One Central – Offices No. 4 Dubai | Office: +971 45686046
ITQAN is a company that specializes in business setup and business growth
4.9
powered by Google

Types and costs of issuing commercial licenses in Dubai

Types and costs of issuing commercial licenses in Dubai

Types and costs of issuing commercial licenses in Dubai

Issuing a commercial license in Dubai is a crucial step for any individual or company seeking to enter the world of business and invest in one of the most dynamic and growing cities in the world. As a leading economic hub at the regional and international levels, Dubai provides an ideal environment for diverse businesses thanks to its advanced infrastructure, progressive economic policies, and wide opportunities available in various sectors. However, the process of issuing commercial licenses in Dubai requires a thorough understanding of the procedures and different types of licenses available, which vary according to the nature of the business activity and the sector targeted by the investor.

Commercial licenses in Dubai include several types, including the general commercial license, professional license, industrial license, and tourism activities license. Choosing the right type of license depends on the type of business activity the company intends to carry out. Understanding the different types of licenses and adhering to the necessary procedures helps ensure the success of the business project and avoid legal problems.

Issuing commercial licenses in Dubai begins with registration with the Department of Economic Development in the emirate, which is the body responsible for granting commercial permits to companies and institutions. This step requires submitting a set of necessary documents, such as copies of the passport, lease contract, and business plan, in addition to paying the required fees. After submitting the application, the documents are reviewed and the business activity is approved before the license is issued.

With the increasing demand for investment in Dubai, the city has become a preferred destination for entrepreneurs from all over the world. For this reason, obtaining the appropriate trade license is the cornerstone of building a successful project in the growing Dubai market. Whether you are starting a new business or expanding your existing operations, issuing trade licenses in Dubai is the first step towards achieving your business goals.

Types and costs of issuing commercial licenses in Dubai
Types and costs of issuing commercial licenses in Dubai

Cost of a Business License in Dubai

The cost of a business license in Dubai varies based on several factors that affect the total amount. These factors include the type of business activity you wish to conduct, the type of license required, the office needs, and the location you choose. For example, a general business license may cost less than one for specialized or industrial activities.

In addition, administrative transaction fees, government fees, rental fees, and legal service costs can affect the final total. It is also worth noting that some businesses may need to obtain additional licenses or special approvals depending on their activity, which can increase the total cost.

When planning to set up a business in Dubai, it is important to take all of these costs into account to have a comprehensive idea of ​​the required budget. It is useful to consult business service offices or government agencies for accurate details on the costs of business licenses based on your proposed activity and specific requirements.

Types of Business Licenses in Dubai

In Dubai, there are several types of business licenses that you can obtain depending on the type of business activity you wish to practice. Here are some types of business licenses in Dubai:

General Trade License: This license allows practicing all types of businesses permitted according to local laws.
Professional Trade License: This license allows practicing a specific professional business activity, such as medicine, law, engineering, real estate, and the like.
Industrial Trade License: This license allows practicing industrial and manufacturing activities, such as production and manufacturing.
E-commerce License (online commerce): This license allows practicing business online, whether selling products or services through digital platforms.
Tourism Trade License: This license allows providing services and products to the tourism and hospitality sector, such as hotels, restaurants, and travel agencies.
Crafts Trade License: This license allows practicing traditional crafts and manual professions, such as handicrafts and handicrafts.
Free Zone License: This license allows investing in a free zone with certain benefits such as full ownership of the company and not paying corporate taxes.

Documents Required for a Trade License

To obtain a trade license in Dubai, there are a set of documents that must be submitted to the relevant authorities. The requirements vary slightly depending on the type of trade license and business activity, but there are some basic common documents that must be provided:

Trade license application form: The license application form available from the Department of Economic Development (DED) in Dubai must be completed.
Copy of passport: For both the employer and partners, if any.
Copy of residency (for foreigners): A copy of the residency must be submitted if the applicant is not a UAE national.
Business plan or business summary: Includes a brief description of the business activity that will be carried out.
No Objection Certificate (NOC): If the applicant is an employee of another company and requires the approval of the current employer, a No Objection Certificate is required.
Memorandum of Association (for partnership companies): If the company has more than one partner, the Memorandum of Association must be submitted specifying the details of the partnership, and it must be notarized by the relevant authorities.
Worksite Lease Contract: A valid lease contract for the commercial location where the activity will be carried out must be submitted. The contract must be notarized at the Dubai Land Department (Ejari).
Approval of other regulatory authorities (if required): In some sectors such as healthcare or education, additional approvals from the relevant authorities may be required.
Trade name certificate: Confirmation of the reservation of the company’s trade name, which is pre-selected by the Department of Economic Development.

In conclusion, issuing trade licenses in Dubai is a crucial step for any individual or company seeking to enter the dynamic and evolving market of the emirate. Thanks to the distinguished economic environment and the facilities provided by the government to investors, obtaining a trade license has become a smoother and more flexible process, opening doors for companies of all sizes and sectors.

Issuing trade licenses in Dubai is not just an administrative procedure, but a strategic investment that ensures compliance with local laws and provides legal protection for business owners. Trade licenses enhance trust between customers and business partners, as they are evidence of the company’s commitment to local standards and laws. In addition, obtaining the appropriate license enhances the ability of companies to expand and explore new opportunities in various economic sectors.

Dubai offers several types of business licenses, such as the general commercial license, professional license, and industrial license, each of which serves specific business objectives. Choosing the appropriate license based on the nature of the business activity contributes to facilitating business operations and avoiding future obstacles.

With its strong infrastructure and government support for investors, Dubai has become a global business hub. By following the correct procedures for issuing business licenses, business owners can ensure their success and continuity in the competitive market. Dubai is not only a city that offers unique opportunities, but also provides a safe and stable environment to start and expand businesses.

Ultimately, issuing business licenses in Dubai is a necessary step to achieve success in this thriving market. By following the necessary procedures and choosing the right type of license, investors can take advantage of the many opportunities offered by the emirate and achieve their business goals efficiently and sustainably.

The most important frequently asked questions about issuing business licenses in Dubai

What is a business license in Dubai?
A business license is a legal permit issued by the Dubai Department of Economic Development that allows companies and individuals to legally practice specific business activities within the emirate.

How long does it take to issue a business license in Dubai?
The timeframe varies depending on the type of business and the required procedures, but the license can usually be obtained within 3 to 7 working days if all documents are complete.

How much does it cost to issue a commercial license?

The cost varies depending on the type of business, the number of partners, and the location of the business, and includes the licensing fee, trade name reservation fee, and administrative fees. You should check with the Department of Economic Development to find out the specific fees.

Can I change my business activity after the license is issued?
Yes, it is possible to change the business activity after the license is issued, but this requires submitting an amendment request to the Department of Economic Development and paying the required fees.