A Content Marketer with a passion for fostering people to grow their businesses. As a dedicated business blog writer, I bring ideas to life through captivating storytelling and industry expertise, empowering businesses to connect with their audiences and thrive in the ever-changing market.
Home to one of the fastest-growing and most diverse economies in the world, the UAE has a long tradition of welcoming business and trade. Consistently ranked as one of the world’s ‘best places to do business’, it’s fast becoming a popular destination for forward-thinking entrepreneurs to set up new and exciting companies. Like most countries, it is a legal requirement for businesses to have a license in the UAE. For most business owners, this will mean acquiring a trade license, which defines specific areas of your business operations and can encompass a wide range of industries.
In this article, we will discuss UAE trade licenses and explore the different types of trade licenses, prices, and procedures. We will cover the following topics:
Steps to get your UAE trade license
Cost of a UAE trade license
Types of trade licenses in the UAE
Why do business in the UAE?
Why choose SPC Free Zone?
Steps to get your UAE trade license
If you’re ready to set up your business in the UAE but you’re concerned about how to go about it, we’ve broken the process down into three simple steps:
Step 1: Application submission
As part of the application process, you’ll need to choose your business activity or activities. This will enable the authorities to issue you with the correct type of trade license. You’ll also need to choose your company name in accordance with the UAE’s strict naming conventions. Once your application is approved, you can receive your license in as little as two hours, depending on the free zone.
Step 2: E-channel services authorisation
The UAE has introduced an a-channel survive to help speed up business set-up in the region. This portal eliminates unnecessary paperwork and makes it easier for you to obtain your entry permit. Once your entry permit has been issued, you can stay in the region for up to 60 days.
Step 3: Status change
Once you have your entry permit, you will need to activate your status change. Depending on your country of citizenship, you can either activate this in the country or by exiting and re-entering the emirates. Then you’ll need to undergo medical tests to acquire your Emirates ID. This card allows you to open bank accounts, rent properties and take out phone contracts.
Cost of a UAE trade license
The cost of a trade license in the UAE starts at AED 6,875. However, there are additional costs to consider too, such as multi-year licenses, visa quotas, and storage spaces. Prices vary depending on the type of business activity and trade license you require, too. For example, if you require an industrial trade license, you are required to pay for warehouse facilities or storage units.
Get in touch with the SPC Free Zone team today for a free quote tailored to your specific requirements. While applying for a trade license is a relatively simple process, our market-leading team will be happy to work with you to make the process as fast and affordable as possible.
Types of trade licenses in the UAE
In order to conduct business in the UAE, you need to ensure that you are applying for the correct trade license. There are currently three common types of trade licenses in the UAE: professional trade licenses, commercial trade licenses and industrial trade licenses.
Also known as a general trading license, the commercial trading license is the most common type of trade license in the UAE. It covers a wide range of businesses involved in commercial and trade activity in the UAE, including importing, exporting and commodities trading. With this license, entrepreneurs can trade in any number of unrelated goods under one license.
A professional license is designed for skilled entrepreneurs who wish to practice a profession in a specific field of expertise. For instance, entrepreneurs who wish to work in industries such as consultancy, law, accounting, engineering or company formation will need to apply for this type of license. This license makes it possible for professionals to be totally transparent about specific services and industries.
Finally, an industrial license is for entrepreneurs involved in the production and manufacturing of new products, such as food industries, textile manufacturing and equipment manufacturing. This type of visa requires businesses to operate from a physical office space or warehouse with the UAE free zone of their choice.
You will need to choose from more than 1,500 business activities in your license application to acquire the correct license. If you’re unsure about where to begin, you can reach out to our friendly advisors at SPC Free Zone who have helped other entrepreneurs navigate this process thousands of times before.
Why do business in the UAE?
For many aspiring entrepreneurs, doing business in the UAE is a no-brainer. As well as enjoying a strong banking system, first-rate transport and digital infrastructure, luxurious lifestyle and diverse economy, the UAE offers specific benefits to business owners, such as:
Speedy business setup
Setting up a company in the UAE is faster and simpler than most destinations across the globe.
Strategic location and time zone
The UAE enjoys a convenient location in the heart of the Middle East, with easy access to emerging markets in Asia, Africa and Europe.
Access to talent
The UAE is home to some of the world’s most prestigious higher education institutions, with a curriculum that incorporates entrepreneurship. It’s also one of the most ex-pat friendly destinations in the world.
Favourable tax regime
Entrepreneurs based in the UAE and its free zones can maximise their profits with one of the world’s most competitive tax regimes, including low income tax, and 100% foreign ownership.
Well-established startup and entrepreneurial scene
The UAE is heavily invested in startup businesses and is home to a huge network of business owners with whom budding entrepreneurs can connect and network.
Business-friendly ecosystem
The UAE government offers visa incentives for high-value talent, support schemes for startups, and one of the fastest-growing economies in MENA.
Why choose SPC Free Zone?
SPC Free Zone is located in the heart of the UAE, just 15 minutes from Dubai International Airport. Our team offers fast and flexible business setup in the UAE, conveniently located in Sharjah. We also offer immigration services on-site, which means you can get your trade license UAE issued in less than two hours.
At SPC Free Zone, you can also choose from more than 1,500 business activities, apply for 20 visas under one license, and apply for a dual-license option that offers both mainland and free zone on the same license. What’s more, you can also benefit from zero paid-up share capital, low corporate and personal income tax, and 100% foreign ownership. That means more profits for both your pocket and your business.
Interested in acquiring a trade license and launching a lucrative business in the UAE? Get in touch with SPC Free Zone now.
The Dubai Municipality plays a crucial role in safeguarding the standards of products entering the market, whether imported for consumers, locally manufactured, or destined for export. With the authority to intervene and remove items deemed hazardous, harmful, or culturally inappropriate, it acts as a guardian of public safety and well-being.
For individuals seeking to bring consumer goods into the United Arab Emirates, start
manufacturing ventures in Dubai, or engage in export activities, cooperation with the Dubai Municipality is essential. This entails undergoing a registration process that involves paperwork and time as the authority meticulously assesses the safety and suitability of the products. Such scrutiny underscores the paramount importance of ensuring consumer protection.
Thus, seeking professional guidance is not just advisable but necessary to navigate this process effectively. At SPC Free Zone, we boast ample experience in facilitating the seamless initiation of businesses, ensuring entrepreneurs embark on their entrepreneurial journey smoothly and without encountering any unnecessary hurdles.
Today, let us get a comprehensive understanding of the intricacies involved in product registration in Dubai, ensuring that you are well-equipped to navigate this regulatory landscape with confidence and ease.
