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Category: Trade License

  • How to Renew Trade License in Dubai, UAE

    How to Renew Trade License in Dubai, UAE

    Dubai is one of the countries that has made it compulsory for every firm and organization to have a business license. For the same reason, annual trade license renewal in Dubai is compulsory. This process is under the supervision of the Department of Economic Development in Dubai. The license renewing process is straightforward, but you might need to deal with a lot of documentation.

    It’s very important to renew a license in time, and if not renewed it can cause problems such as penalties, banning of business, or some other serious issues. Before you learn about license renewal you must be aware of trade licenses. To establish a business or trade in a particular country, applicants need to have a written document that provides them the legal permission to carry out their activities. The license does not allow any trade except the one it has permitted.

    Furthermore, it does not give any ownership of property on which the applicant is trading. It’s just a simple document that shows the legality of your business. If you have set up your business in Dubai, it’s imperative to get your trade license and renew it from time to time to ensure the smooth functioning of your company. You don’t have to worry about the process of trade license renewal in Dubai when you partner with local business setup consultants.

    Documents Required for Trade License Renewal in Dubai

    The trade license you are issued is valid for only one year and must be renewed yearly. The application for renewal of the trade license must be submitted before 30 days of expiry. In case you fail to do the same, a late fee can be imposed on you, which is AED 200 per month (excluding external penalty, if any). There are almost 50 free zones in the UAE, and all have their unique requirements for the trade license renewal process. Below is the list of required documents:

    • Ejari registration: For renewal of the license, it’s necessary to possess a registration certificate from Ejari. It’s compulsory to have a tenancy certificate that is approved by Ejari, or else a fine will be imposed on you.
    • Tenancy contract with validity: To renew the license one must have a tenancy contract that still has a validity of one month or more. For applying you must first check and verify your tenancy contract. Moreover, this contract must be confirmed by Ejari. If your contract does not have a validity of at least one month, your trade license renewal request can be rejected under legal obligations.
    • A copy of your old trade license: You need to attach a copy of your old license to get it renewed. You cannot apply for a trade license renewal if you don’t have the mandatory permits that allow you to carry out your business activities in the UAE.
    • BR/1 form: BR/1 form is a license renewal form that must be filled and submitted to start the process. You must type a BR/1 form with the signature of existing partners and submit it to the DED for approval. All the documents must be attached to this form before submitting.
    • Photocopy of passport of all business partners: A passport photocopy of each business partner must be mandatorily submitted to show the stakeholders involved in your business. If you don’t have any partner you shall submit only yours.

    You can submit your renewal form to the DED with all these mandatory documents. Moreover, there are two processes of applying for renewal, i.e., online and offline. You can choose any one of them at your convenience. All regulatory procedures and evaluations are performed by the governing bodies in Dubai irrespective of the application method.

    Process to Renew a Trade License in Dubai

    To renew a trade license in Dubai, businesses need to submit an application to the Department of Economic Development (DED), either online through the Invest in Dubai or Dubai Economy and Tourism (DET) e-services portal, or through authorized service providers. The process involves verifying information, uploading necessary documents (like the tenancy contract, license copy, and partner passport copies), and paying the renewal fees.

    Steps for Renewal:

    1. Access the DED Portal: Log in to the DED e-services portal using your UAE Pass or DED account credentials.
    2. Locate Renewal Section: Navigate to the “My Transactions” section and click on “Renew License”.
    3. Enter License Details: Specify the license number you wish to renew.
    4. Verify Information & Upload Documents: Review the license details and upload required documents such as a copy of the current trade license, valid tenancy contract (Ejari), and passport copies of all partners.
    5. Submit Application: Once all information is verified and documents are uploaded, submit the renewal application.
    6. Pay Renewal Fees: After the application is processed and approved, you will receive a payment voucher for the renewal fees. Pay the fees through the provided channels.
    7. Receive Renewed License: Upon successful payment, your trade license will be renewed, and a digital copy of the renewed license will be sent to your registered email address.

    Important Considerations:

    • Ensure your tenancy contract is valid for at least one month beyond the renewal date.
    • Keep your Ejari registration certificate valid to avoid issues during renewal.
    • Consider using the Invest in Dubai platform or service centers for convenient renewal options. or you can get in touch with Shuraa Business Setup Consultants.

    How Much Does It Cost to Renew a Trade License in Dubai?

    The cost of renewing a trade license in Dubai varies depending on the business type and jurisdiction but generally ranges from AED 8,000* to AED 15,000*. Consulting with business setup consultants can help minimize costs and ensure a smooth renewal process.

    The best part is that you can avail the trade license renewal Dubai discount for accommodation fees if you have a residential Ejari. Furthermore, you can also get sizable discounts on the overall Chamber of Commerce fees.

    What happens if you will not be renewing your trade license in Dubai?

