Types of business licenses in Dubai

If you are thinking about starting a business in Dubai, understanding the types of Dubai business licenses available to you is an essential step. Dubai is characterized by a vibrant and diverse business environment, where small, medium and large companies can benefit from multiple licensing options that suit their needs.

The types of commercial licenses in Dubai include the commercial license for a sole proprietorship, the commercial license for a joint-stock company, the commercial license for a limited liability company, the commercial license for a company in a free zone, and the commercial license for a foreign company. Each type of these licenses comes with different requirements and benefits, and choosing the appropriate license depends on the nature of the business activity and the needs of the company.

It is also important to be aware of the local regulations and laws that govern the operation of companies in Dubai, including taxes, labor and social insurance. It is best to consult Etqan to ensure you are following the correct procedures and avoiding potential problems.

In this article, we will provide an overview of the types of business licenses in Dubai , including an explanation of each type of license and its requirements, as well as a review of the economic and legal environment surrounding business licensing processes in Dubai.

Dubai is one of the most important economic centers in the world, providing an ideal business environment for small, medium and large companies. In order to facilitate the process of establishing companies, ITQAN provides company registration services and obtaining business licenses in Dubai.

Through Itqan Company, entrepreneurs and investors can benefit from a variety of business licenses that suit their specific needs and requirements.

What is a trade license?

Commercial licenses in the Emirate of Dubai represent the key to entering the world of business and trade in this vital emirate, as they give you the opportunity to engage in a variety of commercial activities. It is an essential step to starting your business and achieving your financial and professional goals. Do you want to sell products inside Dubai? Then a business license is exactly what you need.

A trade license in Dubai gives you wide opportunities to engage in various business activities, including import and export of goods, advertising, maintenance and cleaning services, warehousing, gas stations, stores, and many more. It is an opportunity for you to join successful companies and organizations in Dubai and achieve success in the business world.

When you obtain a business license, you get official permission to start doing your business legally in Dubai. An official, approved document will be issued to you proving your eligibility for this, and allowing you to begin practicing economic and commercial activities with confidence and reassurance.

If you are thinking about starting a business in Dubai, a business license is the first and essential step you need to take. Start your journey towards success today and take advantage of all the opportunities that the modern and prosperous emirate of Dubai has to offer.

Types of business licenses in Dubai

There are several types of Dubai business licenses available in Dubai according to local laws and legislation. Some common types of business licenses in Dubai:

• Commercial License: Allows companies to conduct general business in Dubai in any permitted commercial activity.
• Professional License: Issued to individuals who wish to practice a specific profession in accordance with their professional and technical qualifications.
• Industrial License: Allows companies to carry out industrial, manufacturing and assembly activities.
• E-commerce License: Allows companies to do business online and sell products and services over the web.
• Free Zone License: Issued to companies residing in the free zones in Dubai, where they enjoy special policies and facilities from the local government.

These are some of the common types of business licenses in Dubai, and there may be other types available according to special circumstances and requirements. When you want to establish a company in Dubai, it is recommended to contact ITQAN to obtain accurate and comprehensive information about the appropriate business licenses for your specific business activity.

Tips to facilitate the process of obtaining a commercial license

To facilitate the process of obtaining a commercial license in Dubai , some important tips can be followed, and investors must plan early and conduct a comprehensive feasibility study for their project. These tips are represented in the following points:

Start the application process early: Make sure to start the application process at least 30 days before your business start date.
Make sure you meet all the requirements: Make sure you complete all the required documents and pay the fees before submitting your license application.
Choose the appropriate application method: There are many ways to submit a commercial license application, such as electronic submission or through the customer service center.
Keep accurate records:

• Keep careful records of all documents and fees related to your business license.
• This will help you if you encounter any problems in the future.

Use the services of a lawyer or consultant: If you are facing any difficulties in the process of obtaining a commercial license, you can seek the services of a specialized lawyer or consultant. This will help you complete the process quickly and efficiently.

