Know Everything About Trade Licenses in Dubai

Dubai greatly welcomes overseas investment and to begin a business in Dubai, you will require a trade license which is a very crucial document. The Dubai Department of Economic Development has classified each business under different licenses, giving them prominence in accounting for the business activity. Having a trade license in Dubai not only gives a complete business framework to regulate but also permits the company to derive many advantages. If you are interested and want to get a trade license then there are some vital factors that should know before applying for a license in Dubai.

Getting a trade license in Dubai is similar to registering a company with the government. But, prior to applying for a business license, this is vital to determine the kind of business activity you want to do, a business name, and have a Memorandum of Association and Article of Association to submit to the DED. Our business setup professionals at Start Any Business UAE would help you through the dilemma of finding the business activity to do.

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Types of Trade Licenses in Dubai

Types of Trade Licenses in Dubai

A trade license is vital when it comes to doing business in the United Arab Emirates. The economic department of Dubai issues the licenses and the process of issuing licenses differs from one to another emirate. The 4 main types of trade licenses in Dubai are industrial, commercial, professional, and tourism license in Dubai. But the government also issues many other licenses which are specific to some activities.

1. Commercial License

Commercial licenses are given to companies that engage in any kind of commercial business activity relating to goods, goods, and services. Prior to applying for a commercial license in Dubai, you require to decide on the activities that you want to operate. Certain activities that fall under commercial activity are real estate brokerage, car rental, and logistics. Tertiary activities with core activity must be limited to 10 on each license.

2. Industrial License

An industrial license is needed to set up manufacturing activity in Dubai. With an industrial license, a business person can collect and procedure goods utilizing raw materials which are imported or local. You require to get an industrial license in Dubai for the manufacture of – textiles, food, equipment and engines, metals, paper, petroleum products, and more.

3. Professional License

Professional licenses allow companies and individuals to involve in a profession in which they are talented, depending on their educational qualifications. Certain activities covered under this license are carpentry, printing, artisanship, consultancy services, and more. With this license, overseas investors can gain 100% ownership of the business.

4. Tourism License

Tourism license in Dubai provides to businesses and individuals that offer travel and tourism-related services. Since Dubai is the most lucrative location in the UAE, a tourism license is the most commonly utilized license by business people. They are providing to businessmen that offer services like hotels, guest houses, tourist campuses, etc.

Cost of Trade License in Dubai

Cost of Trade License in Dubai

The cost of a trade license in Dubai is differed according to the activities of your business and the needs of your business. Although, if you go through the typical charges, you can figure out the overall cost. The fee for the trade license is beginning from AED 12,000. Activity charges are almost AED 150 to 500 based on the kind of business activity. There are certain more needs where you have to leave your money, like charges for activity class guide, a fee for license translation, license replacement, and more.

How to Check Trade License in Dubai

How to Check Trade License in Dubai

A question always arises ahead of many business people on how to check trade licenses in Dubai the solution is here, you just need to follow some simple steps.

You can request your trade license and directly check on the government platform whether the license is registered or not. If you are making a plan to begin a business in Dubai with Dubai Partners, then you have to be able to give the required documents yourself. If you feel any reticence, this must alert you immediately. Actually, the trade license does not contain any confidential details. The information you would locate is the company name, registration number, office address, license number, and manager name.

If your company is registered in the free zone, you may be unable to verify the license online. You have only an option that contacts the registry by email saying the company name and asking if the company is registered and whether the license is active.

Trade License Renewal Dubai

Trade License Renewal Dubai

A trade license in Dubai under the DED should be renewed per year. The simple procedure is given below:

1. Authorization: To trade license renewal in Dubai, you would require approval and authorizations from the relevant governmental entities. For example, a car service company requires consent from the Road and Transport Authority of Dubai, in the same way, a restaurant requires approval from the Department of Food Safety and the Municipality. This is typically best to obtain an authorization letter prior to applying for a trade license renewal.

2. Documentation: Typed renewal form, attested EJARI, tenancy agreement, any authorization document, photos of all the partners, and transaction number or payment voucher are the documents you need during renewing a trade license with the DED.

3. Tenancy Contract: Your tenancy agreement must be valid for at least 3 months from the date of application. Ensure that you examine your tenancy agreement and then apply for the renewal with a certified EJARI.

Also read, How to Get Event Management License in Dubai

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