    A valid trade license is one of the critical factors that ensure smooth business functioning in the UAE. Trade license renewal in time saves you from the possibility of banning or blacklisting your company. Always keep a check on your tenancy contract and trade license. Note that if you fail to renew the license before the expiration date, it can lead to legal repercussions. Some of them include:

    • Penalties: The DED in Dubai has all legal rights to impose monetary fines on businesses that don’t renew their trade licenses. A penalty of AED 5,000 can be imposed on the institutions that operate without a trade license. Furthermore, a penalty of AED 250 per month is applicable on traders who trade after the expiry of the trading license.
    • Blacklisting business: The company that operates without a trade license or with an expired one exposes their business to the risk of being blacklisted. This will lead to the termination of the operation of the entire company.
    • Banning the company: If you operate your enterprise with an invalid trading license in the UAE, the DED can shut down your company at any time. This is a serious consequence, and you may not be able to re-establish your enterprise in Dubai.

    How Shuraa Can Help to Renew Your Trade License

    Renewing your trade license in Dubai is now quicker and simpler than ever with Shuraa Business Setup! Our expert business consultants guide you through every step—from document preparation to approvals—ensuring a seamless renewal process.

    Let us handle the paperwork while you focus on growing your business. With Shuraa’s end-to-end support, your license renewal is in trusted hands.

    Why wait? Get in touch today!

    Call: +971 44081900
    WhatsApp: +971 50 777 5554
    Email:info@shuraa.com

    Smooth renewals. Smarter business growth.

    Disclaimer: The information in this post is for general guidance only and may change due to updates in government policies or regulations.

  • How to Get a Trade License in Abu Dhabi

    How to Get a Trade License in Abu Dhabi

    Obtaining a trade license is a crucial step for anyone looking to start a business in Abu Dhabi. A trade license is a legal document that allows individuals or companies to conduct business activities within a specific jurisdiction. Having a trade license in Abu Dhabi is not only a legal requirement but also essential for establishing credibility and trust with customers and partners.

    Abu Dhabi has been an ideal destination for business owners as well as aspiring entrepreneurs from across the world. Thanks to the affordable cost of getting a trade license in Abu Dhabi.

    Setting up a business in Abu Dhabi is a wise option for companies as it is one of the most affordable Emirates for commercial activities. The trade licenses in the Abu Dhabi Mainland are regulated by the Abu Dhabi Department of Economic Development (ADDED) with a validity of one year.

    In this article, we will explore in detail the types of business licenses in Abu Dhabi, the documents required, and the approximate prices as well as the process involved in company registration in Abu Dhabi.

    Types of Trade Licenses in Abu Dhabi

    Abu Dhabi offers various business licenses to businesses based on their nature and activities. Here are the main types of trade licenses available:

    1. Commercial License

    This is the most common type of license, and it is required for businesses that are involved in trading activities, such as the buying, selling, and distribution of goods. This includes businesses that import and export goods and those that sell them retail or wholesale.

    2. Industrial License

    This license is required for businesses that are involved in manufacturing activities. This includes businesses that produce goods from raw materials and businesses that assemble goods from pre-made components.

    3. Professional License

    This license is required for businesses that provide professional services, such as consulting, accounting, legal services, and healthcare.

    4. Tourism License

    This license is required for businesses involved in the tourism industry, such as hotels, travel agencies, and restaurants.

    The type of license that you need will depend on the nature of your business. The Department of Economic Development (DED) is responsible for issuing all trade licenses in Abu Dhabi. Additionally, businesses may need to obtain special permits or approvals from other relevant authorities depending on their specific activities.

    We recommend consulting with business setup experts at Shuraa to determine which license and approvals you need for your business setup in Abu Dhabi.

    The E-commerce License (Tajer Abu Dhabi)

    Tajer Abu Dhabi, also known as the Abu Dhabi Trader License, is a special type of trade license issued by the Abu Dhabi Department of Economic Development (ADDED) specifically designed for e-commerce businesses.

    • Unlike the general trade licenses, Tajer Abu Dhabi addresses businesses that operate online to allow them to conduct business through websites and social media platforms.
    • A major benefit of this license is that you don’t need to have a physical store or office space to obtain it. This makes it attractive for startups, small businesses, and freelancers who operate virtually.
    • While Tajer Abu Dhabi allows for e-commerce activities, it’s not for all business types. There are business activities listed eligible for this license.
    • Initially restricted to UAE nationals for specific activities, the program has broadened. Now, GCC nationals and UAE residents can apply under various legal structures.

    Documents Required to Get a Trade License in Abu Dhabi

    The exact documents required to get a trade license in Abu Dhabi can vary depending on your specific business setup, but here’s a general list of common requirements:

    • Certificate of trade name
    • Copies of passports and visas (for all shareholders)
    • Memorandum of Association (MOA) (Only applicable if you have a local sponsor)
    • Copy of your UAE residency permit
    • Bank letter
    • Tenancy contract
    • Ejari attestation
    • Additional documents (depending on your situation)
    document required for trade license

    How to Get a Trade License in Abu Dhabi?

