Obtaining the trade license is one of the most important steps in the process of company formation in Dubai or the rest of the UAE for that matter. Obtaining a business trade license and starting a business in Dubai is very easy if you know the right people here. However, company formation in Dubai may seem complicated to newcomers. This is because of the steps involved in obtaining the trade license in Dubai.
The Department of Economic Development (DED) in Dubai is responsible for handling the registration of new business here. This means that to obtain the trade license in Dubai, you need to deal with the authorities in the DED. If you are a foreigner who has limited knowledge about the Middle East, its customs, and dialects, then this might prove challenging to you.
The experts at Company Setup Consultants have years of experience with the business formation in Dubai. They can help you obtain the trade license and start your business in Dubai without any hiccups. As a result of starting numerous businesses all over the UAE, they have developed the required networks and connections to streamline the entire process of obtaining the trade license in Dubai.
Before getting into details about obtaining a business trade license in Dubai, you need to know about the different types of licenses available for businesses here.
The Dubai government is constantly making efforts to make business setup as smooth and easy as possible. Hence, it has recently introduced a new initiative to make obtaining the Dubai trade license even easier. This is known as the Instant Trade License in Dubai.
With this instant license facility, you do not even require an office in order to start a business.
Procedure to Get Trade License in Dubai
You can obtain a trade license in Dubai easily if you have previous experience starting businesses in the UAE. However, if you are new, it is suggested you seek help from the experts before diving into the fray alone. If you want to go for it by yourself, you can follow our guide that is divided into ten digestible steps.
Here are ten easy steps you can follow to obtain the trade license in Dubai:
1. Select Economic Jurisdiction
The first decision you need to take when starting out in the UAE is to select which economic jurisdiction you want to operate in. The economic jurisdictions in Dubai are the Mainland, Free Zones, and Offshore Company.
2. Select Company Structure
The next step is to decide the company structure. Your company’s legal structure will determine the rules and regulations it is subjected to in the future, so select it carefully.
3. Select Business Activities
The business activities you want to perform here in Dubai will determine the trade license you need to apply for. Select all the business activities you want to perform because you cannot perform any activity you did not select beforehand.
4. Get the Initial Approvals
After you have made these three decisions, it is time to get the initial approval from the Department of Economic Development in Dubai. You need to fill an application form that they will provide.
5. Get an Office Space
You need to get an office space because the tenancy contract and EJARI are needed to get the trade license from the DED. You can opt for a virtual office if you do not have a need for a physical office space.
6. Prepare the MOA
The Memorandum of Association (MOA) is an important piece of document. It is suggested you get help from legal experts when drafting this document.
7. Get the External Approvals
The officials at the Department of Economic Development in Dubai will mention a few external approvals that you need to get from different government bodies and agencies.
8. Submit the Documents to the DED
There are a few important documents that are mandatory from the DED. Here are the documents that you need to submit to the DED:
- Copies of all the shareholders’ passports.
- The initial approval letter from the DED.
- Filled up the DED application form.
- The Memorandum of Association.
- The tenancy contract and EJARI.
These are the common documents, and some more may be required depending on the business activities you choose to perform.
9. Complete the Final Application
After all the previous steps are completed, you need to submit the documents and complete the final application from the Department of Economic Development in Dubai.
10. Pay the Fees
Once all the procedures are completed and the DED accepts your application, you need to pay the fees and receive the trade license you applied for.
Read More: https://www.companysetup.ae/how-to-get-trade-license-without-office/