Find out which are the cheapest trade licenses in the UAE

cheapest trade licenses in the UAE

The UAE is a great place to start a new business. The government is always looking for ways to make it easier for entrepreneurs to start and grow their companies. However, the cost to form a business will depend on the economic jurisdiction where you decide to establish your activities. For this reason, we will show you the cheapest trade licenses in the UAE to reduce the costs of your company setup.

In this article, we will mention what a trade license is, the cheapest free zones in the UAE, the application process for one of the cheapest trade licenses, and how we can help you with this process.

  1. What is a trade license?
  2. Which are the cheapest Free Zones in the UAE?
  3. Which are the most cost-effective Free Zones in the UAE?
  4. Cheapest trade license in Dubai
  5. Cheapest trade license in Sharjah
  6. The cheapest trade licenses in the rest of the UAE
  7. How can we help you get a trade license in the UAE?

1. What is a trade license?

Trade licenses in the UAE are official documents that allows entrepreneurs to form different kinds of companies. The government entity in charge of issuing these licenses is the Department of Economic Development on the Mainland of the respective Emirate.

If you decide to set up your company in a Free Zone, then the corresponding authorities will be in charge of issuing this license. This document applies to different productive activities ranging from the production of natural resources to their export and marketing.

The license is divided into several categories, each one aimed at a different productive activity. Some of the categories are the following:

1.1 Industry license

This category is for those companies interested in carrying out manufacturing activities in the country. For example, bread manufacturing and food industries, paper manufacturing, and textile companies.

Note that in order to get this type of license you must get a physical office space.

1.1  Professional license

The professional license is aimed at those individuals interested in offering professional services based on the experience or knowledge acquired. This document offers entrepreneurs different incentives. For example, 100% ownership and the possibility of making lucrative contracts with the government.

Some of the activities that you can carry out with this license are the following:

1.2 Commercial license

This license is for those companies dedicated to the purchase and sale of products inside and outside the country. Some of the activities that you can carry out with this license are the following:

  • Import and export of products
  • Rental activities
  • Brokerage activities

1.3 Tourism license

The tourism license is addressed to those companies that operate in the travel and tourism sector. This document was born as an initiative of the UAE government to promote and regulate the tourism sector in the country. Some businesses, for example, travel agencies, tour operators, and businesses in the hospitality industry need this license to operate legally in the country.

All the mentioned licenses are available in most of the United Arab Emirates. However, what will be different depending on the economic jurisdiction you choose will be its cost. These licenses usually have a lower cost in the Free Zones, for this reason, we will show you some of the free zones where you can find the cheapest trade licenses in the UAE.

2. Which are the cheapest Free Zones in the UAE?

When deciding for a free zone in the UAE to establish your company, there are certain factors that you must take into account in the shortlisting process. For example, the location of the free zone, the office space requirements, and the business activities, among others.

The free trade zones offer the cheapest licenses as an incentive to get investors to establish their companies there. If you are a new entrepreneur, you must have several reasons why you would want to keep your business formation costs low. Some of the free zones that offer the cheapest trade licenses in the UAE are located in Ajman, Dubai, and Sharjah.

The cheapest free zone in Dubai is the Free Zone Authority (IFZA). It offers entrepreneurs low-cost trade licenses and world-class infrastructure. Similarly, in the emirate of Sharjah, there is Sharjah Media City (SHAMS) and Sharjah Publishing City (SPC) that offer low cost media licenses to entrepreneurs. In the year 2021, Shams Free Zone offered the most affordable licenses, however, as of 2022, it is SPC Free Zone that offers the cheapest trade licenses in the UAE.

These free zones offer low-cost business licenses for a host of activities such as media, e-commerce, consulting, etc. Also, these zones offer the cheapest general trading license for selling multiple items.

3. Which are the most cost-effective Free Zones in the UAE?

In the United Arab Emirates, some cost-effective free zones offer attractive company formation packages and the cheapest trade licenses in the UAE for entrepreneurs.

The free zones of Ajman, Ras Al Khaimah, and Uhm Al Quwain are cost-effective when it comes to the total cost of setting up a business. This includes office rent expenses, trade license costs, and visa and administrative expenses.

Some aspects, for example, reduced maintenance expenses and office management, low office rent, and reduced power bills, among others, make these free zones a cost-effective decision for entrepreneurs. Alternatively, the entrepreneur can choose between Dubai Silicon Oasis and IFZA, since they are among the cheapest  zones in Dubai.

Free zones located in the northern emirates such as Fujairah, Sharjah, and Ras Al Khaimah offer the cheapest startup company packages. At the same time, the cost of licenses is relatively lower than in the free zones in Dubai. The cheapest license in Sharjah for a media business starts from AED 5,750 for a zero visa quota.

Generally, the free zones in the northern emirates offer a wide variety of activities and a business infrastructure for startups with ease and minimal documentation. Choosing one of these zones allows you to apply for one of the cheapest trade licenses in the UAE.

4. Cheapest trade license in Dubai

Dubai is one of the most popular emirates in the country and offers a wide variety of business setup packages for international entrepreneurs. The free zones in this region offer one of the cheapest trade licenses starting at AED 11,900 for a zero visa quota.

The free zones that provide these low packages, in turn, present an extensive business infrastructure for entrepreneurs. These areas are the ideal option for those startups that want to start their journey in Dubai with a low initial setup cost.

Following, are some of the cheapest free zones in Dubai that will provide the necessary business infrastructure for the entrepreneurs.

4.1 Dubai Meydan Free Zone

Meydan Free Zone offers one of the cheapest office spaces in Dubai. It also offers a No objection certificate to open an office space anywhere in this Emirate. This zone is highly beneficial for entrepreneurs as it offers a range of business activities and license types at a cost-effective rate.

In addition to this, the location between Meydan Racecourse and Meydan Hotel makes it the ideal hub for international entrepreneurs and business leaders to socialize and work with like-minded investors. The multiple characteristics of this area allow entrepreneurs to form a company at a relatively low cost and apply for one of the cheapest trade licenses in the UAE.

4.2 International Free Zone Authority (IFZA)

The international Free Zone Authority is one of the cheapest free zones in Dubai. Also, it is one of the most cost-effective free zones in the UAE. This zone offers trade licenses starting from AED 11,900.

IFZA is recognized for its flexi desk and flexible rental solutions to keep operational costs at a minimum, its modern office solutions that match international standards, and its warehouse facilities that are built on the highest international logistics standards.

Some of the benefits offered by establishing a company in IFZA are the following:

  • 100% foreign ownership
  • Fast and easy incorporation of companies
  • 100% exemption from income and corporate tax
  • A wide range of business activities. For example, trading, business consultancy, etc.

4.3 Dubai CommerCity

Dubai CommerCity is one of the new free zones offering world-class amenities to entrepreneurs. Due to its proximity to Dubai International Airport, this zone is a hub for international trading companies and businesses where logistics is an integral part of the activities of the company.

This free zone offers license packages valid for several years (2, 3, and 5 years). It also offers more than two thousand activities for investors to choose from for their companies. This zone offers the right support for business to flourish, which allows the application for one of the cheapest trade licenses in the UAE.

5. Cheapest trade license in Sharjah

The free zones in Sharjah offer a wide variety of trade license packages for entrepreneurs. The cheapest trade license in Sharjah starts from AED 6,500 for a zero visa quota. The free zones in this emirate offer the best-in-class infrastructure to entrepreneurs at a low cost compared to the established free zones in Dubai.

