If you are planning to build your business in Dubai, there is a set of procedures you need to adhere to, whether you are a resident or a foreign investor. The emirate is becoming a great commercial hub for start-ups owing to the wide range of business opportunities. The first and foremost requirement is to register a new trade license in Dubai to have your company or business registered.
The Dubai Economic Department or DED conducts and assesses the trade licensing procedure for registering the company in the emirate.
Developing a thorough understanding of the process beforehand will aid in making the process smooth. Having no clue about the workings and the process to get a business trade license in Dubai will put you in a difficult situation.
Different Types of Trading License in the UAE
Before we get to the procedure, first you have to categorize your business or license into one of the three categories mentioned below.
A commercial license is issued to the companies dealing in trading activities. In case you want to trade with UAE, then you have to collaborate with the UAE mainland distributor.
Companies engaging in manufacturing or industrial business have to get an industrial license. For this license, you need to have a physical office located in Dubai.
A professional license is issued to the service providers, professionals, artisans, and craftsmen. In order to get this license, you need to have complete ownership of your business and its profits, and a local agent.
Steps to Register General Trade License in Dubai
Obtaining your first trade license in Dubai involves a step by step process to register a trade license:
Step 1- Determining your sponsor
First, you have to select a local agent or a sponsor for your trade activity. Along with that, you are to decide the type and number of services that you want from the sponsor.
Step 2- Submitting the application
After selecting the sponsor, you have to submit an application to the Dubai Economic Department (DED) with the name of your business seeking approval for the trade activity.
Step 3- Locating the office
You are required to have a physical office or business premises or get a place on a rental or contractual basis.
Step 4- Getting an MOA with the sponsor
Next, you have to make a Memorandum of Association or MOA with the sponsor or local agent you hired to protect your business.
Step 5- Other legal documentation
There are some documents you have to submit to the Trade License and Commercial Registration Department of DED.
- Precisely filled application form signed by the legal agent or sponsor of your business or company.
- Copy and original copy of the statutory documents of your company.
- A letter by DED approving the name and setup of your trade activity.
- Complete details of shareholders and a copy of their passports.
Upon the completion of the above steps and paying the necessary charges, you will get your trade license in a week or so.
Business Link UAE is the best option to get any kind of trade license in Dubai with ease. Business Link team is a well-experienced consultancy offering different types of services for setting up a business in Dubai. To learn more about general trade licenses in Dubai, get in touch with Business Link.