    Obtaining a trade license in Abu Dhabi involves several steps, including:

    1. Choose Your Business Activity and Legal Structure

    Identify the specific activities your business will undertake. There are various categories with numerous sub-activities.

    Decide on your business structure, such as a sole proprietorship, limited liability company (LLC), or a branch of a foreign company. Each has its own requirements and implications.

    2. Reserve a Trade Name

    Pick a unique and appropriate trade name for your business that complies with DED guidelines. You can submit a reservation application online or through DED service centers.

    3. Secure a Physical Office Space (Unless Applying for a Tajer License)

    For most licenses, you’ll need to acquire physical office space in Abu Dhabi. Secure a tenancy contract and be prepared to present it during the application process. (Not required for Tajer Abu Dhabi e-commerce license).

    4. Apply for the Trade License

    Submit your completed application form, along with the required documents and fees, to the Abu Dhabi DED. Depending on your business activity, you might need to obtain specific permits, certifications, or approvals from other government entities.

    5. Secure Business Location

    Lease a commercial space suitable for your business operations. Obtain the tenancy contract and have it attested by the relevant authorities.

    6. Final Trade License Issuance

    After fulfilling all the requirements and approvals, the DED will issue your official trade license, allowing you to operate your business legally in Abu Dhabi.

    Consider consulting with business setup specialists in Abu Dhabi at Shuraa Business Setup for guidance throughout the process.

    Instant Trade License in Abu Dhabi

    • Any interested parties, including residents and visitors and avail instant trade license facility in Abu Dhabi
    • The small business license in Abu Dhabi allows a combination of trading as well as professional and service-oriented business activities
    • More than 2,500 activities qualify for instant trade license in Abu Dhabi without having an office space for the first year of business
    • The license comes with a default visa quota for up to three employees
    • You do not need to obtain an NOC from current visa sponsor to apply for instant business license
    • You can get the instant license in Abu Dhabi in just one working day

    Why Get Abu Dhabi Business License?

    There are several compelling reasons to acquire a trade license in Abu Dhabi if you’re planning to operate a business there.

    • Legality and Recognition: A trade license acts as a legal permit, authorizing you to conduct business activities within Abu Dhabi. It signifies your compliance with local regulations and establishes your business as legitimate.
    • Business Setup and Operations: The trade license in Abu Dhabi serves as a foundational permit to allow you to establish your business presence and conduct commercial activities within the emirate.
    • Access to Market Opportunities: With a license, you gain access to Abu Dhabi’s thriving market and its potential customer base. This opens doors to conducting business and generating revenue.
    • Investor Confidence: For businesses aiming to attract investors, possessing a trade license demonstrates seriousness and adherence to regulations. This can be a crucial factor in securing investment opportunities.
    • Banking and Financial Services: Securing a trade license can simplify opening business bank accounts and accessing financial services necessary for operating your business.

    What is the Cost of Obtaining Abu Dhabi Trade License?

    The Abu Dhabi Trade License cost generally ranges from AED 10,000 to AED 30,000. However, you should know that the overall cost of obtaining a trade license isn’t fixed and can vary depending on several factors:

    • Type of License: There are different licenses for various business activities (commercial, industrial, professional, etc.), and each might have its own fee structure.
    • Legal Structure: The legal structure you choose for your business (sole proprietorship, LLC, etc.) can influence license fees.
    • Business Activity: The specific activities your business engages in may affect the applicable fees.
    • Location: The location of your business (specific areas within Abu Dhabi) might have slight variations in fees.
    • Tenancy Cost (except for Instant License): For most licenses, you’ll need physical office space and a tenancy contract. The cost will vary depending on location and office size.  This can be a significant cost factor, but the instant license eliminates this upfront requirement.

    Shuraa professionals can guide you through the process, estimate costs based on your requirements, and potentially help optimize your application for cost-effectiveness.

    How to Add Activity in Trade License Abu Dhabi

    Adding activities to your existing trade license in Abu Dhabi involves a few steps. Here’s a breakdown of the process:

    1. Gather Required Documents

    • Application form for amending a trade license
    • Copy of your current trade license and registration certificate
    • Completed business license amendment application
    • No Objection Certificate (NOC) from relevant government entities if your new activities require them (e.g., Department of Health for medical services).
    • Proof of your company’s good standing (financial statements etc., may vary).

    2. Initial Approval

    Submit your application and required documents to the Department of Economic Development (DED) or the relevant authority that issued your original license. Await DED’s initial review and approval to proceed with adding the activities.

    3. Secure Approvals from Other Entities (if applicable)

    Depending on the new activities you wish to add, you might need specific permits or approvals from other government departments. DED will guide you in this aspect.

    4. Pay Applicable Fees

    Once approved, settle any fees associated with amending your trade license.

