In a corporation-based county like the UAE, it is imperative for businesses to have a trade license. These licenses give businesses the ability to operate in the country and provide special benefits depending on the type. Additionally, for each license type, there is an estimated cost of a trade license in Dubai. Therefore, knowing about the different types of licenses their cost is important for business entrepreneurs.
In this article, we will show you everything about the cost of a trade license in Dubai and the types. Furthermore, we will give you all the insight into the full registration process and cost of a trade license in Dubai. Let’s observe:
- What types of trade licenses are available in Dubai?
- How can I get a Dubai trade license?
- What documents are required for the trade license registration?
- How can I renew my Dubai trade license?
- What are the costs available for the trade license?
- How can Connect Group best help your company?
1. What types of trade licenses are available in Dubai?
It’s not a secret for anyone that the UAE requires all businesses operating inside it to issue a trade license. Trade licenses are a type of documentation that allows businesses to operate in an emirate of the UAE for a certain period of time. Additionally, there are a number of licenses available for businesses to choose the one that suits them best.
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However, choosing a trade license for your business can be a bit tricky. There are a few factors that will determine what type of trade license you will get. These factors largely depend on your company type and the setup of your company. For that matter, having an assistance service backing you up is important.
Here at Connect Group, we offer you the best document-clearing services for you to register your company hassle-free. We are a team of specialized professionals with the experience you are looking for. We understand most foreign entrepreneurs do not have the experience and therefore the knowledge of registering a company in Dubai. Therefore, our company with over twenty-three years of experience is looking forward to being the helping hand you need.
Furthermore, the DED (Department of Economic Development) offers four types of trade licenses. Additionally, the trade license you get will depend on your company’s activities and jurisdiction. There are a number of jurisdictions available in Dubai, and each has its own requirements for trade license registration. Besides, as these requirements change, so does the estimated cost of a trade license in Dubai. Let’s discuss the trade licenses types:
Commercial trade license
As it says in its name, the commercial trade license allows businesses to do activities related to the commercial industry. Additionally, the activities the commercial trade license offers revolve around buying and selling goods. However, you are only allowed to sell the goods reflected on the trade license. This means that if you applied for a commercial license to sell clothes, you cannot start selling jewelry using the same license.
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Furthermore, when considering what is the cost of trade license in Dubai, first we need to consider the company type. Regardless of the industry you are in, depending on what you sell, you might need to issue special permits. This is to say that there might be an estimated cost of trade license in Dubai, but it can increase due to the permits.
Professional trade license
Companies that provide professional services are amongst the users of this license. Moreover, the UAE requires companies whose main services providers are professionals in distinct areas to get this license. Additionally, companies in this industry can have 100% ownership of their company, as having shareholders is not a requirement.
Furthermore, to get the professional trade license you will also need to get special permits, making the estimated cost of trade license in Dubai higher.
Tourism trade license
As tourism is one of Dubai’s best income revenues, releasing a tourism trade license was only a matter of time. For tourism companies in Dubai, it is imperative to get a tourism trade license. Besides, when considering what is the cost of trade license in Dubai, the tourism license price doesn’t usually change.
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Special permits are a requirement for companies that run activities that could harm an area of the country’s structure. Subsequently, tourism companies do not require any of this, since the government does a part of the revising for them. Thereby, the cost of trade license in Dubai for the tourism trade license does not usually change.
Industrial trade license
The users of this license work in the manufacturing industry since the industrial trade license allows them to use the necessary machinery. The industrial trade license also allows companies to do delicate activities like mining and mineral processing. However, to get this license it is necessary to have a physical office or company since you need jurisdiction.
Nevertheless, industrial trade licenses are on the expensive side, because of the many permissions that this industry requires. Furthermore, there are numerous permits to get before getting into the license registration, making the cost of trade license in Dubai higher.
Dubai E-Trader License
As we mentioned before, the DED only provides four types of trade licenses. However, those four trade licenses are required only for high-scale companies. The E-Trader license is the alternative for small businesses managed from home. This license allows small businesses to get a business bank account and gives them access to many benefits.
Additionally, if you are wondering what is the cost of trade license in Dubai, we are happy to inform you, this license is the cheapest. Furthermore, since this license does not require any additional permits, the estimated cost of trade license in Dubai does not change in this case.
2. How can I get a Dubai trade license?
The Department of Economic Development is in charge of all the business registrations in the country. Therefore, this organization is also in charge of the process of issuing a trade license. However, for foreigners looking forward to getting a trade license registration, the process can be a bit difficult. Moreover, getting the necessary documentation and figuring out the important documentation for each can be especially tricky if you are not a local.
