How Do I Get a Manufacturing License in UAE?
Get a Manufacturing License in UAE
The scope for manufacturing businesses in the United Arab Emirates is excellent. The country has invested AED 15.36 billion* in the manufacturing facilities in Abu Dhabi. In addition, they are growing the investment at a staggering 85.7%.
The manufacturing industry is one of the most profitable industries in the United Arab Emirates. Entrepreneurs and investors can enjoy a flourishing ecosystem, world-class infrastructures, a supply chain, and substantial profits in this country. It means that starting your manufacturing business in this country can be a lucrative decision.
Indeed, opening your manufacturing company in the UAE is very profitable. However, no one can start their manufacturing business without a UAE manufacturing business license. So, now one common question arises: How to obtain a manufacturing license in the UAE? We will provide an in-depth guide to Obtaining a manufacturing license in UAE in this article. In addition, we will discuss some benefits or perks of running a manufacturing firm in this country.
UAE manufacturing industry – overview
The complete Middle East – especially the UAE – enhances a bourgeoning manufacturing industry. The country offers manufacturers a gateway to market across the Middle East, Africa, and Asia. The nation’s commitment to infrastructure development provides an enticing environment for manufacturing businesses.
The UAE has over 250 industries, contributing significantly to Dubai’s GDP. Exports of goods manufactured in this country exceed AED 167 yearly. The statistics are becoming a reason to start a manufacturing business in the UAE. The “Made in UAE” label stands for integrity, value, and quality. This label rivals the best from the USA and Europe. However, if you want to enter into this industry, you should obtain a manufacturing license in Dubai, UAE to start your Manufacturing business.
Benefits of getting a manufacturing license in the UAE
Indeed, the UAE manufacturing business license will let you run your manufacturing business legally in the UAE. Apart from this, you can enjoy other benefits with the help of a manufacturing license in this country. The following is the list of top benefits that you can get with a manufacturing license within this nation:
- You must select a legal structure to obtain a manufacturing license in the UAE. A Limited Liability Company (LLC), a Public Joint Stock Company (PJSC), or more, are some of the top legal structures available in the UAE. Choosing a legal structure can legally protect your assets.
- The manufacturing license in the UAE opens doors to numerous government incentives and support programs, like subsidies, tax exemptions, and easy access to industrial facilities and land.
- Your manufacturing company may enjoy UAE’s free trade agreement with a manufacturing license within this country. The free trade agreement increases trade opportunities and decreases import or export costs.
- The manufacturing license ensures your company operates within the legal framework of the UAE and complies with all applicable regulations.
- Being licensed showcases to customers, investors, and partners that your manufacturing firm is trustworthy and legal.
What are the requirements for obtaining a manufacturing license in UAE?
When considering getting a manufacturing license in the UAE, you must fulfill a few requirements. Meeting these requirements is essential to obtaining this license. Below is the list of top requirements for acquiring this license:
- You must have a physical premise, not a virtual office.
- You must employ a minimum of ten people.
- You must create a report mentioning the specifics of your factory, including tools, financial information, and floor plans. You can skip this requirement if you are starting a manufacturing business in Free Zones.
- You must conduct a feasibility study into your business prepositions.
Documents required for Manufacturing license in UAE
You must gather a few documents to obtain the manufacturing license in UAE.Below is the list of top documents to obtain this license:
- Residence or Visit Visa
- 3 Name Options
- Completed Application Form
- Passport Copies and Specimen Signatures of Organization Shareholders and Appointed Manager
- Power of Attorney Provided to Manager or Director (if required)
- Article of Association
- Two Years of Audited Financial Reports
- Board Resolution Appointing Manager or Director (if required)
- Share Capital Data
Steps to obtain the manufacturing license in UAE
If you want to obtain a manufacturing license in UAE,you must follow the right path. Below is the list of steps to obtain this license in this country:
1. Identify business activities
Initially, you should identify the particular manufacturing activities you want to conduct in your manufacturing business in the UAE. This initial step helps categorize your company appropriately and ensure compliance with the relevant regulations. Bread, textiles, metal casting, equipment and engines, petroleum, and paper manufacturing are a few examples of manufacturing activities.
2. Choose a company name.
After choosing business activities, you should select your manufacturing company name by obeying rules and regulations. You should ensure that your company’s name doesn’t involve offensive or profane language, your abbreviated name, or a reference to famous brand names or institutes. In addition, you should attach a legal entity, like FZE or LLC, with your company name. Lastly, you should register your company name to register.
3. Choose the business jurisdiction.
Choosing the business jurisdiction is essential because it helps determine the license’s type. The UAE has two forms of business jurisdiction: Mainland and Free Zone. Each business jurisdiction has its features and benefits. We recommend you choose the jurisdiction based on your business’s requirements.
4. Apply for initial approvals.
After selecting the company name, you should apply for initial approvals from the UAE’s government. The approval will ensure the UAE’s government has no offense to your manufacturing business.
5. Submit application
You should submit the completed application with the required documents to the DED if you are setting up a business in the Mainland. However, you should submit them to the relevant free zone authority if you are setting up your manufacturing business in Free Zone.
6. Get the license
After successfully applying, the relevant authority will issue a manufacturing license in Dubai, UAE. After issuance, you can get the license. This document will grant you the right to commence your manufacturing company in this country.
How can Flyingcolour Business Setup help you?
A manufacturing license in the UAE is essential for starting any manufacturing business. Obtaining this license is not easy as it involves several steps. Flyingcolour Business Setup can help you get this license easily. Our experts can direct you to the easiest path to obtain this license.
To learn more about manufacturing license in the UAE, book a free consultation with one of the Flyingcolour team advisors, simply call +971 50 5585305 or send WhatsApp messages to +971 4 4542366. you can also drop an email to info (at) flyingcolour (dot) com.
Please note that this article was published on 06/04/2024 by the federal policies and updates at the time of writing. For the latest info please talk to our consultant.
