Commercial License in Dubai
A commercial license in Dubai is a business license that allows a company to engage in commercial activities such as buying and selling goods and services.
It is required for businesses operating in Dubai and must be obtained through the Department of Economic Development.
The commercial/trading license is issued to businesses that conduct specific activities. These can be related to:
- Trading of goods and commodities
- Import and export
- Low-scale manufacturing
A commercial license in Dubai offers enormous flexibility regarding the goods that can be traded. Before applying for the license, finalizing the business activity you will be involved in is important. However, once obtained, you can carry out up to 10 activities related to the main business.
For new entrepreneurs, making the right decision when applying for a license can feel quite worrying. As some business activities can fall under more than one license type.
Nevertheless, with the assistance of professional business consultants, this can feel like a piece of cake.
Activities Under A Commercial License:
With over 100 activities within the scope of a commercial license, the opportunities within are endless.
You can contact professional business setup consultants for an extensive list of activities.
Here are some of the trading and service-providing business activities that fall under this license type:
- Auto Spare Parts
- Import/Export
- Facilities Management
- Ready-made Garments
- Medical and Surgical Equipment
- Supermarkets and Grocery
- New and Used Furniture
- Rental Services
- Financial services
- General Warehousing
- Cold Storage
- Bags and Packaging Products
Activities That Require Special Permission:
For certain activities under a commercial license, it is crucial to note that they require additional permissions from the government.
These include:
- The trading of smoking tools and accessories, especially e-cigarettes, is one such activity that requires you to seek special permission from the Emirates Standardization and Metrology Authority (ESMA) and the Narcotics Department of the Dubai Municipality.
- Gold jewelry or luxury goods also requires special permissions. The Security Industry Regulatory Agency (SIRA) is the concerned government body.
Along with business setup in Dubai, Business Link also assists clients with expert PRO services. If your business activity falls under one of these categories, our PRO services can take that burden off our shoulders. They’ll ensure your business gets what it deserves by providing fast, transparent and seamless services.
Benefits of A Commercial License in Dubai:
Some of the many benefits of a commercial license in Dubai include:
- Upto 10 different activities allowed, provided they have relevance to the main activity
- 100% ownership of the business
- Easier and quicker to obtain than other license types
- Not required to conduct an audit for license renewal
- Cost-effective and easy license renewal process
- Can also open a Limited Liability Company (LLC)
Obtaining the License
The following are the steps to obtain a commercial license in Dubai:
- Identify the industry you want to do business in, along with the business activity
- Pick a trade name, keeping in mind the government rules around it
- Choose an ideal business setup location that suits your business type
- Next, you’re required to submit the following documents for your application:
- Commercial License Application Form
- Memorandum of Association (MOA)
- Original Lease Contract for the Registered Office Space
- Proof of Fee Payment
- Passport copies of Owners and Partners
- DED Approval Letter for the Proposed Company Name
- DED Attestation Letter for the Business Setup
- After the documents have been validated, you will receive your license for a period of one year