Starting a general trading business company in Dubai seems prolific and productive. Simply, Dubai is among the top cities with a stable economy and business-friendly environment for investment. The majority of foreign investors are seeking for business setup in UAE due to the favorable global market reach the country presents to the investors. Therefore, jumpstarting a general trading business company in Dubai is a sure bet that the business will accrue a high return on investment.
So, starting a general trading business in Dubai will compel you to first create a sound business plan for your company, decide solely on the business activities, select a company name and apply for business licenses. Additionally, selecting the appropriate business jurisdictions, finding sponsorship, and opening bank accounts are the major steps to take when starting a general trading business company in UAE.
Therefore, when you set your trading business in Dubai, you can as well opt to get DED general trading license for your business. Thus, instead of trading one product in the marketplace, with this type of licensing, you can sell and purchase different products under one approval. I know you’re disturb to know what DED general trading license is, right? Before we discuss how to start a general trading business company in Dubai, let’s unleash the benefits of acquiring a DED license and what it entails.
Without further ado, let’s dive in;
What is DED General Trading License?
It can also be referred to as a mainland trade license. Therefore, you can get this type of license from the Dubai Department of Economic Development, commonly known as DED. Generally, having this permit allows you to trade different types of commodities from the UAE mainland.
Conversely, this type of permit differs from other licenses, especially the Free zone general trading license. The mainland trading license gives you room to trade from any place or anywhere in UAE rather than being restrain to trade only in specific places within UAE.
Having the above data in mind, how will DED general trading license benefit your business? Let’s find out;
- The license allows you to trade different unrelated goods
- It makes your company flexible
- You need no other license to trade anywhere
Generally, it will be more prudent to start a general trading business company in UAE and find yourself in a hassle-free environment. That means; you can sell and buy different products at your disposal. And having a DED general trading license will help you skyrocket your company effortlessly.
Now that you’re familiar with the type of license to secure for your trading business; how do you start s general trading business company in UAE? To get more information, continue reading.
How to Start a General Trading Company in Dubai
1. Create a Business Plan
Creating a business plan is always the first step when starting a general trading business company. Typically, a business plan is like a roadmap with all the nitty-gritty you’d want to achieve in your business.
Therefore, when creating a business plan, you’ll be coaxed to include certain aspects such as the existing and the future market condition, number of employees in your company, competition in your business field, marketing strategies, business center, and budget of your business.
So, the above factors might determine how your business may operate in the future. That means; a business plan is so crucial you cannot neglect it if you want your business to be productive in the long run.
2. Select a Company Name
After crafting your business model, you cannot start your business without a brand or company name. Thus, selecting a company name will follow suit to help customers track or trace your business.
Usually, selecting a profitable business name perturbs a lot of business investors. If you’re clueless about which name to pick, you can liaise with a professional business setup consultant in Dubai for help.
Nonetheless, a company name ought to align with be objective of your business. Or you can decide to name your business in a way that offers a solution from the get-go when your customers articulate it. In addition, you should not use jargon or words which are difficult to be pronounce when naming your company.
In fact, let your company name be short, memorable, and simple.
3. Select Appropriate Business Activities
Choosing the appropriate business activities for your general trading business company will help you land a suitable licensing option. When starting a trading business, one thing is dependent on the other.
For instance, it is somewhat abnormal to apply for a business license if you don’t know the activities your business will be involve in. So, you must decide on the appropriate business activities first, so that your license might befit what you are offering.
After you’ve settled on the nature of your business activities, move to the next step.
4. Apply for Business Licensing
This process will be effective if you are now set on what activities you are running in the UAE marketplace. Therefore, you can apply to secure a DED general trading license. Having this permit might help your company to trade anywhere in UAE.
In the same vein, a business permit paints a good picture for your customers and fosters trust when they do business with you. Additionally, having a license displays professionalism and seriousness in work. As an investor in UAE, make sure you apply for a business license in your specified field to help your business gain a positive reputation in the marketplace.
5. Select an Ideal Business Jurisdictions
Typically, the UAE marketplace is group into 3 different jurisdictions including the Mainland, Offshore, and Free Zone. Each zone has its set protocols and bodies that govern its market. Moreover, every jurisdiction is accompanied by its pros and cons. However, depending on the nature of your business, you are free to select a jurisdiction that corresponds to the mission, objective, and goal of your business.
In offshore jurisdiction there is no license application, however, in mainland and free zone you must apply for your business license. Also, offshore is design to operate outside its country of origin. If that is what your business is seeking to embrace, then offshore might be a good start for you.
That means; before you start a general trading business company in Dubai, you must understand the nature of your business and which jurisdiction best suits your business.
Starting a general trading business in Dubai might be a daunting task, especially for startups. However, to get things up and running, you need to first create a business plan. A plan will essentially help you organize and narrow down what your business needs. Similarly, you need to have a company name, select the business and apply for DED general trading license.