How to Get a General Trading License in Dubai?

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Get a General Trading License in Dubai

Dubai is an Emirate popular for its ocean, world-class infrastructure, and sparkling nights. However, the city is additionally famous for its booming business and excellent trading opportunities. As a result, so many entrepreneurs are interested in starting their corporations in Dubai. In fact,  in the first quarter of 2023, Dubai’s IFZA reported a 177% increase in registering new licenses compared to the same period in 2022.

There was tremendous growth in the UAE economy in 2022, with trading exceeding AED 1 trillion and reexports exceeding AED 300 million. On the top of that, the Dubai Economic Agenda – D33 aims to double Dubai’s economic growth over the next ten years and will present business people with uncountable reasons to relocate to this city, which includes opportunities for foreigners to grow. 

If you are one of those people who want to start trading, then you need a general trading license in Dubai. Now, you might be confused about “How to get a general trading license in Dubai.”  In this article, we will provide an in-depth guide to getting a general trading license. Furthermore, we will discuss some valuable insights you should know before getting this license. 

Dubai Mainland General Trading License

When it comes to a general trade license in Dubai, you have the option of getting this license in any jurisdiction, including the Mainland or Free zones in Dubai. The free zone and mainland provide reasonably priced packages for your company setup in Dubai that may meet each entrepreneur’s requirements. 

A dubai mainland general trading license is valid for companies operating in Mainland  Dubai. To get this license, you should get approval from various government entities. Remember, the DED authorities issue the license.

 

Dubai Free Zones General Trading License

Foreign investors can open a company in any of the Dubai free zone jurisdictions with a general trading license in dubai free zone. Some Dubai Free Zone authorities require a minimum of AED 1 million in share capital to be granted a general trading license in Free Zone Dubai. Nevertheless, the cost may differ under the type of business and jurisdiction.

 

Benefits of General Trading License in Dubai

As mentioned before, there are uncountable benefits that you can enjoy by obtaining a general trading license in Dubai. Let us have a look at the top benefits that this license can provide:

 

1. Increase local and international trade.

A general trading license provides you with a host of opportunities for manufacturing and importing products.  Depending on your products, you may sell these goods on the local Dubai market or export them abroad and earn profits. In addition, business owners may re-export their goods with the general trading license in Dubai. By doing this, you can trade goods and services internationally in a more efficient manner.

 

2. Low tax rates

There is the fact that the United Arab Emirates has one of the lowest tax rates in the world, which makes it one of the best reasons to begin a business in Dubai. With a general trading license in Dubai free zone or Mainland,  you can manufacture products at the lowest possible cost.

 

3. Less paperwork

A general trading license in Dubai requires less paperwork compared to other types of licenses available in Dubai, which saves you time and money. Overall, a General Trading License provides you with the flexibility to explore numerous business opportunities and expand your company in Dubai and beyond.

 

What Documents Do I Require to Get a Trade License?

There are a few documents that you must gather to get a Dubai mainland general trading license or Free Zone license.  Here is the list of documents you need to get this license:

 

• Business plan
• Lease Agreement
• Trade Name Reservation Certificate
• Memorandum of Association (MOA)
• Bank Reference Letter
• No Objection Certificate (NOC)
• Passport copies

By submitting these documents and meeting the criteria, you may apply for the general trading license and start Dubai general trading license activities for your trading business in the region.

How to Get a Trade License In UAE

Getting a general trading license requires following several steps to keep performing Dubai general trading license activities within the region. The steps you need to perform are mentioned below:

 

1. Choose the trade name

Selecting an appropriate business name is the first step to getting your general trading license in dubai free zone or mainland.  Your trading name must clearly describe what your company does. Plus, you should be careful not to include any terms that could be considered offensive or potentially blasphemous.

In addition, the brand must not include any acronyms with your own name. Remember, your business or trade name must adhere to the UAE Guidelines. It should also be a unique name that cannot match with other businesses in the UAE.

2. Choose the business structure

Once choosing a trade name, you must select the legal structure of your company to continue the license-obtaining process. The legal structure will define how your company will run and who will be liable for your business. 

 

3. Submit the documents

After choosing the legal structure, you must submit the required documents as we mentioned above in this article. However, you might want to gather other documents. Therefore, we recommend you to consult Flyingcolour because they can assist you with which documents you need.

 

4. Pay the fees

After submitting documents, you must pay the general trading license cost in Dubai to get this license. However, the exact cost might be different based on your license and business type.  Remember, you must also submit your application at this step.

 

5. Get initial approval

After submitting the general trading license cost in Dubai,  the authorities will review the application and give you initial approvals.

 

6. Rent a space

After getting initial approval,  you must rent an office where you want to conduct Dubai general trading license activities.  We recommend you consult Flyingcolour to get help in finding the best office location.

 

7. Receive your license

At last, you should receive the general trading license to begin conducting Dubai general trading license activities. Remember, you will only receive the license if you meet all the requirements and submit all the documents. Therefore, you should complete the process with Flyingcolour to ensure everything goes well. 

 

Why should you consult Flyingcolour?

Flyingcolour Business setup provides excellent business setup services to people seeking to begin a business in Dubai. We can also help you to get a general trading license in Dubai. Our experts will help you to ensure you get your license effortlessly.  

To learn more about getting a general trading license in Dubai, book a free consultation with one of the Flying Colour 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 09/02/2024 by the federal policies and updates at the time of writing. For the latest info please talk to our consultant