5.1  Sharjah Publishing City

This free zone is one of the most dynamic in Sharjah, offering a low-cost visa for investors and office packages. Also, the coworking facilities and office desk facilities are ideal for entrepreneurs to start their businesses seamlessly.

This free zone encourages foreign investors by providing the best platform to make networking activities and business meetups. Also, it is one of the areas where you will find one of the cheapest trade licenses in the UAE.

5.2 Sharjah Media City

Sharjah Media City is one of the fastest-growing free zones in Sharjah. The main attractions of this area are the low-cost company licenses and low-cost visas. This zone offers various types of licenses and is the ideal place for consultancies, media, freelance, stratus, etc.

6. The cheapest trade licenses in the rest of the UAE

6.1 Ras Al Khaimah Economic Free Zone (RAKEZ)

RAKEZ is a free zone that offers affordable business setup, first-class services, and modern facilities. It has high-tech facilities for industrial development and growth with state-of-the-art infrastructure.

This zone offers entrepreneurs a fast and easy business setup, consisting of a business park, academic zone, and industrial parks. More than fourteen thousand companies from more than one hundred different countries operate in this area.

A commercial license in RAKEZ allows entrepreneurs to manage five activities from the same category and costs AED 14,800 annually. Which makes it one of the cheapest trade licenses in the UAE.

6.2 Umm Al Quwain Free Trade Zone (UAQ FTZ)

This free zone is the ideal area for business groups, startups, and SMEs for setting up offices. Its proximity to Dubai and international ports make UAQ FTZ a point of interest for investors.

The Umm Al Quwain Free Trade Zone has operated as an independent zone since 2014. Due to its low-cost business setup, this zone is expected to see rapid adoption in the future.

A commercial license in this free zone costs AED 20,500 annually with a two package visa, making it one of the cheapest trade licenses you can find in the country.

7. How can we help you get a trade license in the UAE?

Connect Zone is the ideal business setup agency to accompany you in the process of obtaining all the requirements you need to start operating in the UAE. With more than twenty years of experience and more than a thousand satisfied clients, we have all the necessary knowledge to successfully carry out the procedures you need to complete.

We can help you with your visa application process, as well as the application, renewal, and payment of your trade licenses. Additionally, we help you choose an office space in one of the best business centers in the country.

Would you like to learn more about these business setup processes in the UAE? You can contact us at the following number +971 43 316 688 or also by sending an email to contact@connectzone.ae where one of our representatives will respond to all your concerns.

If you are interested in obtaining a job in our agency or in any field of expertise, you can send your CV to contact@thetalentpoint.com. In addition, you can visit thetalentpoint.com for more opportunities like this one.

Trade License renewal in Sharjah

Trade License renewal in Sharjah

The emirate of Sharjah is known as the cultural and industrial center of the country. For new entrepreneurs, Sharjah represents a world of job opportunities due to its innovations in the media and creative industries. However, in order to begin your commercial activities legally, it is necessary to obtain a license and know how to renew it to avoid legal trouble. This is why we will explain the Trade License renewal in Sharjah process.

In this article, you will find information about the types of licenses you can find in Sharjah, how you can acquire one, how the renewal process for a Trade License is, and also how we can help you with these procedures.

  1. Aspects of the Trade License in Sharjah
  2. What types of Trade Licenses can you find in Sharjah?
  3. How to get a Trade License in Sharjah?
  4. How is the renewal process for this license?
  5. What happens when you do not renew your Trade License?
  6. Advantages of obtaining a Trade License in Sharjah
  7. How can we help you renew your Trade License in Sharjah?

1. Aspects of the Trade License in Sharjah

A Trade License is one of the essential documents to officially run a company in Sharjah. Every company must have a valid license to carry out its activities. This license is valid for one year.

The government of the United Arab Emirates has taken the time to promote foreign investment and diversify the economy based on the media and industrial sector. However, to meet the standards of excellence, it is necessary to implement certain regulations, such as the adoption of Trade Licenses.

Sharjah Trade Licenses help the government to keep track of the operations carried out by companies and to protect the rights of consumers. The entity in charge of the issuance and the Trade License renewal in Sharjah is the Sharjah Economic Development Department (SEDD).

The Trade License renewal process can be tedious if you are not familiar with it. For this reason, you should hire a business setup consultant, such as Connect Zone, to guide you through your application.

Note that a deferral in filing a Trade License renewal in Sharjah could lead to sanctions for your company. Also, they could ban your Trade License, freezing all business activities.

2. What types of Trade Licenses can you find in Sharjah?

The main licenses in Sharjah are the following:

2.1 Commercial License

This type of license is dedicated to those companies whose main activity is related to the purchase and sale of goods and services inside and outside the UAE. This applies to Limited Liability Companies (LLC) and Sole Establishments. And it can be used for both general trading and specialized trading.

Some of the activities the Commercial License covers are the following:

  • Import and export
  • Auto trading
  • Rental services
  • General store
  • Restaurant management
  • Radius
  • Tv stations
  • Cinema theater equipment installation
  • Real estate

2.2 Professional License

The Professional License is dedicated to all entrepreneurs who take interest in offering some type of professional service to their clients. The main objective of this license is to establish that the company or individual is qualified to offer these services in the UAE.

Note that when applying for this license you must demonstrate your skills. Also, an important factor of this license is that it allows entrepreneurs to maintain 100% ownership of their company.

Some of the activities this license covers are the following:

2.3 Industry License

Generally, this license is for those entrepreneurs who intend to form companies related to the production and transformation of natural resources into goods.

Some of the activities license covers are the following:

  • Petroleum and metal extraction
  • Raw materials processing
  • Manufacturing of wood, furniture, and wood products
  • Manufacturing of paper products
  • Glass industries
  • Meat processing
  • Agricultural equipment and accessories manufacturing

Note that period of validity of each license may vary. For this reason, you must keep tabs on the Trade License renewal in Sharjah to avoid misunderstandings.

3. How to get a Trade License in Sharjah?

The process to obtain a Trade License in Sharjah will depend on the type of company you decide to create. Some of the companies that you can form in this Emirate are the following:

3.1 Limited Liability Company

Firstly, the applicant must contact the license section of the Sharjah Economic Development Department (SEDD) to start the process of reviewing documents, trade names, etc. Then, your application can be approved or they can return it to make some amendments.

Once your application is officially approved, you will need to make the payment and you will receive the registration certificate and the license.

The documents you need for a Limited Liability Company are the following:

  • Brand certificate
  • Partnership contract
  • Technical assessment report
  • Passport copy
  • Residence visa
  • License form
  • Emirates ID copy
  • Ministry of Economy approval
  • Certified copy of the lease contract
  • Property certificate or map image
  • No objection letter from the applicant

3.2 Partnership Company

The process to form a Partnership Company is the same as the process to form a Limited Liability Company. Documents are also the same, except that this type of company does not need a no-objection letter.

3.3 Business Partnership License

Firstly, the parties involved in the company must attend to the trade name section of the SEDD for preliminary approval. Then, the parties involved must sign the business partnership contract.

The next step is to wait for data approval or correction, as the case may be. Lastly, you will need to make the payment and receive your license.

