One Central – Offices No. 4 Dubai | Office: +971 45686046
ITQAN is a company that specializes in business setup and business growth

Open a business license in Dubai

Open a business license in Dubai

Open a business license in Dubai

Opening a business license in Dubai is an essential step for any individual or company seeking to start doing business in one of the fastest growing cities in the world. Dubai is known as a global hub for business and trade, providing a flexible and supportive investment environment, as well as advanced infrastructure and advanced government services. Obtaining a business license is not just a legal procedure, but rather your gateway to a diverse and dynamic market that includes many opportunities for growth and success.

In this article, Opening a Commercial License in Dubai , we will review in detail the types of commercial licenses available in Dubai, the steps that must be followed to obtain a commercial license, in addition to the costs associated with this process. This information will be a comprehensive guide that will help you understand the legal and financial procedures and requirements related to opening a business license in Dubai , enabling you to make informed and strategic decisions for your business venture.

Open

Open a business license in Dubai

Types of business licenses in Dubai

Dubai is considered one of the most prominent global destinations for business and investment, thanks to its advanced infrastructure and thriving economic environment. Dubai provides a variety of business licenses that meet the needs of various economic activities. Business licenses in Dubai can be classified into three main types: commercial licenses, industrial licenses, and professional licenses. In this section, we will review each type of these licenses and the details that fall under them.

Commercial licenses

Trade licenses are the most common in Dubai, and cover a wide range of business activities that include retail and wholesale, general trade, import and export, among others. Investors who want to engage in any type of business activity need to obtain this license. Trade licenses are essential for companies that aim to sell their products or services in the local or international market.

Industrial licenses

Industrial licenses are intended for companies that intend to carry out manufacturing or production activities. These activities include manufacturing, assembly, packaging, and other industrial processes. This license requires approvals from multiple entities, such as the Dubai Economic Development Authority and Dubai Municipality, to ensure compliance with environmental and health standards. Industrial licenses are essential for companies aiming to establish factories or production units in Dubai.

Professional licenses

Professional licenses are intended for individuals and companies that provide professional or consulting services. These services include engineering, management consulting, legal services, accounting, training, health services, and others. Obtaining this license requires the availability of the necessary qualifications and certificates to practice the profession, in addition to obtaining approvals from the competent authorities. Professional licenses are essential for independent professionals and companies that provide specialized services in multiple fields.

In short, Dubai provides a variety of business licenses that meet the needs of various economic activities, which contributes to enhancing the business environment and attracting more local and international investors.

Steps to obtain a commercial license

Opening a business license in Dubai requires following a set of basic steps that ensure the process runs smoothly and complies with local laws and regulations. Below we review the main steps that must be followed to obtain a commercial license in Dubai:

  • Choose the type of business activity

The first step in the process of obtaining a business license is to determine the type of business activity you wish to engage in. Dubai offers a wide range of business activities to choose from, whether commercial, industrial or professional. It is important to have a clear idea of ​​the type of business you want to undertake, as this will greatly influence the type of license you will need and the requirements that will need to be met.

  • Trade name registration

After determining the type of business, you must register the trade name of your business. The trade name is the legal identity of your business and must be unique and not used by any other business in Dubai. You can check the availability of trade names via the Dubai Department of Economic Development’s online portal. After selecting the appropriate trade name, you must submit an application to register it and obtain the necessary approval.

  • Obtaining the required approvals

Some businesses may require additional approvals from certain government agencies before they can begin operating. For example, if you intend to open a restaurant, you may need approval from Dubai Municipality and the Food Health and Safety Department. Be sure to review the requirements for your business and obtain all necessary approvals before submitting your business license application.

By following these steps, you can ensure that the process of obtaining a business license in Dubai is easy and organized, giving you the opportunity to focus on developing and growing your business in one of the fastest growing cities in the world.

Costs

Costs of opening a business license

Costs of opening a business license

When considering opening a business license in Dubai , it is essential to take the costs of the process into consideration to ensure good financial planning and avoid any unexpected surprises. Costs are divided into several main aspects, including registration and licensing, location and facilities, and finally labor and operating costs.

  • Registration and licensing costs

Registration and licensing costs are one of the first expenses you will face when starting a business in Dubai. These costs include fees for obtaining a commercial license from the Department of Economic Development, in addition to fees for registering the trade name and fees for issuing the necessary permits to practice commercial activity. These fees vary based on the type of business and the region in which the business is established.

  • Location and utility costs

Location and facilities costs include a wide range of expenses associated with creating the right place to run a business. Among these costs, we can mention the rent of the site, whether it is an office, a store, or a factory, in addition to the costs of equipping the place with basic facilities such as electricity, water, and the Internet. You may also need to rent or purchase the furniture and equipment needed to run the business efficiently.

  • Labor and operating costs

No business can succeed without a qualified team. Labor and operating costs include the wages and salaries you will pay employees, as well as training and professional development costs. Employee health and social insurance costs must also be considered, as well as day-to-day expenses related to operating the business such as transportation costs, communications, and office supplies.

Through good financial planning and identifying the costs associated with each aspect of opening a business license in Dubai, new entrepreneurs can ensure a strong and stable start for their business.

Our company’s role in opening a commercial license in Dubai

At the conclusion of this article, we find that the process of opening a commercial license in Dubai is an important strategic step for any individual or company seeking to benefit from the thriving economic opportunities in the emirate. From choosing the appropriate type of business activity, to registering the trade name and obtaining the necessary approvals, to the costs of registration, licensing, location, facilities, and labor, this process requires careful study and careful planning to ensure success and continuity.

Dubai provides a competitive and attractive business environment thanks to its advanced infrastructure and policies that support investment, making it a preferred destination for entrepreneurs and investors from around the world. Despite the challenges you may face during this journey, adherence to legal procedures and good financial planning can contribute significantly to achieving the desired goals.

Therefore, it is necessary to employ legal and economic experts and advisors to ensure that the process runs smoothly and in accordance with local and international requirements. In the end, opening a commercial license in Dubai represents the beginning of a long journey full of promising opportunities, and every investor must be prepared to exploit them in the best possible ways to achieve success and prosperity.

Frequently asked questions about opening a business license in Dubai

What types of business licenses are available in Dubai?

Commercial license: to trade goods and products. Industrial license: for manufacturing products and goods. Professional license: to provide professional and consulting services.

What documents are required to open a business license in Dubai?

a copy of the passport. A copy of the residence visa. A copy of the Emirates ID card. Approval from the relevant authorities (if necessary).

How long does it take to obtain a commercial license in Dubai?

The process of issuing a commercial license can take from a few days to several weeks, depending on the type of business activity, the speed of submitting the required documents and meeting the conditions.

Can foreigners open a business license in Dubai?

Yes, foreigners can open a business license in Dubai. Foreigners can own 100% of the company in free zones, while companies in core areas require a local partner to own 51% of the company’s shares, unless the company is established under some new laws that allow full foreign ownership in some sectors.

Do companies in Dubai need initial approval?

Yes, most companies need to obtain initial approval from the Dubai Department of Economic Development before starting the process of registering the company and issuing a trade license.