A Guide to Renew Business License

by Zaara 17, Sep 2019

Every business set up comes with the legal formalities, which are essential to be complied with on time. One of such major business formalities, which makes your business legal in the eyes of the law is obtaining a business license from the Department of Economic Development Dubai. Apart from getting a business license, it is also really important to renew a business license eon proper time. Otherwise, it can involve severing fine and penalty.

Dubai is rapidly gaining the reputation of being a business centre in the Middle East. The process of renewing the business licenses in Dubai is also a simple and easy process, and the said process has a real quick turnaround time for business investors or entrepreneurs. The Department of Economic Development Dubai makes sure about the completion of such formalities on time. The non-completion will lead to the negative reputation of such firm in the market and thereby adversely affecting the goodwill of the company.

Dubai has majorly three main types of business licenses. These licenses are categorized according to the type of activities indulged in the business. These are:

  • Commercial license
  • Professional license
  • Industrial license
  • commercial license is required wherein the company is engaged in multiple trading activities. In case you are planning to obtain a commercial license, it is advisable to set up a company in Dubai mainland. Herein you will be required to get a local sponsor for the setting up of the business.
  • A professional license is generally required for those individuals who provide professional services to the people, such as artisans, craftsmen, and other service providers. The license will be provided based on your qualifications as well as the expertise. Approvals are required from the Chamber of Commerce and Municipality as well as a public notary.
  • The last type of license, which is an industrial license, is given to those companies which are engaged in manufacturing activities. Activities like semi-manufacturing of motor vehicles, metal casing, appliances and other spare parts are included under this license. Such licenses require approval from DED as well as Dubai Municipality and Planning Department. Based on the industrial license operation approvals from the defense and other such government offices would also be required.

Documents Required

The following mentioned documents are required to renew the trade license:

  • Copy of current business trade license
  • Passport copy of all the business partners
  • BR/1 typed form
  • Ejari Registration Certificate
  • Photocopy of Tenancy Contract

Procedure for the Renewal

The procedure for the renewal of a trade license is simpler than the process of registration of a trade license. The steps to renew the trade license are provided below:

  • Step 1: One of the important documents in the renewal of the trade license is the tenancy contract with a validity of at least 1 month. Without a tenancy contract, a trade license cannot be applied.  Hence, for the renewal, the company needs to ensure to have the attested contract by Ejari having a validity of 1 month.
  • Step 2: Department of Economic Development is the licensing authority in Dubai. Therefore, all the documents are to be submitted to the DED. Herein you can also hire a professional firm for the successful approval of the license.
  • Step 3: on successful submission of all the primary documents the DED then issues a payment voucher which the business owners are required to pay. On this payment, the license will be issued and will be granted to the business owners.

Matter of Concern

The DED has made the procedure simple and smooth as per the convenience of entrepreneurs. So, if there are any delays in submitting the documents or paying the fee for the business license in Dubai, it can attract major penalties. One should be aware of the respective aspects. Delay in the formalities will eventually delay the process as well. You are required to be certain of the validity of the license as well as the tenancy contract as without it. The process won't be completed. Henceforth, it is always advisable to appoint a business service provider to do the same.


The DED has made the process of license renewal fast and smooth by providing three ways to renew the trade license. These are online, offline as well as automatic route. In spite of many efforts of DED to make the licensing process fast and simple, this is a process whereby the entrepreneurs and business owners lag, and due to certain mistakes, the approval gets rejected. This is where Commitbiz comes into the picture. Our experts help business owners by handling all the required legal paperwork for obtaining a license as well as renewing the same. Our services allow entrepreneurs to focus on the important tasks rather than getting stuck in handling the paperwork formalities. If you have any questions, do contact us. we will be happy to help.