Trade Licenses
Cheapest Trade License in Dubai, UAE
After setting up a company in Dubai, the next vital step is obtaining a Dubai Trade License. This license authorizes a business to operate legally across the UAE. The Department of Economic Development (DED) is the governing authority responsible for issuing trade licenses in Dubai. With the UAE government actively supporting new business growth, opportunities for startups and entrepreneurs have increased significantly, making Dubai one of the most attractive destinations for business setup.
In Dubai, a trading license is often referred to as a General Trade License. It permits a wide range of commercial activities, including the import and export of goods, retail and wholesale trading, service-oriented commercial activities, and other approved operations within Dubai or Dubai Free Zones.
Benefits of Having a Trade License in Dubai
Legal Recognition:
A trade license provides your business with official recognition and legal approval to operate within the UAE market.
Tax Advantages:
Dubai offers zero personal income tax and major corporate tax benefits, allowing businesses to enjoy higher profitability and lower operational expenses.
Market Access:
A trade license enables local trading, international exporting, and entry into global supply chains with ease.
Credibility Boost:
Licensed companies gain greater trust from customers, partners, and institutions, resulting in stronger business relationships and enhanced reputation.
Government Support:
The Dubai government offers transparent regulations, helpful guidelines, and various incentives to support business growth and innovation.
Sponsorship & Residency:
Business owners can sponsor their employees and family members for UAE residency visas, simplifying relocation and expansion.
Types of Trade Licenses in Dubai
Dubai issues four main types of trade licenses, and investors can choose the one that fits their business activity:
Professional License:
Required for service providers, consultants, skilled professionals, and specialised service activities.
Commercial License:
Necessary for all types of trading activities, including selling products and goods.
Industrial License:
Issued to companies involved in manufacturing or industrial operations.
General Trade License:
Used for import, export, and broad trading activities involving multiple product categories.
Tourism License:
Required for companies operating within Dubai’s travel and tourism sector.
Steps to get a trade license in Dubai, UAE
Obtaining a trade license in Dubai is straightforward if all legal steps are followed correctly. The major steps include determining the type of business activity, preparing the legal structure, securing the necessary approvals, selecting a company name, arranging a leased office space, and completing the documentation such as the Memorandum of Association. With expert guidance from QBS, businesses can navigate these steps smoothly and obtain their general trade license without complications.
Request for Approval at the DED
Four main types of licenses are issued in Dubai, and investors can apply for any of them based on their business activity. The key steps to obtain a trade license from the Department of Economic Development (DED) are:
- 01. Determine the Activity Category Identify whether your business activity falls under business, professional, commercial, or industrial.
- 02. Prepare the Legal Structure Decide and prepare the appropriate legal status of the business in the UAE.
- 03. Obtain Initial Approvals Secure the necessary approvals from the relevant government authorities for your chosen activity.
- 04. Choose a Trade Name Select and register a unique and compliant company name.
- 05. Arrange Business Premises Lease suitable office or commercial space and obtain the required approval from the authorities.
- 06. Prepare Company Documents Collect and prepare the essential documents, such as the Memorandum of Association and other supporting paperwork.
- 07. Get Expert Assistance The business setup consultants at QBS in Dubai can provide end-to-end support in applying for and securing your Dubai general trade license.
How to Renew a Trade License in Dubai
Renewing a trade license in Dubai is a mandatory yearly requirement, and doing it on time helps you avoid penalties and business interruptions. Here’s a simplified renewal path:
Gather Required Approvals
Confirm whether any special approvals are needed for your activity (such as transport or health-related approvals) before starting the renewal.
Verify Compliance
Ensure that all business documents, permits, and registrations are valid and updated.
Clear Fines and Fees
Settle any outstanding fines with the DED to avoid delays in processing.
Update Tenancy Contract
Renew your office lease agreement if it is close to expiry and make sure it is attested through Ejari.
Submit Renewal Documents
Complete the renewal application, attach all supporting documents, and submit them to the DED.
Pay Renewal Fees
Pay the applicable renewal fees, which generally range from AED 8,000 to AED 15,000, depending on your business activity and location.
Start the renewal process at least one month before the licence expiry date to keep your trade license in Dubai active, compliant, and penalty-free.
FAQs – Trade License in Dubai & Abu Dhabi Trade License Services
Can foreigners apply for a trade license in Dubai?
Yes. Foreigners can easily obtain a trade license in Dubai. They can own 100% of a company in a Free Zone or collaborate with a UAE national for specific mainland activities. This flexibility makes Dubai one of the most attractive destinations for global entrepreneurs.
Can I run an online business with a trade license in Dubai?
Yes. Any online business—whether selling through a website, social media, or platforms like Amazon—requires a valid e-commerce or general trade license in Dubai. The license must specifically allow online or digital trading activities.
What happens if my trade license in Dubai expires?
If your trade license expires, your business must immediately stop operating. Continuing to work with an expired license can result in heavy fines, legal penalties, closure notices, and blacklisting. Always ensure your Dubai trade license is renewed on time.
Can I change my business activities after getting a trade license in Dubai?
Yes. You can add, modify, or remove business activities after your license is issued. This requires submitting an amendment request to the Department of Economic Development (DED) along with any required approvals based on the new activities.
What is an Abu Dhabi trade license, and who needs it?
An Abu Dhabi trade license is an official permit issued by the Abu Dhabi Department of Economic Development (ADDED) that allows individuals or companies to legally conduct business within the Emirate. It is mandatory for all commercial, industrial, and professional activities. Entrepreneurs launching consultancies, trading companies, or industrial ventures must obtain the correct license category. The license is valid for one year and renewable annually.
What are the key steps and documents required to obtain an Abu Dhabi trade license?
To obtain an Abu Dhabi trade license, you must first determine your business category (commercial, professional, or industrial). You may choose up to ten business activities under that category. Next steps include selecting and reserving a compliant trade name, securing office space, and preparing the required documents—passport copies of partners, residency visas, MOA (for LLCs), tenancy contract, trade name reservation certificate, and NOC (if needed). After submitting the application and fees, ADDED reviews and issues the license. Working with business setup experts ensures accuracy and faster approval.
What types of Abu Dhabi trade licenses are available?
Abu Dhabi offers several types of trade licenses based on the nature of the business activity. The Commercial License is issued for trading and retail businesses, while the Professional License is required for service-based activities such as consultancy, IT services, and marketing. Companies involved in manufacturing or production must obtain an Industrial License. In addition to these, Abu Dhabi also provides specialised licenses for sectors such as tourism, media, and agriculture. Choosing the right license type is essential to ensure compliance with local regulations and to maintain smooth business operations.
Can I renew my Abu Dhabi trade license online?
Yes. Abu Dhabi trade licenses can be renewed digitally through the official TAMM portal or the respective free zone platform. Simply upload the updated documents (such as tenancy contract), pay the renewal fee, and download your renewed license. Timely renewal prevents penalties, suspension, or business disruption. Most entities renew annually and receive automated reminders before expiry.