/en/blog/saudi-payroll-mudad-wps-gosi)), and personal-data protection under the PDPL ([data protection guide](https://www.al-arjan.com/en/blog/saudi-pdpl-software-guide)).

### ERP modules and Saudi requirements
| Module | Related Saudi requirement |
|---|---|
| Sales and invoicing | 15% VAT and Fatoora integration |
| Purchasing | Supplier tax invoices, credit and debit notes |
| HR and payroll | Wage data for Mudad and social insurance |
| Customers and data | The Personal Data Protection Law (PDPL) |
| Finance and reports | Riyal currency and tax reports for the accountant |

## Ready-made or custom ERP?

Ready-made systems such as Odoo suit companies willing to adapt to the system, and they need subscriptions and customisation. A custom system is built around how you work, you own the source code, and you pay no per-user fees. The full comparison is in [Odoo or a custom system](https://www.al-arjan.com/en/blog/odoo-vs-custom-erp-iraq); the same logic applies in Saudi Arabia, plus the Fatoora and Mudad requirements.

## What does an ERP cost a Saudi company at Al-Arjan?

An [ERP](https://www.al-arjan.com/en/services/erp) starts from $3,000 — about SAR 11,250 at the 3.75 peg — for core finance, inventory and sales modules, over 3 to 6 months. The number of branches, data migration and government integrations set the final price, written after analysis. Other systems’ prices are on [Al-Arjan in Saudi Arabia](https://www.al-arjan.com/en/saudi-arabia) and the [pricing page](https://www.al-arjan.com/en/pricing).

## Frequently asked questions

### How long does an ERP take in a Saudi company?

Usually 3 to 6 months for core modules, longer with more branches, data migration and integrations.

### Can an ERP integrate with Fatoora?

Yes. Integration is written into the project scope: directly or through an integration provider.

### Do I own the source code of a custom ERP?

Yes. On custom projects code ownership passes to you after payment, per the contract.

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