    5. Collect Your Updated Trade License

    Upon successful completion of the process and payment of dues, you’ll receive your updated trade license reflecting the newly approved activities.

    Simplify Your Abu Dhabi Company Formation with Shuraa

    Getting a trade license in Abu Dhabi is a key step if you want to start a business here. It makes your business legal and gives you access to many benefits, like signing contracts and growing in a strong economy. The process can seem complicated with all the steps and documents needed, but it’s worth it for the success and growth of your business.

    To make it easier, consider getting help from Shuraa Business Setup. Our experts can guide you through the entire process, from registering your company and getting the trade license to handling paperwork, visa help, office space, and more.

    To speak to our corporate legal advisors for free, contact us today at +971 44081900 WhatsApp us at +971 507775554 or drop an email at info@shuraa.com.

    Frequently Asked Questions (FAQs)

    1. What is Abu Dhabi Business License?

    An Abu Dhabi business (economic) license is essential for legally operating any commercial activity in the emirate’s mainland. It is obtained digitally via the TAMM platform using UAE Pass.

    Options include the simplified Abu Dhabi Trader Licence (formerly Tajer Abu Dhabi), ideal for startups, home-based businesses, and e-commerce with no physical office required initially (often for the first 3 years) and over 1,200 activities available—primarily for UAE nationals, GCC citizens, and residents (expats with residency visas).

    Non-resident foreigners can opt for the Virtual Licence to set up remotely with 100% ownership in select sectors. Licensing and registration are regulated by the Abu Dhabi Department of Economic Development (ADDED) and its arm, the Abu Dhabi Registration and Licensing Authority (ADRA), for a fully streamlined, digital process.

    2. Do I need a physical office to get a trade license in Abu Dhabi?

    Not necessarily. The instant trade license option allows you to obtain a license initially without physical space. However, a regular trade license typically requires proof of a commercial office lease agreement.

    3. What are the steps to renew a trade license in Abu Dhabi?

    You need to review your tenancy contract, attain approvals from various administrative authorities, and file your renewal application. Once you’re done with these steps, simply pay the Abu Dhabi trade license renewal fee from the payment voucher.

    4. How can I get a trade license in Abu Dhabi?

    You can follow the below-mentioned process to obtain an Abu Dhabi business license:

    • Choose the license type
    • Enlist the business activities
    • Pick a legal structure
    • Register a trading name for your venture
    • Submit your application for initial approval by the DED
    • Find a local sponsor
    • Sign a Memorandum of Association (MOA)
    • Find a location to incorporate your business and secure a tenancy contract
    • Obtain Trade License

    5. How long does it take to get a trade license in Abu Dhabi?

    The processing time can vary depending on the complexity of your application.  A regular license can take 4-6 weeks, while the instant license can be issued on the same day if submitted during working hours.

    6. What happens if I don’t renew my trade license?

    Operating a business with an expired trade license is illegal and can result in fines and penalties. It’s crucial to renew your license before its expiry date to maintain legal compliance.

    Disclaimer: The information in this post is for general guidance only and may change due to updates in government policies or regulations.

  • How to Get an Instant License in Dubai

    Renowned for its remarkable diversity, Dubai emerges as a prime destination within the UAE, consistently luring foreign businessmen and investors with its myriad ventures and abundant business opportunities. Recognising the dynamic landscape and the ever-growing demand for seamless market entry, Dubai’s Department of Economic Development introduced the DED Instant License. This innovative approach aims to facilitate and expedite the process for foreign investors seeking to establish their businesses in Dubai. 

    In this comprehensive blog, Shuraa Business Setup takes you through the intricacies of the Instant Trade License in Dubai, offering valuable insights and guidance on navigating the procedures efficiently. Whether you’re an entrepreneur or an investor looking to tap into Dubai’s expansive market, our detailed exploration will assist you in acquiring the essential knowledge and steps to obtain an instant license. Prepare to undertake an easy expedition towards business success in Dubai’s vibrant and lucrative landscape. 

    What does the Instant License in Dubai entail?

    The Instant License in Dubai is perfect for newcomers eager to launch their ventures swiftly. This license allows entrepreneurs and expats to spend their first 12 months adapting to Dubai’s culture and lifestyle. During this time, you can fine-tune your trading name, handle essential documentation, and later, in the second year, focus on business expansion. Holding an instant license enables you to explore Dubai, assess growth prospects, build networks, and refine operations efficiently. 

    Advantages of an Instant License in Dubai

    While the free zone in Dubai offers enticing benefits such as 100% repatriation of capital and profits, no currency restrictions, and complete import/export tax exemption, opting for a mainland setup comes with its perks. 

    Key benefits of an instant license include:

    • Same-day approval
    • The entire process was completed in just 10 minutes
    • Application can be made in person or online
    • Immediate commencement of business operations
    • Option to work from a virtual space for the first year
    • Reduced startup costs for new businesses
    • Flexibility to start small, work from home, and expand at your own pace
    • There is no obligation to register your trading name in the first year
    • No MOA requirements or rental contracts for the initial business year 

    Which Businesses Qualify for an Instant License in Dubai?