Why Is Product Registration Mandatory in Dubai?
In essence, product registration is a legal requirement. If you intend to import, export, or manufacture goods in Dubai, registering your products with the Dubai Municipality is mandatory. This applies to a wide range of items intended for consumer use, including food, cosmetics, textiles, and more. However, there are slight variations in the rules for products intended for business or government use.
The Dubai government has established stringent standards for products available in the market to ensure consumer protection. It is the responsibility of manufacturers and importers to demonstrate that their products are safe for human consumption. Product registration offers numerous benefits for manufacturers, wholesalers, and end consumers alike:
Benefits of Product Registration in Dubai
Trust: Registering your products with the Dubai Municipality demonstrates your commitment to upholding the highest standards of health and safety, fostering trust among your customers.
Compliance: Product registration enables you to ensure compliance with all regulations concerning the substances and materials used in your products, thereby mitigating potential legal risks.
Avoidance of Moral Offense: Certain products that may be culturally or religiously offensive are prohibited from importation or manufacturing in Dubai, thus avoiding any potential controversies.
Legal Compliance: Registering your products with the Dubai Municipality is essential to avoid legal repercussions, as selling unregistered products is considered illegal and can lead to prosecution.
Brand Reputation: By adhering to health and safety regulations through product registration in Dubai, your company enhances its reputation, earning positive perceptions from customers and consumers alike.
Validity of Product Registration in Dubai
To ensure the validity of product registration in Dubai, you must follow the steps outlined below:
Choose Your Business Activity: The initial step in obtaining a car rental business license in Dubai is selecting your business activity. Various license types are available, depending on the nature of your vehicle rental services. At Sharjah Free Zone, we offer expert guidance to determine the most suitable license for your operations.
Registration with Dubai Municipality: Following the selection of your business activity, the next phase involves registering your company with the Dubai Municipality. This entails enrollment on the online portal, where you’ll furnish details about your business, including a copy of your trade license, email address, contact information, registered office address, and other pertinent data.
Submission of Product Information Documents to Dubai Municipality: To obtain approval for the sale, import, or export of your products, you must provide comprehensive product information to the authorities. This involves submitting a detailed list of ingredients for each product, along with a sample for evaluation. Additionally, the application process necessitates the payment of certain fees. Should any potential issues arise with your product, modifications may be required, accompanied by the provision of additional evidence, adjustments to labelling information, or the submission of additional certificates.
Receipt of Registration Certificate for Dubai Products: Upon completion of the product registration procedure, your product will be officially registered, and you will be furnished with an electronic registration certificate. This certificate serves as tangible proof of compliance with Dubai’s stringent product health and safety standards and can be prominently displayed on your products and branding materials.
Adhering to these steps ensures the validity of your product registration in Dubai, underscoring your commitment to adhering to regulatory requirements and ensuring consumer safety and satisfaction.
Streamline Your Business Setup Journey with SPC Free Zone
Are you seeking to simplify your business setup process and propel your accounting firm towards unprecedented success? Your solution lies with SPC Free Zone, offering swift, adaptable, and cost-efficient business establishment solutions in the UAE.
Conveniently nestled in the heart of Sharjah, we offer comprehensive on-site immigration services. Boasting a diverse portfolio of over 2000 business activities meticulously tailored to suit your entrepreneurial ambitions, you are presented with a plethora of options to materialize your goals.
Moreover, enjoy expedited visa approvals within a mere 5 working days, expediting your journey towards prosperity. Upon securing your business license through us, unlock the potential for unlimited visa scaling coupled with flexible desk/office space alternatives.
Given the absence of mandatory paid-up share capital and the provision for 100% foreign ownership, it is no surprise that numerous ambitious entrepreneurs have chosen to collaborate with SPC Free Zone. Our team of seasoned business setup advisors empowers entrepreneurs to effortlessly navigate the intricate process of business setup in Dubai.
Dubai, a well-liked travel destination renowned for its booming economy and business-friendly atmosphere, presents several chances for successful business ideas in Dubai that are highly profitable in 2024. The city’s numerous industries and population make it a good place for a variety of companies, whether you’re a local or a foreign investor.
With its famous monuments, opulent resorts, and cutting-edge technology, Dubai has emerged as a major international center for trade, tourism, finance, and innovation. Every year, Dubai attracts millions of tourists, which drives up demand for both residential and commercial real estate.
Opportunities in e-commerce platforms, that depend on digital marketing license Dubai, are being created by Dubai’s expanding digital landscape as more UAE consumers resort to online channels for their purchasing and service demands.
Ever wondered how to make money in Dubai or how to make money in Dubai without investment in 2024? Discover the Top 25 Successful Business Ventures in Dubai and UAE – Your Gateway to Profitable Opportunities!
Top Business Ideas in Dubai 2024
If you want to know how to start a business in Dubai, or establish a small business in Dubai, read our article to discover 25 of the most profitable business ideas & opportunities in Dubai and the rest of the UAE in 2024.
1. E-commerce and Online Retail- Business Ideas in Dubai
E-commerce in Dubai and the UAE has grown significantly in recent years. With about 99% of the population having internet access, the UAE has one of the highest internet penetration rates in the world.
The UAE’s government has been promoting digital transformation, creating a strong digital infrastructure, and encouraging e-commerce. Customers are looking for specialized and customized items. Utilize the desire for specialty products and establish a prosperous online business by spotting market trends or gaps. To increase traffic to your online store your website must be well-designed and user-friendly, you also should consider using a variety of platforms, such as social media marketing, email marketing, and influencer relationships.
2. Food and Beverage Industry- Best Business Ideas in Dubai
The UAE’s food and beverage business is well known for its thriving culinary scene and varied cuisine culture, especially in Dubai.
Some business Ideas in the UAE Food Industry in 2024:
Specialty Cafes: that offer special kinds of brews and unique sweet and savoury creations.
Food Trucks.
Healthy Food Delivery Services.
Unique Dining Experiences: Introducing unique dining experiences, such as underwater restaurants, can create memorable moments for customers seeking new dining experiences.
Using fresh, high-quality ingredients, partnering with trusted suppliers, providing exceptional customer service and creative marketing strategies are crucial for success in this business.
4. Technology and IT Services- Top Business Ideas in Dubai
Dubai has been placing significant emphasis on transforming into a leading smart city, this focus has created a strong demand for professionals who can develop cutting-edge technologies. The city aims to integrate advanced digital infrastructure and smart systems into various sectors, including transportation, healthcare, energy, and public safety.
