All You Need to Know About Commercial Licence In Dubai

All You Need to Know About Commercial Licence In Dubai

by Zaara 06, Dec 2021

Dubai is a world of entrepreneurs and businessmen. It's one of the most growing economies in the world. If you're a newbie looking to set up a business, Dubai is the right place to be. But before we get there a few steps have to be followed :

To start up any business in Dubai the main and foremost important thing is to obtain a Business license.

Why and Who Provides Business License in Dubai?

A license acts as a key that validates your company as a legal entity that is certified to do a specific business. It does help the government authorities to regulate and control commercial activities. To own any business in Dubai a valid business license is very important.

The DED, when abbreviated The Department Of Economic Development, is a governing body that issues licenses to individuals and companies who want to set up a company in Dubai.

Its other role is to boost economic growth and improvise Dubai's business environment.

It is the power source behind Dubai's economy.

Types of Business Licenses

The mentioned below are the type of business licenses in Dubai

  • Commercial License
  • Professional license
  • Industrial license
  • Tourism Licence

Business licenses can be applied for depending on the industry, structure and as well as the region of the company.

Why Commercial License?

The most popular type of license issued is a commercial license as it helps in trade relations.

According to the company law in Dubai, all companies shall possess a commercial license for them to function that includes import, export or any other trade activities.

Hence if you're an entrepreneur who wants to set up a company in Dubai possession of one these is a must.

Documents Required For Commercial License

  • An application form where the name of the company should be mentioned both in Arabic and English.
  • The original lease contract for the address.
  • Memorandum of association with the partner/sponsor.
  • The permit issued by the Dubai municipality building department.
  • Fee receipt for the trade license.

The DED will issue a License based on the documents produced, The License is valid for a period of one year and can be renewed. A set of other documents have to be submitted if it has to be renewed.

Types of Business

A Commercial license will not be issued until the incorporation of a company in Dubai.

  • Import and export
  • Sale of electronics
  • Brokerage services
  • Real estate
  • Sale of construction goods
  • Logistics

The tourism companies operating in Dubai must also have a commercial license as well as the companies that are incorporated under healthcare services.

Advantages of the Commercial License in Dubai

Commercial licenses provide a lot more to foreign investors or entrepreneurs than they're aware of.

  • No corporate and income tax.
  • Easy employment visas for foreign workers.
  • More business options under one license.
  • Secure business engagements with companies register and DED.
  • Engagement in international trade.

DED, The department of economic development plays a huge role in issuing company licenses in Dubai. They monitor and regulate all the economic activities of companies outside the free zones.

Why Commitbiz?

To ensure an easy process of business licensing, its always advised taking the help of the best expert guidance from this field. Here at Commitbiz, we provide the best business suggestions and solutions anyone could ask for. The employees here have impeccable knowledge in the field and we're here to help. Feel free to contact us today.


Where should I issue the commercial license in Dubai?

Department of Economic Development (DED).

What is the cost of getting a commercial license in Dubai?

AED 1000.

Can I apply online to obtain a commercial license in Dubai?

Yes, you can. 

What is the validity of the renewed commercial license in Dubai?

Four years.

What are the required documents for the commercial license renewal in Dubai?

  • The trade license

  • The lease agreement

  • Approval from the respective authorities

  • Details of employees

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