How to do Trade License Renewal in Dubai: 2022 step-by-step Guide
Dubai’s the most profitable economy and it is becoming the invigorating business hub of the middle east and the whole world. Business people of different nationalities have found Dubai advantageous to open a business in the UAE. One of the main reasons is its straightforward process of registering a business and getting a trade license in Dubai. However, all businesses have to renew their trade license each year as per government regulations.
Without a trade license, no business can run its operations. The department of economic development (DED) is responsible for trade license issuance and trade license renewals in Dubai and UAE. The documentation and paperwork can be a lot and taking the help of experts would be a wise decision. In this blog, we will talk about all the documents you require for the license renewal process.
Why is DED Trade License Renewal Important?
Your DED license must be renewed as it is important for several reasons. First, it ensures that your business is up to date with the latest regulations. Second, it allows you to keep your business running smoothly and efficiently. Third, it shows your customers that you are committed to providing them with the best possible service. Finally, it helps you build a good relationship with the Department of Economic Development.
If you do not renew your trade license, you will not be able to conduct business activities in Dubai and may face penalties. Before you learn about the DED license Dubai renewal, you must be aware of the fact that regardless of which business you’re planning to set up in Dubai, or other emirates of the UAE, you need to get a trade license from the authorities. The license would be valid for at least one year. The renewal of the trade license can be completed smoothly if you collaborate with local business setup companies like Vigor business setup.
What documents are required for Trade license Renewal in Dubai?
The application for DED license renewal has to be submitted at least one month before the expiration date. Otherwise, there will be a fine of around AED 250 every month without external penalties. There are almost 50 free zones in the whole UAE. Each zone has different paperwork requirements to renew different types of licenses. If you have business in Dubai mainland or the free zone, the DED might ask for the submission of the following documents for trade license renewal in Dubai.
Before applying for the renewal be sure that it has still one month of validity with EJARI approval. Otherwise, the Department of Economic Development Dubai can reject your registration request for not following the regulations.
Having a tenancy contract with EJARI approval is compulsory for trade license renewal registration. EJARI issues a confirmation certificate with a tenancy contract which means you can move further for Dubai trade license renewal.
Previous Trade License
Attach your old trade license to get the new one. A copy of your old trade license would not be accepted and can lead to the dismissal of the renewal application. Your current trade license must have a validity of one month before the process.
The BR/1 form is basically a trade license renewal form. You need to submit it along with a valid trade license. Before submitting to DED, make sure that all the existing partners and shareholders have signed the form. Hundreds of commercial trade licenses and professional trade licenses get rejected because they fail to meet the requirements of government authorities.
The last thing is to attach the passport copies of all the business partners and shareholders as it is mandatory to show they are aware of the business license renewal process. If you don’t have any, you should submit only yours. These are all the documents required for the trade license renewal process in Dubai.
A step-by-step guide to the process of trade license renewal
You can apply online as well as offline for the DED license renewal application. It is up to your convenience how you want to apply.
Applying for an expired trade license can harm your business and may halt your renewal process. You need to renew the license in time before its expiration date to be on the safe side. Here is how you can do that:
Your tenancy contract must be valid for 30 days above when you apply to renew a trade license. The expired one is considered invalid and it can fail to renew your license.
Now gather all the mentioned-above documents and fill out the BR/1 form. Submit them to the Department of economic development Dubai.
After the submission, the DED would go through the necessary inspection and you will be contacted to pay for the renewal fee after the verification. You will receive the voucher; make the payment of the license fee to complete the process of trade license renewal. You will obtain a trade license within 2 to 3 days. You can make the payment on your mobile as well.
Get in Touch with Vigor Corporate Services
Applying for a trade license in Dubai becomes easier if you get in touch with Vigor consultants who have been doing this for years now. Get your license renewed with us. We have been helping hundreds of entrepreneurs with their commercial and professional licenses every year. Our experts will guide you through the process of renewal and will make sure things are going in the right order and direction. To get more license information regarding renewal, contact us today.