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Business License Services in Dubai UAE

A Trade License in Dubai, UAE is a legal document issued by the government that gives permission for business entities to conduct specific commercial activities within Emirates. The UAE business license services as a legal authorization to make sure that business operates in compliance to local rules and regulations. It is possible to conduct many activities with a trade license in Dubai. Some of the popular activities are importing, exporting and initiating commercial activities.

What are the different types of business licenses in Dubai?

There are several different types of trade licenses in Dubai which can be selected during the application process. They are:

1. UAE Commercial License

Commercial licenses are issued to those businesses who trade in goods and commodities like import and export companies. Some of the companies relate to car rental or real-estate.

4. Tourism License

A Trade License in Dubai for the tourism sector is essential for firms who are into hotel, tourist trips, cruise boats and any travel and tourism activities.

2. Industrial License

Industrial License are for companies that are involved into production, processing or transformation of goods in Dubai. Free-zones with their own industrial zones have their own authorities for this kind of license.

5. Agriculture License

This license is applicable for those who like to cultivate plants, harvest crops, build greenhouses or run agricultural consultancy .

3. Professional License

Business License in UAE for professionals are targeted at people who are specific professions including artisanal services, craftsmanship, consultancy, IT and technical services, medical services, security, printing and publishing and many more.

4. Freelance License

The community of freelancers is growing into Dubai and its government has created a freelance license to meet the needs of this sector.

Benefits of acquiring a trade license in Dubai

Gaining a trade license in Dubai comes with many benefits that contribute to emirates as a global business hub. These advantages make the process of obtaining a trade license necessary for businesses looking to establish and operate business in the dynamic city. Here are some of them,

Legal authorization: A trade license in Dubai provides legal authorization to conduct business activities in Dubai. It ensures that business operates within the framework of law and complies with all the related regulations.
Access to international market: As Dubai is located in strategic land, it is a gateway for various international markets that connects businesses to Europe, Asia, Africa and the Middle East. A trade license in Dubai allows companies to enter into global connection and increase Dubai’s position as a central business hub.
Several business opportunities: Dubai has a diverse economy that offers business opportunities amongst various sectors that includes trade, finance, real-estate, tourism and technology. A trade license opens the door to explore and capitalize diverse business opportunities.
Free-zone incentives: Business that operates into Dubai’s free-zone enjoys specific advantages like 100% foreign ownership, tax exemptions and simplified import/export process. It enhances the appeal of acquiring a business license in Dubai.
Control on business ownership: According to chosen jurisdiction, businesses may have full or majority of ownership to provide entrepreneurs control on their ventures. In this case, free-zones offer opportunities for full-foreign ownership.

World-class infrastructure: Dubai encourages world-class infrastructure with modern transportation networks, state-of-art telecommunication and advanced technological facilities. Companies can acquire this infrastructure for efficient operations.
Access to skilled workforce: Dubai consists of a diverse and skilled international workforce. Acquiring a trade license allows business to gain access to this talent pool that contributes to growth and success of operations.
Financial stability: Dubai has a stable economy that makes it a choice destination for business. Holding a trade license aligns to businesses with Dubai’s stable economic environment.
International recognition: A trade license in Dubai enhances business credibility and provides international recognition. It is beneficial while dealing with global partners, investors and customers.
Networking opportunities: Dubai's ecosystem opens up networking opportunities, facilitating collaboration with other business, industry professionals and potential partners.

Procedure of gaining trade license in Dubai

Obtaining a business license in Dubai involves a structured process to make sure businesses comply with legal requirements and operate within the regulatory framework of emirates. Although, the process slightly differs according to business setup in mainland or free-zone. We have entailed a general step-by-step process to acquire a trade license in Dubai.