The documents to obtain a Business Partnership License are the following:

  • Commercial name certificate
  • Business partnership contract certified
  • Technical assessment report
  • License form
  • Emirates ID
  • Passport copy
  • Certified copy of the lease contract
  • Billboard design
  • Property certificate or map image
  • Civil register abstract (family book)
  • A no-objection letter from the applicant

3.4 Foreign Company Branch

The first step to form this company is to apply for a license in the SEDD. Note that to form this company you need the approval of the board of directors, along with a legal translation.

Then, after having the approval of the board meeting, you should submit to the SEDD the documents duly certified by the UAE Embassy in the foreign country and the UAE ministry of foreign affairs.

Also, you must provide the power of attorney issued in favor of the company representative to proceed. Once all the documents have been delivered, the next step is to wait for approval for the branch registration on the license application form and check the trade name section for verification.

Once you receive your approval, you will be able to establish your Foreign Company Branch.

The documents to form a Foreign Company Branch are the following:

  • Registration certificate from the main company
  • Authenticated commercial license
  • Memorandum of Association duly translated and authenticated
  • Certified copy of the main company’s statue
  • Certified copy of the agency contract between the local agent and the foreign company
  • Legal translated approval from the board of directors.

4. How is the renewal process for this license?

The steps to follow for the Trade License renewal in Sharjah are the following:

4.1 Apply for the renewal

You can request the renewal of your license through any of the following channels of the Sharjah Economic Development Department:

  • SEDD branches
  • SEDD application
  • Service centers
  • SEDD website

The documents necessary for this renewal are the following:

  • License
  • Certified copy of contract lease
  • Approvals from the authorities according to the commercial activity carried out by the company
  • Copy of partner’s ID and passport

4.2 Review the transactions

The respective service channel where the Trade License renewal form was submitted will be in charge of the necessary audit and also will issue the payment voucher.

4.3 Pay the corresponding fees

Once you receive the voucher, you can proceed with the payment process. After making the payment, the Trade License renewal in Sharjah will be completed and you will receive your license.

5. What happens when you do not renew your Trade License?

Renewing your license is mandatory throughout the territory of the United Arab Emirates. Hence, failure to do so can bring different consequences, for example:

5.1 Financial penalties

When a Trade License expires, the Sharjah Economic Development Department can impose several penalties on the company. A business that operates in the territory of the UAE with an expired license can be financially penalized.

Also, if you do not carry out the Trade License renewal in Sharjah within the specified time, it can cost you a lot of money and can damage your relationship with the authorities of the United Arab Emirates.

5.2 Blacklist

If a company decides to continue carrying out its productive activities without doing the Trade License renewal in Sharjah, it is possible that the company could be blacklisted. Hence, this would mean the cancellation of all their activities in the country, along with the entrepreneur’s visa and sponsors.

5.3 Restrictions of the business

Companies with an expired license will not be able to expand their activities under these circumstances. All companies must maintain a clean record and make the Trade License renewal in Sharjah if they have expansion plans.

To avoid these circumstances, it is always a good idea to appoint a business consultancy firm to deal with these processes and ensure that they are carried out successfully.

6. Advantages of obtaining a Trade License in Sharjah

Sharjah is the third most popular emirate of the United Arab Emirates and it is the one with the most cultural depth. Although this emirate is considered the cultural capital of the country, it is also a modern region. This place offers a world-class infrastructure, a politically stable government, and also accessibility to diverse markets.

Most entrepreneurs tend to think of Dubai or Abu Dhabi when opening a company. Which reduces the focus on Sharjah, making it a less expensive place. Also, Sharjah’s strategic location, with access to ports, provides an excellent opportunity for foreign investors.

In addition to this, some of the advantages of forming a company in Sharjah are the following:

6.1 No restriction of currency

There is no restriction of currency in the emirate of Sharjah. Many of the other emirates have such restrictions, which can hamper investment.

6.2 Non-mandatory audit

A company established in Sharjah does not need to be audited every year. Since there is no mandatory requirement for an audit, the company’s resources and time can be used more profitably. However, a company may voluntarily conduct an audit if management thinks it will be in the company’s interest.

6.3 Easy office renting

A company in Sharjah can rent anywhere in the Mainland. A business must establish its offices in places that are beneficial for the commercialization of goods and services and access to resources, raw materials, and also various markets.

6.4 No limits on activities

In many places in the UAE, the activities that companies can carry out are limited. Besides, in some occasions, they are divided into several sections. This does not happen in Sharjah, as in this emirate entrepreneurs have the freedom to choose any activity.

6.5 Capital requirement

There is no capital requirement of any kind. Thus, this is a very cost-effective approach and attracts many investors worldwide.

6.6 Unlimited visas

As your company grows, the requirements and size of your facility will too. Being able to apply for a large number of visas will allow the company to access human resources from all over the world.

6.7 Minimal taxes

Companies established on the Mainland of Sharjah do not need to pay taxes as corporate tax or income tax. The only tax you have to pay is the Value Added Tax or VAT.

7. How can we help you renew your Trade License in Sharjah?

We are a business setup agency with more than 20 years of experience in the area. Helping more than a thousand clients with the formation of their companies and the completion of all kinds of legal procedures. We are the communication bridge between entrepreneurs and official authorities and our priority is that you meet all your objectives.

At Connect Zone, we will take care of the application process for your visa, your Emirates ID, and we can also help you choose the perfect location for your office. Besides, we are your best partners when it comes to setting up businesses in the UAE.

Would you like to contact us to find out more about these procedures? You can contact us at the following number +971 43 316 688. Also, by writing an email to contact@connectzone.ae, one of our advisors will assist you.

Today, you can find many employers looking for your talent. If you would like to apply for a job, you can register on thetalentpoint.com and get started. You can also send your resume via contact@thetalentpoint.com where it is never being stored.

A complete guide on how to secure a Trade License in Sharjah

Sharjah Trade License

Each emirate has unique advantages and limitations. However, one of the things that all of them have in common are the job opportunities they offer for local and foreign entrepreneurs. In the following lines, we will talk about the Sharjah Trade License and how to acquire one.

In this article, you will find information about what a trade license is, some aspects of the Sharjah Trade License, how the renewal process of this license is, and how we can help you with your application process.

  1. What is a Trade License?
  2. Aspects of the Sharjah Trade License
  3. What are the different types of Sharjah Trade Licenses?
  4. How to get this type of license in Sharjah?
  5. The renewal process of a Sharjah Trade License
  6. How can we help you obtain a Trade License in Sharjah?

1. What is a Trade License?

A trade license is an official document that defines what kind of activities can be carried out in the United Arab Emirates. The government entity in charge of issuing them is the Department of Economic Development of the Emirate where you decide to settle.

This type of license covers different activities, from the production and transformation of products to their export and marketing. Also, any established company, either in a Free Zone or on the Mainland, can get this license.

2. Aspects of the Sharjah Trade License

In recent years, the Sharjah government has taken decisions to boost investment and promote economic diversification, taking into account that Sharjah is known as the regional industrial hub. Both local and foreign companies are granted a unique facility at the time of establishment. However, to comply with the standards of the area, all companies must acquire a Sharjah Trade License.

The Sharjah Trade License helps the government to maintain order regarding the companies that work in the city and to protect the rights of the customers. The government entity in charge of the entire process related to the license (renewals, issuance, etc.) is the Sharjah Economic Development Department.

Note that if you are a business owner in Sharjah, acquiring a trade license is the first formal step in starting your business. You must remember that running a business without a license is not allowed. Also, the possession of a license means that you need to renew it in order to continue your business operations.