Mobile app development is another area of great potential in Dubai, there is a growing need for mobile applications that cater to various aspects of daily life, such as transportation, tourism, healthcare, and e-commerce.
Technologies such as artificial intelligence (AI), blockchain, Internet of Things (IoT), and cloud computing are being actively integrated into Dubai’s smart city initiatives.
Engaging with industry peers and attending workshops can help professionals expand their professional network and discover new opportunities.
Furthermore, certifications and qualifications specific to the field of interest can significantly enhance one’s credentials and opportunities.
5. Health and Wellness- Business Ideas in Dubai
Dubai has seen a growing emphasis on health and well-being in recent years, this focus presents a range of business opportunities in the UAE for 2024.
Fitness studios.
Wellness retreats.
Organic product stores.
Specialized health clinics.
Provide high standards of cleanliness and hygiene, leverage digital marketing and collaborate with influencers to raise awareness and build a loyal customer base.
6. Education and Training- Most Successful Business Ideas in Dubai
Education holds significant importance in Dubai, and the demand for quality training programs is high, creating a range of business opportunities in the UAE.
Language schools.
Vocational centers.
Tutoring services.
Online learning.
Emphasizing specialized courses, and experienced instructors, leveraging technology, and offering certification or accreditation is crucial for success.
7. Real Estate and Property Management- Business Opportunities in Dubai
Dubai’s real estate market has experienced a significant boom in recent years which contributed to the growth and diversity of the real estate sector.
Property management services.
Real estate consulting.
Vacation rental platform.
You should conduct thorough market research, identify target audiences, and build partnerships with property developers. Ensure prompt communication, transparency, and responsiveness to clients’ needs to build trust and long-term relationships.
8. Renewable Energy and Sustainability Solutions- Business Ideas in Dubai
Dubai, known for its remarkable architecture and luxurious lifestyle, has also made significant strides in committing to sustainability and renewable energy.
Some of the most promising ventures in the sector are:
Solar power generation.
Recycling services.
Eco-friendly products.
Green consulting services.
9. Event Planning and Management- Profitable Business in Dubai
Dubai is renowned worldwide for its innovation and the spectacular events it hosts, as a result, there is a high demand for professional event planning services.
Wedding planning.
Corporate event management.
Exhibition organizing.
Event planning.
Attention to detail, building strong industry connections, and collaboration with reliable vendors, suppliers, and venues is essential for a successful event business.
Dubai is known for its luxury shopping experiences and a thriving fashion industry. Entrepreneurs looking to enter the fashion industry in Dubai can explore various business ideas to cater to this growing demand, to name a few:
Boutique stores.
Online fashion platform.
Luxury consignment shops.
To succeed in Dubai’s fashion industry, it is crucial to stay updated with the latest 2024 fashion trends, offer curated collections, and provide excellent customer service.
11. Financial Services and Fintech- Business Ideas in Dubai
Dubai’s financial sector has experienced significant growth, creating a favorable environment for entrepreneurs in the sector.
Mobile payment solutions: Developing a mobile payment platform can cater to the increasing demand for convenient, secure, and efficient payment methods.
peer-to-peer lending platforms: Peer-to-peer lending has emerged as an alternative form of lending, connecting borrowers directly with lenders through online platforms.
Financial consulting services: these services include providing financial planning, investment advice, risk assessment, and regulatory compliance services.
Focusing on providing solutions that address specific customer needs, embracing technology and innovation, and adapting to evolving customer preferences are essential in a rapidly changing fintech landscape.
Dubai’s art scene has experienced remarkable growth and has emerged as a vibrant cultural hub in the Middle East. Some successful businesses in this field for 2024 are:
Art galleries.
Creative studios.
Art workshops.
Art events organizing.
Artists promotion.
Unique Exhibitions Curation.
Fostering community engagement and collaborating with other businesses is a fundamental aspect of succeeding in Dubai’s art scene.
13. Logistics and Supply Chain Management- Business Ideas in Dubai
Dubai’s strategic location in the Middle East has positioned it as a global logistics hub connecting Europe, Asia, and Africa. Entrepreneurs can leverage Dubai’s logistical advantages by exploring business ideas in UAE for 2024. Some of these ideas are:
Freight forwarding services: Freight forwarding companies facilitate the movement of goods and manage the logistics process for businesses involved in import and export.
Warehouse management: Entrepreneurs can establish warehouse management companies that provide storage, inventory management, order fulfilment, and distribution services.
Supply chain consulting: supply chain management can offer consulting services to businesses seeking to enhance their operational efficiency, reduce costs, and improve their overall performance.
Efficiency and reliability are critical in the logistics industry, as well as building strong relationships with suppliers and delivering exceptional customer service.
14. Beauty and Personal Care- Business Ideas in Dubai
The demand for beauty and personal care services in Dubai has been steadily growing, and entrepreneurs can make money in Dubai by exploring various business ideas in this domain. Some of the most promising businesses are:
Beauty salons.
Spas.
Skin care clinics.
Natural and organic beauty products.
Hiring experienced and trained professionals and using high-quality products is crucial in delivering high-quality services and ensuring customer satisfaction. Effective marketing strategies are also essential to attract customers in Dubai’s competitive beauty and personal care market.
15. Digital Marketing and Social Media Consulting- Business Ideas in Dubai
The question that everyone asks: How to make money online in Dubai without investment? A short answer is Digital Marketing.
In Dubai’s highly competitive business landscape, digital marketing has become a critical component for success, and entrepreneurs can explore many business ideas in the sector as digital marketing agencies, social media consulting firms, or content creation services.
Digital marketing entrepreneurs should stay updated with digital trends and emphasize the use of data analysis. Offering data-driven strategies that are backed by measurable results can help businesses gain a competitive edge and build long-term relationships with clients.
16. Construction and Interior Design- Business Ideas in Dubai
Dubai’s construction industry has experienced tremendous growth and has become a global hub for innovative architecture and design.
Entrepreneurs can establish construction management firms that oversee and coordinate all aspects of a construction project. Interior design firms have significant opportunities and entrepreneurs can offer interior design solutions for residential, commercial, or hospitality projects.
Home staging businesses have also gained popularity and they offer services such as furniture rental, decor placement, and spatial optimization.
Entrepreneurs in architecture and design-related businesses should strive to bring innovation, embracing cutting-edge technologies, and incorporating sustainable design principles.
17. Automotive Services- Business Ideas in Dubai
Dubai’s passion for automobiles is evident in the city’s love for luxury and high-performance vehicles. This demand for automotive services presents entrepreneurs with various business opportunities, like car rental companies, specialized auto repair shops, or luxury car detailing services.
