How to Obtain a New Business License in UAE
Business License in UAE
Starting a new business in UAE is a dream for all entrepreneurs, saying that the hardships you may face are also considerable. It is essential that you need to procure a business license inorder to launch your business. Trade License is the authoritative document that dictates your business and company as a legitimate business publicly.
With a Smart document partner like Al Barajeel document services, obtaining Business license in UAE is a hassle free process.
Why do you Need a Trade License?
The trade license, also known as a commercial license certifies a company’s legal status, and obtaining one is important if you wish to operate legally in the UAE. Before applying for a trade license, you must first determine the type of business activity you would wish to undertake. The Department of Economic Development (DED) is the governing authority that supports the growth of new businesses and issues trade licenses for various business activities.
What are the Kinds of Trade Licenses?
With a booming economy, UAE deals with all types of business activities and free zones. Choosing the right kind of business activity can be overwhelming so it is advised to set up your business with the help of a business consultant. Some of the main types of business licenses available are-
Commercial License
This license is issued to businesses that are involved in the purchase and sale of goods. It is important to choose a specific commercial license with respect to Mainland, Free zone, or Offshore. You can perform a number of activities under the same license and one can obtain residence visas for employees and company management. Some Commercial trade licenses available are-Oil and Gas trading, gold and precious metals trading, trading in chemicals, trading in automobiles, publications and media materials trading, used furniture trading, spare parts trading and safety equipment trading, and more.
Professional License
This license is given to individuals with academic achievements, intellectual abilities, and proficient skills. If the owner is more than one person, then it will be registered as a Civil Works Company. IT service suppliers, auditors, lawyers, craftsmen, etc can apply for this license. Some of the activities that come under this include-Consultancy and services, tax consultancy, computer consultancies, insurance consultancies, IT infrastructure consultancy, marketing consultancies, management consultancies, and more.
Industrial License
This license includes the business activities that are involved in the manufacturing of materials and products in industries. They must have a physical office to operate and some of the activities that fall under this category are-Carpet manufacturing, garments manufacturing, meat products manufacturing, dairy products manufacturing, wood products, furniture manufacturing, and more.
Freelance Permit in UAE
In UAE, freelancing has gained momentum and these permits are available to those individuals in media, art, communication, actor, content provider, media specialist, and copywriters, and so on. You can obtain such a permit from the free zones in Dubai, Ras al Khaimah, Abu Dhabi, and Fujairah.
Tourism License
This is issued to businesses that provide services related to travel and tourism such as travel agents, inbound and outbound tour operators, hotel renting, restaurants, etc.
Which is the Right License for Business?
The type of license that is right for your business will depend on the nature of your business and its activities, your jurisdiction, your business relationship, and so on. If you offer professional services, then apply for a professional license. Similarly, if you deal with trading, then a commercial license is best and if you are a manufacturer, an industrial license will be best suited.
Whichever license is chosen, the application process is easy, quick, and straightforward.
How to Obtain a Trade License?
UAE is a dream destination for foreign investors and entrepreneurs to launch their business ventures.
Selecting a business activity of your venture is the primary step to launch your business. finalize the jurisdiction-Mainland, free zone, or offshore. Finding the appropriate legal structure like Limited Liability company (LLC), Sole establishment, civil company, etc. Further you must get a valid approval from the DED for your trade name and business activity. Correspondingly, business owners must obtain any other necessary external approvals that may be needed. Arrange a trustworthy local sponsor if required. It is important to Create a Memorandum of Association (MOA) and office space for the same.After submission of all the necessary documentation work to the DED, wait for the approval and pay the licensing fees to obtain your trade license.Renewal of Trade License is annual with all the necessary authorized documents necessary for renewal.
You are just a call away with Al Barajeel services to obtain your valid Business License in UAE and start your business in this dream destination for entrepreneurs. Book your consultation now.
