How to apply for a trade license in Dubai, UAE
Understanding Trade License
The license is simply a means to get permission from Government to perform some activity within the area specified by the Government. A person obtaining the license must follow the policies and regulations set by the government.
Trade License is the permission granted by the Government allowing that person or business to conduct the trade within the rules and regulations of the business.
This is the initial step in starting your business in UAE.
How to apply for a trade license in UAE?
If you are planning to start your company in UAE, then you need to decide on the activities that you intend to start in the selected area (Freezone, Mainland, or Onshore). The next step is to decide on the Name of the company and get that Name registered with the selected area authorities.
Most of the Zones allow businesses to apply for any one of the following Licenses depending on the type of business activity they choose.
Commercial License
Commercial License in Dubai allows the license holders to conduct trade activities that involve Buying & selling of goods.
Industrial License
This license is for business activities involving manufacturing, raw material import, and finished goods export. For this type of trade having a physical space is mandatory.
Professional License
This license is provided to service providers and professionals. To obtain the license, the individual or company does not need to have any kind of sponsor from locals.
Tourism License
If you are planning to engage in tourism activities then this license is provided by the Government. This type of license has rules, regulations, taxes & permissions to reply on.
Cost of acquiring a Trade license
Although the fees and costs associated with obtaining a Trade license differ with the area, and type of activity you choose, the fees start from AED 12000 and depend on the number of shareholders involved. To know the exact figure for obtaining a Trade license, you can contact us at +971508045640 or write us your details at info@vr1global.com
Procedure for applying for a Trade license
There are 3 steps for applying for a Trade license:
- Step 1: Register your Trade name & get approval
- Step 2: Submit MOA (Memorandum of Association)
- Step 3: Documents Submission – MOA, trade name approval, passport copy, and Lease agreement.
Advantages of Trade license
- No need to have paid-up capital
- You can open a Bank account for your business
- Can trade locally and internationally
- No need to pay any % of profits to the government
- Low Import duty
If you need assistance in company formation, trade license, Corporate bank account, and VISA processing, make sure to contact us at +971508045640 or write us your details at info@vr1global.com