Tax benefits of business licenses in Dubai

One of the attractive benefits of business licenses in Dubai is the significant tax benefits they offer in that there is no income tax for companies. There are several tax benefits to business licenses, and these are some aspects that can be beneficial:

1. No personal income tax: In Dubai, there is no income tax on individuals, including profit earned from businesses.
2. Not imposing corporate tax: In addition to not imposing income tax on individuals, corporate tax is not imposed on companies in Dubai in most sectors.
3. Value Added Tax (VAT) is not charged on many goods and services: In Dubai, a 5% VAT is charged on some goods and services, but there are many goods and services that are subject to exemption from this tax.
4. No capital tax or fees on international bank transfers: In Dubai, no capital tax or fees are imposed on international bank transfers, making it an attractive place for international business.
5. Free Zones and Special Economic Zones: Dubai offers many free zones and special economic zones that provide tax benefits and flexible legislation for companies residing there, making it an ideal stop for business.
6. International agreements to avoid double taxation: The UAE has signed several international agreements to avoid double taxation, which helps reduce taxes imposed on profits made from international business activity.

Steps to obtain a commercial license in Dubai

Dubai is a global commercial center known for its encouraging investment environment, offering exceptional benefits and opportunities to entrepreneurs from all over the world. Obtaining an appropriate commercial license is an essential step to establishing any company or business project in Dubai. We will provide you with a comprehensive guide on the steps to obtain a commercial license. in Dubai:

1. Determine the type of business activity:

Before starting the process of obtaining a commercial license, you must carefully determine the type of business activity that you wish to practice. Dubai offers a variety of types of commercial licenses to meet the needs of various activities, such as the commercial license, which is suitable for practicing commercial activities such as buying, selling, and distribution, and the industrial license, which is Suitable for industrial activities such as conversion, assembly and manufacturing.
As well as craft licenses, which are usually suitable for practicing craft activities such as carpentry, blacksmithing, and printing, and professional licenses, which are suitable for practicing professional activities such as consulting, engineering and legal services, and finally the electronic license, which is suitable for practicing business via the Internet.

2. Choosing the legal form of the company

It is recommended to seek the services of a specialized lawyer or consultant to determine the type of commercial license and legal form appropriate for your business, as Dubai offers many legal forms for companies, such as:

• Limited Liability Company: Suitable for small and medium businesses.
• Joint Stock Company: Suitable for large companies that want to attract external investments.
• General Partnership: Suitable for companies in which two or more people participate.

3. Complete the required documents

The required documents vary depending on the type of commercial license and the legal form of the company. Some common documents include such as shareholder passports, lease contracts, a license application form, and other documents that we will explain in detail later.

4. Payment of fees:

Commercial license fees vary depending on the type of license and the legal form of the company. The renewal fee schedule can be viewed on the Dubai Department of Economic Development website for a link to the renewal fee schedule.

5. Submit a license application

The commercial license application can be submitted electronically or through the Customer Service Center at the Department of Economic Development.

6. Obtaining various types of commercial licenses in Dubai

After fulfilling all requirements and submitting all necessary documents, the Dubai Department of Economic Development will issue a trade license for your company. You must ensure that you submit all required documents correctly and on time, and meet all conditions specified by the department for the type of commercial license you wish to obtain.

Cost of business licenses in Dubai

Certainly, you can get more information about the cost of business licenses in Dubai in cooperation with Itqan Company by contacting them directly. They can provide precise details about the fees and costs related to setting up a company in Dubai, as well as any additional services they can provide to help you in this process. Here are some steps that can be included in the process of obtaining a business license in Dubai in cooperation with Itqan Company:

1. Initial consultation: Submit a consulting request to determine the appropriate type of business license and evaluate your company’s needs.
2. Submitting Documents: Submit all required documents to the Dubai Department of Economic Development, which may include passport, personal photos, rental contracts, and other documents.
3. Submitting the application: Submitting an application to obtain a commercial license and paying the necessary fees.
4. Waiting for approval: After submitting the application, you may have to wait a period to obtain final approval from the Department of Economic Development.
5. Receiving the license: After approval, you will obtain a commercial license that allows you to practice commercial activity in Dubai.

