How to Get a Trading License in Dubai: Expert Insights

Dubai, the most modern emirate in the UAE, welcomes foreign investors by creating a business-friendly environment and making the company formation process simple and straightforward. Furthermore, the first step when it comes to incorporating a company in Dubai is obtaining a trading license or business license. However, setting up a business in Dubai can seem a little challenging, especially for newcomers, because of the various steps involved. Having been in the UAE market for more than 16 years and helping thousands of investors, CIG Dubai, the top business setup consultants in Dubai, can make the process of obtaining the trade license a hassle-free affair for you.

Based on our experience and expertise in helping foreign investors set up companies in the UAE, this is what we would like to tell you about procuring a business license:

The authority responsible for registering new companies in Dubai is the Department of Economic Development (DED). This means that you will have to obtain your trade license from the DED, and we will liaise with the authority to help you get the same. Procuring a trade license and setting up a business is easy when you work with us, even if you have limited or no knowledge of the language and procedures in the Middle East.

The steps involved in obtaining a trade license are:

• Choose an economic jurisdiction
• Choose a name for your company
• Select your company’s structure
• Identify a business activity
• Apply and get the initial approval
• Choose an office space
• Prepare your company’s Memorandum of Association and get it notarized
• Obtain the required external approvals
• Submit the required documents to the DED
• Complete the final application
• Pay the fees and obtain your trade license

The DED offers four categories of business licenses. Depending on the business activity you choose, you will have to obtain a trade license in one of the following categories:

• Commercial license
• Professional license
• Industrial license
• Tourism license

The benefits of obtaining a business license in Dubai include:

• Opportunity to boost your sales through both local and international trade
• Enhancement of your company’s credibility and brand image
• Tax exemption and other benefits
• Limited trade restrictions
• Increased opportunities for investment and sponsorship
• The simple business setup procedure

Typically, it can take anywhere from 3 days to as many as 4 weeks to get a trade license. This is dependent to a great extent on the approvals needed and the business activity you have chosen. Trade license experts at CIG Dubai will help you choose the right business activity and category of trade license and liaise with the authorities to speed up the process.

Finally, the validity of a trade license in Dubai is one year. You need to renew the license sufficiently before the expiry date. At CIG Business Setup Dubai, we also offer trade license renewal services.