3. What are the different types of Sharjah Trade Licenses?

There are three types of Sharjah Trade Licenses:

3.1 Commercial License

A Commercial License is aimed at those businesses whose main activities are related to the commercial sector. Some of these activities are the following:

  • Trading products
  • Importing products
  • Exporting products
  • Brokerage Activities
  • Rental Activities

Note that your company is established in Sharjah and you want to market your products or services outside the United Arab Emirates, you will still need this license to be able to carry out any commercial activity outside the territorial limits of the UAE.

3.2 Professional License

The Professional License is a type of license that must be acquired by all companies whose productive activity is related to the offer of products or services based on some skill, talent, or profession of the individual.

If this license suits the nature of your company, then you can make agreements with the government to sell your products in certain areas. Similarly, you will have the opportunity to make lucrative government contracts.

Some of the activities that you can carry out by acquiring a professional license are the following:

3.3 Industrial License

This Sharjah Trade License is aimed at those companies whose productive activities are related to the manufacturing sector of the country. Also, one of the requirements to obtain an industrial license in Sharjah is the physical office space.

Some of the activities that you can carry out with this license are the following:

  • Processing raw material
  • Importing raw material
  • Packaging the final product
  • Selling the final product
  • Exporting the final product

4. How to get this type of license in Sharjah?

The process of obtaining a Sharjah Trade License license will depend on the type of business you want to run. For example:

4.1 Limited Liability Company

The process you must follow to start a Limited Liability Company is the following:

Firstly, the applicant must submit the necessary documents to the Sharjah Department of Economic Development (SEDD) and complete certain obligations. For example, trade names, inspections, and any other legal transactions. Then, a SEDD employee will be in charge of reviewing all the documentation. This can either be endorsed or they can ask you to make amendments to the application or add things to the required documents.

Once your application has been approved, you must make the corresponding payment for the auditing and permission. Lastly, your license will be issued by the SEDD along with the registration certificate.

The list of documents required to start a Limited Liability Company are the following:

  • Brand certificate
  • Trade license form
  • Official approvals, if any
  • Emirates ID and Passport copies
  • Approval from the Ministry of Economy
  • Lease contract certified
  • No objection letter from the applicant
  • Residence visa copy
  • Partnership contract duly certified
  • Approval related to legal affairs
  • Property certificate copy or a map image

4.2 Partnership Company

The process of starting a Partnership Company is the following:

Individuals interested in forming this type of company must submit the necessary documents along with the application form. The SEDD will then be responsible for conducting the review. Once your application is approved, you must pay the corresponding fees, and in a period not exceeding thirty days, you will have your license and your registration certificate.

The documents required for a partnership company are the following:

  • Trade license form
  • Passport copy
  • Civil register applicant
  • Emirates ID
  • Resident ID card of the expat
  • Lease contract certified
  • Official approval, if any
  • Approval of the Ministry of Economy
  • Official technical assessment report
  • Brand certificate
  • Certified partnership contract

4.3 Business Partnership license or Local Service Agent license

The process for obtaining a Local Service Agent License or a Business Partnership License is the following:

The interested parties must be present at the time of approval of the license in the trade name sector. Then, the license parties (or legal representatives) must sign the business partnership contract or local service agent agreement. Next, entrepreneurs must contact the license section of the SEDD after meeting all preliminary requirements. Finally, once your application is approved, you will have to pay the corresponding fees and soon you will have your registration certificate and your license.

The documents you need for this license are as follows:

  • Certificate of business name
  • Certified lease contract
  • License form
  • Passport copy
  • Photocopy of property certificate
  • Emirates ID
  • Civil register abstract (family book)
  • Billboard design
  • Official technical assessment report

4.4 Foreign Company Branch

To start a Foreign Company Branch you must follow these steps:

First, you must apply for a license in the Sharjah Department of Economic Development, then you must get the approval of the company’s BOD (Board of directors). This must include a legal translation and a statement issued by a company representative.

The next step to follow is to submit the authenticated documents from the United Arab Emirates Ministry of Foreign Affairs and the UAE Embassy in a foreign country. Note that translation is necessary.

Then, you must submit your license application with the required documents along with the power of attorney issued in the name of the company’s representative. Lastly, you will need to check the trade name section and contact the Ministry of Economy for approval to open the branch.

The documents required for a Foreign Company Branch are the following:

  • License form
  • Memorandum of Association duly translated or certified
  • Photocopy of the parent’s company statue duly translated and certified
  • Registration certificate duly certified
  • Resolution from the parent company’s board of directors
  • Certified photocopy of agency signed contract between the local agent and the foreign company

4.5 Local Company Branch

To apply for a Sharjah Trade License and open a Local Company Branch, you must follow these steps:

You must complete the application form designated by the Sharjah Department of Economic Development. Then, you should fulfill all the requirements and visit the section of the trade name for approval. Once they approve your name selection you will be able to receive your Sharjah Trade License.

If you want to open a local company branch, you must submit the following documents:

  • Memorandum of Association of the parent company duly certified
  • Certified copy of the registration certificate and the commercial license of the parent company
  • Company’s board consent
  • Parent company’s statued authenticated photocopy (only for private and public shareholder companies)

4.6 GCC Company Branch

To start a GCC Company Branch you must follow these steps:

Complete the application form designated by the Sharjah Department of Economic Development. Next, you must get the consent of the company’s board of directors and the power of authorization.

The documents you need for this process are the following:

  • Copy of the Memorandum of Association duly authenticated
  • Certified copy of the registration certificate and the commercial license of the parent company
  • Consent of the company’s board of directors
  • Parent company’s statue authenticated photocopy (only for private and public shareholder companies)

4.7 Public and private shareholding companies

To acquire a Sharjah Trade License that allows you to manage public and private shareholding companies, you must complete the following steps:

Submit the application to the Ministry of Economy and the Department of Economic Development. The application must comply with the conditions stipulated in the Commercial Registry Act. This must be done before the ministry decides to establish your company.

Then, a committee is made up of a representative from the ministry and a representative from the Department of Economic Development. This committee is in charge of deciding if a company can be established or not, this decision is sent to the head of department (HOD)

Later, the HOD must finalize the decision regarding the establishment of the company. The decision, together with the required documents, will be sent to the Ministry of Economy.

Note that if they approve the establishment of your company, the trade name of your company must be accompanied by the term “public company”. In the same way, for a private  company, the name must be followed by the term “Private Joint-Stock Company”.

These types of companies can start operating after registering in the trade registry by the relevant authority.

The documents necessary for the process of forming this type of company are the following:

  • Two certified copies of the Memorandum of Association and Articles
  • Feasibility study
  • Copy of the certified statue
  • Two certified copies of the board’s member nationality along with their place of birth

5. The renewal process of a Sharjah Trade License

The Sharjah Trade License is only valid for a specific amount of time, when the expiry time approaches, the company must apply for a renewal. Some of the documents you need to renew your license are the following:

  • License renewal form
  • Family book photocopies of UAE citizens
  • No objection letter from the competent authority
  • Attested lease agreement
  • A notary public authenticated copy of the signature verification
  • Passport copies of the UAE Nationals

Keep in mind that the Sharjah Trade License has exceeded the expiration period by three months, then you will need to contact the Inspection Division in the Department of Economic Development. It must be remembered that if the license is for a foreign company branch, your application is submitted to the Ministry of Economy.

