Tajer License in Abu Dhabi

The United Arab Emirates investors from all over the world to set up their business and make their dreams come true. The government’s pro-business initiatives help entrepreneurs in their respective companies. Dubai and Abu Dhabi are the leading business hubs in the UAE. A week doesn’t go by without the Emirates, launching a new initiative to help startups and established businesses. One such initiative Tajer License

Tajer License in Abu Dhabi was introduced in the year 2017. Formally known as Abu Dhabi Trader License, Tajer Abu Dhabi allows a business to obtain the trade license without the need to work from a physical location or having to pay rent on office space. Initially, the license was restricted only to the UAE nationals for 100 business activities that did not need a physical presence. But, in 2018, the Abu Dhabi Department of Economic Development (ADDED) expanded the license package to include all the GCC nationals and the UAE residents having Residency Visa under three legal forms, which are –

  1. Establishment for Emiratis and GCC nationals
  2. One-person company for Emiratis and GCC nationals
  3. Limited Liability Company for residents in partnership with Emiratis

Expats having UAE residency visa looking for Tajer license will still have to tie-up with a UAE local, similar to forming an LLC company but without any office space. Furthermore, it also raised the number of eligible activities covered by the license to 1057. All are relieved from having a physical presence or an office.

Tajer License is one of the many initiatives taken by the government of Abu Dhabi off late to boost the growth of the local economy and make Abu Dhabi an attractive place to start a business.

Tajer License in Abu Dhabi Allows –

  • 1057 business activities are protected by the license (including IT consulting, touristic, import, export, real estate, food, design, and tailoring)
  • All business activities are exempt from being a physically present or having an office space (can be licensed from home)
  • License holders to use the eCommerce mark (eTajer) & license serial number while promoting the product
  • Business persons can add online trade activities to their current licenses or get a new license to conduct business through websites and social media networks

The Tajer License does not require having a lease contract (Tawtheeq) or the Articles of Association. The license is issued electronically; hence no physical presence is needed. The overall government fees to establish the Tajer license are lower than an Establishment / Professional License or an LLC but will vary depending on the activity required.

At this stage, the Tajer License does not allow owners to apply for labor quota, and to visa staff directly, staff can apply for a work permit against the license, but they must have their visa elsewhere. If the Tajer Company wants to visa staff instantly, it must take on office space to apply for the relevant labor quota.

Who is benefitted from Tajer Abu Dhabi?

The benefits of obtaining a Tajer License is not limited to just one group of individuals. It also includes –

Freelancers

Obtaining a Tajer License will allow freelancers to work remotely, work from home, or use co-working or shared space. The License can be converted to an ‘Establishment’ or a full LLC at a later stage if needed by the owner. This will allow freelancers to set up in a low-cost way using the Tajer License initially. When the freelancers want to expand the business, employ staff, and take on a physical location, it can progress to a full LLC when commercially viable.

Entrepreneurs/SMEs

Entrepreneurs and SMEs will also have an advantage from this expansion as it will mean a much lower set up cost without investment in office space. In turn, this will help economic growth in the capital, which is key to the strategic vision. The ‘Golden Package’ of Tajer Abu Dhabi incorporates activities under multiple categories, including general consultancy, trading, services, design, and management – certain regulated activities will be restricted to full LLC Licenses.

Moving into a digital world and ensuring that Abu Dhabi is at the forefront of this movement, the initiative will help to increase the speed of set up and drive cost efficiencies. In essence, the majority of the applications and paperwork will now be through the DED online portal.

How can we help?

We at Commitbiz are here to complete the process of obtaining the license on your behalf so that you can concentrate on your business operations. Our services include business incorporation, business license, local sponsor, PRO, IP, office space, and much more. What’s more! Our experts are well-versed with the legal formalities and can make the process hassle-free.

Contact us today for more information.