1. Mainland Business:

Initial approval: The initial approval was gained from the Department of Economic Development- DED in Dubai. The process involves submission of nec
Legal structure and ownership: Note the legal structure of business- Sole proprietorship, partnership or LLC. Also determine the ownership structure, considering whether its a local sponsor or partner required.
Selecting business name: Choosing a unique and appropriate business name complies with Dubai’s naming conventions and is quickly available for registration.
Determine business activity: Identify the specific business activity you wish to undertake in Dubai. Different activities need different licenses
Initial approval: The initial approval was gained from the Department of Economic Development- DED in Dubai. The process involves submission of nec
Drafting an MOA: Preparing a memorandum of association that outlines details of business structures, activities and ownership. It is usually required for LLC formation.
Choosing business location: Secure a physical business address for operations. It involves leasing office space or having a physical location ready for business.
Notarize documents: It is mandatory to notarize all the required legal documents that includes memorandum of association at notary public in Dubai.
Submission of documents to DED: Submit all the required documents that include application form, MOA, lease agreements to DED for final approval.
Pay fees and get license: Pay the required fees for a trade license and get the associated approvals. On approvals to DED will issue a trade license that allows it to legally operate business in Dubai.

2. Free-zone businesses

Select the zone: Choose the free-zone that best suits business requirements. Each of these free-zones have specific regulations and benefits.
Choose business activity and name: Determine business activities and select a name that adheres to naming standards of Dubai chosen free-zone.
Submit application: Submit trade license application along with required document to relevant free-zone authority.
Approval and lease of agreements: Wait for the approval from the free-zone authority. Once the approval is done, you may need to sign lease agreements for office space within the free-zone.
Payment of fees: Pay the required fees for the trade license with additional services or facilities asked by the free-zone.
Collect license: At the completion of the process and payments, the free-zone authorities will issue trade licenses. Collect those licenses and now your business is fully established for the chosen free-zone.

Cost of getting a trade license in Dubai

The whole process involves different costs and it’s vital to know it before getting a business license in Dubai.
The cost of a trade license in Dubai also depends on the business activities and approvals it gets.
Plus, factors such as number of shareholders/partners, location of establishment, corporate structure and type of business activity defines the cost of UAE business license.
It also depends upon the jurisdiction chosen by the business.

Renewal of trade license in Dubai

The validity of a trading license in Dubai stays for a specific time period.

The business is responsible to renew the license to continue its operations in Dubai.

The renewation of trade license also depends upon the business and location.

For example, a transport company should take approval from Dubai’s road and transport authority for license renewal.

It is necessary to gather documents for renewal and submit them to DED for approval.

In addition, businesses should check the tenancy contract and make sure it is no less than three months from date of application.

Acquire your business license in Dubai today!

Get in touch with the VCS for business setup in Dubai. We facilitate the process and ensure compliance with local regulations. We customize our cost as per business activities such as health, finance and legal services and make note if they require additional approvals from specific regulatory authorities.

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Frequently Asked Questions on Business Setup in Dubai, UAE

What are the main types of trade licenses available in Dubai?

In Dubai, businesses can obtain Commercial Trade Licenses for trading activities, Industrial Trade Licenses for manufacturing, and Professional Trade Licenses for providing professional services. Each type is tailored to specific business activities and industries.

Can foreign nationals have full ownership of a business in Dubai?

Yes, certain free zones in Dubai allow foreign nationals to have 100% ownership of their businesses. However, in the mainland, a local partner or sponsor may be required for certain business activities, subject to specific regulations.

What is the difference between operating in the mainland and a free zone?

Operating in the mainland allows businesses to engage with the local market and government entities directly. Free zones, on the other hand, provide specific advantages such as tax exemptions, 100% foreign ownership, and simplified import/export procedures but may have restrictions on conducting business within the local market.

How long does it take to obtain a trade license in Dubai?

The timeline for obtaining a trade license in Dubai can vary based on factors such as the type of license, business activities, and the efficiency of document processing. Generally, the process takes a few weeks, with free zones often offering quicker approvals compared to the mainland.

Can I change my business activities after obtaining a trade license?

Yes, it is possible to modify or add business activities after obtaining a trade license. However, this process may involve additional approvals and documentation, and it is recommended to consult with relevant authorities or a business consultant to ensure compliance with regulations.