Skip to content
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, 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 and get started. You can also send your resume via where it is never being stored.

Request a Quote