In the automotive services industry, quality service is of utmost importance. This requires investing in state-of-the-art equipment, providing ongoing training for technicians, building relationships with car dealers, and staying updated with the latest automotive technologies and repair techniques.
18. Social Impact Ventures- Business Ideas in Dubai
Dubai has placed a significant emphasis on social impact and corporate social responsibility (CSR) in recent years. Entrepreneurs can contribute to this vision by exploring many business ideas in 2024. Some of these ideas are:
Social enterprises: Entrepreneurs can establish social enterprises in Dubai that focus on areas such as poverty alleviation, education, environmental conservation, or healthcare.
Non-profit organizations: These organizations rely on philanthropic contributions, grants, and partnerships to support their operations.
Sustainable product lines: environmentally friendly and socially responsible products, businesses can cater to a growing consumer demand for sustainable alternatives.
Collaboration and partnerships are key in the pursuit of social impact and CSR in Dubai. Entrepreneurs should actively seek opportunities to collaborate with government entities, non-profit organizations, and other businesses to amplify their impact.
19. Consultancy Services- Business Ideas in Dubai
Dubai’s dynamic business scene has created a significant demand for consultancy services. Entrepreneurs can explore business ideas like business to cater to this demand. Some of the most important consultancy business ideas for 2024 in this domain are:
Entrepreneurs should possess deep knowledge and experience in their chosen field of consultancy. Staying updated with industry trends, attending relevant conferences and seminars, and continuously investing in professional development are key to maintaining a competitive edge.
20. Pet Care and Services- Business Ideas in Dubai
There has been a notable increase in pet ownership and a growing demand for pet-related services in Dubai, UAE. Entrepreneurs can explore business ideas such as:
Pet grooming salons.
Pet day-care facilities.
Specialized pet food stores.
In the pet-related services industry, providing a welcoming and comfortable environment for pets and their owners is crucial. This includes maintaining cleanliness, implementing safety measures, incorporating pet-friendly amenities, and hiring qualified staff.
21. Fitness Technology and Wearables- Business Ideas in Dubai
Dubai has seen a significant rise in interest and awareness surrounding fitness and wellness.
This growing trend opens opportunities for entrepreneurs to explore business ideas related to fitness and wellness technology. Some potential business ideas include:
Fitness tracking apps: Entrepreneurs can develop fitness tracking apps that offer features such as workout tracking, calorie counting, heart rate monitoring, and integration with popular fitness platforms.
Wearable devices: Entrepreneurs can consider designing and manufacturing their own line of wearable devices that offer advanced features, stylish designs, and seamless integration with mobile apps.
Smart gym equipment: Entrepreneurs can develop smart gym equipment that offers interactive workout programs, personalized training plans, or virtual coaching sessions.
Usability and user experience are vital factors for success in this industry, as well as compatibility with popular fitness platforms to provide a more comprehensive and streamlined fitness experience.
22. Manufacturing and Industrial Services- Business Ideas in Dubai
Dubai has placed a strong emphasis on industrial growth, making it an attractive destination for manufacturing services. Entrepreneurs can explore various business ideas in this sector, including industrial machinery manufacturing, specialized component production, or 3D printing services, to meet the growing demand in Dubai’s industrial landscape.
Quality control, efficient production processes, and compliance with industry standards are critical aspects of the manufacturing industry that entrepreneurs should take great care of.
23. Wedding and Event Photography- Business Ideas in Dubai
Dubai’s wedding and event industry is known for its grandeur and love of uniqueness, thing that creates a thriving market for professional photography services. Some of the most profitable business ideas in this domain are:
Wedding photography studios.
Event videography.
Drone photography services.
Creativity plays a significant role in the wedding and event photography industry. Delivering high-quality imagery is also essential and entrepreneurs should invest in professional-grade equipment to ensure exceptional image quality.
24. Language Translation and Interpretation- Business Ideas in Dubai
UAE is a multicultural country, with residents and businesses from various nationalities and backgrounds, which creates a significant demand for language services. Entrepreneurs can explore business ideas in this sector, such as translation agencies, interpretation services, or language training programs, to cater to the diverse linguistic needs of individuals and companies.
Accuracy, cultural sensitivity, and offering a wide range of language options are essential for success in the language services industry in Dubai, UAE.
25. Media and entertainment- Business Ideas in Dubai
Dubai has established itself as a major media and entertainment hub, attracting production companies, studios, and broadcasters from around the world. Entrepreneurs can tap into this rich market with several potential business ideas, some of which are:
Production Companies.
Film and Television Studios.
Broadcasting.
Music Production and Distribution.
Digital Content Creation.
Emphasizing creativity and quality and building industry relationships will contribute to a successful venture in Dubai’s vibrant media and entertainment sector.
How SPC Free Zone Supports Your Business Ideas
SPC Free Zone promotes entrepreneurship and offers simple and value-added business support services. Whether you need an e-commerce license in UAE, a general trading license, or a professional license, we have it all covered. Additionally, you can apply for a dual-licensing option that provides mainland and free zone on the same license and up to 20 visas. Furthermore, the on-site immigration services allow you to get your license in just 45 minutes, and your UAE residency in 5 working days.
2. What are the requirements for starting a business in Dubai?
The requirements for starting a business in Dubai in 2024 may vary depending on the type and nature of the business, but in general, here are some common requirements are a business license, legal structure, business plan, premises and office space and other requirements.
3. What are the challenges of starting a business in Dubai?
Some of the challenges that face businesses in Dubai, UAE:
The competitive market.
The language and cultural barriers
High Cost of Living and Doing Business
Workforce Availability and Hiring.
Understanding local market dynamics
These challenges can be managed with careful planning, market research, and seeking professional advice.
4. What are the benefits of starting a business in Dubai 2024?
Some of the benefits of starting a business in Dubai include:
Strategic Location.
Business-Friendly Environment.
Strong Infrastructure.
Taxation Advantages.
Free Zones.
Diverse and Dynamic Market.
Government Support and Incentives.
Access to Talent.
Safety and Security.
5. How can I find more information about starting a business in Dubai?
To find more information about starting a business in Dubai 2024, you can consider the following sources:
Department of Economic Development (DED)
Dubai Government Portals.
Dubai Chamber of Commerce and Industry (DCCI).
Free Zone Authorities.
Professional Consultancy Firms.
Local Business Networks and Associations.
Legal and Business Consultants.
6. What are some tips for starting a successful business in Dubai?
Some tips for starting a successful business in Dubai include:
Yes, foreigners can start a business in Dubai. However, the specific requirements and regulations may vary depending on the type of business and the location in Dubai and the rest of the UAE.