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For that reason, investing in assistance services or a document-clearing service is a smart business move. A document-clearing service can help you get all your documents error-free and additionally manage your registration process. Here at Connect Group, we want to help you achieve just that. With over twenty-three years of experience, we will guide you through this entire process as smoothly as possible. Furthermore, we will help you get you the trade license of your need like a real local.
Our team of experts can help you get your registration hassle-free and error-free without any additional costs. Our team of specialized professionals will get you through all the steps and avoid any hurdles that might arise. Let’s take a look at those steps:
Trademark your company’s name and obtain initial approval
You will first need to make sure the name you have chosen for your company is available for use. Once the DED ensures the name is available, you will get the permit. Furthermore, you will need to provide in detail all the activities your company will do to get the initial approval.
Get your company’s memorandum of association
This document will contain all the shareholders’ information, the company’s partners, and their positions in the company. Additionally, you will need to provide information about your employees and your company’s administration setup. Finally, in the memorandum of association, it is a requirement to write the reason for the formation of your company.
Submit all your documentation
Submitting the documentation is the last step of the process, also the most delicate one. Once you have your entire document and are sure they are all free of error you can submit them. The Department of Economic Development is responsible for all the business registration, thereby, sending them to the DED.
However, given the number of entrepreneurs failing to get their trade licenses we can conclude that it is difficult. For that reason, Connect Group wants to help you beat the odds and get your process error-free. We have a team of experts waiting to be of your service and help you get your license. With over twenty years of experience in this industry, you can trust that you are getting the best possible service.
3. What documents are required for the trade license registration?
The registration process can vary from company to company; however, there are certain requirements for all registrations. Besides, when we talk about the estimated cost for trade license in Dubai, we emphasize on the documentation you need to get. That is because certain documents in Dubai are costly, thereby making the cost of trade license in Dubai higher.
Furthermore, documents like special approvals and permits or immigration cards and partnership visas for foreigners can be expensive. Additionally, the documentation required for these procedures can get tediously long. In fact, failing to submit or having an error in the beforehand documentation could warrant the denial of your license. Let’s observe some of those documents:
Name reservation voucher
For starters, this is the first documentation you will need to get. A reservation payment voucher is a payment form you will receive once you make your name registration. Besides, after making the payment, you will get the second document of the process.
Initial approval form
Next, once you have your payment voucher, the Department of Economic Development will give you a permission form. The initial approval form will allow you to start other document procedures, like additional approvals or ID registration.
Association letter
Depending on the trade license you are getting, you will need to get a local business partner. Furthermore, an association letter, also called a partnership statement, is the contract you have with a national business partner.
Memorandum of association
Moreover, the memorandum of association (MOA) will need to have the shareholders’ and partners’ information. This is for the UAE’s government to have information about the representatives and decision-makers of the company.
4. How can I renew my trade license?
While the process of getting your trade license can be tedious, the process of renewing it is a lot simpler. Similar to the registration, the renewal process is canalized by the Department of Economic Development in Dubai. That means that the organization already has the documentation you previously provided. Furthermore, you will not need to get some of the more extensive beforehand documentation since you probably already have it.
However, the estimated cost of trade license in Dubai when it comes to renewal changes a bit. While it is true that you already have issued most of the preapprovals, these also have an expiry date. Furthermore, having to renew these approvals for your company can increase the cost of trade license in Dubai when it comes to renewing.
5. What are the costs available for the trade license in Dubai?
Now to the most asked question. If you are wondering what is the cost of trade license in Dubai, this is for you. The estimated cost of trade license in Dubai oscillates; however, the fees start as low as AED 12.000,00 and go as high as AED 50.000,00. However, the cost of trade license in Dubai depends on the license and company setup.
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6. How can Connect Group best help your company?
Having a trade license when running a business in the UAE is one of the most important things to have. Therefore, making sure everything about the trade license registration process is an intelligent decision. Moreover, having an assistance service behind you in every step of this tiresome process is imperative.
For that reason, here at Connect Group, we want to offer you the most up-to-date and high-quality services you can get. With over twenty-three years of experience in this field, we are more than capacitated to help you get what you want. If you are interested in our services and want to know more you can email us at [email protected]. However, you want more personal assistance, you can give us a call on (971) 433-16688 and one of our representatives will gladly answer all of your inquiries.
