Promissory Note Saudi: Najiz 2026 Guide

By Cherie — Business Consultant, Noble Core · Updated June 2026

What a promissory note in Saudi Arabia actually is

A promissory note (in Arabic, sanad li-amr, سند لأمر) is one of the strongest debt instruments recognised under Saudi law. It is an unconditional written promise by one party (the drawer or debtor) to pay a specific amount of money to another party (the beneficiary or creditor) either on demand or on a fixed future date. Under the Saudi Commercial Papers system, a properly completed promissory note is treated as a “writ of execution” (سند تنفيذي), meaning the beneficiary does not need to file a full lawsuit to prove the debt.

This is why the promissory note Saudi instrument is so widely used in business setup, commercial leasing, supplier credit, shareholder loans and vehicle finance. It gives creditors a fast, low-cost route to recover money, and it gives debtors a clear, documented obligation. Because the note is now digitised through the Najiz platform operated under the Ministry of Justice, both parties can create and verify it without visiting a notary in person.

Historically, a promissory note in the Kingdom was a paper document that had to be hand-signed and, in disputes, proven in court like any other contract. The shift to the electronic “Sanad” service changed that completely. By binding the note to each party’s verified national identity at the moment of creation, the digital system removes most of the arguments a debtor could once raise about authenticity or signature. The result is an instrument that behaves less like an ordinary IOU and more like a court-ready order. For anyone extending credit in Saudi Arabia in 2026, understanding how this works is now a core part of protecting cash flow.

It helps to know the three roles that appear on almost every note. The drawer (or maker) is the person who promises to pay. The beneficiary (or payee) is the person entitled to receive the money. In some commercial arrangements a note can also be transferred, so a later holder may hold the right to collect. In the standard Najiz flow used by most businesses, you deal mainly with the drawer and the beneficiary, both authenticating through their own government accounts.

Who needs a promissory note in Saudi Arabia

Promissory notes appear in almost every commercial relationship in the Kingdom. If you are forming a company or extending credit, you will likely encounter one. Common users include:

• Business owners and investors securing shareholder loans or capital injections into a new Saudi entity.
• Landlords and commercial tenants guaranteeing lease payments for office, retail or warehouse space.
• Suppliers and distributors offering trade credit and wanting a fast enforcement route if invoices go unpaid.
• Banks and finance companies documenting instalment and vehicle-finance obligations.
• Contractors and service providers securing staged project payments.

Foreign investors setting up under a MISA (Ministry of Investment) licence frequently use promissory notes to formalise funding between a parent company and its new Saudi subsidiary. If you are still at the licensing stage, our guide to company formation in Saudi Arabia explains how these financing documents fit alongside your commercial registration.

The timing matters too. Under the new Commercial Register Law effective 3 April 2026, Saudi Arabia moved to a unified national commercial register: CR identifiers now begin with the digit “7”, the register no longer carries an expiry date (replaced by an annual confirmation), and English trade names are permitted, with a five-year grace period for transition. Because a company promissory note is tied to the entity’s CR number and its listed signatories, it is worth making sure your registration details are current before you issue notes on the company’s behalf. A clean, up-to-date register makes the identity checks inside Najiz smoother.

The legal weight of a Najiz promissory note

The key advantage of the Saudi promissory note is enforceability. When a note is authenticated electronically through Najiz, it becomes a directly enforceable instrument before the Execution Courts. That means:

• The beneficiary can submit the note straight to enforcement without a separate trial to establish the debt.
• The Execution Court can issue orders such as travel-related holds, asset disclosure and bank-account attachment against the debtor’s assets to satisfy the amount owed.
• The process is handled through the same Najiz portal, keeping everything documented and traceable.

Because of this power, accuracy matters. An error in the amount, the national ID number, or the payment date can weaken or delay enforcement, so it is worth completing the note carefully or with professional help.

Step-by-step: how to issue a promissory note on Najiz

The Ministry of Justice offers the electronic promissory note (“Sanad”) service through the Najiz portal at najiz.sa. The flow below reflects the standard digital issuance journey. Screen labels are translated from Arabic and may vary slightly as the portal updates.

1. Log in to Najiz. Go to najiz.sa and sign in using your Absher (National Single Sign-On) credentials — the same username and password you use for government e-services.
2. Open the “Promissory Notes” (السندات لأمر) service. From the main dashboard, select the electronic commercial papers or “Sanad” section, then choose “Issue a new promissory note”.
3. Enter your role. Confirm whether you are the debtor (issuer) or the beneficiary (creditor). Individuals, and authorised representatives of companies, can both use the service.
4. Add the counterparty details. Enter the other party’s National ID or Iqama number, or the commercial register number for a company. The system pulls the verified name automatically.
5. Enter the debt details. Specify the amount in Saudi Riyals (numerically and in words), the currency, the issue date and the due date (on demand or a fixed date).
6. Review the auto-generated note. Najiz produces a standard-format promissory note. Check every field, especially the amount and ID numbers.
7. Authenticate and sign electronically. Both parties confirm through their own Najiz/Absher accounts. Once the debtor approves, the note is authenticated and given a unique reference number.
8. Download and save. Store the PDF and the reference number. This is your enforceable record.

