Factors affecting the cost of a general trading license in Dubai

• Company location (Dubai Economic Zone or Free Zones): Fees vary between Dubai Economic Zone, which offers more options for companies within the emirate, and free zones, which offer benefits such as full ownership but at varying costs.
• Type of business activity: Some activities require additional approvals or higher fees compared to regular activities, especially if they are related to strategic or restricted sectors.
• Number of activities included in the license: The more business activities under the same license, the higher the total fees due to the increased transactions and approvals required.
• Rental space or virtual office: The cost of renting a physical office or coworking space directly impacts the total cost, as it is a prerequisite for issuing a license.
• Number of partners or shareholders: If there are multiple partners, the incorporation fees may increase due to the addition of notarized contracts and additional registration fees.
• Government and administrative fees: These include trade name reservation fees, security approvals, registration fees, and Chamber of Commerce fees.
• Visa Issuance: If the investor wishes to obtain visas for himself or his employees, this adds an additional fee to the total cost of the license.
• Additional services from business providers: Sometimes investors turn to consulting firms to facilitate transactions, which can increase the total cost.

Additional fees associated with a general trading license in Dubai

• Trade Name Reservation Fee: Paid when the company name is chosen and officially approved.
• Initial approval fees: In exchange for obtaining the approval of the competent authorities to begin the licensing procedures.
• Chamber of Commerce Fees: Mandatory for company registration with Dubai Chamber of Commerce and Industry.
• Rental Contract Fees (Ejari): To document the office or workspace contract within Dubai’s regulations.
• Translation and notarization fees: If there are documents that require certification or legal translation.
• Visa issuance fees: for the investor or company employees.
• Additional government service fees: such as stamp fees, printing fees, and security approvals for some activities.

Steps to obtain a general trading license in Dubai

• Determining the business activity: The first essential step is for the investor to select the activities  wishes to pursue under the license, ensuring they comply with Dubai’s economic regulations or free zones.
• Trade Name Reservation: Register a distinctive name for the company that complies with the requirements of the Dubai Department of Economic Development. This name serves as the official identity of the facility.
• Obtaining preliminary approval: Apply to the relevant authorities to obtain preliminary approval that will allow you to proceed with the remaining procedures.
• Preparing the articles of association or partners’ agreement: The contract is legally documented if there is more than one partner, and it is a basic requirement for establishing the business entity.
• Choosing a company headquarters and documenting the lease contract (Ejari): Determine a physical office or virtual workspace, and officially document the contract with the relevant authorities.
• Submitting documents and paying fees: Upload all required documents, such as passport copies, lease contracts, and preliminary approvals, then pay the general trade license issuance fees.
• Receiving the commercial license: After completing all the previous steps and paying the fees, the general license is officially issued, granting the investor the authority to begin conducting their commercial activities.

Documents required to obtain a general trading license in Dubai

1. A copy of the passport of all partners or shareholders.

2. A recent passport-sized photograph of the investor or manager with a white background.

3. A copy of the residence visa or entry stamp (for non-residents).

4. Trade name reservation request approved by the competent authority.

5. License application form signed by partners.

6. The articles of association or partners’ agreement must be certified by official authorities.

7. Officially notarized office lease or workspace contract (Ejari) .

8. Initial approval from the Department of Economic Development or the competent authority.

Features of a general trading license in Dubai

• Diversification of activities under one license: It gives investors the freedom to engage in a variety of commercial activities, such as importing, exporting, and trading in consumer goods, without the need to issue multiple separate licenses.
• Flexibility for business expansion: The ability to easily add new activities or expand into different sectors, making it an ideal choice for companies targeting rapid growth.
• Ease of procedures: The steps for obtaining and renewing a license are clear and quick compared to some other types of licenses, saving investors time and effort.
• 100% foreign ownership in free zones: Allows foreign investors to have complete control over their business while benefiting from advanced infrastructure.
• Access to local and global markets: Dubai’s strategic location allows traders access to regional and global markets via advanced ports and airports.
• Building trust and credibility: Having an accredited general trading license enhances a company’s standing with customers and suppliers and increases partnership opportunities.
• Visa Opportunities: Enables investors and their employees to obtain company-linked residency visas, facilitating business operations from within the UAE.

Important Tips for General Trading License Cost in Dubai

• Define activities precisely: Choosing the right activities from the start helps you avoid additional fees or the need to modify your license later.
• Comparing Dubai Economic Zones and Free Zones: Each entity offers different advantages in terms of fees and permitted activities, so it’s important to determine which one best suits your investment plan.
• Estimate Additional Costs: Consider the costs of reserving a trade name, leases, Chamber of Commerce fees, and company-related visas.
• Planning for annual renewal: Knowing the cost of license renewal ensures that your business continues without interruption or fines.
• Hiring experts: Hiring specialized consultants like the Tassir team saves you time and effort and ensures you obtain your license at the best possible cost.

Obtaining a general trading license in Dubai is a strategic investment that opens doors to the local and global market, but proper cost management is the most important step. Contact Tasyeer’s experts now to obtain a customized plan to help you easily obtain a trade license in Dubai .

Frequently Asked Questions (FAQ)  General Trading License Cost in Dubai

1. Can new activities be added to the general trade license after it has been issued?
   Yes, new activities may be added for additional fees and approval from the relevant authorities.

2. Do the costs of a business license differ in Dubai Economic Zone and the free zones?
   Certainly, the fees for free zones differ from those for Dubai Economic Zone in terms of establishing, renewing, and ownership.

3. Is a local partner required to obtain a general trading license?
   In Dubai Economic City, a local partner may be required for some activities, while in free zones, you can own 100% of the company.

4. What is the validity period of a general trade license?
   It is typically valid for one year and must be renewed annually to avoid fines.

5. Can I use a virtual office instead of a physical office?
   Yes, some free zones offer virtual offices at a lower cost than traditional offices.

6. What are the fines for late license renewal?
   Daily or monthly fines are imposed, and license suspension may result if the delay is prolonged.

7. Does the license cost include issuing visas for investors and employees?
   No, issuing visas requires an additional fee separate from the license cost.