Commercial License in Dubai

Dubai’s status as a global trade and logistics hub fuels a persistent demand for commercial licenses. For entrepreneurs and corporations aiming to engage in trading, import-export, or retail, securing the right commercial license in Dubai is the critical first step. Oncount is a leading business setup firm offering comprehensive licensing solutions tailored to the trading sector

We leverage our deep experience with the Dubai Department of Economic Development (DED) and various free zone authorities to deliver a streamlined, compliant, and efficient process for every client looking to start a business in Dubai.

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What is a Commercial License?

A commercial license is a mandatory authorization issued by the relevant government authority in the UAE that permits a company to engage in commercial activities, specifically the buying, selling, and trading of goods. This type of license is foundational for any business whose primary operations involve merchandise.

  • Legal Framework: The issuance and regulation of this licence fall under the UAE Federal Law No. 32 of 2021 on Commercial Companies and the guidelines of the specific issuing authority, such as the DED or a free zone authority.
  • Business Activities Covered: A commercial license allows a business to legally import, export, and trade goods both within the UAE market and internationally. The specific business activities permitted are listed on the trade license itself.
  • Jurisdictional Requirements: You can get a commercial license for a company established on mainland Dubai or within a designated free trade zone. The choice between mainland or free zone impacts market access, ownership structure, and customs duties.
  • Compliance Obligations: To continue business operations legally, companies must adhere to all regulations, including proper invoicing, customs declarations, and timely license renewal.
  • How it Differs: Unlike professional licenses, which are for service-based businesses, or industrial licenses for manufacturing, a commercial trade license is exclusively for trading operations.

Types of Commercial Licenses in Dubai

While often grouped under one umbrella, licenses in Dubai can be specialized based on the scope of trade activities. The primary types of commercial licenses are:

General Trading License

  • Specific Activities Covered: This license offers the broadest scope, permitting a company in Dubai to trade a wide variety of goods and products that are not restricted (e.g., medical, arms).
  • Target Business Models: Ideal for large import-export firms, diversified trading houses, and businesses dealing in multiple product categories.
  • Regulatory Requirements: Requires a higher fee structure due to its extensive scope but offers maximum operational flexibility for international trade.

Specific Trading License

  • Operational Scope: This license to operate is restricted to trading in specific, pre-approved product categories, such as electronics, apparel, or foodstuffs.
  • Compliance Standards: The compliance and documentation requirements are tailored to the specific industry. For example, a food trading company will need additional approvals from the Dubai Municipality.
  • Application Prerequisites: The entrepreneur must clearly define the goods they intend to trade during the business setup process.

E-commerce License

  • Business Activities Permitted: This license is designed for businesses that sell goods and services online. It is a crucial legal requirement for any online retail store operating in Dubai.
  • Documentation Requirements: The process involves securing the e-commerce activity on a commercial license and ensuring the online portal complies with UAE telecommunications and media laws.
  • Authority Approvals Needed: Approvals are managed through the DED or free zone authority, ensuring the business is registered for online trading.

Benefits of Starting a Commercial Business in Dubai

The benefits of acquiring a commercial trade license in this emirate are substantial.

Strategic Market Position

Dubai’s geographic location provides direct access to markets across the UAE and the wider Middle East, Africa, and South Asia. Its world-class ports and airports make it a premier hub for free trade.

Regulatory Benefits

Recent legal reforms allow 100% foreign ownership for most commercial companies on the mainland. This, combined with a 0% corporate tax on profits up to AED 375,000 and simplified compliance, creates a highly favorable environment.

Operational Advantages

Businesses benefit from state-of-the-art logistics infrastructure, efficient customs processes, and a vast professional ecosystem. This support is critical for any company looking to operate in Dubai effectively.

Financial Incentives

The cost of a commercial license is competitive. The ability to open a business bank account with ease, repatriate 100% of profits, and access a stable banking sector makes Dubai a top choice for investors.

Steps to Get a Commercial License in Dubai, UAE

To obtain a commercial license in Dubai, our structured approach ensures compliance and speed:
01
Select Business Activities and Legal Form

Define your commercial trading activities and choose a legal structure, most commonly a Limited Liability Company (LLC).

02
Trade Name Reservation

Select a unique trade name compliant with UAE regulations and secure its reservation with the relevant authority.

03
Initial Approval Application

Apply for initial approval from the Dubai Department of Economic Development (DED) or the chosen free zone authority.

04
Prepare MOA and Secure Premises

Draft the Memorandum of Association (MOA) and secure a tenancy contract (Ejari) for a physical office or warehouse, a key requirement for mainland business operations.

05
Obtain External Approvals (If Required)

Certain trade activities may require no-objection certificates from other government bodies (e.g., Dubai Municipality, National Media Council).

06
Submit Final Application

Submit all required documents for a commercial license, including the signed MOA and tenancy contract, for final approval.

07
Final Payment and License Issuance

Pay the final voucher to the authority. The license issued will allow you to legally start a business and trading operations.

Cost for Commercial License in UAE

The total commercial license cost depends on several factors.

Government Fees

  • Authority Charges: These include fees for the initial approval, trade name reservation, and the final license Dubai issuance fee.
  • Registration Expenses: Costs associated with notarizing the MOA, registering with the Chamber of Commerce, and other administrative charges.

Professional Service Fees

  • Oncount Service Package: Our fees provide end-to-end management, from the initial free consultation to the moment you get your commercial license. This includes all documentation, submissions, and coordination.

Additional Costs

  • Optional Services: Costs for visa processing, office/warehouse rental, customs registration, and VAT registration services.

Note: The cost of obtaining a commercial license varies based on the business activities, jurisdiction, and specific requirements. Contact Oncount for a detailed quotation.

