Dubai Trade License Renewal Fees

Trade License Renewal in Dubai

Dubai trade license renewal is mandatory for all businesses operating in Dubai. All trade licenses issued by the Dubai Economic Department (DED) are valid for one year and need to be renewed every year to avoid penalties. Timely trade license renewal ensures business continuity and protects your company’s legal standing.

What is a Trade License in Dubai?

A trade license legally allows a business to operate and defines the permitted business activities. It specifies what kind of operations a company can perform. Doing unlisted activities or operating with an expired license is illegal and may result in fines, license suspension or even business closure. Having an active and updated Dubai trade license is crucial for maintaining credibility with customers, suppliers and government authorities.

What is Trade License in Dubai

How to Renew a Trade License in Dubai:

Follow these 4 simple steps for trade license renewal:

BR/1 Form Typing
Obtain a valid Ejari - Renewed Tenancy Contract
Apply for the renewal of the trade license in Dubai DED
Final submission for the issuance of the renewed Dubai Trade License

1. BR/1 Form Typing

Type the BR/1 form by typing all required information accurately. Make sure all business details match with previous records to avoid any delays in the Dubai trade license renewal process.

2. Obtain a Valid Ejari - Renewed Tenancy Contract

Make sure your office space has a valid Ejari registration. You must either renew your tenancy contract or obtain a new Ejari before proceeding. The Ejari must be active for the license renewal application to be accepted by DED.

3. Apply for the Renewal of the Trade License in Dubai DED

Submit to DED online or visit their service centres across

Dubai. Attach all documents, including renewed Ejari, BR/1 and any other approvals if required. Make sure all is complete and accurate to avoid delays in trade license renewal.

4. Final Submission for the Issuance of the Renewed Dubai Trade License

After DED approval, complete the final submission. Once all dues are cleared, you will receive the renewed Dubai trade license. Ensure that you keep a copy for your records and display it prominently at your business premises as per Dubai regulations.

How Many Years is a Dubai License Valid?

A Dubai trade license is valid for one year from the date it is issued by the Dubai Economic Department (DED) or the relevant Free Zone Authority. After one year, businesses must renew their trade license to continue operations legally. Failure to renew the license on time can lead to financial penalties and disruption of business activities. Some free zones offer multi-year licenses (2–5 years) as an option to reduce administrative work, but for mainland companies under DED, the standard validity remains one year. Regular trade license renewal is necessary to stay compliant and maintain good standing with government authorities.

What Happens If a Trade License Expires in Dubai?

If a trade license expires in Dubai, the business is considered operating illegally. Consequences include:

Immediate fines and penalties from DED or the Free Zone authority.
Suspension of business activities until the license is renewed.
Legal action such as blacklisting, court cases or even company closure.
Loss of business reputation among clients and suppliers.
Visa cancellations linked to the business, affecting employees and investors.

Additionally, outstanding fines may increase daily the longer the license remains expired. Renewing your Dubai trade license before the expiration date ensures smooth operations and avoids unnecessary legal or financial issues.

Trade License Renewal Requirements

The basic trade license renewal requirements are designed to ensure businesses remain compliant with local laws. You will need:

A completed BR/1 renewal form: This official form must be filled out accurately with updated business information.
A valid Ejari tenancy contract: Your office or commercial space must have an active Ejari registration, with at least one month's validity remaining at the time of renewal.
Passport copies of business owners and partners: Updated copies are required to verify identities.
Existing trade license copy: Submission of your current trade license is necessary to track the renewal history.
Approvals from relevant authorities: Some business activities (e.g., healthcare, education, legal services) may require additional approvals from external government departments.
Payment of all pending fines and renewal fees: Any outstanding fines related to labour, immigration or previous license delays must be cleared before submitting the renewal application.

It’s essential to prepare all documents in advance to ensure a quick and hassle-free Dubai trade license renewal process. Hiring a business setup consultant can help you manage document submission and meet all requirements without missing any steps. Final submission for the issuance of the renewed Dubai Trade License.

After DED approval, submit the final application. Once all dues are cleared, you will receive the renewed Dubai trade license. Keep a copy for your records and display it at your business premises as per Dubai regulations.

Final Submission for the Issuance of the Renewed Dubai Trade License

➤ Ejari Requirement

A valid Ejari is required. If using a sustainability desk, submit the agreement and Ejari. Incomplete or expired documents will delay your renewal process. Ensure your Ejari is up-to-date to avoid penalties during the trade license renewal. Failure to provide a valid tenancy contract will result in fines or rejection of your application.

➤ Online Renewal Option

Businesses can do Dubai trade license renewal online through the DED website or mobile apps—save time and avoid physical visits. The online process is fast, secure and user-friendly. Ensure all scanned copies of documents are clear and legible before uploading to the DED portal to avoid application rejection.

➤ Final Submission & Fees

Once approved, submit the application for final processing. Fees include government charges plus 2.5% of your annual office rent (market fee). Additional charges may apply depending on your business activities and office size. Calculate all charges before to ensure a smooth trade license renewal experience.

