For many business owners around the world, Dubai is their dreamland to run a business. After all, the place is known for its strategic trading location, situated between large markets such as Europe and the Middle East.
If you are interested in starting a business in this area, one of the most important tasks you need to take care of is picking the correct type of license. The type of business you are running will affect this decision. For instance, if you want to become a manufacturer, then you will opt for a manufacturing license!
For the purpose of this article, we will focus on commercial licenses—one of the most common types of licenses you will find here. A commercial license is a type of license that allows you to import, export, and trade in Dubai and throughout the UAE.
If you are interested in getting one, here is everything you need to know:
The cost of getting a commercial license
One of the biggest concerns for many business owners is the cost of obtaining a commercial license—and for a very understandable reason too!
The license itself will cost approximately AED 10,000 to get. This does not factor in other things, like visas, registrations, and other additions—all of which can quickly shoot the cost up to over AED 30,000. In other words, getting a final number on the cost of obtaining the license can be tough to do by yourself.
Working with an expert formation agency to help with the process can give you the information you need to be better prepared to start a business in Dubai or anywhere in the UAE. Not only can they streamline the process, but they can help factor the cost much more accurately before you even start!
Types of business activities covered by a commercial license
There are many types of business you can pick from that are covered by the commercial license. This includes companies that sell electronic products, companies with import and export activities, real estate service providers, and more. Tourism is also included under the commercial license, and the license can cover even healthcare facilities.
The procedure of obtaining a commercial license
To get a commercial license, you will need to pick a type of business that fits into the license’s requirements. You will also need to create a draft of your company’s Memorandum and Articles of Association, including activities that need to be done.
After that, you will need to register your company according to the type of business you have picked to the Department of Economic Development in Dubai, along with obtaining a VAT number. Finally, you need to pay the fees associated with the registration of your company, along with the fee for the commercial license.
Only after the above activities are done can you finally obtain your commercial license!
Though the process may seem quite simple, it can get a little confusing, especially if you do not know what you are doing. As such, if you find yourself stuck in any part of the process, we highly recommend working with a business setup company to assist you in your efforts.
With the professional counselling and professional advice you can get, you will be fully prepared for what’s to come! This ensures that everything you need to obtain, including the licenses you need, can be properly obtained, allowing you to run your business smoothly and with peace of mind.
Dubai Business Setup is a business setup and company formation expert, offering assistance to those looking to start their venture in Dubai successfully. If you need business setup services in the UAE, work with us today!