In 2025, Dubai continues to be a major hub for technology, infrastructure, and professional services. Businesses that offer specialized or skilled services such as electrical work, plumbing, HVAC installation, painting, carpentry, and IT-related solutions are required to obtain a Technical Services Licence in Dubai. Whether you’re a local entrepreneur or an international investor, this guide will help you understand everything about this licence—step by step.
What is a Technical Services Licence in Dubai?
A Technical Services Licence allows companies and individuals to legally offer manual or professional trade services across Dubai. Issued by the Department of Economy and Tourism (DET) or relevant Free Zone Authorities, this licence covers a wide range of activities related to construction, maintenance, repair, and technical support.
If you plan to start a business that provides services like electrical fitting, plumbing work, air conditioning installation, or IT maintenance, you’ll need this licence to operate lawfully in the emirate.
Why Choose Dubai for Technical Services Business in 2025?
Dubai in 2025 offers unmatched opportunities for skilled service providers. The city is growing rapidly with new buildings, infrastructure projects, and an expanding corporate sector. These developments require constant technical support, making technical services a high-demand industry.
Foreign investors are encouraged through:
- 100% foreign ownership for many activities
- Fast and easy business registration
- A tax-friendly regime
- World-class infrastructure
- A transparent regulatory environment
Who Needs a Technical Services Licence?
Anyone planning to offer hands-on services like plumbing, electrical work, painting, HVAC installation, or IT cabling in Dubai needs a Technical Services Licence. Whether you’re a solo expert, small business owner, or running a full team, this licence makes your work legal, credible, and ready for contracts across the city.
Business Owners and Entrepreneurs
If you want to start a business that offers services like painting, carpentry, AC maintenance, or cable installation, you’ll need this licence.
Technical Professionals
Professionals who wish to legally offer freelance services in Dubai must also register their work under a proper licence.
SMEs and Startups
Smaller companies working with corporate clients, real estate firms, or offering outsourced maintenance contracts are required to operate under this licence.
Activities Covered Under Technical Services Licence
This licence includes a wide list of permitted services. Here are some of the most common:
- Air Conditioning & Ventilation System Installation
- Plumbing & Sanitary Contracting
- Painting & Decorating Contracting
- Electricity Transmission & Installation
- Floor & Wall Tiling Services
- Partitions & False Ceiling Contracting
- Carpentry & Flooring Work
- Plaster & Cladding Work
- Satellite Equipment Installation
- IT Infrastructure & Cabling Services
- Cleaning Services (Non-Hazardous)
You must clearly define your activity when applying, as each is associated with a different code and licensing requirement.
Types of Jurisdictions for Licensing
When starting a technical services business in Dubai, you can choose from three main jurisdictions: Mainland, Free Zone, or Offshore. Mainland lets you operate across the UAE, Free Zones offer 100% ownership, and Offshore is more for holding companies—not suitable for on-ground services. Each option suits different business goals.
Mainland Licence (DED)
This is issued by Dubai’s Department of Economy and Tourism and allows your business to work anywhere in the UAE, including directly with government bodies and clients.
Free Zone Licence
These are issued by Free Zone authorities and are ideal if you only want to operate within the Free Zone or do international business.
Offshore Entity
Offshore structures are not suitable for technical services, as they are not allowed to operate physically within the UAE.
Key Steps to Get a Technical Services Licence in 2025
To get a Technical Services Licence in 2025, choose your business activity, decide between Mainland or Free Zone, reserve a trade name, submit documents for initial approval, arrange office space, and pay the licence fee. Once approved, you can start operations, hire staff, and open a business bank account in Dubai.
Step 1: Define Your Activity
The first step is to clearly define the technical service you want to offer. Each service corresponds to a business activity code.
For example:
- “Plumbing and Sanitary Installation Contracting”
- “Air Conditioning Maintenance Services”
Step 2: Choose Mainland or Free Zone
Decide where you want to operate:
- Mainland is best for working across Dubai and with local businesses.
- Free Zone is ideal if you want to enjoy 100% ownership and work internationally.