Why It's Important to Renew Your Trade License on Time

It is very important to renew your trade license on time for all businesses in Dubai. It prevents issues with the government and allows your business to continue without interruptions.

Here are a few simple reasons why you should never postpone renewing your trade license:

1. Keep It Legal and Avoid Fines

Your business is no longer legal if your trade license no longer has validity. This means;

Fined for every month you have been expired (starting from AED 200) and
Restriction in business

2. Keep Your Business Running Smoothly

Without an active trade license, you will not be able to:

Hire any new employees or renew any visas
Sign contracts with clients
Open or operate bank accounts
Apply for any new approvals from the government

3. Build Trust with Clients and Partners

Many clients or suppliers may ask to see your trade license as part of their due diligence before working with you. If your license is expired, it creates doubt and will damage your credibility. A trade license (depending on the type) states that your business is established, credible, and professional.

4. Follow New Developments in UAE Regulations

By the time you renew your trade license in 2025, you may also be responsible for complying with several new rules such as:

Registering for UAE Corporate Tax (despite being exempt)
Updating your UBO (Ultimate Beneficial Owner)
Completing ESR (Economic Substance Regulation filing, if applicable)

Dubai Trade License Cost

Cost details for the renewal of Dubai Trade License for professional, Commercial & Industrial Licenses.

Particulars	Professional	Commercial	Industrial
Tassel Fees for license renewal	210	210	210
Fees for Dubai DED
License Fees	600	600	600
Government Cultural Fees	40	40	10
Innovation Dirham Fees	40	40	10
Fees for administrative service	50	50	50
Trade name advertise	350	350	350
Foreign company name fees	2000	2000	2000
Service Agent Fees	700
Fees for the External Department
Licensing accommodation fees	500	1000	1000
Employees accommodation fees	1000	1000	1000
Public waste related service fees	2000	2000	2000
Service improvement fees	240	400	240
Fees For Dubai Municipality
Current year fees chamber		1200	1200
Fees for Dubai Chamber of Commerce
Ministry of Chamber of Commerce	508	200	3000
Fees for Dubai Civil Defense
Dubai Civil Defense Fees		200	1000
Fees for Tejari
Tejari	150	200	200
Total Dubai Trade License Renewal Fees (AED)	8388	9490	12870
Market Fees	2.5% of office/ shop annual rent	2.5% of office/ shop annual rent	2.5% of warehouse rent

Finalising Dubai Trade License Renewal: Payment, Validity & Support

Dubai Trade License Renewal

After payment, the Dubai DED issues a renewed Dubai trade license valid for one year. Renewal can be done manually at the DED or via the Dubai trade license renewal online process.

Frequently Asked Questions About Trade License Renewal in Dubai

1. How often do I have to renew my trade license in Dubai?

Trade licenses in Dubai must be renewed yearly, as noted above, it is very important that they are renewed on time, if you fail to do so it may incur a penalty.

2. What documents are needed for trade license renewals in Dubai Mainland?

The following documents are generally required to renew a Dubai Mainland trade license:

Valid tenancy contract (Ejari)
Current trade license copy
Emirate ID & Passport copy of the owner(s) / partners
BR1 form (license renewal application)

3. Could Flyingcolour® assist in renewing Mainland and Free Zone licenses?

Yes. Flyingcolour Business Setup has a professional service available to assist in both Mainland and Free Zone license renewals, offering support in each of the major jurisdictions in the UAE, DED, DMCC, JAFZA, DIFC, etc.

4. Is a valid tenancy contract (Ejari) needed for license renewal?

Yes! Valid Ejari-attested tenancy contracts are required for the majority of DED license renewals. The tenancy contract is required to be valid for a minimum of 1 month, on date of renewal.

5. Can I renew my license if my tenancy contract expires?

No. You must first renew your Ejari contract before your trade license can be renewed. Flyingcolour can help coordinate with property management or real estate authorities if necessary.

6. Do I need to obtain Corporate Tax registration before my license renewal?

Yes. The majority of businesses, even if they are exempt, will need to provide proof of having Corporate Tax Registration.

7. My Ejari is expired. What happens now?

Unless you provide a valid, active Ejari, your license renewal is going to be rejected. Flyingcolour® can help you renew or update your tenancy contract.

8. What is the fine for not renewing my license on time in Dubai?

Fines can be anywhere from AED 200 to AED 500 a month, depending on the authority. You could also run into visa holds and legal complications as a result of non-compliance.

9. When renewing my license, will I have to go to DED in person?

No. With UAE Pass and the help of Flyingcolour®, the entire process can be completed digitally; unless your business activity requires you to go in person.

Therefore, to learn more about Dubai Trade License Renewal Fees Book a free consultation with one of the Flyingcolour team advisors.

The article was published on 22/05/2019. It is important to note that the federal policies and updates mentioned may have changed since then. For the most current information, please contact our consultant!