Comprehensive Commercial Licensing Solutions

Oncount provides complete support for obtaining commercial license in Dubai, ensuring full compliance with UAE federal laws. Our operational efficiency is built on transparency and a deep understanding of regulations set by the Dubai Economy and Tourism (DET).

Key Regulatory Framework:
We ensure every business license application aligns with:

  • Federal Law No. 32 of 2021 (Commercial Companies Law)
  • Cabinet Decisions on foreign ownership and regulated activities
  • DED and Dubai free zone licensing guidelines

Our Tailored Support:

  • Full compliance checks to ensure you get the right commercial license in Dubai.
  • Streamlined management of the entire application process.
  • Ongoing advisory on regulatory changes and the renewal process.

Legal Commercial License Requirements in Dubai: Why Proper Licensing is Essential

All businesses that trade goods in Dubai are required to have a valid commercial license. Operating without one is illegal and carries severe penalties.

Applicable Laws & Regulations

Compliance is mandatory under:

  • Federal Legislation:
    • Federal Law No. 32 of 2021 – Commercial Companies Law
    • Federal Law No. 8 of 2017 – VAT Law
  • Cabinet Decisions & Authority Guidelines:
    • Specific cabinet decisions regarding free trade zone operations.
    • Circulars from the DED regarding regulated commercial activities.

Risk & Penalty Mitigation

  • Non-Compliance Penalties: Operating without a license can lead to heavy fines, confiscation of goods, and legal action. You must renew the license on time to avoid penalties.
  • Oncount Protection Services: We provide comprehensive compliance monitoring, automated renewal alerts, and 24/7 dashboard access to protect your business from these risks.

Industry-Specific Commercial Licensing Services

We provide tailored solutions for obtaining a commercial license, no matter the industry.

Sector-Specific Expertise

Whether you are in FMCG, electronics, automotive, or textiles, we understand the nuances and external approvals required to obtain a commercial license for your specific sector. We help you define which activities should be included in the commercial license.

Client Integration & Digital Solutions

Our use of digital platforms streamlines the entire business setup process, from initial document submission to post-licensing support like accounting and VAT filing, ensuring a seamless experience.

About Oncount: Leading Commercial Licensing Firm in UAE

8+ Years of UAE Experience, 320+ Successful Clients

  • Comprehensive Service Delivery: We offer multilingual support (English, Arabic, Russian) and have extensive experience across Dubai mainland, free zones, and offshore jurisdictions.
  • Proven Track Record: Our clients benefit from a 100% license approval success rate and an average processing time reduction of 40% when they apply for a commercial license with us.

Professional Excellence: Certified Commercial Specialists in Dubai

  • Expert Team and Strategic Support: Our dedicated licensing specialists and account managers, including expert consultant in Dubai, provide strategic advice to ensure your company in Dubai is structured for long-term success.

Comprehensive Service Integration: We manage every aspect, from visa coordination to complex corporate structuring and investor documentation, providing you with monthly progress reports.

Why Choose Oncount for Commercial Licensing in Dubai

When acquiring a commercial trade license, choosing Oncount means partnering with an authority in compliance and service excellence.

Quality Assurance and Control

  • Rigorous Quality Standards: A dual-review process for all applications ensures accuracy and alignment with authority SOPs. All legal documents undergo meticulous verification.
  • Continuous Improvement: We constantly refine our processes based on client feedback and evolving regulatory landscapes throughout the UAE.

Technical Excellence and Accuracy

  • Advanced Technology Integration: We use certified software (Zoho, Xero, QuickBooks) to create integrated workflows for licensing, compliance, and ongoing support for your business in Dubai.
  • Professional Tools and Systems: Our use of authority-approved systems and digital compliance platforms ensures accuracy when you need to get a Dubai commercial license.

Multilingual, Real-Time Client Support

  • Comprehensive Communication Support: We offer client communication in 4 languages with SLA-based response times and 24/7 cloud access to compliance dashboards.
  • Dedicated Client Success: An assigned account manager provides regular updates and proactive guidance, ensuring a smooth and transparent journey to set up a commercial entity.

Frequently Asked Questions About Commercial Licensing in Dubai

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How do I get a commercial license in Dubai?

The process involves selecting your business activities, reserving a trade name, getting initial approval from the DED or a free zone, preparing legal documents like an MOA, leasing an office/warehouse, and submitting the final application for your trade license. Oncount can manage this entire process for you.

What is the difference between a commercial and a professional license?

A commercial license is for trading goods (import, export, sales). A professional license is for providing services based on professional expertise (e.g., consulting, IT services). The legal structure and requirements differ for each.

What is the total cost of a commercial license in Dubai?

The cost of obtaining a commercial license varies depending on your business activities, legal structure (e.g., LLC), jurisdiction (mainland or free zone), and office/warehouse rental costs. Contact us for a detailed, no-obligation quote.

Do I need a local UAE partner for a commercial license?

Previously, a local sponsor was required for mainland LLCs. However, under the updated Commercial Companies Law, most commercial activities are eligible for 100% foreign ownership, eliminating the need for a local partner.

How long does it take to obtain a commercial license?

The timeline to get your commercial license is typically 1-3 weeks, assuming all documents are correct and no complex external approvals are needed. The process can be faster in certain Dubai free zone jurisdictions.

Is an office space mandatory for a commercial license?

Yes, for a mainland commercial license in the UAE, a physical address supported by a registered tenancy contract (Ejari) is a mandatory legal requirement. Free zones also have office or warehouse requirements.

Can I hold multiple activities under one commercial license?

Yes, you can include multiple related commercial activities under one license. A General Trading license allows for a very broad range of activities, though it comes at a higher cost.

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