Due to the attractive tax system, Dubai is perfect for any businessman to set up a company. But one must have a valid license for a business setup here.
Dubai provides three different types of licenses for different businesses:
- Commercial license - Issued to a company engaged in trading activities
- Industrial license - Issued to a company engaged in manufacturing activities
- Professional license - Issued to service providers, artisans, and craftsmen.
We are going to discuss how to get a professional license in Dubai. As mentioned above, a professional license is issued to an individual or a company to practice any profession in which they rely on talent and intellectual abilities.
But if the owner is more than one person in such a business, it is called a civil company.
Professional License Activities in Dubai
The activities covered under a professional business setup in Dubai are:
- Consultancy services
- Medical services
- Printing and publishing
- Beauty salons
- Computer graphic design service
- Repair services
- Security services
- Document clearing, etc.
How to Obtain a DED Professional License in Dubai?
Unlike industrial and commercial licenses, a professional license allows 100% ownership for foreign investors, permitting them the advantages of a sole proprietorship. However, it is mandatory to appoint a UAE national as a local service agent to complete the judicial formalities.
Decide on the Activity
The first and foremost step while applying for a professional license is to describe the activities undertaken in one’s business. One has to approach the Department of Economic Development (DED) to get a professional permit, as it handles all the activities related to licenses in Dubai.
Appoint a Local Service Agent
The next step would be to appoint a local service agent to look after all the legal formalities to obtain a professional license in the Emirate. After the appointment, get initial approval from the Dubai Department of Economic Development.
The agent does not have any direct involvement in the company apart from charging a fixed annual fee for the service offered. They will have no equity and are not liable to pay for the company’s liabilities.
Reserve a Trade Name
Apart from this, you must reserve a name for the business (pay a fee for the same) and then submit all the necessary documents to the DED for approval.
Make a Memorandum of Association
Make a Memorandum of Association (MOA) with the sponsor. Mention the sponsor’s early fee in the agreement.
Check the Other Requirements
If you are getting a license for a civil company, then you need to fill out one more application form and bring it attested. Submit all the forms with attestation (one original copy each).
Fill out the local service agreement form with the UAE national from a local translator and get the form attested by a public notary service. A legal translator seal will not be required if the agreement is in Arabic.
Submit the Documents Required to Get a Professional License in Dubai
- Filled application form to get a professional license
- Copies of the passports of owners or partners
- Copy of local partner’s naturalization book (Jinsiya)
- A No-Objection Certificate (NOC) from sponsors for foreign partners if the ex-pat is already on an employment visa. If the shareholder is on a visit visa, then their UID number is required
- The foreign partners have to submit a copy of the visit, tourist, or transit visa
- Initial approval from the relevant authorities, depending on the type of activity to be undertaken (e.g., the Municipality, RTA, National Media Council, etc.).
Documents Required to Submit Tenancy Contract with Dubai Municipality
- A prescribed application form (BR1 form)
- The name reservation certificate
- Initial approval from the DED
- Rental contract
- Ejari registration.
Pay the Professional License Cost in Dubai
Make payment at the counter for your professional company formation in Dubai and get the license; a payment voucher will be issued simultaneously. The professional license in Dubai costs approximately AED 10,310*, which includes:
- Professional license fees
- Service agent fees
- Trade name fees
- Market fees (depending upon the tenancy amount)
- Administrative service fees
- Government cultural fees
- Local fees, etc.
A professional license (civil) company partner must pay AED 20,000* as a security deposit. And a person applying for a professional license without a partner has to pay AED 10,310* as a deposit.
The professional license cost in Dubai may change from time to time. The total price includes various service charges, and they are as follows.
- License Fees
- Administrative service charge
- Agent fees
- Trade name fees
- Market fee based on tenancy
- Government cultural fees, etc.
*Prices are subject to change. Kindly connect for confirmation.
Commitbiz – One-Stop-Shop to Get your Professional Trade License, Dubai
Having professional support in the Emirate has many advantages. It will help you get a corporate bank account in Dubai, and you can apply for visas, licenses, labor quotas, etc.
Advantages of Incorporating Your Professional Company with Us
You can apply for a professional trade license with us. Under our firm, you can get certain added services and other support facilities provided below:
- Paperwork from relevant departments
- Approvals from different institutions and departments
- Opening of corporate bank accounts.
- Transparent process.
- Minimal charges.
If your license is approaching its expiry date, you can renew it from the concerned authorities. Also, since the professional license certifies some skills, the government will require proof or an external certification.
Therefore, professional consent must be required to start a service-based company here. Contact us if you need professional support in Dubai; we'd be happy to help.
Who issues the professional license in Dubai?
The Department of Economic Development is liable for issuing a professional license in Dubai
List a few individuals required to possess a professional license in Dubai.
A few individuals needed to have a professional license in Dubai are,
- Accountants, Auditors, and Finance advisors
- Advertising professionals and Entertainment artists
- Architectural consultants
- Teachers and educational professors
- Medical representatives
- Printing and Publishing.
What are the uses of getting a professional license in Dubai?
The benefits of getting a professional license in Dubai are,
- 100% foreign ownership
- Flexible market
- Exempted corporate and income tax
- Protected business engagements
- Wide range of clients to engage with.
Is a legal translator seal required if the agreement is in Arabic?
It is optional to have a legal translator seal if the agreement is in Arabic.
Does it require renewing the professional license once it gets expires?
Yes, it is necessary to renew the professional license once it expires.