    The following business structures are eligible for obtaining an instant license in Dubai: 

    • One Person L.L.C.
    • Limited Liability Company (LLC)
    • Sole Proprietorship
    • Civil Company

    If your company and business activities do not require external government approvals, you can apply for an instant license in Dubai. For further details regarding the eligibility criteria for your specific business, feel free to contact Shuraa Business Setup today.

    How to Apply for a Dubai Instant License

    Securing a Dubai instant license is a straightforward process using the online e-service of the Dubai Economic Development Department. Follow these steps:

    1. Use your Emirates ID to create a Dubai Smartpass ID and log in.
    2. Choose your business’s legal structure (LLC, civil company, etc.).
    3. Select your business activity from the available list.
    4. Define the shareholding structure of your company.
    5. Choose three trade name options and determine the share capital.
    6. Complete the instant trade license application form.
    7. Submit the required documents with your application.
    8. Receive a payment voucher and make the payment.
    9. Your instant license will be issued.

    Documents Needed for Dubai Instant License

    When applying through the DED’s service platform, only your original Emirates ID is required to initiate the application process. However, if you choose to apply through a Service Centre, Happiness Lounge, or Smart Lounge, additional documents are necessary, including: 

    • Passport copies of all relevant partners and the business owner
    • Copy of the UAE residence visa or UAE visit visa for foreign partner/s
    • Emirates ID of foreign partner/s
    • NOC from the current sponsor of residence visa-holding partner/s
    • Copy of passport and Emirates ID of the local sponsor

    Additionally, at least one of all partners must be at the service centre during the application, and NOC is optional for general trading.

    Drawbacks of a DED E-Trader License in Dubai

    Before committing to an instant business license, assessing whether it aligns with your company’s goals is crucial. Here are some limitations of the e-trader instant approval that merit attention: 

    • Restricted Eligibility: The license is exclusively available to UAE and GCC nationals in Dubai. Non-UAE or GCC nationals are not eligible to apply.
    • Limited Business Activities: The e-trader license is suitable only for entrepreneurs selling handmade products via social media. It does not accommodate selling products from other suppliers, opening physical shops, or engaging in broader business activities.
    • Visa Limitations: This license does not allow the application for residence visas. Expatriates requiring UAE visas must apply separately for themselves, their family, and their dependents.
    • Sole Legal Responsibility: The sole responsibility for legal disputes rests with the licensee. Unlike other company setups where liabilities can be shared with a partner, individuals with an e-trader license are solely accountable for their company.
    • Banking Challenges: Opening a business bank account may need help with this license.
    • Limited Scalability: The e-trader license cannot be converted into a Limited Liability Company (LLC). A new LLC setup will be required to scale up or expand your online business.

    These drawbacks will help you decide whether the DED e-trader license aligns with your business objectives.

    Dubai Instant License Expenses

    While the DED instant license offers an economical alternative to traditional processes, investors should know the associated costs to determine its viability. The overall cost for instant support in Dubai typically ranges from AED 12,500* to AED 28,500*. This encompasses fees for trade name registration, initial approval, visa application, virtual office rent, and the license itself. 

    For a more detailed understanding of the considerations involved in obtaining an instant license in Dubai Mainland, Shuraa professionals can assist and ensure a cost-effective license acquisition. 

    Why Start a Business in Dubai?

    If you want more incentives to start a business in Dubai, there are plenty of reasons to do so. The city is one of the most exciting cities in the world and is quickly becoming one of the most popular places to do business. This is primarily thanks to the bustling economy, strategic geographic location, and wide range of government incentives and support. 

    One critical advantage that draws many people to set up a business here is the city’s tax-free policy, allowing companies to keep more profits. Moreover, investors can benefit from free trade agreements with other countries and the UAE’s advanced roads, ports, and airport infrastructure that make international transportation easy. With its vibrant culture, safe environment and world-class business facilities, Dubai will surely make your business successful. 

    6 Steps to Launching Your Dubai Business

    Here are 6 steps to getting your Dubai business off the ground: 

    1. Choose a Business Activity: Determine your business activities to identify suitable locations for setup. The Dubai Department of Economic Development offers a wide range of permissible activities.
    2. Select Mainland or Free Zone: Decide between setting up in a free zone for complete ownership and tax benefits or the mainland for broader market access. Recent regulations allow 100% foreign ownership for specific activities.
    3. Choose a Company Name: Adhere to UAE’s strict naming conventions for businesses. A company formation specialist can guide you to ensure compliance.
    4. Apply for a License: Obtain the necessary licenses and permits for your chosen setup. Requirements vary for free zones and the mainland. A company formation consultant can assist with the application process.
    5. Open a Corporate Bank Account: With your license, open a corporate bank account in the UAE. Choose from various financial institutions, including international, local, and Islamic banks.
    6. Apply for Your Visa: Complete immigration and visa processing to finalise your business setup. Seek assistance from a company formation specialist for a streamlined process.

