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Types of commercial licenses in Dubai

Types of commercial licenses in Dubai

Types of commercial licenses in Dubai

Types of commercial licenses in Dubai There is no doubt that Dubai has become the destination for foreign investment in the Middle East, as it has become one of the largest investment cities in the Arab world and the world. To encourage investors, including tax cuts, to establish free zones that help investors in establishing a climatic environment that simulates the best commercial places in the world, in addition to the facilities for issuing commercial licenses, which is one of the biggest problems facing investors in many countries.


Types of commercial licenses in Dubai


Types of commercial licenses in Dubai

Dubai has become one of the locomotives of investment in the Arab world, and this does not come from a vacuum, but rather comes as a result of a strong policy developed by the government in the Emirates to promote investment in it. It is represented in the removal of obstacles that make it difficult and hinder the movement and clearance of the procedures of investors in it. Perhaps the most important of these obstacles is the issuance of commercial licenses. As it requires everyone who wants to open a commercial project to carry out some procedures, the most important of which is obtaining a commercial license for the project that he wants to implement. Commercial licenses in Dubai vary according to the project, including:

  • The commercial license allows the practice of many commercial activities that have been identified as importing and exporting
  • The professional license is somewhat useful in activities that are not allowed to practice others, and it is subject to local licenses and permits.
  • Events Organizing License, which is concerned with those who want to set up projects for organizing and holding parties, exhibitions and large festivals
  • A general commercial license in Dubai, which allows conducting many commercial activities without any restrictions

These types of licenses are related to their type of activity. If the activity of the license is professional, the type of license is professional. And if more than one activity is combined, the type of license follows the largest activity. If there is a professional activity and a commercial activity, and the commercial activity is greater than the professional activity, then the type of license is therefore a commercial license.


Authorities concerned with issuing licenses

The government in Dubai represented by the Department of Economic Development, which is known as the Dubai Economy, is responsible for issuing and granting commercial licenses to investors. However, not all activities are affiliated with this entity. There are activities affiliated with other entities when licenses are required, including:

  • Activities related to land transport and communications The authority responsible for issuing its licenses is the Roads and Transport Authority
  • Communications and information technology activities, the authority responsible for licensing them is the Telecommunications Regulatory Authority
  • Real estate and engineering consultancy activities follow Dubai Municipality
  • The activities related to petroleum and oil exploration are under the authority of the Court of His Highness the Ruler


Documents and special documents required for the issuance of commercial licenses

To obtain a commercial license, it is required to obtain several documents and papers to complete obtaining the license, and the most important of these documents are:

  • Receipt of the initial approval of the commercial project from the competent authority
  • A copy of the lease contract documentation certificate issued by the Real Estate Regulatory Agency
  • The Memorandum of Association duly certified for all types of companies
  • The approval of other government agencies for the activity, if required
  • appointment contract


Costs of issuing a trade license in Dubai

  • The price of registering a license is 600 AED
  • The price of a knowledge dirham is 10 dirhams
  • The price of the innovation dirham is 10 dirhams
  • The price of commercial name advertisements is 350 AED
  • The price of a service request form is 50 AED
  • The price of a foreign trade name ranges from 1,000 to 3,000 AED
  • General trading activity price: 15,000 AED
  • The price of investment activities: 15,000 AED
  • Business center price: 25,000 AED
  • Building contracting activities price: 10,000 AED
  • Dealer license: 1,070 + 300 (Dubai Chamber fees) AED
  • starting license: 1,070 AED


Important tips before starting a business in Dubai

There is no doubt that commercial activities are one of the most important factors in earning a livelihood and one of the most important signs of investment. Many seek to start their own commercial activities, but some tips must be followed and taken into consideration to obtain a satisfactory result. Among the most important of these tips are the following:

  • The type of commercial activity must be determined and the extent of its spread in Dubai must be determined, and the investor or the owner of the project must be knowledgeable and have great experience with the activity that he intends to start.
  • After determining the type of activity, a strong point comes that must be made, which is the preparation of an integrated schedule study. It is preferable to rely on specialized experts in preparing the schedule study to reduce the occurrence of risks that may affect the project.
  • It is preferable that the capital with which the project is established be cash money and not loans from banks
  • There must always be an alternative plan, as relying on only one plan is a great risk
  • The owner of the project should have the personal conviction that the project, as it contains gains, may bear losses, and it is not necessary to reap a lot of profits at the beginning of the project.

In this way, we have clarified some important points regarding the types of commercial licenses, the method of issuing them, the authorities concerned with them, and the fees paid to obtain them.


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