CHOOSE THE RIGHT DUBAI MAINLAND LICENCE
Our professionals are committed to helping you choose the best, most direct Dubai mainland license for your business. Whether your’s is a commercial, an industrial or whatever kind of business, our experts can provide you with custom-designed assistance for choosing the license which best fits the nature and objectives of your company.
A business license is a fundamental prerequisite for any enterprise operating in the UAE mainland. Business activities covered include 12 types, and a corporate license is required to continue legal operations in the high-energy UAE mainland business environment.
Like many locations worldwide, entrepreneurs and companies in the United Arab Emirates must obtain a trade license to legitimize their mainland company as a legal entity. This trade license is a prerequisite before business activities and is held for free zone jurisdictions and Mainland Dubai.
Having a trade license in Dubai guarantees your customers that you are an actual business with full compliance to the local laws and regulations. Among the many procedures in mainland business registration, acquiring a trade license in Dubai is paramount for any successful setup. The key to establishing your mainland company for the long run when starting a new business in UAE is getting an appropriate trade license. There are circumstances that can affect the sort of trade license needed and associated demands based on the way you run your business, its structure and where it’s located.
Types of mainland trade licence
You must have one trade license to do business or become an entrepreneur in the UAE, especially in the Dubai mainland. Different trade licenses are issued by The Department of Economic Development (DED) to facilitate businesses in providing services or engaging themselves in specific activities.There are two major types of trade licenses in Dubai: the Professional Trade License and the Commercial Trade License.
Professional Trade License
To be eligible to provide professional services within the Dubai mainland, UAE businesses, and entrepreneurs must have a Professional Business Trade License from DED by law. This credential is indispensable for every expert, specialist, craftsman, and artisan, proving they have the right to assist in a given profession. Professionals with specific skills or training can only obtain this license. To begin with, there are mainland company structures that can be established using a professional license. These include the Limited Liability Company (LLC), where foreign investors must hold 51 % ownership, and the Civil Company or Sole Establishment, where they have 100% control. But in the case of a Civil Company or Sole Establishment, according to legal requirements, at least one UAE national must be appointed as LSA.
Commercial Trade License
A mainland company must hold a Commercial Trade License if it wants to do business such as buying and selling goods, commodities, or trade activities in the UAE. This flexible license can set up a Limited Liability Company (LLC) or Sole Establishment. It is relevant to both specialized and general trading undertakings. Different categories of commercial trade licenses are also intended for different types of businesses, so it is important to choose the right type to conform to your activity. In Dubai, entities such as broadcast and communications companies, rental transportation services, retail stores (including Internet-based trading firms), construction firms.; and healthcare businesses’ real estate-related concerns must apply for a Commercial Trade License.
No matter what kind of Trade License one chooses to apply for, the process regulating a company’s formation has its requirements that must be carefully considered. GCS Group experts are here to guide you through this procedure and ensure a smooth business establishment on the bustling Dubai mainland.
Industrial Trade License
UAE businesses engaged in industrial or manufacturing activities must obtain an Industrial Trade License. With this license, they can engage in operations that involve converting natural materials or incorporating natural resources into their products. Issued by the Department of Economic Development (DED), obtaining an Industrial Trade License often requires further approvals from other ministries, e.g., the Ministry of Finance, the Ministry of Economy, etc.
Conditions for obtaining a UAE trade license
Dubai’s economic department helps with the application process for a mainland license in Dubai. To ensure a smooth application process, businesses must adhere to legal requirements, including:
- Determine Business Category: Ascertain whether the business belongs to the professional, commercial, or industrial category.
- Specify Business Activity: Define precisely the business it will carry on.
- Determine Legal Structure: Determine the legal form of the business entity: a Limited Partnership, Public Joint Stock Company (PJSC), Ltd., or Private Joint Stock Company (PrJSC).
- Choose a Trade Name: Decide on a business name and ensure it meets the regulations.
More Steps in the Licensing Procedure
- The local Department of Economic Development enters the trade name.
- If applicable, the trademark is registered by the Ministry of Economy.
- Depending on the business’s legal form, signing and filing a Memorandum of Association (MoA) or Local Service Agent Agreement (LSA) may be necessary. MoA is required for legal documents such as Limited Partnership, PJSC, LLC, and PrJSC.
Dealing with the complexity of licensing and regulatory requirements on the Dubai mainland can be confusing. You should seek assistance from a business setup specialist to ensure all applicable licenses and permits are obtained. As a leading corporate service provider in the UAE, GCS Group offers comprehensive support to start your company with an appropriate Dubai mainland license. This will provide you with a sound foundation for future growth and success. Our value-added business support services also help enhance your company’s strength and competitiveness in the marketplace. Unless you’re sure which trade license is best for your business, please contact us today, and our experienced team will guide you through the whole process.