How to Register Your Business in Dubai Commercial Register?

by Zaara 05, Mar 2020

How to Register Your Business in Dubai Commercial Register?

When one talks about setting up a business in Dubai, the first thing that comes in the mind is a vast spectrum of opportunities. It is the capital of the Emirate of Dubai, one of the seven Emirates which make up the country of the United Arab Emirates.

The city of Dubai has witnessed a transition of becoming one of the biggest business hubs in the Middle-East. The city has all the essential elements to start a business, like world-class infrastructure, skilled labour, excellent connectivity with the entire world and safe business environment. Moreover, Dubai also acts as a base to start your business and then plan to expand in Gulf Co-operation Countries and Middle Eastern and North African Countries. The tax benefits which the entrepreneur get are also a driving force to start a business in Dubai.

Procedure for Registration of Business in Dubai

The primary step of setting up a business in Dubai is to find a local sponsor, choose the nature of the company, finding a suitable name for the business enterprise and getting it registered with the Commercial Register. The following steps can be followed to get the registration process done:

  1. The first step of setting up a business in Dubai is to have a local sponsor, i.e. a local partner who is an Emir, in case one has to start a business in the mainland. An offshore or free-zone business entity does not require it. In this step, one decides the role of a local sponsor, his share in decision making along with his fees or share in profit. The local partner should have the majority of share in the ownership, i.e. a minimum of 51% and the rest is with the expat partner.

A good understanding with the local partner can avoid a business owner a lot of problems and hassle.

  1. Once the local sponsor is decided, then comes the stage of selecting the nature of business. The entrepreneur has to choose the type and nature of business amongst various options such as manufacturing, trading, e-commerce, financial services etc.
  2. Next step is to get the name and nature of business approved by The Department of Economic Development (Dubai), by applying using a standard form issued by the Department of Economic Development and submit at the same.
  3. After getting the approval of DED, one has to get a tenancy contract after looking for a suitable place for his business. It is mandatory to have a tenancy contract for the company to get registered with Dubai Commercial Register. 
  4. Now, the company forms the Memorandum of Association (MoA) along with the sponsor, ultimately submits it to DED. A Memorandum of Association is a vital document of a corporate entity which contains the regulations of the company's external activities, and it is mandatory to make. Any legal firm can form it as per the details provided by the business entity regarding the terms and conditions of business entity, details of partners and their share etc.
  5. The final step is to submit the MoA along with the license application to DED with other required documents prescribed by DED. The corporate entity pays all the charges at this stage.

Other than the points mentioned above, one should keep in mind that there is a requirement of getting approval from the concerned regulatory body for that particular business or industry. For example, the banks and financial institutes must have the permission of the UAE Central Bank to get the business license, license for medical and pharmaceutical business must have permission from the Health Ministry.

There are three categories of licenses which the businesses get in Dubai according to their operations; these are:

1.Professional License

It is issued to the professionals who are service providers. These professionals rely on their skills and abilities. The service providers have to get them registered with DED to get a professional license.

2.Industrial License

The businesses which are converting raw material into final goods get Industrial License.

The companies which are in the manufacturing products are required to obtain this license.

3.Commercial License

If the business is involved in trade and commerce, import and export need to get a commercial license.

If you want to get your business registered in Dubai Commercial Register, then we at Commitbiz can help you with this. Our advisors are well versed with legal formalities and can make your process hassle-free. Contact us today for more information on business solutions.


What should one consider before heading to the Dubai Commercial Register?

  • Register the company with DED

  • Draft and notarise the company’s constitutional documents

  • Submit all required documents to the DED

  • Registration in the Dubai Commercial Register

What are the additional certificates one should get from the commercial register?

  • Certificate of Registration

  • Certificate of Good standing

Who manages the registration of the outside, free trade zones?

Outside of the free trade zones, registration is managed by the Department of Economic Development.

Who manages the registration within the free trade zones?

The respective free trade zone administration is responsible for registering in the commercial register and managing it within the free trade zones.

Start your Entrepreneurship Journey Today in UAE from AED 5,500

Commitbiz will help you with every step of your success journey. You can get one-on-one mentorship from our experts and get guidance on how to clear the legal proceedings and grow your business.

Know More