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Ajman Trade License

Ajman Trade License in the UAE: Everything you need to know

Ajman is one of the dynamically growing economic and business centers in the United Arab Emirates and businesses that are emerging here now and then must acquire Ajman Trade License to kick start their journey. 

As Ajman is near to Dubai and Abu Dhabi, it offers various opportunities and benefits for businesses like low corporate tax rate, Ajman free zone for freelancers and convenience in company formation in mainland.

If you want to apply for a business license in Ajman, you will require following certain steps outlined by the local authorities and you must know Ajman trade license cost before applying for it.

Here is everything you need to know about its fee and other relevant information:

The Advantages of Obtaining a Trade License in Ajman

Setting up a business in Ajman is relatively less costly as compared to Dubai and Abu Dhabi and that is why it is ideal for businesses to visit Ajman for once to explore the investment opportunities. Also, getting an Ajman trade licenses is necessary for every business to start their venture. It comes with the following advantages:

  • Ajman has its own Free Zone and it is regulated by Ajman Free Zone Authority. It lets businesses and proprietors to operate freely in various industries and manufacturing services through Ajman trade license.
  • Due to nearness to Dubai and Abu Dhabi, Ajman has become a prime location for entrepreneurs, investors, and businessmen who are interested in the real estate sector.
  • The government of Ajman facilitates investors and funding seekers with easier loan processes and grants them to acquire property.
  • Through various business-friendly initiatives the Ajman Government aims to reduce the cost of business related to commercial or property.

Understanding the Different Types of Ajman Trade Licenses

There is variety of Ajman trade licenses that one must acquire to accommodate diverse activities of business and commercial nature. Let’s go through some of the business licenses in Ajman:

Commercial or Trading License

This is the fundamental Commercial license for businesses that is necessary for all businesses providing any sort of services or products to the consumers. Through this license on can carry out commercial activities related to common use commodities and products within the UAE like:

  • Import
  • Export
  • Distribution
  • Re-exportation
  • Recycling
  • Retail

Industrial or Manufacturing License

Through Industrial license, the businesses can carry out activities like manufacturing of goods, industrial processing of raw materials, and even assemble heavy duty items. Businesses in Ajman are able to do the following operation through industrial trade license:  

  • The import of raw materials
  • The production of eligible products or commodities
  • The export of products or commodities
  • The assembly of machinery or any other heavy duty items

Freelance License

The Ajman government encourages freelancers and that is why there is a growing number of freelancer licenses issuance for supporting freelance businesses, and services in the UAE.

E-commerce License

Ecommerce is expanding all over the world and UAE does not lack behind when it comes to Ecommerce expansion. That is why Ajman Government issues Ecommerce licenses to businesses to operate online and entrepreneurs are benefitted to it immensely. Through this license, online businesses can perfrom following activities:

  • Online retail and fashion trading
  • Provide online services related to media and entertainment
  • Sell industrial electronic equipment
  • Ecommerce related to automotive and auto spare parts
  • Online shopping facility for personal, home, or office use items and utilities

Step-by-Step Guide to Obtaining a Trade License in Ajman

There is a certain process that you must follow for obtaining your trade license in Ajman. Here is the step-by-step process for obtaining your Ajman business license:

Market Research:

An extensive market research is important to evaluate the business environment in Ajman, your target audience, your competitors, and industry trends.

Business Activity and Legal Structure:

Determine what will be the business activities of your organization and legal structure to choose the appropriate business license.

Company Name Reservation:

Select a unique and memorable company name and reserve it with the Department of Economic Development in Ajman.

Document Preparation:

You will need to prepare the documents necessary to kick start the process and these includes:

  • Passport copies
  • Proof of business address
  • A detailed business plan
  • Application form of license
  • Free payment receipts

Application Submission:

You can submit your trade license application through online portal or you can submit it in person to the Ajman Department of Economic Development.

Review and Approval Process:

The application undergoes a review process by the authorities, including document authentication, background checks, and compliance evaluation.

Business License Acquisition:

Upon approval, obtain the business license specifying permitted activities, validity duration, and any additional conditions.

Renewal and Compliance:

Renew the license annually and ensure compliance with all regulatory requirements and laws of Ajman.

Ajman Free Zone vs. Mainland: Choosing the Right License for Your Business

Setting up a business in Ajman demands you to learn the difference between the Free Zone and Mainland so that you can apply for the Trade License accordingly.

There are various reasons to understand Free Zone or Mainland:

  • Help in selecting the right business entity type
  • Help in aligning your business requirements with these zones
  • Help in evaluating your intended business ownership structure

Free Zone and Mainland both have their own limitations as well as advantages that businesses have to respect. Let’s get the overview of them:

Free zone in Ajman refer to the area of economic activities that can be used for trading goods and services by investors and receive with special tax benefits and customs rates.  An Ajman company in Mainland needs to be registered for a business license from the Ajman DED (Department of Economic Development) 
By investing in Free Zone and getting the Free Zone trade license in Ajman, you can enjoy the following benefits:

  • 100% foreign business ownership
  •  0% rate for corporate and VAT
  • 100% ROI for profits and capital funds
  • Fast processing of trade license
Companies and businesses in Mainland Ajman are also called onshore companies and they can: 

  • Easily access to local markets
  • Get reach to international markets like markets in GCC region and Middle East
  • RHQ setup in Ajman business district
  • Tax emptions 


Costs and Fees Associated with Ajman Trade Licenses

In this section, we will discuss the it’s fees for companies operating in Ajman Free Zone, Mainland, or working as a LLC company in Ajman. Go through the following information to know what will be the license cost.

