A comprehensive step-by-step guide: How to obtain a trade license in the UAE

  • 04 Sep 2023
  • read
  • Business

Are you an entrepreneur with dreams of establishing a business in the UAE? Well, the first essential step on your entrepreneurial journey is securing a UAE trade license from the relevant authorities. This pivotal document grants you the legal right to engage in commercial activities within the country. In this informative blog post, we are here to provide you with a detailed, step-by-step guide on precisely how to obtain a UAE trade license.

Step 1: Define your business activity

Before you dive into the process of obtaining a UAE trade license, it is imperative to pinpoint the specific type of business activity you intend to conduct through your company. The UAE offers a world of business activity options, spanning everything from trading and manufacturing to services. Each unique business activity mandates a distinct trade license in the UAE. Therefore, it is crucial to clarify your business activity before proceeding with the application.

Step 2: Choose your location for  business in UAE

In the UAE, two types of trade licenses prevail: mainland trade licenses and free zone trade licenses. Mainland trade licenses empower you to operate your business anywhere within the UAE, while free zone trade licenses restrict your operations to specific free zones. Mainland trade licenses are issued by the Department of Economic Development (DED), while free zone trade licenses are granted by the respective free zone authorities.

However, here is an exciting option for you: Ras Al Khaimah Economic Zone (RAKEZ) offers the flexibility of obtaining a dual license, allowing you to operate unrestricted across the UAE.

If you are on the lookout for the cheapest trade license in the UAE, obtaining a free zone trade license might ignite your interest. RAKEZ, for instance, provides an enticing business setup package for as low as AED 5,499. This economic zone offers a slew of benefits, including 100% foreign ownership, exemption from personal income taxes, and no limitations on the repatriation of capital and profits.

Step 3: Select a business name and activity

Once you have determined your business activity type and the location of your enterprise, it is time to select a suitable business name and define your business activity. Your chosen business name should be distinct and free of any trademark infringements. Additionally, your business activity must align with the type of UAE trade license you are applying for.

Step 4: Gather and submit required documents

To initiate the application process for a UAE trade license, you will need to compile and submit several essential documents, which may include:

  • A fully completed trade licenses application form
  • Copies of your passport and visa
  • A no-objection letter from your sponsor (if applicable)
  • A tenancy contract or lease agreement
  • A comprehensive business plan
  • Memorandum of Association (MOA) (for Limited Liability Company structures)

The specific documents required can vary based on the type of UAE trade license you are seeking and the location of your business.

Step 5: Fulfill financial obligations

In the quest to obtain a UAE trade license, you will also need to cover various fees, including:

  • Trade license fees
  • Commercial permit fees
  • Inspection fees
  • Municipality fees

The exact fee structure is contingent upon the type of UAE trade license you are pursuing and the location of your business.

Start with RAKEZ

The process of securing a UAE trade license can be navigated with ease by following this comprehensive step-by-step guide. If you are in pursuit of the most economical free zone license in the UAE, look no further than obtaining a free zone trade license from RAKEZ. This economic zone not only offers tax exemptions but also liberates your capital and profits from repatriation constraints. Furthermore, the adept business setup experts at RAKEZ will be your guiding companions every step of the way. So, why wait any longer? Reach out to RAKEZ now:

Phone: +971 7 204 1111
Email: info@rakez.com

Embark on your entrepreneurial journey in the UAE today!

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Last Updated on 12/29/2019 9:23:05 PM

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