Because both parties authenticate through their verified national accounts, the note is considered signed and attested without a physical notary visit — one of the biggest time savings of the digital system.

How to verify or query an existing promissory note

If you receive a promissory note and want to confirm it is genuine, or you want to check the status of a note you have issued, use the Najiz portal’s inquiry service:

1. Log in to najiz.sa with your Absher credentials.
2. Open the promissory notes section and select “My promissory notes” or the inquiry option.
3. Enter the note’s reference number to view its amount, parties, status (active, paid, or under enforcement) and dates.

Verifying before you rely on a note protects you from acting on an incomplete or unauthenticated document. If a note has not been properly authenticated, its enforcement route may be slower.

Verification is especially important in three situations. First, when you accept a note as security for goods or services you are about to deliver — confirm it is authenticated before you ship. Second, when a note is presented as proof of an existing debt during a negotiation, so you can see whether it is still active or already marked paid. Third, when you are the debtor and want to confirm a note has been correctly closed after you settle, so no stale obligation lingers on the system. A two-minute check on Najiz can prevent a costly misunderstanding.

Required documents and information

The digital promissory note service is designed to be light on paperwork because it verifies identity automatically. You will generally need:

• A valid Absher account for national single sign-on.
• Your National ID (for Saudi citizens) or Iqama / residency number (for residents), verified via Muqeem where relevant.
• The counterparty’s National ID, Iqama, or company Commercial Register (CR) number.
• For companies: the CR issued through the Saudi Business Center and evidence of signing authority.
• The exact debt amount in SAR, the issue date and the due date.

Foreign-owned companies acting through an authorised representative should ensure the signatory is correctly listed. Our MISA licence guide for Saudi Arabia explains how signing authority is recorded during setup, which directly affects who can validly issue a note on the company’s behalf.

Fees and timelines table

Issuing a standard electronic promissory note through Najiz is generally free of government service fees; costs mostly arise later if you move to enforcement or seek legal support. The figures below are indicative and should be confirmed on the official portal, as government schedules can change.

Item	Indicative fee (SAR)	Typical timeline
Issue e-promissory note on Najiz	Free (no standard govt fee)	~5–15 minutes online
Verify / inquire on a note	Free	Instant
Filing an enforcement request (Execution Court)	Free to file; costs mainly legal/representation	~5–15 business days to first order
Legal drafting / review support (private)	~500–3,000 (indicative, varies)	1–3 days
Company CR issuance (context, via Saudi Business Center)	~1,200–2,000 (indicative)	Same day–3 days
Chamber of Commerce membership (annual, context)	~2,000–3,000 (indicative)	1–3 days

Always confirm current figures on the official portal before budgeting. Enforcement filing itself is typically free, but professional representation, translation or expert support carries private-sector costs.

Enforcing an unpaid promissory note

If a note is not paid on its due date, the beneficiary can begin enforcement through the Execution (Tanfeeth) system, which is accessed via Najiz. The general steps are:

1. Log in to najiz.sa and open the Execution services.
2. Submit a new enforcement request, attaching the authenticated promissory note reference.
3. The Execution Court reviews the note and, because it is a recognised enforceable instrument, can issue orders directing the debtor to pay.
4. If payment is still not made, the court can apply measures such as asset disclosure and account attachment to recover the amount.

This streamlined route is precisely why creditors value the promissory note: it converts a private promise into an instrument the courts can act on quickly. The Ministry of Justice designed the digital pathway to reduce the time between default and recovery.

It is worth being realistic about outcomes. Enforcement can move quickly to a first order, but actual recovery still depends on whether the debtor has assets to satisfy the amount. A note does not create money that is not there; it gives you a fast, recognised legal position to claim what you are owed. For that reason, experienced businesses treat the promissory note as one layer of protection alongside sensible credit checks, clear contracts and, where relevant, additional guarantees. Used together, these measures make it far more likely that a debt is honoured on time — which is always better than enforcing after the fact.

Promissory note vs cheque: which to use

Businesses in Saudi Arabia often weigh a promissory note against a cheque, since both are commercial papers with fast enforcement routes. They serve slightly different purposes:

• Timing. A cheque is meant for payment that is due now, while a promissory note is ideal for a future or instalment obligation with a defined due date.
• Flexibility. A promissory note can clearly express a single lump sum on a set date, which suits shareholder loans, staged project payments and lease guarantees.
• Documentation. The Najiz e-note binds the obligation to verified national identities at creation, giving a clean, traceable record from day one.