6. How can we help you obtain a Trade License in Sharjah?

With more than 20 years of experience, we are your best option regarding formation of companies in the Mainland or in the Free Zone of your choice. Deciding to start a business in a country, whether as a local or a foreigner, is always a long and tedious process if you do not have the ideal partners to carry out your ideas.

For this reason, at Connect Zone, we help you with the entire process of your Sharjah Trade License, we will help you with the application process for visas and Emirates ID and we can even take the role of a local agent if you need it.

Would you like more information about the process of opening a company in the UAE? You can contact us at the following number +971 43 316 688. Also, feel free to email us at contact@connectzone.ae  where one of our advisors will be in charge of answering all your questions.

Finally, The Talent Point is looking for new talents to cover a variety of positions in diverse sectors. Apply now by creating an account on thetalentpoint.com. You can also send your CV through contact@thetalentpoint.com. Do not worry, your information will always be safe, we will not share it or store it.

Trade License in Dubai: How to secure your trade license?

Trade License in Dubai.

If you want to start the formation of your company in Dubai, one of the most attractive places when it comes to economic expansion opportunities for new investors, you must take into account the laws and regulations of the United Arab Emirates. In order for your company to operate legally and freely, you must first obtain a Trade License in Dubai.

In this article, you will find information about what is a Trade License, what are the types of trade licenses in Dubai, what documents do you need to apply for this type of license, what benefits can you get when applying for a Trade License and how we can help with the process of obtaining this license for your company.

  1. What is a Trade License?
  2. How many different types of trade licenses are there?
  3. Procedure to get a Trade License
  4. What are the necessary documents to obtain a Trade License?
  5. Dubai Trade License cost
  6. How is the Trade License renewal Dubai?
  7. Differences between the Offshore, Mainland, and Free Zone licenses
  8. Benefits of applying for a Trade License
  9. How can we help you get a Trade License in Dubai?

1. What is a Trade License?

A Trade License in Dubai is an official document issued by the Department of Economic Development (DED) that allows different companies to operate legally in the United Arab Emirates.

This license is valid for different activities in Dubai, such as the export and import of products and services and any commercial activity.

Companies established in a Dubai Free Zone can acquire one of these licenses, as can professionals who offer services related to the industrial area.

2. How many different types of trade licenses are there?

There are four main types of licenses, and each is intended for a different activity. These are the following:

2.1 Professional License

These licenses are for those individuals or entities that offer a professional service that depends on their physical and mental abilities to generate profit. The professional license allows entrepreneurs to maintain 100% ownership of the company.

2.2 Commercial License

The UAE Commercial License is an official document issued by the authorities of the United Arab Emirates addressed to those companies or organizations that carry out activities related to the trade of goods and services.

Some businesses, such as real estate companies, retail firms, transport companies, business enterprises, among others, must apply for this license.

It is important to realize that by obtaining this license, you can trade, export, and import products within the United Arab Emirates.

2.3 Industry License

In essence, this license is intended for those companies whose activities are based on the transformation of natural resources into the material to operate or finished products.

An industrial company has global access to its customers and requires a large number of resources and manpower to operate.

2.4 General License

This type of license is ideal for those startups that are interested in doing business with a single license. Entrepreneurs who have this license can take advantage of business opportunities in certain areas, such as frozen foods, beverages, medical supplies, among others.

3. Procedure to get a Trade License

The process to obtain your Trade License in Dubai is quite simple, all you have to do is follow these steps:

3.1 Choose a business name

The first procedure that you must carry out is the choice of the name of your company. You must make sure that this name complies with all UAE regulations, Therefore, it cannot be offensive or indecent and cannot be related to any religious deity.

At the same time, the name must be unique and cannot be registered by some other company.

3.2 Select a legal structure

To continue with the process of applying for your Trade license, you must choose the legal structure of your company. This step will define how your company operates and who is responsible for the company.

3.3 Define a business activity

Once the name of your business and the legal structure are ready, the next step is to decide the activity that your company will carry out.

Be sure to name all the activities on the license and keep in mind that each license is limited to 10 activities.

3.4 Complete the application form

The Department of Economic Development will give you a form that you must fill in with some basic information about yourself and your company.

Once completed, submit the form to DED and wait for initial approval.

3.5 Additional approvals

Some productive activities require the approval of other government entities. For this reason, you must carry out good research before completing the process of forming your company. Otherwise, there may be delays or they may even reject your license.

3.6 Get the necessary documents

Along with the form submitted to the DED, you must submit several documents to acquire your license. Gather the documents and make sure all the necessary signatures are present.

3.7 Select a business location

If you choose to establish your company in the Mainland, you will need a physical office. Once you choose the location, you must get a Tenancy Contract.

Ejari will be the entity in charge of certifying the contract and you must submit it with the rest of the documentation.

Also, if you want to know how to obtain a Trade License without office space, you can contact us.

3.8 Submit the application

When you have all the corresponding documentation and the location of your chosen office, you can submit your application to the Department of Economic Development to receive your Trade License.

3.9 Pay the fees

To apply for this type of license you need to make a payment of the issuance fee and for the license fee.

4. What are the necessary documents to obtain a Trade License?

The application process for a Trade License requires the submission of certain documents. To get started, you need to fill out the application for your trade license and make sure all managers sign it.

Also, you will need to create a Memorandum of Association (MoA) (preferably with the help of a legal representative). After this, you must make sure to put the company name approval to your application.

The DED will send the approval after accepting the name of your company. Lastly, all shareholders must submit copies of their passports.

Keep in mind that you must check the license application carefully to avoid any type of delays.

5. Dubai trade license cost     

Before starting the process of applying for your Trade License, you need to know the cost you could pay. This will help organize your budget and prevent future confusion.

The Dubai Trade License cost will depend on the type of product or service you want to offer or the approvals you need to get. Other factors that may affect its cost are the following:

  • Region of establishment
  • Type of business activity
  • Business Structures
  • Number of business partners
  • Partnerships with local sponsors

However, a Trade License in Dubai can cost anywhere from AED 15,000 to AED 50,000, generally speaking.

Also, remember that the cost of a Trade License in a Free Zone will be different from the cost of a Trade License in Mainland Dubai.

6. How is the Trade License renewal Dubai?

An important aspect of the Trade Licenses in the UAE is their validity. This type of license must be renewed every year if you want to continue operating legally in the United Arab Emirates.

Some of the steps you must follow to trade license renewal Dubai are the following:

6.1 Approvals

To start the process of renewing your license you need to receive the approvals of the relevant government entities. These approvals will depend on the activity carried out by your company.

 For example, transport companies must acquire approval from Dubai’s Road and Transport Authority. If you want to speed up the process, it is recommended that you obtain approval before proceeding with the Trade License Renewal Dubai process.

6.2 Documents

In addition to written approval from the relevant authorities, companies must provide certain documentation, for example:

  • A Tenancy Contract
  • Certified Ejari
  • Complete renewal form
  • Photo of all business partners
  • Payment number for renewal fees
  • Approval and authorization letters

All the shareholders must submit these documents to the Department of Economic Development to obtain approval.

6.3 Tenancy Contract

Before following the Dubai Trade License Renewal, you must have your Tenancy Contract up to date. It must be valid for no less than three months from the date on which you applied for your trade license renewal.

7. Differences between the Offshore, Mainland, and Free Zone licenses

The Trade License you choose will depend on where you decide to establish your company. Whether you decide to establish an offshore company or a Free Zone Company, certain factors vary from location to location.