Proper filing of relevant documentation and legal procedures is one of the most important aspects that new or established businesses must follow to successfully get a trade license in Dubai, UAE. Business licenses, also known as trade licenses, are amongst the most important paperwork required to start and continue your business setup in Dubai, UAE. The trade license renewal process is usually an annual one, and all businesses require a relevant trade license in Dubai, UAE- whether industrial, commercial, or professional. This article serves as a guide to how you can renew a trade license in Dubai, UAE in 2024. Furthermore, this article will provide a simplified overview of the process and requirements for trade license renewal.
Understanding the fundamentals of a Trade License
A trade license is a permit issued by mainland or free zone governing authority, that allows businesses to operate within the country. It is a legal requirement for all businesses, regardless of their size or industry.
A trade license is important for businesses for a number of reasons:
Grants businesses the right to operate within the emirate.
Allows businesses to open a bank account and conduct financial transactions.
Provides businesses with access to government services and benefits.
Helps to protect businesses from legal liability.
The duration and validity of trade licenses in Dubai vary depending on the type of business and the activity being conducted. Many free zones offer multiple year licenses ranging from one to ten years.
Trade License Renewal
It is important to renew trade licenses within the specified time frame. Failure to do so can result in fines, suspension, and even the legal implications.
If you are a business owner, it is important to understand the fundamentals of a trade license. By doing so, you can ensure that your business is compliant with the law and that you are able to operate your business smoothly and efficiently.
Here are some additional tips for renewing your trade license on time:
Keep track of the renewal date.
Make sure you have all the required documents.
Pay the renewal fee on time.
Submit your renewal application in person or online.
By following these tips, you can ensure that your trade license is always up-to-date and that your business is in compliance with the law.
How to determine when you need to renew your trade license in Dubai, UAE?
It’s easy to identify the date for the renewal of your trade license in Dubai, UAE. Here are some of the options that can help you determine the date your trade license in Dubai, UAE expires:
Check your original license paperwork as it contains the date the license approval expires and hence when you would need to renew your trade license in Dubai, UAE.
If that is not possible, check with your company formation agent. In case you have set up your business in a free zone, contact the relevant free zone authority for that area.
A grace period of 30 days is given post the expiration date of the trade license in Dubai, UAE, after which your business would be liable for fines.
The trade license renewal process:
Valid documents and paperwork
To renew your trade license in Dubai, UAE, it is important to have all the documents and required paperwork in order. The documents you would require for this process are:
Photocopy of passport, Visa and Emirates ID
Tenancy contract copy maybe needed depending on the activity
Renewal Application Form
To officially apply for your business license renewal, you will have to fill an application form. You will need to type out the form, fill in relevant details, and take the signatures of the existing partners of your business. The documents listed above must be attached to this form before you submit it for approval.
Receive License via email
After submitting your application, the authorities will perform the necessary checks with reference to the documents attached and approve or reject your application. Once approved, the authorities will verify your application and send you a payment voucher so that you can make the payment for the trade license renewal in Dubai, UAE. The authorities will only renew your license after the completion of the payment. After this is done, you have officially completed the process, and your trade license renewal in Dubai, UAE, is renewed and valid.
Consequences of failing to renew a trade license within the specified time frame
Penalties and fines: Businesses that fail to renew their trade licenses may be subject to penalties and fines. The amount of the penalty or fine will vary depending on the Free Zone jurisdiction, but it can be a significant amount of money.
Blacklisting: Businesses that fail to renew their trade licenses may be blacklisted by the government. This means that the business will be prohibited from conducting business in the jurisdiction.
Legal implications: Businesses that fail to renew their trade licenses may be subject to legal action.
It is important for businesses to adhere to the renewal deadlines for their trade licenses. By doing so, businesses can avoid the potential consequences of non-renewal, such as penalties, fines, blacklisting, and legal implications.
Here are some tips for renewing your trade license on time:
Set a reminder in your calendar: This will help you to stay on track and avoid missing the renewal deadline.
Check with your local government agency: The renewal process and deadlines may vary depending on the jurisdiction.
Gather all the required documentation: This may include proof of insurance, tax returns, and other documents.
Submit your renewal application early: This will give you plenty of time to address any issues that may arise.
By following these tips, you can help to ensure that your business remains in compliance with the law and avoids the potential consequences of non-renewal.
Here are some key takeaways on the trade license renewal process in Dubai:
Renewal can be done online or by contacting your business license provider.
The renewal process typically takes 1 to 5 business days.
The renewal fee is based on the type of license and visa allocation.
Businesses must provide updated information, such as contact details and ownership information, when renewing their licenses.
It is important to renew your trade license on time to avoid penalties and fines. Uninterrupted business operations are also important for the growth of your business.
SPC Free Zone can help you with the renewal process by providing the necessary information and documentation. We can also help you resolve any difficulties you may face during the process.
To learn more about the trade license renewal process in Dubai, please contact SPC Free Zone. We would be happy to help you with your renewal application and answer any questions you may have.
Here are some of the benefits of renewing your trade license through SPC Free Zone:
Faster processing times: SPC Free Zone has a dedicated team that is experienced in processing trade license renewals. This means that your application will be processed quickly and efficiently.
One-stop shop: SPC Free Zone can help you with all aspects of your trade license renewal, from submitting your application to paying the renewal fee. This means that you can save time and hassle by working with us.
Our business-friendly policies have made it so that most processes related to business setup, including applying for a trade license and renewing it, are simple, easy to understand, and navigate. Renewing your trade license in Dubai, UAE when the time comes is incredibly important, as failure to do so can result in heavy penalties of up to AED 5,000, blacklisting the business, or banning it together.
If you are looking to setup a business in Dubai or the UAE, including the Sharjah Free Zones, it is advisable to seek professional business support services.
Can I renew my trade license online?
Yes, with SPC Free Zone you can renew your trade license online.
What documents are required for trade license renewal in Dubai, UAE?
To renew your trade license in Dubai, UAE, it is important to have all the documents and required paperwork in order. The documents you would require for this process are: – Photocopy of passport, Visa and Emirates ID – Tenancy contract copy maybe needed depending on the activity
How often do I need to renew my trade license in Dubai?
Renewal of your license depends on the license tenure you have selected. This may range from 1 to 10 years.
Are there any fees associated with trade license renewal in Dubai?
Renewal fees differ from one free zone to the other. It may amount to the cost of the license or higher depending on the free zone you choose.
Can I continue operating business activities without renewing the trade license?
Doing so will attract late renewal penalties and must be avoided at all costs.
What are the common reasons for trade license expiration?
