An investor can apply online within a maximum of 15 minutes to start their business in the mainland UAE. Starting a business in the ordinary way requires a series of steps, procedures and approvals from the Ministry of Economy and other government agencies. This page describes those steps and the investor’s journey to start a business in mainland UAE.
Starting a business online
The UAE government has introduced the Bashr service to start a business. Bashr is an integrated eService that allows investors to establish their business in the UAE in 15 minutes through a unified online platform. This platform is connected to federal and local government agencies, which provide business licensing services. Read more about Bashr.
Abu Dhabi Business Center offers investors a direct licensing service to start their online business and obtain business license without having to visit the service center. Apply directly for a license in Abu Dhabi by clicking here.
Starting a Physical Business in Dubai, UAE
Starting a business in ordinary ways involves a series of steps, including:
- Identifying a business activity
- Selecting an appropriate legal form
- Registering the trade name
- Applying for an initial approval
- Drafting a Memorandum of Association and local service agent agreement
- Select a business location
- Get additional government approvals
- Submit documents and pay fees
Choosing Type of Business Activity
Commercial activity is the basis for selecting the legal form and type of license, be it commercial, industrial or professional, etc. There are six types of licenses. They are: industrial, commercial, professional, tourism, agricultural and occupational.
Notes:
- An investment/business can have more than one business activity.
- There are more than 2,000 business activities to choose from in the UAE.
Legal Structure of Your Business Setup
The legal form mainly depends on operational requirements. In addition, the legal form serves as the basis for identifying applicable laws and regulations. In the UAE, an investor can choose one of these legal forms:
- General partnership
- Limited partnership
- Limited liability company (LLC)
- Public joint stock company (PJSC)
- Private joint stock company (PrJSC)
- Civil company
- Local company branch
- GCC company branch
- Foreign company branch
- Free zone company branch
- Sole establishment
- Holding companies.
Choosing a Trade Name for your Business
A trade name separate one company from another. It also reflects the nature and shape of the company. An investor can implement for the trade name through the economics department of any emirate, via its website or mobile application.
Provisions for selecting the trade name:
The trade name must:
- be followed by the business structure acronym (legal form of the company) such as: LLC, EST, PJSC, PrJSC
- not violate the public morals or the public order of the country
- be compatible with the required type of activity and the legal status of the company or business entity
- not contain names of any religion, or governing authority, nor names or logos of any external bodies
- not have been previously registered.
During the application process, you will be issued a payment voucher or a transaction number, which you will need to use as a reference when you pay.
Notes
- The local department of economic development registers the trade name, while Ministry of Economy registers the trademark.
- Trade name certificates are renewable.
Getting Initial Approval for your Trade License
A first approval means that the UAE government has no objection to the establishment of the company in the country. It also allows the investor to proceed with the next steps in setting up a business. However, it does not confer authority to conduct or carry out the business.
Foreign investors must obtain approval from the Directorate General for Residence and Foreign Affairs before receiving initial approval.
Some activities require additional approvals from government agencies associated with that particular activity before requiring first approval. These include activities related to legal affairs, security affairs and financial securities and commodities.