A Mainland License is intended for those companies that carry out their operations in Dubai Mainland. It requires approval of various government entities and is issued by the Department of Economic Development.

The Free Zone Trade Licenses are issued by the corresponding government authorities of each zone.

In this zone, there are different limitations and benefits, for example, you can enjoy 100% ownership and 0% corporate tax.

If you want to start an offshore company in Dubai, you will need an offshore corporation certificate. Also, these types of companies cannot carry out commercial activities within the UAE.

8. Benefits of applying for a Trade License

Currently, there are multiple benefits in acquiring a Trade License in Dubai, for this reason, many entrepreneurs decide to set up branches or organizations in the United Arab Emirates. Some of the benefits you can enjoy are the following:

8.1 Improve credibility

It is common to see that many companies decide to try to go the easy way and skip some rules to get higher profits. However, those companies that decide to take the time to build their brand and follow the UAE regulations, earn the trust and preference of customers.

In addition, having a trade license increases your company’s exposure in the market, which increases confidence in your business and your product.

8.2 Few trade restrictions

One of the reasons why Dubai is so attractive to foreign investors is the few restrictions that exist when trading. As long as your products are registered in the license, you will not have to worry about any restrictions.

8.3 Promotes international and local trade

By having a Trade License, you have many opportunities to import and manufacture products. You can trade them in the local Dubai market or you can send them abroad and generate profits from other countries.

Also, this license allows you to re-export your own goods, which increases your company’s ability to trade services and products around the world.

8.4 Tax benefits

In the year 2021, more than 90,000 people decided to move to Dubai, this was with the motivation of being able to enjoy tax incentives. While most countries require investors to pay large amounts of money in taxes, Dubai remains an almost tax-free region.

In this way, new investors can generate additional revenue.

9. How can we help you get a Trade License in Dubai?

Obtaining a Trade License in Dubai is the starting point for any entrepreneur who wants to succeed in the United Arab Emirates. However, if you are not familiar with the company formation process and the different laws of the UAE, the process may take longer than usual. For this reason, Connect Zone is the ideal partner to help you with everything you need.

We are your trusted agency that will take care of all the paperwork for your Trade License application, we will advise you to make the right decisions and additionally, we can help you choose a place for your office in one of the best list of  business centers in Dubai.

Do you want to know more about how to acquire a business license in Dubai? You can send us an email to contact@connectzone.ae where one of our representatives will answer all your questions.

Also, if you would like to apply for a job in our agency, you can submit your CV to thetalentpoint.com or you can send an email to the following address contact@thetalentpoint.com. The Talent Point does not store data sent via email or share it with third-parties.

Securing a DED E-Commerce License: A step by step guide

DED E-Commerce License.

Because of the COVID outbreak, many businesses were forced to leave behind their traditional sales strategies and bet on the world of online sales. The United Arab Emirates became a starting point for many new entrepreneurs and a world of possibilities for those entrepreneurs looking to expand their businesses. As a boost measure for all investors, the government of the United Arab Emirates decided to create the DED E-Commerce License.

In this article, you will find information about what a DED E-Commerce License is, how to obtain one, what is the cost of an E-commerce License and how we can help you with the process of obtaining an E-Commerce License.

  1. What is a DED E-Commerce License?
  2. What are the requirements to obtain an E-Commerce Trade License in Dubai?
  3. Steps to get an Ecommerce License in the UAE
  4. How much is the cost of an Ecommerce Trade License in Dubai?
  5. Types of Ecommerce Licenses
  6. E-Commerce Licenses in the UAE’s Mainland
  7. Advantages of obtaining an E-Commerce License
  8. How can we help you obtain a DED E-Commerce License?

1. What is a DED E-Commerce License?

The DED E-Commerce License is also known as the Online Business License; this is due to the support from the government of the United Arab Emirates in offering new business alternatives.

This license allows companies to carry out transactions virtually. It is similar to traditional businesses, with the difference that all business activities are carried out through the Internet. Besides, customers can review the company’s catalogs and place orders online.

Companies can make deliveries of digital goods or deliver goods physically with the help of delivery services, if some of these activities are carried out through the internet, then it can be considered an Online Business.

2. What are the requirements to obtain an Ecommerce Trade License in Dubai?

The Department of Economic Development requires certain documents for regulatory purposes. Depending on the activities of your business, you may need to submit some extra documents.

The documents required by this department are the following:

  • Local service agreement
  • Memorandum of Association (MoA)
  • Copies of the sponsors’ Emirate IDs
  • No Objection Certificate (NOC) from the relevant authorities
  • Copies of the visas of all the shareholders
  • Copies of the passports of all the shareholders

Also, keep the following in mind:

  • The No Objection Certificate is valid for six months and is not renewable. You can request the NOC when you go through the application process for your trade name approval.
  • The Memorandum of Association is only required for companies established in the Mainland. It is a legal document that describes the name of the company, the name of the shareholders, registered office or physical address, and also the distribution of shares.
  • Companies established in the Free Zones do not need a Memorandum of Association

3. Steps to get an Ecommerce License in the UAE

To opt for an Ecommerce License in the UAE, you must follow the following steps:

3.1 Define your legal structure

The options for the Legal Structure of your company will depend on where you decide to establish it. If you decide to form your company in any of the Free Zones, then your options will be limited to the Legal Structure allowed in those Free Zones.

In Dubai Mainland, there is a wide variety of options, such as General Partnership, Public Shareholding, Limited Liability Company, Sole Proprietorship, Private Shareholding Companies, among others.

3.2 Define your business activity

During the registration process of your DED E-Commerce License, you must include the productive activity to which your company is going to dedicate itself. Once you receive the license, you can only engage in that activity.

In other words, if you decide to produce and sell certain products virtually, after registration, you will not be able to sell any other products.

3.3 Register your trade name

To continue the process, you must register the trade name of your E-Commerce company in the general diary of the UAE. After the registration of the trade name, you will have to place the chosen name in two local newspapers.

UAE Nationals will have two days to object to the name, if they do not make any complaint, then the name will be registered as yours.

3.4 Initial approval

In the Department of Economic Development, you must take and fill out a form, there you must add basic information about yourself and your business and also attach the business plan of your company.

Make sure you enter the correct information in relation to the productive activity and the legal structure since any error would mean a considerable delay in the process of acquiring your Ecommerce License in Dubai.

3.5 Search for an office space

By owning an E-Commerce Business you can choose to use virtual office spaces. If you are going to do physical activities, you can also opt for any of the business centers distributed throughout Dubai.

3.6 Submit the documents and pay the fees

The last step of this process is to submit the documents to the Department of Economic Development and pay the necessary fees to acquire your Ecommerce License in the UAE. After you have done this, your license will be issued to you and you can start your business activities.

3.7 Apply for a visa

Once you have applied for your DED E-Commerce License, you can begin the Visa application process for yourself and your employees. The number of Visas you can apply for will be limited by the location and size of your business.

3.8 Open your corporate bank account

To carry out any transaction with your clients, you need to open a corporate bank account. Then, there are many national and international banks in Dubai and the acceptance criteria and application process is different for each of them.