Step 3: Reserve Trade Name
You need to select and register a trade name. Make sure it:
- Reflects the nature of your business
- Is not already in use
- Doesn’t contain offensive or restricted words
Step 4: Apply for Initial Approval
Submit basic documents to get initial approval:
- Passport copies
- Emirates ID (if applicable)
- NOC (for existing visa holders)
- Activity selection
- Trade name approval
Step 5: Arrange for Office Space
You’ll need to show proof of a physical office or warehouse space. In the mainland, this is a legal requirement. In Free Zones, you may opt for a flexi-desk.
Step 6: Final Documentation & Payment
Submit final paperwork, pay the relevant fees, and receive your Technical Services Licence.
Once your licence is issued, you can apply for visas, open a corporate bank account, and start operations.
Cost of a Technical Services Licence in Dubai
The cost depends on your jurisdiction and business model. Here’s a rough idea:
Mainland Setup
- Licence issuance: AED 10,000–15,000
- Office rent: AED 10,000+
- Visa: AED 3,500–5,000 per employee
- Government service fees
Free Zone Setup
- Licence package (with flexi-desk): AED 12,000–18,000
- Additional visas (optional)
- Establishment card and immigration fees
Pro tip: Choose bundled packages from Free Zones to save on setup and operational costs.
Documents Required
- Passport copies of shareholders
- Passport-sized photos
- Entry stamp or UAE visa page (if resident)
- Trade name reservation
- Lease agreement or flexi-desk contract
- MOA or LSA agreement (Mainland)
Can You Own 100% of Your Technical Services Company?
Yes. As of recent reforms, foreigners can own 100% of many types of businesses in Dubai Mainland, including technical services. However, for some regulated activities, a Local Service Agent (LSA) may still be required.
Do You Need a Local Sponsor?
In Free Zones: No.
In Mainland: Some technical services still require a Local Service Agent—a UAE national who does not hold shares but acts as a liaison.
Benefits of a Technical Services Licence
- Legal business presence in Dubai
- Eligibility to open corporate bank account
- Ability to sponsor staff and employees
- Access to government tenders
- High trust and credibility with local clients
- Opportunity to work on long-term contracts
Challenges to Avoid
- Choosing the wrong business activity code
- Not understanding labour and immigration compliance
- Using trade licence for restricted activities
- Failing to renew your licence on time
- Not maintaining proper office space or lease
Avoid these pitfalls by working with professional business consultants in Dubai.
Post-License Requirements
Once you get your licence:
- Open your business bank account
- Apply for staff visas
- Register with VAT (if your revenue exceeds AED 375,000)
- Maintain proper accounts and renew your trade licence every year
Tips for Success in 2025
- Choose your Free Zone or Mainland jurisdiction carefully
- Avoid shortcuts in activity selection
- Invest in a proper office (even a flexi desk)
- Focus on building strong contracts with clients
- Stay compliant with labour and immigration laws
Conclusion
Starting a technical services business in Dubai in 2025 can be a smart and profitable move. The city offers the right mix of infrastructure, demand, and legal support to grow a successful enterprise. But your journey begins with getting the right Technical Services Licence.
Whether you’re offering AC maintenance, cable installation, or IT support, securing the proper licence is not just a formality—it’s your foundation for trust, growth, and long-term success in the UAE market.
If you’re ready to take the next step, work with experienced business setup professionals who understand local regulations, business culture, and licensing procedures.
Business Setup in Dubai starts with the right guidance—make sure you’re prepared.
FAQs
What is the validity period of the Technical Services Licence?
It is valid for 1 year and must be renewed annually to remain active.
Can I apply for multiple services under one licence?
Yes, but only if the services fall under the same licence category and are approved under one group of activities.
Is there a minimum capital requirement?
In most cases, there is no minimum capital for technical service companies in Free Zones or Mainland.
Do I need an office to get a licence?
Yes, a physical address is required. In Free Zones, a flexi-desk is enough. In Mainland, a leased office is needed.
Can I operate all over the UAE with this licence?
Only a Mainland licence allows full access across the UAE. Free Zone licences are limited unless you work through agents.
How long does the process take?
If documents are complete, the licence can be issued in 5 to 10 working days, sometimes faster in Free Zones.
Can I open a bank account with this licence?
Yes, your trade licence enables you to open a corporate bank account in the UAE.