    Obtain Your Instant License in Dubai Now!

    In conclusion, the UAE fosters a business-friendly culture for those initiating projects in the Arab region. In the rapidly evolving industry, instant licenses are gaining prominence, attracting a growing number of entrepreneurs. If you’re new to this landscape, you’ll require comprehensive support to navigate successfully.

    The team of experts at Shuraa Business Setup is poised to assist you throughout the process, ensuring a swift license acquisition. They will also address any inquiries or concerns about business setup in Dubai, UAE. Schedule a FREE consultation today by contacting Shuraa at +971 4 4081900, WhatsApp at +971 50 7775554, or email us at info@shuraa.com.

    Frequently Asked Questions (FAQs)

    1. Which entities can apply for an instant license in Dubai?

    Limited Liability Company
    One Person LLC
    Sole Proprietorship
    Civil Company

    2. How long will it take to get an instant license in Dubai?

    It typically takes around 5 to 10 minutes.

    3. What is the cost of a Dubai instant license?

    The cost depends on the specific business activity you choose.

    4. Which government department issues the instant license?

    The Department of Economic Development (DED) is responsible for issuing an instant business license.

    5. What is the difference between instant license and normal license in Dubai?

    An instant license applicant in Dubai does not have to go through the procedures of registering their trade name, establishing a Memorandum of Association (MOA), or acquiring a lease agreement. This is the main difference between an instant license and a normal license.

    Disclaimer: The information in this post is for general guidance only and may change due to updates in government policies or regulations.

  • Do You Need Trade License in Dubai to Sell on Social Media?

    Do You Need Trade License in Dubai to Sell on Social Media?

    Selling on social media is no different than trading on land. Both are economic activities that require a government-issued trade license. Social media has provided small businesses and independent entrepreneurs a simple and cost-effective platform for their business ventures. Not only do social media platforms have a wide reach but they also require minimum effort and investment. However, it has also become a playground for fraudulent and illegal activities. To safeguard, online consumers and entrepreneurs, the UAE government has made it mandatory to have a trade license in Dubai.

    In 2018, the UAE Ministry of Economy along with the Telecommunications Regulatory Authority shut down many unauthorised commercial websites and social media pages  without a valid trade license in Dubai. The same year, the Department of Economic Development (DED) had ordered over 13,000 social media accounts to close for conducting unlicensed trade. Some social media accounts also sold huge numbers of counterfeit goods because of which the DED and the Department of Consumer Protection took necessary action against such social media pages.

    Owing to the increasing number of unauthorised selling and online frauds, the Electronic Media Regulations law was launched in March 2019. The law stated that online activities carried out for commercial purposes must have a trade license in Dubai. The trade license in Dubai must be sanctioned by the Department of Economic Development (DED) and the National Media Council (NMC). The activities include selling of commodities and services or otherwise commercial use of any other online platform. The law also includes commercial use of social media by sellers, vloggers, as well as influencers.

    What is the penalty for selling on social media without a license?

    Facebook, Instagram, and WhatsApp are the most popular channels used to sell products and services. The UAE commercial law is applicable on these as well as other social media channels. As a result, UAE citizens and residents may be penalised up to AED 500,000 for selling products or services online without a trade license. In the UAE, social media channels are monitored and regulated by UAE authorities. Their aim is to promote the practice of fair trade and protect consumers from online frauds.

    How to get a social media license in Dubai?

    The Department of Economic Development (DED) issues business licenses in Dubai for companies willing to do business in the region. Any type of business, be it online or offline must get a license from the DED.

    To sell on social media, an entity must have a trade license issued by the DED and the NMC. The license will allow you to freely post and promote content related to products and services. It will also allow you creative freedom to run a full-fledged business.

    If you would like to start a social media business or would like to get your trade license in Dubai to sell on social media, contact Shuraa Business Setup and book your FREE consultation today! For more information, speak with our company formation experts on +97144081900 or WhatsApp us on +971507775554. You can also drop us an email at info@shuraa.com

  • Business License in Dubai, UAE – A Complete Guide

    Business License in Dubai, UAE – A Complete Guide

    Business licenses in Dubai is compulsory requirement for every type of company formation. Setting up a new business in Dubai can be an exciting prospect and several variables need to be considered. However, the most important of all is business licensing in Dubai.

    This article will provide you a complete guide on the various types, structures and procedures involved in Dubai business licensing.

    Why do you need a business license in Dubai?

    A Dubai based business license validates your company as a legal entity certified to do business. Not just this, the business license also identifies you and your business enterprise. It takes accountability of your commercial proceedings as well as protects the public health and safety.  On the other hand, it also allows to the governmental entities to regulate and survey the commercial proceeding in the city.