End of license tenure leads to expiration of trade license in Dubai.
Combining a high level of economic stability and security with easy access to markets in Africa, Asia and Europe, it’s little wonder why investors like you are choosing to start and scale their business in the UAE. But before you get going, you need to ensure that you have a valid general trading license for your business in the Dubai, UAE. This legal permit allows you to conduct specific business activities in the UAE and, without it, you could face heavy penalties. It also boosts credibility and raises awareness of your company in the market in which you are operating.
If you are planning to start a business in the UAE, this article will share insights into the general trading license to explore what it offers for your business in the UAE, the types of businesses it applies to, and the application process.
We will cover the following topics:
What is a general trading license in Dubai, UAE?
Steps to getting a UAE general trading license
Cost of a UAE general trading license
Why choose SPC Free Zone when setting up a business in the UAE?
What is a General Trading License in the UAE?
A general trading license for your business in the UAE is a license that allows you to export, re-export, import and trade any number of unrelated goods under one license. Unlike the specific license category, it allows you to trade in a wide range of commodities, except those that are prohibited, such as oil, tobacco, and goods that do not comply with health and safety standards. So, in theory, you could trade in everything from furniture and food to electronics and pet supplies.
A general trading license is one of the most sought-after licenses among people looking to set up a business in the UAE. It offers a number of benefits that enable investors to trade easily across local regions and internationally for their business in the UAE. These include:
Opportunity to trade in almost any industry, excluding restricted industries
Add multiple shareholders over time
No restrictions on the number of people you employ
No import duties and 100% repatriation of profits for your business in the UAE
Access to advanced logistics and warehouse support
Increased employee visa applications for larger premises
Steps to Getting a UAE General Trading License
The steps to getting a general trading license in Dubai, UAE are:
Step 1: Register the company. First, you will need to pick your business activity or list multiple activities if relevant for your business in the UAE. Choose your company’s trade name and ensure that it adheres to the UAE’s naming conventions. For instance, you should make sure your company name does not include any offensive language and that it is available to be registered. You can then submit the initial approval form. If this is approved, the authorities will issue the trade license within two hours for your business in the UAE.
Step 2: E-channel services and entry permit. Next, you will need to register for e-channel services. This online system removes unnecessary paperwork and speeds up the application process. Once you have registered, you will be able to apply for your entry permit. This is a temporary visa, valid for up to 60 days.
Step 3: Status change. Once you receive your entry permit, you can activate your status change. It is easiest to do this in-country, but it is also possible to activate this by exiting and re-entering the UAE, depending on your nationality.
Step 4: Emirates ID registration. You will need to take a medical test to apply for your Emirates ID card. This involves a blood test, x-rays, and other relevant check-ups. Once you receive the results, you can apply for your Emirates ID card. You will need this identity card to open a bank account, rent a property and take out mobile phone contracts in the UAE.
While the process for applying for a general trading license is relatively straightforward, you’ll need to be prepared with the right documents and information to jump through the right hoops. There’s no need to do it alone, though. SPC Free Zone’s business setup advisors will guide you through every step of the journey to ensure that you can acquire your general trading license as quickly and smoothly as possible.
The cost of a UAE general trading license starts at AED 6,875. However, there are additional costs to consider. The total price of your general trading license will vary depending on factors including:
Type of business activity
Business structure
Visa quota
Number of business partners
Office and warehouse premises
Ready to find out how much your general trading license will cost? Get in touch with our team at SPC Free Zone for an accurate quote tailored to your specific situation and requirements.
Why Choose SPC Free Zone?
At SPC Free Zone, we can help you navigate every stage of your general trading license application. Quick, convenient, and flexible, you can get your license issued in just two hours, thanks to our location in the heart of Sharjah with immigration services onsite.
You can choose from over 1,500 business activities, get up to 20 visas under one trade license and enjoy competitive benefits such as 100% foreign ownership with zero paid-up capital.
We can also help you to expand your business with a dual-license option that offers both mainland and free zone on the same license.
Uncover the secrets of success where innovation and opportunity converge in this global business playground. Explore the possibilities of Business Setup in Dubai today!
Many foreign nationals work and live in the United Arab Emirates. They often have to leave their spouses and children in their home country to begin this part of their career. This separation can lead to loneliness, stress, and even depression.
The UAE is family-oriented and does its best to help keep families together. The UAE government encourages expat residents to bring their families (including parents) to the UAE to live with them.
If you want to get resident visas for your spouse and children, read our most recent guide to find out the requirements and the costs involved. In this article, we will explore the following topics:
Spouse visa requirements for expatriates
How to sponsor your wife and children for a spouse visa in the UAE
Process for Getting Residence Visa for your Spouse in The UAE
Documents required to sponsor wife and children for spouse visa in the UAE
What is the cost of sponsoring your family in the UAE?
Before you can sponsor your spouse for a visa, you must understand the eligibility requirements for their residence visa in the UAE.
Employers and employees with valid residence visas in Dubai, UAE may sponsor their relatives to join them in the country.
Salaries for male expats should be at least AED 3,000 to AED 4,000 per month and have accommodation available.
All sponsored family members over 18 years must undergo and pass a medical fitness examination at one of the UAE’s officially recognised medical facilities.
All terms are subject to periodic review and revision. You should contact the General Directorate of Residency and Foreigners Affairs (GDRFA) or the Federal Authority for Identity and Citizenship if you have any questions.
How to sponsor your wife and children
Assuming you meet the requirements of the General Directorate of Residency and Foreigners Affairs, obtaining a residency visa for your spouse and children is simple and affordable.
You must provide an official marriage certificate written in Arabic. If you do not have one, you can get it translated into Arabic and attested at any recognized typing center.
If you are a foreign Muslim resident with two wives, you can sponsor both if you satisfy all the requirements outlined by the GDRFA.
You can sponsor your daughters only if they are unmarried. For your sons, you can only sponsor them up to the age of 18. You can continue to sponsor them until they turn 21 only if they continue their education either in the UAE or abroad. However, they must visit the UAE at least once every six months for their residency visa to remain valid. This residence visa is issued annually and is renewable for the duration of the student’s studies.
This visa does not need a financial guarantee from the parents. The initial application and subsequent renewal fees for the permit are AED 100. Parents must provide official transcripts from accredited colleges or institutions to apply for this visa.
Under GDRFA, you may sponsor your stepchildren provided you have a signed no-objection certificate from the child’s biological parents and a deposit for each stepchild. Their residency permits will be valid for one year and renewed yearly.