Cost of Ajman Trade License For Free Zone Company:

  • The cost of license for Ajman Media Free Zone is approximately AED 25,000.
  • Ajman free zone trade license cost is also around AED 25,000.
  • Ultimate cost may vary based on factors like visas, rental space, and business type.
  • Both free zones offer benefits like 100% ownership, tax exemptions, and strategic location near airports and seaports.

 Cost of Ajman General Trading License:

  • Ajman business license cost is AED 35,150 for general trading.
  • Includes initial approval, trade name, and license issuance fees.
  • Relatively less expensive than in other Emirates.
  • Procedure for obtaining the license is simplified.
  • Allows companies to conduct business within the emirate and import/export products.

Ajman LLC License Cost:

  • Cost varies based on business scale, shareholders, and activity.
  • Average cost for an LLC license in Ajman for the first year is around AED 14,000.
  • Includes DED license fees, UAE service agent, consultant, documentation, and ongoing support.
  • Ajman LLC costs are generally lower than other Emirates.
  • Ajman offers advantages that reduce the overall cost of establishing a business.

Renewing Your Ajman Trade License: Key Considerations and Timelines

Renewing your Ajman trade license is necessary when it comes to make your business operations seamless and smooth. Here are some key considerations you have to account when it comes to renewing your Ajman trade license: 

Prepare all the required document

 Before renewing the Ajman trade license, you must gather the necessary documents like:

  • Proof of business insurance
  • A detailed financial bank statement
  • Copy of passport and business expired business license along with residency permit
  • Other relevant documents

Submission of renewal application

You have to submit the license renewal application to the AFZA Ajman Free Zone Authority

Ajman trade license renewal fees

it’s renewal fees is AED 5,000 to AED 20,000, depending on the business type, license type you are applying to and the scale of business operations.

The license renewal timeline

On an average, the process for renewal of business license in Ajman may take a week or several depending on the following circumstances:

  • Type of business in Ajman
  • Company’s legal structure
  • The complete documentation
  • Accuracy of the information in application
  • History of law compliance, taxation, and participation in economic activities

Compliance and Regulations: Ensuring Legal Compliance with Your Ajman Trade License

All businesses must comply with all the legal regulations in Ajman Mainland and Free Zone, i.e., AFZA to operate smoothly and seamlessly in Ajman UAE. It will help them in bypassing financial penalties, and also they can maintain their business’s good reputation. Here are some points to keep in mind:

  • Registration of your business
  • Acquiring trade license in Ajman
  • Learn the Ajman’s employment laws
  • Learn about the intellectual property rights
  • Stay compliant to the taxes
  • Maintain business record-keeping and ensure accounting and auditing
  • International law compliance
  • Legal consultation and professional business support

Ajman Trade License Inquiry: Get Answers to Your Licensing Questions

You can go the official online portal of Ajman DED to get the answers to all your queries related to license, cost, legalities involve in it, and other aspects. 

Ajman Trade License Fine Check: Avoid Penalties with Quick Verification

As an emerging business in Ajman, you have to conduct trade license fine check to ensure your financial planning and avoid delays in renewals. Economic Development Authority in Ajman implements hi-tech solutions like online and SMS renewal systems for trade licenses. Also keep in mind that you have to pay fines as per the Ajman’s Economic Development (DED) website. Here are the penalties for Non-Renewal of Ajman trade license:

  • Operating a business without a license incurs a penalty of AED 5000.
  • Failure to renew a license within the specified time results in a fine of AED 250.
  • Adding an additional office without permission leads to a fine of AED 2000

Activities List: Explore Permitted Business Ventures

Ajman is offering a lot of opportunities for business to perform a set of activities and the permitted Ajman trade license activities list is as follow:

  • Trading 
  • Industrial manufacturing
  • Business and legal consultancy services
  • Ecommerce
  • Food processing and packaging
  • Logistic services
  • IT and software services
  • Media, marketing and advertising

Ajman Trade License Verification: Ensure Legitimacy with Hassle-Free Checks

Yu have to use Department of Economic Development’s E-services for conveniently and efficiently checking of your trade license and verify it. The portal can be accessed through the website of DED for Ajman trade license verification and obtain all the details relevant to it.

How Connect Zone can help you get Ajman Trade License?

Connect Zone is the business consultancy firm in the UAE helping a lot of clients with their trade license in Ajman. Whether you want to know the Ajman trade license cost or you want to renew it, we are here for all the hassles so that you can focus on your business core activities.

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