    Watch the video for further details

    Who provides business licenses in Dubai?

    The Department of Economic Development (DED) is a government body entrusted to license companies or individuals who desire to carry out businesses in Dubai. The Department of Economic Development provides business licenses in Dubai. Dubai DED is the entity that does not only provide business licenses, but also regulates the procedures related to business licensing.

    A DED licensed business is generally known as a “local company”. You must note that only mainland companies are registered and licensed by the Department of Economic Development, unlike free zone companies – those are licensed by private authorities.

    What are the types of business licenses in Dubai?

    There are mainly four types of business licenses in Dubai as well as around the UAE.

    1. Commercial license for general trading businesses
    2. Professional license for service-related businesses
    3. Industrial license for manufacturing goods
    4. Tourism license for travel and tours industry

    Business licensing is the most initial stage of starting a UAE business, but you also need to know that there are different agencies and jurisdiction that manage the system of business licensing. Watch the video to understand it in detail.

    Which is the best type of business license in Dubai?

    All the business licenses in Dubai are industry specific. While some licenses would be apt for some businesses, other may not be compatible for the related business activities.

    This means that you can apply for a business license depending on the industry, business activity, the structure of the company, etc. However, the suitability of the license is different for each business. Also, the region you decide to set up the business in Dubai also plays an important role to determine the best business license for you. The right way would be to consultant a company formation expert. An expert can analyse and advice as per your commercial needs and future scopes of the company. Click here to consult a company formation expert for FREE Contact us.

    How to Get a Business License in Dubai?

    So, if you have learnt it all about the various business licensing options available, then you would be surely wondering how to get a business license in Dubai? What documents are required to license your business? Or are there any major conditions for getting a Dubai business license?

    Various jurisdictions and business activities have its own licensing requirements. However, if you opt for a mainland license in Dubai then below are the most probable requirements:

    • One of the business partners needs to be present during the process for applying a business license in Dubai.
    • Passport copies of all the business partners as well as mangers depending that are required as per the business activity.
    • A NOC from the sponsor of the company for expat investors or foreign partners.
    • Copies of the residency visa for all the business partners.
    • You need to ascertain your business activity and legal structure for the company along with the reservation for the trade name.
    • Also, an initial approval from the DED and external approvals as required needs to be submitted with the application.
    • The tenancy contract for the office space and the Ejari also is a requirement to get the business license in Dubai.

    All these documents are submitted by a PRO to the Department of Economic Development (DED). And after the fees is paid the license is issued.

    Cost of Business License in Dubai, UAE

    The cost of a business license in Dubai typically ranges between AED 7,000* and AED 30,000*, depending on the location and type of business setup:

    • UAE Mainland: AED 12,000* to AED 30,000*
    • UAE Freezone: AED 7,000* to AED 20,000*

    The exact cost can vary based on factors such as business activities, location, and government fees.

    How to Renew your Business License in Dubai?

    Business license in Dubai needs to be renewed on an annual basis. Companies and commercial entities need to go through the process of documentation for renewal of the business license. Also, the business license must be renewed before the due date as a penalty is charged on late renewals. Getting a business license renewed can be made easier with the help of a business setup service providers in the UAE.

    Speak to Shuraa Business Setup

    Shuraa Business Setup is the only destination to get all the business licensing services under one roof! At Shuraa, our business setup consultants help you choose the right license for your business. We also make you understand the various process of getting a business license.

    Shuraa Business Setup also communicates with the Department of Economic Development (DED) for all your licensing processes and ensure you get every approval that is required for the business. We do not only help you get the business license but also renew it annually so that can save yourself from delays and penalties.

    Would you like to know more on business licensing in Dubai or anywhere across the UAE? Need to know the difference between licenses for mainland as well as free zone regions? or may you need to estimate the cost of business trade license in Dubai?

    Book your FREE consultation with our Shuraa’s Business Setup consultants today!

    Call us on +97144081900 / WhatsApp +971507775554. You can also email us at info@shuraa.com or simply log on to blog.shuraa.com/

  • Cost Breakdown of Obtaining a Trade License in Dubai

    A trade license is a mandatory requirement for every business entity in Dubai or anywhere across the UAE. Before you start your business, it is important to factor in the cost of a trade license in Dubai and understand which license is best suited for your business activity. You must also take into consideration business licensing procedures and related government permits.

    Before we get to the trade license fees in Dubai, let us consider a few frequently asked questions about Dubai trade licenses.

    Why do you need a trade license to do business in Dubai?

    • A trade license identifies you and your business enterprise.
    • With a Dubai trade license, your business can take accountability for your commercial activities.
    • Having a trade license in Dubai protects the public’s interest and ensures safety through procedural measures.
    • A trade license in Dubai will allow you to participate in profitable government-introduced measures.

    Who provides the trade license in Dubai?

