28 February, 2022
How to apply for Dubai Trade Licence in 2022?
Do your dreams await the right opportunity? Are your ideas not turning into action? In case, you’re still seeking a strong foundation to set up your business in Dubai then a Trade Licence can be your aid. It’s a way to enter into the business world.
With time, Dubai has been a favorite place for business owners, investors and start-ups. It has created a powerful market and influenced dreamers to kick start their journey.
Trade Licence is the key to unlocking your business dreams and goals in Dubai, UAE. To conduct any business activity, you need to have specific permissions and it works under the name of a trade license. It is issued by the Department of Economic Development (DED) and followed by a set of legal procedures to set up your business.
It subsidizes the following activities –
- This license will allow businesses to sell goods and services to various parts of the emirates.
- It allows import and export to and from the UAE.
- It is also necessary to provide professional services.
The Trade Licence in Dubai will allow you to perform all of these activities with ease and without any disturbances.
Steps to apply and obtain a trade license in Dubai –
Reserve a trading name and obtain initial approvals-
The first step is to reserve a trading name for your company under the Dubai Department of Economic Development (DED). It is followed by obtaining initial approval for your business activity.
Notarize the company’s Memorandum of Association at DED –
The business owner has to notarize the Memorandum of Association (MOA) at DED. The good part is it takes less than a day and is mandatory to file a trade license application.
Document submission –
This step is important to prove your authenticity, and to generate trust with the authorities. Document submission is also necessary for membership registration with the Dubai Chamber of the council.
Following documents are required –
- The approved application form signed by the company’s legal representatives or by the company’s manager.
- An original copy of MOA.
- The authentic letter issued by DED approving company’s /trade name.
- The original letter of business/company approval issued by the DED Committee of Limited Liability Companies
- Passport copies of each partner
These documents are then forwarded to the Federal Ministry of Economy.
Under the Ministry of Labor, apply for an establishment card –
The business owner or company’s representative should apply for an establishment card. It is applied under the Ministry of Labor and can be issued on the same day if a trade license is obtained and fees are paid.
Registration of native workers –
It is necessary to register all native workers under the Ministry of Labor. It is necessary for conducting smooth legal procedures to avoid any further consequences. You have to submit a passport photo of employees, their employment contract, trade license copy, and identity to prove their UAE citizenship.
These procedures are created in a way that businesses can operate smoothly and actively under the authorities with no issues. These are created to avoid any hassles or negative consequences over the business working and operation.
A trade license is only valid for one year, and it needs to be renewed –
In case of failure for the same, your license will expire and that poses a ban on your business activity. In this scenario, it’s important to get your license renewed to avoid any such circumstances.
To do the same, the business needs –
Tenancy Contract –
Businesses need to have a tenancy contract that has one-month validity from the expiry date of the license.
Document submission and payment –
The documents required are copies of trade license, tenancy contract, application form, and passport size photos of business partners, and investors. It is followed by paving the fees and there your license is renewed.
This will allow smooth working for your business.
All this looks too much for you? We at The Corporate Group provide end to end corporate consultancy and development services in Dubai & trade support services in order to make your journey effortless and ensure you get better value in your sourcing strategy.
Frequently asked Questions: –
Q1 What are the benefits of trade support service by The Corporate Group?
A1 Here are top benefits of trade support services
- Quick process
- Lesser paperwork requirements
- Permits the establishment of holding companies in Dubai
- Hassle free process
- End to end service
Q2 What are the benefits of doing business in Dubai?
A2 Here are top benefits: –
- Zero tax
- Safe and robust governance
- Financial hub
- An educated supply of human capital
- No capital repatriation restrictions