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How to Obtain a Commercial License in Dubai, UAE: A Step-by-Step Guide

Commercial License in Dubai

Starting a business in Dubai, UAE, is a lucrative opportunity for entrepreneurs worldwide. However, it requires securing the proper legal foundation, which often begins with obtaining an appropriate business license in Dubai.

At Corporate Business Services (CBS), we provide reliable, transparent, and comprehensive business consulting services, helping entrepreneurs and companies secure any business license in Dubai and meet all regulatory requirements in Dubai. Our experts are equipped to assist you with every step of the process, even remotely, ensuring a smooth business setup experience.

Understanding the Commercial License in Dubai

Business licenses in Dubai generally fall into three categories: commercial, industrial, and professional.

A commercial license in Dubai allows businesses to engage in trading activities, including import-export, wholesale, and retail. By obtaining this license, companies gain access to various markets and can operate legally within Dubai’s thriving business ecosystem.

Why Choose a Commercial License?

The commercial license in Dubai is ideal for trading and selling goods or products, making it a popular choice for businesses in diverse sectors. Unlike other types of business licenses, the commercial license offers flexibility, enabling a wide range of activities under one business entity. Here are a few reasons why many choose this route:

  • Flexibility in Business Activities: A commercial license lets you engage in multiple trading activities under a single business license, offering operational efficiency.
  • Ability to Import and Export Goods: Dubai’s ports and logistics infrastructure are among the best, making import and export convenient and cost-effective.
  • Legal Access to UAE’s Markets: With a commercial license, businesses can operate within the UAE, sell to local markets, and benefit from various local trade advantages.

Types of Commercial Licenses in Dubai

Choosing the right license depends on the nature of your business and its activities. Dubai offers various types of commercial licenses, including:

  • General Trading License: Suitable for businesses involved in various trading activities, from food products to electronics.
  • E-commerce License: Required for businesses operating online stores and conducting digital sales.
  • Specialized Trading License: For companies that focus on specific types of products, such as automotive parts, textiles, or medical supplies.

Understanding these options is crucial as they dictate what activities your business is legally allowed to perform.

Eligibility Requirements for a Commercial License

Eligibility requirements vary slightly depending on the business structure you choose, but generally include:

  • A Local Sponsor: If you’re setting up on the mainland, you may need a local sponsor with at least 51% ownership.
  • Physical Office Requirement: A commercial licenses require a physical office space in Dubai.
  • Specific Capital Requirements: Depending on your business activity, you may need a minimum capital, especially for larger-scale trading.

Our CBS business advisors in Dubai are known for helping businesses with these and other specific requirements to ensure their applications align with all regulatory standards.

Steps to Get a Commercial License in Dubai

Step 1: Determine the Business Activity and Structure:

The first step in acquiring a commercial license is to define your business activities and choose an appropriate legal structure. Dubai categorizes business activities into various sectors, so you must specify your company’s main operations. At CBS, our consultants can guide you through selecting the legal structure that aligns with your goals, whether a limited liability company (LLC), branch office, or sole establishment.

Step 2: Select Your Business Location:

Dubai offers a variety of location options, including mainland areas and freezones, each with its own set of regulations and benefits. Choosing the right location impacts licensing fees, tax regulations, and business activities. We can assist in identifying the ideal location for your business needs, ensuring compliance with local requirements while maximizing operational advantages.

Step 3: Register Your Trade Name:

Registering a unique trade name is a crucial part of the licensing process. Your chosen name must align with Dubai’s naming conventions and regulations. With our expertise at CBS, we can handle this step efficiently, helping you choose a trade name that reflects your brand identity while adhering to local guidelines.

Step 4: Submit Required Documents

Once your business structure and name are finalized, you’ll need to gather and submit the necessary documentation, including your passport copies, a Memorandum of Association (MOA), and any approvals specific to your business type.

Working with our experienced team at CBS will ensure that you have all required documents in order, reducing the chance of delays or complications.

Step 5: Complete the Application Process

The final step involves submitting your application to the relevant authorities. At CBS, we streamline this process by preparing and filing your documents with the Department of Economy and Tourism (DET) or the respective freezone authority. Our team will guide you through each step, from document preparation to fee payment, ensuring a swift and hassle-free application experience.

Costs and Fees Associated with a Business License in Dubai

The Dubai business licensing fees can vary depending on several factors, including the business activity, location, and DET charges. Generally, costs include:

  • Trade Name Reservation Fees
  • Initial Approval Fees
  • Memorandum of Association Drafting Fees ( If Applicable)
  • Office Lease Agreement Costs
  • Business License Fee
  • Consultation Fee ( If Applicable)

How We Can Help Set Up Your Business in Dubai

Setting up a business in Dubai doesn’t require your physical presence, and we can guide you through the process from anywhere in the world. Our team at CBS specializes in assisting remote clients by handling documentation, submitting applications, and providing on-ground support to complete each step efficiently. Our services include:

  • Remote Documentation Assistance

We help gather, organize, and submit all required documents on your behalf.

  • Step-by-Step Guidance and Updates

We keep you informed throughout the process, from initial approvals to the final license issuance.

  • Flexible Business Solutions

Our advisors offer solutions tailored to your business needs, ensuring compliance and speed.

Book a free consultation now; let us handle the complexities while you focus on your business’s core operations.

Frequently Asked Questions

  • Can I set up a business in Dubai remotely?

Yes, CBS provides full remote setup services, enabling you to establish your business from anywhere in the world.

  • Do I need a local sponsor to get a commercial license?

For mainland licenses, a local sponsor must hold 51% of the shares. Free Zone companies can enjoy 100% foreign ownership.

  • How long does it take to obtain a commercial license?

Generally, it takes around 1-2 weeks if all documentation is in order. CBS can expedite the process, ensuring you get started quickly.

Request A Free Consultation

We will set up a physical or virtual consultation via Zoom or your preferred platform to guide you through each phase of the process of business formation and consultation in Dubai.

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Calculate Your Business Setup Cost in Dubai

Starting a business in Dubai can be both an exciting and rewarding venture. However, understanding the associated costs is a crucial first step. Our Dubai Business Setup Cost Calculator simplifies the process, offering a clear, customized breakdown of expenses based on your preferences and needs.

Whether you’re a budding entrepreneur or an established business owner, this tool ensures you’re fully informed and prepared.

With just a few simple steps, you can calculate the costs of setting up your business and receive a tailored consultation from our expert advisors.

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Be precise about your business activity. This helps in obtaining the correct license and ensuring compliance with Dubai’s regulations. If unsure, our team can guide you through the selection.

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