Once you choose the bank, it is likely that you will be asked for the following documents:

  • Memorandum of Association (MoA)
  • Company Trade License
  • Passport Copies of shareholders
  • Supplier information
  • Source of funds
  • Authorized Signatories

4. How much is an Ecommerce Trade License in Dubai?

The cost of forming a company with this license will vary due to different factors. The general cost of a DED E-Commerce License is AED 4,500. However, there are certain additional costs that you should take into account-

Some of the most common costs are the following:

  • Immigration card cost
  • DED registration fees
  • Sponsorship cost for UAE local partner
  • Investor visa cost
  • Investor’s medical and Emirates ID costs
  • Office rent
  • Fee for the stamp of the company
  • Medical insurance fee of Investor
  • Any other government fees
  • Additional partner fees, if needed
  • Additional partner visa fees, if needed

If you are a foreigner, it is normal if you do not know very well the laws, regulations, and the process of forming a company in Dubai. For this reason, it is advisable to hire a specialized agency to facilitate the formation process of your company and guarantee efficiency.

Also, the cost of forming your company with the assistance of an agency and including the DED E-Commerce License can range from AED 6,000 to AED 15,000.

5. Types of Ecommerce Licenses

In the United Arab Emirates, there are several E-commerce Licenses and in Dubai, they mainly offer three. You can obtain these licenses depending on the productive activity of your company and your nationality.

The three main nationalities are the following:

5.1 E-Trader License

If you want your company to sell products or offer services via the Internet, you can obtain an E-Trader License. This license is monitored by the Department of Economic Development and can only be obtained by UAE and GCC Nationals living in Dubai.

However, you cannot open a store or have a physical office space with this license. To learn how to start a business without office space in Dubai, you can contact us.

5.2 Portal License

This license can only be granted to non-UAE nationals. You can form your online business with a Portal License (which will connect sellers and buyers).

This type of license is perfect for a listing website, which includes services, products, and reservations. If you decide to establish your company in the Mainland region, AED 12,000 is the cost of this license.

5.3 Virtual Company License

This type of license was created by the DED and allows non-residents of the United Arab Emirates and overseas investors to carry out business activities in the region.

However, the Virtual Company License is only applicable to three sectors, designing activities, computer programming (and related activities), and services related to advertising and printing.

6. Ecommerce Licenses in the UAE’s Mainland

6.1 Ecommerce License Abu Dhabi (Tajer)

The Abu Dhabi Department of Economic Development (ADDED) issues this license. Also, it allows new and old entrepreneurs to include online trade activities in their existing licenses. Besides, you can get a new license to run the business through social networks and websites.

This license includes UAE residents and GCC Nationals under the following conditions:

  • One-person company for GCC nationals and Emiratis
  • Establishments for GCC nationals and Emiratis
  • Limited Liability Company for residents in partnerships with Emiratis

6.2 Virtual Merchant License from Ras Al Khaimah

The authorities created this license to promote businesses managed through social networks, smartphone applications and also websites. However, this license is only available to UAE citizens living in Ras Al Khaimah.

Some activities that you can carry out with this license are the following:

  • Real estate and commercial brokerage
  • Retail business
  • Technology and computers

6.3 Etimad Ecommerce License Sharjah

The Sharjah Department of Economic Development (SEDD) offers this type of license for  E-Commerce businesses in Sharjah that are carried out through social networks and from home. This license is available to anyone over the age of 18 and a resident of the Emirate of Sharjah.

6.4 Dubai Commer City (DCC)

This area dedicates to promote E-Commerce Business in the Middle East and North Africa (MENA). 

Also, this license offers the following benefits:

  • Pre and post-setup support
  • Smart and centralized customer relationship
  • Access to on-site ecosystem service
  • Business support, for example, talent acquisition, networking events, and marketing management.

Some incentives also include the following:

7. Advantages of obtaining an Ecommerce License

Obtaining the Ecommerce License Dubai has helped many companies sustain themselves during the pandemic. Although there are some benefits of conducting transactions virtually such as a wider reach, decreased cost, and a customer base, there are also advantages directly related to this license granted by the government of the United Arab Emirates.

Besides, some of the advantages are the following:

  • You can maintain 100% ownership of your business, in other words, by having an E-Commerce License in Dubai you will not need a local sponsor to share ownership of your business.
  • You can register your company with the Dubai Chamber of Commerce, which will make it easier for you to import and export products.
  • Basically, by having an E-commerce License, you can easily open an account in the bank of your choice.
  • You can promote your services and products through different social platforms and ads.
  • Lastly, you can register your company’s trade name with the help of an E-Commerce License.

8. How can we help you obtain a DED E-Commerce License?

If you are an entrepreneur who wants to start a new chapter in your life by forming an E-Commerce company in the United Arab Emirates and you do not know what steps to follow, do not hesitate to contact us. We are your trusted agency that will accompany you in every decision you make to ensure that your company prospers and works under the laws of the UAE.

Here, at Connect Zone, we will take care of the entire application process for an E-Commerce License in the UAE, from collecting documents to opening an account at the bank of your choice. Also, if you need it, we will be your local agent in Dubai to help you find the ideal space for your office.

Are you interested in learning more about the DED E-Commerce License? You can write to the following email contact@connectzone.ae where one of our advisors will help you gladly.

Also, if you want to know more about us you can send us your CV to thetalentpoint.com or you can write to us at the following email contact@thetalentpoint.com. You do not have to worry, your information is in a safe place with us, we will not share it or store it in our database.

How to get a trade license in Dubai without an office space?

Trade License in Dubai

In recent years, Dubai has become the destination for excellence for new freelancers, entrepreneurs, or already consolidated businessmen who seek to expand their businesses in an area full of possibilities for economic growth. To carry out the formation of a company in Dubai successfully, it is necessary to obtain a Trade License Dubai, which will allow you to carry out all types of transactions legally and safely.

In this article, you will learn about what a Trade License Dubai is, how to get a Trade License in Dubai, what you need to know to get a Trade License without an office space, and how we can help you with the process of obtaining your license.

  1. What is a Trade License?
  2. Types of Trade License Dubai
  3. How to get a new Business License in Dubai?
  4. Benefits of applying for a new Trade License
  5. How to get a Business License Dubai without a physical office?
  6. What you should know about getting a Trade License Dubai without a physical office?
  7. How can we assist you through the process of obtaining a Trade License Dubai?

1. What is a trade license?

A business license in Dubai is a document that indicates what activities a company can carry out in the UAE. General Trading Licenses apply to various activities and are issued by the Department of Economic Development. Keep in mind that among the activities that can be carried out with this type of license are the performance of commercial activities and the import and export of goods.

2. Types of Trade License Dubai

Currently, there are mainly three types of business licenses in Dubai (Commercial, Professional, and Industrial), however, you can find more depending on the economic jurisdiction in the areas of Dubai. Some of the trade licenses Dubai that you can find are the following:

2.1 Commercial Trade License:

Commercial Trade Licenses are delivered to those companies whose activities are directly related to trade, purchase, and sale of goods and services, export and import of products, brokerage activities, and car rental.

Important to realize: If your business is located in Dubai and you want to trade outside the UAE, you will still need a commercial trade license.

2.2 Professional License:

The Professional license allows individuals or companies to pursue their chosen profession, based on their education. Some of the activities covered by this type of license are the following:

  • Carpentry
  • Printing and Publishing
  • Security Services
  • Document Clearing
  • Repair Services
  • Beauty Salons
  • Medical Services
  • Computer Graphic Design
  • Craftsmanship.
  • Digital Marketing Services

With a professional license, foreign entrepreneurs can maintain 100% ownership of their company.