Process for Getting Residence Visa for your Spouse in the UAE
The process of acquiring a spouse visa in the UAE involves:
Step 1:
Applying for an entry permit for your spouse and children. You have 30 days to apply for a residence visa after they enter the UAE.
Step 2:
Your spouse and children above 18 years need to go through medical fitness tests in a government-approved health center to obtain a medical clearance certificate.
Step 3:
Visiting an authorized typing center with the medical clearance certificate, paying the required fees, and getting a typed residence visa application form.
Step 4:
Submitting the typed residence visa application along with the entry permit, medical certificate, and other documents required at the GDRFA to get it approved.
Step 5:
The last step is to apply for the Emirates ID through the Federal Authority for Identity, Citizenship, Customs and Ports Security Website, AMER typing centers, or the respective immigration departments.
Documents required to sponsor wife and children
You will need to submit the following documents that include:
Online application or through a registered typing office in the UAE.
Passport copies of the spouse and children.
Passport-size photographs of spouse and children.
Medical clearance certificate for the spouse and children above 18.
Copy of the sponsor’s employment contract or company contract. This certificate must be in English and Arabic.
Bank statement for the last three months (with salary transaction).
A marriage certificate attested in the home country and by MOFA (Ministry of Foreign Affairs)
Attested tenancy contract.
Latest utility bill (electricity, water, etc.).
What is the cost of sponsoring your family in the UAE?
Some of the fees you have to pay (to the date of writing this article):
Sponsorship File Opening: AED 380
Entry Permit: AED 450
Visa Status Change: AED 661
Medical Tests: Roughly AED 310
Emirates ID: AED 255 (1 year), AED 366 (2 years)
Health Insurance: Starts anywhere from AED 450 per month
How to sponsor your parents in the UAE
As an expatriate employee, you can sponsor your parents to stay in the country for a year. You will need to put down a deposit as a guarantee for each parent, as required by the appropriate immigration authority.
You cannot sponsor just one parent; you must sponsor both your parents. You must also prove that you are their primary support and that there is no way to help them back in their home country. If you are sponsoring only one parent, you must provide a valid reason, such as a death certificate or divorce, along with formal documentation as proof.
You must also earn the stipulated minimum salary per that emirate’s immigration authority to sponsor your parents. According to the Amer website, to sponsor parents for a visa via the Department of Naturalisation and Residency Dubai (DNRD) in Dubai, you must have a minimum annual income of AED 20,000.
Additionally, you must get a medical insurance policy for each parent that meets the minimum level of cover required, and you must renew the policy yearly.
How can a woman sponsor her family in the UAE?
In Abu Dhabi, a woman may sponsor her husband and children if she is an engineer, teacher, doctor, nurse, or other medical professional with a monthly income of at least AED 10,000 or AED 8,000 plus housing. She must provide further paperwork as required by the relevant authorities.
In Dubai, if a woman is not working in one of these fields, she may still be able to sponsor her family if her monthly salary is more than AED 10,000 and she gets special permission from the DNRD.
Single mothers may sponsor their children. They will need to provide a signed no-objection certificate from the child’s biological father (if alive) and make the required deposit amount for each child.
Renewal of spouse visa
The visa validity term varies depending on the sponsor and the sponsored individual. The valid length of time might range from one to three years.
When a dependent’s visa expires or is canceled, you have 30 days to apply for a new residence permit. The employee’s dependents may be considered unlawful residents and subject to a fine if the employee fails to renew or cancel their visas on time. The terms for a visa renewal are the same as those for a new visa.
Frequently Asked Questions about Spouse Visa in the UAE
How long does UAE spouse visa take?
If you submit all the documents and meet the requirement of the immigration department, it takes between 10 to 15 working days. However, it may take extra time to receive approvals from the Immigration Department of the respective emirate.
How much does it cost to get a spouse visa in UAE?
To get a spouse visa in the UAE cost depends on a number of factors. In addition to the basic fees mentioned above in the article, you might have to pay additional fees for your service provider or any additional documents or attestation.
Can I get married in UAE without a residence visa?
In Dubai, at least one party to the marriage contract (husband, wife, or wife’s guardian) should have a residence visa in the UAE. In other emirates, both bride and groom must be UAE residents.
What are the benefits of a husband visa in UAE?
Some of the benefits of a spouse visa are:
Your spouse will not need a work permit.
Your spouse can work in the UAE and her/his company needs to only apply for your labour approval the Ministry of Labour.
Changing jobs is that much easier with a spouse visa.
Can you work on a spouse visa in UAE?
Yes, you can work in the UAE on your spouse’s sponsorship.
Which profession can get a family visa in UAE?
All employees can sponsor their families regardless of their job titles if they earn a minimum salary of AED 4,000 or AED 3,000 plus accommodation.
Why choose SPC Free Zone to get a spouse visa in the UAE?
Conveniently located in the middle of Sharjah, the SPC Free Zone is a well-renowned free zone. Established in 2017, it provides a variety of state-of-the-art infrastructural amenities, including coworking spaces, office space, warehouses, and retail stores, all within a regulatory framework that is conducive to business.
SPC Free Zone promotes entrepreneurship and offers business support services, including 100% foreign ownership with zero paid-up capital to companies to help them grow and become economically contributing entities.
Whether you need an e-commerce license in UAE or a general trading license, we offer more than 1,500 commercial activities. Additionally, you can apply for a dual-licensing option that provides mainland and free zone on the same license and up to 20 visas under that license. Furthermore, the on-site immigration services allow you to get your license in under two hours.
Uncover the secrets of success where innovation and opportunity converge in this global business playground. Explore the possibilities of Business Setup in Dubai today!
An investor visa in Dubai, UAE also known as a business visa, is a type of visa that allows foreign investors to reside in the country for the purpose of establishing or owning a business. The UAE offers several investor visa options to attract foreign investment and promote economic growth.
Benefits of investor visa in Dubai, UAE:
UAE investor visa provides numerous benefits to individuals interested in investing and residing in the country. Some of the key benefits of the UAE investor visa are:
Business Opportunities: The UAE is known for its dynamic and thriving business environment, with a robust economy and valuable investment opportunities. Holding an investor visa allows individuals to explore and engage in various business ventures, partnerships, and investment activities in the country.
Residency: The investor visa grants long-term residency in the UAE and allows investors and their families to live, work, and study in the country for extended periods of time, which provides stability and security for investors and their dependents.
Tax Advantages: The UAE has a favourable tax regime, with no personal income tax, and a low-rate corporate tax applicable from June 2023. Investors can benefit from this business-friendly environment, retaining more of their income and profits.
