Logistics & Freight Accounting in Saudi Arabia

Our Saudi logistics accounting services are built for companies at the heart of the Kingdom's supply chain:

• Freight Forwarders & Customs Brokers: Companies managing international shipments via King Abdulaziz Port or other major entry points, who must handle customs duties, VAT, and multi-currency transactions.
• Third-Party Logistics (3PL) & Warehousing Providers: Businesses offering storage and fulfillment services, especially for the booming e-commerce sector, who require robust inventory and billing systems.
• Trucking & Haulage Companies: Operators with fleets of vehicles transporting goods across the Kingdom, needing to track per-vehicle profitability, fuel costs, and driver wages.
• Project Logistics Providers: Companies providing specialized transport solutions for Saudi Arabia's giga-projects, requiring complex project accounting and cost management.

From your first shipment, specialized logistics accounting is necessary. It becomes indispensable when:

• You Import/Export Goods: This requires correct management of customs declarations, duties, and VAT on imports, all handled through the Fasah platform.
• You Hire Drivers: This triggers mandatory GOSI registration and use of the Mudad platform for WPS-compliant payroll.
• You Invest in a Fleet: Whether you own or lease vehicles, you need to manage complex depreciation schedules and financing arrangements.
• You Need to Understand True Profitability: To bid competitively on contracts, you must be able to accurately calculate all associated costs (freight, customs, fuel, insurance, driver salaries) for each shipment.
• You Face a ZATCA Audit: ZATCA closely scrutinizes VAT on transport services and requires ZATCA-compliant e-invoicing for all transactions. Accurate records are your only defense against penalties.

Outsourcing logistics accounting provides access to a specialized skillset crucial for managing costs and compliance in this low-margin, high-stakes industry.

• Small Operators (low volume): SAR 6,000 - SAR 12,000 per month. This generally includes ZATCA-compliant bookkeeping, VAT returns, and basic fleet profitability tracking.
• Medium-Sized Forwarders/3PLs: SAR 12,000 - SAR 25,000 per month. This level adds more detailed reporting, cost analysis, and management of more complex customs and multi-currency transactions.
• Large Logistics Firms: Custom pricing starting at SAR 25,000+, often including virtual CFO services for strategic advice on fleet acquisition and financing.

The logistics industry in Saudi Arabia operates under strict customs and tax regulations, with significant risks for non-compliance:

• Incorrect Customs Declarations: Misclassifying goods or undervaluing shipments can lead to hefty fines, delays, and seizure of goods by Saudi Customs.
• ZATCA E-invoicing Violations: Failure to issue compliant e-invoices for all services is a direct violation of the law and results in penalties.
• VAT Errors on Transportation Services: The VAT treatment of domestic vs. international transport is different. Applying the wrong rate can lead to significant liabilities and FTA penalties.
• GOSI & Mudad Non-Compliance: Failure to correctly register employees for social insurance or pay them through the mandatory wage protection system can lead to fines and labor disputes.

Logistics finance in KSA is not generic business accounting. It requires a deep understanding of customs law, ZATCA's e-invoicing system, and the financial drivers of the transport industry. Finding an in-house accountant with this specific expertise is both difficult and expensive.

Outsourcing to YourLegal's logistics finance partners provides an immediate, expert solution. We implement systems to track the profitability of every vehicle and shipment, ensure you are fully compliant with ZATCA and Saudi Customs, and manage your payroll and GOSI obligations correctly. We provide the financial clarity needed to bid on contracts confidently and make smart decisions about growing your fleet, allowing you to focus on your core mission: moving goods safely, on time, and profitably across the Kingdom.