2.3 Industrial License Dubai:

If you have a company that is dedicated to industrial or manufacturing activities, you will require an Industrial License Dubai to carry out the activities. Entrepreneurs can assemble and process goods using domestic or imported raw materials. You need an Industrial License Dubai for the following activities:

  • Equipment and engines
  • Paper
  • Food
  • Textile
  • Metals
  • Petroleum products

2.4 Tourism License:

The Tourism License is for those businesses that operate activities related to the UAE tourism sector. Some activities are the following:

  • Cruise Boat Rental
  • Restaurants
  • Travel Agencies
  • Tourist Camps
  • Hotel rental
  • Guest House

The UEA government introduced this license for a more efficient control the tourism industry. Also, compared to the others, this Tourism license is relatively new.

2.5 Agriculture License:

This type of license is delivered to those businesses dedicated to cultivation and harvesting activities, installation of greenhouses, trading of pesticides. Also, it is given to those companies dedicated to agricultural consultancy.

2.6 Craftsmanship License:

Those individuals who engage in activities related to electrical work, plumbing, carpentry, must acquire this license. For this reason, if a company hires a craftsman, then they need to apply for the license.

In the United Arab Emirates, it is illegal to operate a business without the corresponding UAE license, you can be sanctioned or banned. In addition to this, the Trade License renewal must be every year to avoid penalties.

3. How to get a Business License Dubai?

Due to the growing population of entrepreneurs who have come to form new companies in Dubai, the UAE government has facilitated the process to acquire business license Dubai. The process consists of the following steps:

3.1 Choose the economic jurisdiction:

Firstly, to start a company, you must choose in which economic jurisdiction you want to operate. In Dubai, these can be Free Zones, Mainland, and offshore companies.

3.2 Choose the company structure:

At this point, you must choose the legal form, this will determine the rules and regulations to which your company must submit in the future.

 3.3 Select the business activity:

The productive activity to which you are going to dedicate yourself will determine the trade license for which you must apply. Select all activities to work because later you will not be able to operate activities that you did not choose beforehand.

3.4 Get the initial approval:

After completing the first three steps, you must get approval from the Department of economic development in Dubai, to do so you must fill out an application form that they will provide.

3.5 Choose your business location:

To get your business started, you must choose where your company will be. Once the place has been chosen, you must obtain a tenancy contract, Ejari must certify it and send it along with the rest of the documents.

3.6 Prepare the MOA

The memorandum of association is of the utmost importance when applying for a business license in Dubai. It is recommended to hire legal experts to carry out this document.

3.7 Get the external approval:

Depending on the productive activity chosen, you may need the approval of other government departments and entities.

3.8 Submit the documents to the Department of Economic Development

To complete your application for your trade license, you must submit the following documents:

  • The Memorandum of Association
  • The tenancy contract and EJARI
  • The initial approval letter from the DED
  • The DED application form
  • Copies of all the shareholders’ passports

These are some of the most common documents, however, others can be added, depending on the chosen productive activity.

3.9 Complete the final application

After completing all the above steps, you will need to submit the documents and complete the final application from the Department of Economic Development.

3.10 Pay the fees

Once approval is received from the Department of Economic Development, you must pay the fees and receive the trade application.

4. Benefits of applying for a new Trade License

There are many benefits to getting a Trade License Dubai, such as:

4.1 Low taxes

One of the reasons why so many people have decided to start a new life in Dubai is the low taxes. While most countries require investors to pay large amounts of money, Dubai does not. Since Dubai is almost tax-free, investors can earn additional revenue. Money that would otherwise go to taxes can be used for production costs, instead.

4.2 Easy set-up

Getting a Trade License Dubai is much faster than any other procedure. As long as you have the corresponding documentation, you should receive your trade license without any problem, in a few weeks.

4.3 Fewer trade restrictions

Dubai has very few restrictions when doing business, which makes it easy to trade from one place to another. For this reason, as long as you register your products under the appropriate license, you will not have to worry about restrictions.

4.4. Sponsor opportunities

An important point of obtaining a Trade License Dubai is that you can sponsor dependents. This makes it easy to bring family members or employees over to Dubai.

4.5 Boost international and local trade

With a general trading license, you have the opportunity to produce or import products, either to the local Dubai market or abroad, and receive profits from other countries.

Also, this type of license gives you the opportunity to re-export your products, this can help you improve your ability to trade goods and services around the world.

5. How to get a Business License Dubai without a physical office?

The Department of Economic Development and the Free Zones in the UAE have enabled license packages for virtual companies. In other words, small entrepreneurs can start working without having a physical office.

Also, as an initiative of the government of the United Arab Emirates to boost economic growth, they have introduced the “Instant Trade License”. This is a variation of the normal Trade License that you can have in just five minutes and brings with it unique benefits.

     5.1 Benefits of the Instant Trade License:

  • It is not necessary to carry out the Memorandum of association
  • Does not require trade name registration for the first year
  • Can be ready in five minutes
  • It is not necessary to have a physical office

5.2 Documents required to acquire an Instant Trade License

  • Passport copy for all licenses (Partners and managers)
  • A copy of your Visa (If applicable)
  • A copy of your residence Visa and a No Objection Certificate (If applicable)

Also, note that Instant Trade Licenses can only be applied to those businesses engaged in activities that do not require external approvals.

6. What you should know about getting a Trade License Dubai without a physical office?

By not having the concern of a physical office, there is a lot of flexibility when working, however, you should take the following aspects into account:

6.1 Create your business plan

The employer must create a business plan to accommodate the flexibility of working hours and the availability of their workers to meet business requirements. You should also be knowledgeable about current market conditions. That is to say, having a business plan will ensure an organized and stable future for your company.

6.2 Alternative workplace

Firstly, without a physical office, the entrepreneur must find an alternative to his workplace. Secondly, it must be a quiet place where the investor can concentrate and offer quality work.

Some jobs can be done remotely and efficiently. For example, software programming, IT, project management, services engineering, consultancies, etc. Also, most interactions are virtual, making the need for a physical office obsolete.

6.3 Use of the right technology

Investing in technology is essential for maintaining a virtual company, to keep your employees and clients active. In addition to this, the latest technological advances have achieved efficient work and communication from many parts of the world.

6.4 Allocate flexible working hours

One of the most important advantages of the no-office package is the ability to work at any time and from anywhere. Also, they can organize meetings with clients from different parts of the world.

6.5 Virtual meetings and teams

Learning to work through the tools that technology offers us is of the utmost importance. Besides, conducting virtual meetings, hiring remote staff and online teams is the right way to go if you want to succeed by having a company without a physical office.

7. How can we assist you through the process of obtaining a Trade License Dubai?

Carrying out the different legal processes to live and work in the United Arab Emirates can be long and difficult if you are a new entrepreneur. For this reason, we want to provide you with support and guidance so that you can carry out all your processes quickly and efficiently.

Our experts have the training to carry out the entire process of applying for a trade license, also, Connect Zone is the perfect agency to start/renew your visa and act as your local agent.

Do you want to discover more about the Trade License Dubai? You can contact us at the following email address: info@connectzone.ae. Here, you can communicate with one of our representatives, who will answer all your questions.

Also, if you are interested in knowing more about us, visit thetalentpoint.com or send your CV to contact@thetalentpoint.com, no need to worry, your information will be safe with us, we will not share it or store it in our database.