    The Department of Economic Development in Dubai, also referred to as DED, is the authority that issues and approves business licenses in Dubai. If you are looking for a trade license elsewhere in the UAE, then the respective Economic Department of that emirate will issue the trade license.

    What are the types of trade licenses available in Dubai?

    Acquiring a specific type of trade license in Dubai varies depending on the business activity. There are mainly four types of trade licenses offered by the Department of Economic Development (DED). In some instances, jurisdictions may also ascertain the type of trade license for your business. Dubai has several jurisdictions, and each has its own licensing requirements.

    Does a trade license in Dubai require renewal?

    Yes, a trade license in Dubai must be renewed annually. Trade license renewal procedures must be tracked and monitored. Delay in applying for the renewal levies penalty as well as may lead to banning of the business license or freezing all the business activities.

    What is the cost of renewing a trade license in Dubai?

    It is imperative for businesses to have a valid trading license at all times to avoid any compliance issues during their professional tenure in the UAE. Companies that fail to maintain their license’s validity face monetary policies and other suspensions. The LLC license renewal cost in Dubai is around AED 8,000 to AED 15,000.

    Note that the LLC trade license renewal cost in Dubai varies from business to business. Therefore, you should get in touch with the business consultants at Shuraa Business Setup to acquire your trade license at a low-cost, without worrying about its renewal, because we take care of it all. This helps you focus on other growth-related activities for your business in the UAE.

    What is the Cost of a Trade License in Dubai

    The total cost of registering a trade license in Dubai can range from AED 15,000* to AED 50,000*, depending on various factors:

    • Business Structure: LLCs or free zone companies typically face different costs.
    • Office Space: Rental prices play a significant role, particularly for mainland businesses.
    • Business Type: Activities such as healthcare require higher approvals and therefore, incur greater expenses.
    • Visa Fees: If employees need to obtain visas, it will add to the overall costs.

    For the exact cost and requirements, contact business setup consultants.

    Connect with Shuraa

    To get the customised cost of a trade license in Dubai, talk to our consultants at Shuraa Business Setup. You can speak with our business setup experts for FREE to learn about the most suitable and affordable trade licenses in Dubai. We provide end-to-end business guidance related to licensing, banking, cost estimation, investment planning, LLC trade license renewal cost in Dubai, and much more. So, what’s the wait for? Get in touch with Shuraa today!

    Click here to book a free consultation with our experts and know more about an LLC license renewal cost in Dubai or call at +97144081900. You can also send a WhatsApp message at +971507775554. For email assistance, mail your query at info@shuraa.com.

  • How to Get a Professional Trade License in Dubai?

    Entrepreneurs and businessmen who offer a service-oriented commercial activity in the country need to have a professional trade license in Dubai, UAE. Getting a professional trade license can be beneficial in several ways. A professional license provides the flexibility to entrepreneurs in terms of hiring employees for business; renting an office space; changing the professional license into a mainland (if required) and so much more.

    So, if you are willing to know how to get a professional business license in Dubai there are a few measures you must take into consideration.

    Here is how you must attain a Professional License in Dubai, UAE:

    Documentation for Professional Trade License

    Initially, ascertaining that you have all the documents to push the process forward is extremely important. Essentials forms, passport copies (for tourist visa), UID number, jinsiyya or muwatana copy of the local partner, NOC in case of sponsor for an expatriate and other permissions from authorities’ municipality, RTA, health ministry etc; need to be put forth to obtain a professional license. Under such circumstances, the best option would be to contact Shuraa Business Setup. Shuraa deals with all the paperwork, while you can concentrate on your business startups.

    Department of Economic Development (DED)

    To get a professional trade license, you need to approach the Department of Economic Development DED in Dubai. The Dubai DED will further charge you a fee along with a security deposit may be required under certain circumstances. Also, BR1 form, name reservation certificate, tenancy contract and EJARI registration certificate needs to be submitted to the DED.

    Flexible Ownership

    The most prolific part of obtaining a professional license in Dubai is having the liberty of being a sole owner of the company. The professional license also leverages the opportunity to expatriate and have 100% ownership in the business, which is otherwise not possible under a tourism, trading, industrial or other licenses that are opted for a Sole Enterprise or Limited Liability Company (LLC).

    Nevertheless, you need to have a local agent for all your proceeding with the judicial departments. With Shuraa Business Setup, we ourselves will act as your local service agent creating an agreement that will safeguard your investment and ownership.

    Professional Trade License is exclusively available only to the following –

    • Accounting and Auditing companies
    • Information technology services
    • Management consultancy
    • Healthcare and Medical services
    • Institutes and Educational firms
    • Legal organization
    • Advertising and Marketing Firms

    Would you like to know more about Professional Trade License? Or are you still confused in terms of the suitability a professional business license would have towards your business?

    Call Shuraa Business Setup to get a free consultation and speak to our experts to comprehend how to get a Professional License in UAE.