Many companies use both: cheques for immediate settlement and promissory notes for scheduled future amounts. The right choice depends on your commercial arrangement, and confirming the details on the official portal ensures whichever instrument you pick is completed correctly.

Common errors that delay or invalidate notes

Small mistakes cause most of the problems we see with Saudi promissory notes. Watch for:

Mismatched identity data

An incorrect National ID, Iqama or CR number means the system cannot bind the note to the right party, which can stall authentication and later enforcement.

Amount discrepancies

The numeric amount and the amount written in words must match exactly. A conflict can create disputes about the true sum owed.

Missing authentication

A note that is drafted but never properly authenticated by both parties on Najiz may not carry full enforceable weight. Always complete the electronic signing step.

Wrong signing authority

For companies, a note signed by someone not listed as an authorised signatory in the commercial register can be challenged. Confirm authority before issuing.

Common mistakes to avoid

Beyond the four issues above, keep this quick checklist in mind when you issue or accept a note:

• Relying on a screenshot instead of the official authenticated PDF and reference number from Najiz.
• Leaving the due date blank when you actually intend a fixed payment date.
• Not verifying a received note’s status on the portal before treating it as valid.
• Assuming a paper-only note has the same speed of enforcement as an electronically authenticated one.
• Using an unauthorised company representative to issue or accept the note.
• Forgetting to keep the reference number, which you need for verification and enforcement.
• Budgeting for high government “issuance fees” that generally do not apply to standard e-notes — confirm current figures on the official portal.

How Noble Core helps with promissory notes and setup

Getting a promissory note right is usually a small but critical part of a larger business goal — forming a company, funding a subsidiary, or securing supplier and lease arrangements. Noble Core supports investors across the full journey. Through Noble Core’s PRO and government-liaison service, our team can coordinate the government-relations and documentation steps around your Najiz filings, help confirm signing authority, and make sure your commercial register and MISA details line up so any note you issue is watertight.

We regularly work with the Ministry of Investment (MISA), the Ministry of Commerce, ZATCA, MHRSD, GOSI and the Saudi Business Center on behalf of clients, so the financing paperwork sits correctly inside a compliant structure. Noble Core setup packages start from SAR 36,999, and we can guide you from licensing through to day-to-day compliance. If you are setting up now, pairing your company formation with correctly authenticated promissory notes protects your cash flow from day one — and gives you the fastest possible route to recover money if a counterparty defaults.

Frequently Asked Questions

What is a promissory note in Saudi Arabia?

A promissory note in Saudi Arabia (sanad li-amr) is an unconditional written promise to pay a fixed sum on demand or on a set date. When authenticated through the Najiz portal, it becomes a directly enforceable instrument, letting the creditor pursue enforcement without a full trial to prove the debt.

How do I issue a promissory note on Najiz?

Log in to najiz.sa with your Absher credentials, open the electronic promissory notes (sanad) service, and choose issue a new note. Enter the counterparty’s ID or CR number, the amount in SAR, and the due date. Both parties then authenticate electronically, and Najiz issues a unique reference number in minutes.

Is issuing a promissory note in Saudi free?

Issuing a standard electronic promissory note through Najiz is generally free of government service fees, and verification is also free. Costs typically arise later, mainly if you move to enforcement or hire private legal support. These figures are indicative, so always confirm current charges on the official Najiz portal before you budget.

How is an unpaid promissory note enforced in Saudi Arabia?

If a note goes unpaid, the beneficiary submits an enforcement request through the Execution (Tanfeeth) system on Najiz, attaching the authenticated note reference. Because the promissory note Saudi instrument is a recognised enforceable document, the Execution Court can order payment and apply measures like asset disclosure and account attachment, usually within days.

What documents do I need for a Najiz promissory note?

You need a valid Absher account, your National ID or Iqama number, and the counterparty’s ID or company Commercial Register number. Companies also need their CR from the Saudi Business Center and proof of signing authority. You must specify the exact SAR amount, the issue date, and the due date to complete the note.

Can a foreign investor use a promissory note in Saudi Arabia?

Yes. Foreign investors operating under a MISA licence commonly use promissory notes to formalise shareholder loans or funding between a parent company and its Saudi subsidiary. The authorised company representative must be correctly listed as a signatory in the commercial register so the note is valid and can be enforced without dispute later.

How do I verify a promissory note in Saudi Arabia?

Log in to najiz.sa with Absher, open the promissory notes section, and select the inquiry or my promissory notes option. Enter the note’s reference number to view the amount, parties, dates, and status, such as active, paid, or under enforcement. Verifying before you rely on a note protects you from acting on unauthenticated documents.

How long does a promissory note take to enforce on Najiz?

An authenticated promissory note can typically reach a first enforcement order within roughly 5 to 15 business days after filing through the Execution system on Najiz. The exact timeline depends on the debtor’s response and court workload. Because the note is already an enforceable instrument, there is no separate trial needed to establish that the debt exists.