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Difference between Dubai Industrial, Commercial and Professional License

    Home Blog Difference between Dubai Industrial, Commercial and Professional License
    Difference Between Industrial, Commercial, and Professional License in Dubai

    Difference between Dubai Industrial, Commercial and Professional License

    By Reda Mansour | Blog, Business Setup, Business Solution | 0 comment | 31 July, 2019 | 0

    Differences between Professional, Commercial and Industrial Certificates in Dubai (Dubai Mainland Business License) – All You Need To Know

    Establishing a business set up in Dubai has always been amongst the biggest milestones that any business owner or potential young entrepreneur has ever set forth throughout their careers.

    Notwithstanding the pulling power of its industrious tourism sector, Dubai is also rich in its local resources and there’s also an increase in the need for professional consumer services.

    Running a business in Dubai also offers the advantages of exemptions for both duty and tax charges, among others of the boons here in this great city.

    With the prospect of garnering plenty of potential customers daily, it is no surprise that Dubai is becoming more popular for foreign investors and business owners to have a hand in its booming economy.

    Nevertheless, local authorities have implemented regulations which will help limit foreign intervention and support the growth of its own local industries.

    Hence, every potential business will require specific business licenses pertaining to the various industries within the city.

    The license types in Dubai are categorized into different segments, which are mentioned below:

    1. Professional License: Practitioners and experts in their fields can open up businesses to the general public. Examples are medical practitioners, legal advisors, civil engineers, and many others.
    2. Industrial License: Manufacturing companies require this license to legally operate within the confines of the city. Production of goods, equipment for use, textiles and other related manufacturing activities fall under this license.
    3. Commercial License: The most common license available, a commercial license allows you to operate trading businesses, such as the sale of textiles, consumer supplies, and raw materials.

    Based on the above categories, understanding your potential business nature is a vital component to understanding which license is required for you to run your business legally. So how do we get to obtain these trade licenses in Dubai?

    In obtaining a Mainland Professional License in Dubai, you are required to apply with the Department of Economic Development (DED) attaching the necessary documents needed for their consideration as well.

    However, bear in mind that Mainland company licenses will also need to be considered based on the type of business setup that you are looking at.

    These considerations range between civil companies, a subsidiary of another parent company or a Limited Liability Company (LLC).

    Pertaining to the type of company structure that you are interested in doing, other registration processes and approvals will need to be obtained from the DED and Ministry of Economy, while hiring a Local Service Agent as well.

    Getting an Industrial License in Dubai will require a few more procedures before proceeding to request a license with the DED.

    Herein, manufacturing companies are obligated to obtain approvals of business from the Ministry of Finance and Industry prior to communicating with the DED for the license.

    If your company is looking towards manufacturing healthcare and pharmaceutical products, an approval from the Ministry of Health will also be needed.

    After getting all the approvals stated, it is recommended for you to set up a company as an LLC as shared earlier. Obtaining Mainland Industrial License is not easy, but the outcome is worth all the time and effort put into.

    Acquiring a Commercial License will be the necessary legal approval for you to start your preferred trading business in the city’s lucrative commercial industry.

    Still, obtaining a Mainland Commercial License will require time, commitment and also fees pertaining to approvals and registrations. You will still need to go through the DED to obtain the said license.

    However, further approval from the Ministry of Economy is needed subject to the industry of trading that you wish to partake in. Furthermore, a Local Service Agent/sponsor will also be required to monitor your foreign trading business in the city.

    These are the main business activities licenses that you will be looking to acquire in managing an onshore business setup in Dubai. Although the business license requirements may vary between the three categories, the general processes are essentially still the same with the DED becoming the necessary body for you to register with.

    Nevertheless, opening up a company with the accompanying Dubai Mainland company license and your respective business license ensures that you reap all the business opportunities available in Dubai as well as open-border capabilities to communicate with other corresponding areas in the UAE too.

    To smoothly pass through all the procedures, it’s always wise to take the assistance of a reputable business setup consultancy firm in Dubai, such as the Business Link UAE, as we’ll not only ensure a smooth setup but will also provide you with helpful business advice too.

    You may call at +971 43215227 or email at info@businesslinkuae.com.

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