 Documents required to obtain a business license in Dubai

The documents required to obtain a business license in Dubai vary depending on the type of license and the legal form of the company. A complete list of required documents can be found on the Dubai Department of Economic Development website. Here are some common documents:

• Shareholder passports: All shareholder passports must be valid.
• Lease contracts: Lease contracts must be authenticated by the Dubai Land Department.
• License application form: The license application form can be downloaded from the Dubai Department of Economic Development website.
• A copy of the valid commercial license (in case of renewal): You must provide a copy of the valid commercial license if you wish to renew it.
• Legal Awareness Course Completion Certificate: All contributors must receive a Legal Awareness Course Completion Certificate.
• No objection certificate from the Ministry of Labor (for companies with employees): A no objection certificate must be obtained from the Ministry of Labor before hiring any employees.
• Additional documents: In addition to these common documents, you may need to submit additional documents depending on the type of license and the legal form of the company.

Electronic merchant license

One of the types of commercial licenses in Dubai that have been issued in the recent period is the electronic merchant license, in order to keep pace with the developments taking place in the world of commerce, and the spread of buying and selling online through many sites and intermediaries, especially during the spread of the Corona virus pandemic throughout the world, and these are provided The license has many advantages for those who want to trade online, the most prominent of which are:

The trader is able to expand further and the activity he offers becomes more secure.
The Department of Economic Development supervises the project, which increases its formality and becomes quite reliable, which attracts customers.
Whoever obtains the license can participate in any exhibition held by the state without any problem.
The project’s trade name becomes protected by the competent authority so that no one else can use it.

Conditions for obtaining an electronic merchant license

Some conditions have been set that must be met in order for you to be able to obtain the license, and this is what is easily granted by the Tassir Company and this is done by practicing e-commerce activity, including:

• The trader must be over 18 years old.
• Add the merchant’s address details.
• Must have a national ID or passport.
• The license is for one individual only.
• The maximum number of activities that can be practiced through a license is ten.
• If you work in the medical field, you must obtain approval from the Health and Safety Department of the Emirate of Dubai.
• If you work in meal preparation or nutrition in general, you must obtain approval from Dubai Municipality.

Tips to facilitate the process of completing the required documents

By following these tips, you will be able to complete all the documents required to obtain a commercial license in Dubai easily and quickly. Among these tips we mention the following:

• Start the document collection process early: Make sure to start collecting the required documents at least 30 days before the date of submitting your license application.
• Ensure that all documents are correct: Ensure that all required documents are correct and that they are authenticated by the competent authorities.
• Translate all documents into Arabic: All documents that are not in Arabic must be translated into Arabic by a certified translator.
• Keep copies of all documents: Keep copies of all required documents in a secure file.

At the conclusion of this article, it was found that Dubai provides a wide range of business licenses available to companies interested in establishing their business in the city. In cooperation with Itqan Company, you can benefit from the company’s deep experience and knowledge in this field to achieve the best results.

Itqan Company is a reliable and professional partner in providing advisory and foundation services in Dubai. It will provide you with comprehensive support in choosing the appropriate commercial license and the required registration procedures, in addition to providing consultations on the types of commercial licenses in Dubai in the legal, legislative, tax, and other fields.

Regardless of the type of business license you choose, you will be able to benefit from Dubai’s advanced infrastructure that supports business growth. You will also have the opportunity to access a wide network of local and global partners and clients through Itqan.

In short, thanks to cooperation with Itqan, you will enjoy the comprehensive support and professional advice you need to choose and establish the appropriate business license in Dubai. You will be able to achieve your business goals and grow in a fruitful and advanced entrepreneurial environment in the Emirate of Dubai.

The most important frequently asked questions about commercial licenses in Dubai