Access to Regional Markets: The UAE is a gateway to the wider Middle East region and offers significant market potential. UAE investor visa allows individuals to set up and expand their business networks, access regional markets, and benefit from the strategic location of the UAE.
Sponsorship Options: Investor visa holders can sponsor their family members for dependent visas, the thing that unites families together and provides access to all the healthcare and education benefits the country provides.
World-Class Infrastructure: The UAE boasts a high standard of living and ultra-modern infrastructure, including state-of-the-art architectural edifices, advanced transportation systems, world-class healthcare facilities, and top-notch educational institutions.
Security and Stability: The UAE is known for its stable community and low crime rates. Investors and their families can enjoy a safe environment and a high quality of life.
Residency Options for Retirement: The UAE offers retirement visas for investors aged 55 and above, to enjoy their retirement years in the country.
The difference between an investor visa and a partner visa in Dubai, UAE
Although they’re commonly used interchangeably, and very close in terms of legality and benefits, an investor visa and a partner visa are two different types of visas that serve distinct purposes.
An investor visa is issued to individuals who establish a sole proprietorship company in the UAE, which has one owner with no partners or shareholders.
On the other hand, a partner visa is issued to business owners who establish a company in Dubai in UAE and other places in the UAE with more than one owner, partner, or shareholder.
Eligibility and Validity
Any individual above 18 years of age who is eligible to set up a company in Dubai and anywhere in the UAE can obtain an investor visa. The validity of the investor visa in Dubai and the UAE depends on the category of the visa, and they are:
Property investment: 3 to 5 years.
Investor/partner: 2 years.
Golden visa:10 years.
Retirement visa: 5 years.
At the end of the visa validity period, you have to renew your visa residency and go through all the necessary medical tests and Emirate ID card procedures. Reach out to a professional service provider, like SPC Free Zone, to help you with the process of renewing your visa and Emirates ID card with all ease and simplicity.
How to apply for an investor visa in Dubai, UAE
To apply for the Dubai, UAE investor visa, you must either have an investment in the UAE or form a new company in the country. If you already own a company in the UAE, you need to submit proof of your investment. The documents required include:
Trade license.
Memorandum of Association (MoA).
Company Establishment Card.
Share Certificate
Formation Certificate
Cancellation of any existing visa.
If you are establishing a new company and want to get an investor visa in Dubai, UAE, then you need to go through the following steps:
Choosing your company’s legal structure: determine the appropriate legal structure for your company, such as a limited liability company (LLC), free zone establishment (FZE), or branch office.
Registering your business: Proceed with registering your business with the relevant authority in the UAE. Depending on your business activity, the process may involve obtaining necessary licenses, permits, and approvals from the local authorities.
Applying for the Investor /PartnerVisa: Once your business is registered, you can begin the visa application process, which in its turn involves several steps:
1. Submit the required Documents: submit the necessary documentation such as your passport, business license, lease agreement, business plan, bank statements, and other documents.
2. Submit the application: fill in the visa application form and submit it along with the required documents to the appropriate immigration authority in the emirate where you plan to establish your business.
3. Pay the fees: Pay the applicable visa fees which vary depending on the way of applying and the type of visa you are applying for.
4. Medical Examination and Biometrics: You are required to undergo a medical examination and provide biometric data as part of the visa application process.
5. Apply for your Emirates ID card: your Emirates ID card is an essential document that carries all your biometric information and allows you to access governmental services, open a bank account, and sign contracts.
6. Receive your Visa: If your application is approved, you will receive your investor visa. Make sure to adhere to the visa validity period and either renew or cancel the visa once expired.
Why choose SPC Free Zone?
SPC offers a fast and easy Sharjah freezone business setup in the UAE. As one of the most centrally located and easily accessible free zones in the region, it’s the ideal ecosystem to start and grow your business successfully with our competitive business setup packages. We help entrepreneurs obtain relevant business licenses and visas for the free zone. With SPC Free Zone, you can also take advantage of up to 20 visa quotas and maximize profits with zero paid-up share capital and 100% foreign ownership.
SPC Free Zone also provides an e-commerce and general trading license for all commercial activities. We aim to give business owners the tools and knowledge they need to navigate their way. Contact us today!
Corporate tax is an important consideration for businesses operating in Dubai, UAE. The UAE government introduced a federal corporate tax in June 2023, which applies to all companies, including foreign and locally owned entities. The tax rate is 9%, and the tax base is taxable income, which is calculated after deducting all allowable expenses. The tax return needs to be filed on an annual basis along with payment of any corresponding tax liability. There are several exemptions and reliefs also available under the corporate tax regime.
Dubai’s Corporate Tax Framework
The UAE corporate tax applies to all companies, including foreign and locally owned entities. However, there are some beneficial provisions for businesses operating in free zones. Free zones are special economic zones that offer a range of benefits to businesses, including beneficial corporate tax regime and exemptions from customs duties and other taxes.
In addition to the federal corporate tax, businesses in Dubai may also be subject to other taxes, such as municipality fees, commercial license fees, and sector levies. These taxes are generally based on the type of business activity, location, and other factors.
Corporate Tax Rates
The UAE Corporate Tax regime introduces a tier system with 3 rates:
All annual taxable profits up to AED 375,000 shall be subject to tax at 0%.
All annual taxable profits above AED 375,000 shall be subject to 9% rate.
ALL MNEs that fall under the scope of Pillar 2 of the BEPS 2.0 framework (i.e. consolidated global revenues in excess of AED 3.15 billion) shall be subject to different rates as per OECD Base Erosion and Profit-Sharing rules. However, until such time as the Pillar Two rules are adopted by the UAE, multinationals will be subject to CT under the regular UAE CT regime.
Taxable profits are the accounting profits subject to certain adjustments.
Tax Exemptions and Incentives in Dubai, UAE
The UAE government offers several tax exemptions and incentives to businesses, including:
Tax exemptions for certain industries: The UAE government offers tax exemptions for businesses operating in certain industries, such as extractive businesses.
Double Taxation Avoidance Treaties (DTAs): The UAE has entered into DTAs with several countries to prevent double taxation of income. This means that businesses that are taxed in the UAE may be able to claim a credit against their tax liability in their home country.
The employment income of individuals is not taxable.
Other personal income: Dividend income is exempt. Rental receipts from UAE real estate investments are also not taxable even if UAE real estate and other investments are held through a private or family trust, subject to certain conditions.
Compliance and Reporting Obligations
Businesses are required to comply with several tax compliance and reporting obligations, including:
Maintaining proper financial records: Businesses are required to maintain proper financial records, such as accounting books, invoices, and receipts etc.
Preparing annual financial statements
Businesses are required to prepare annual financial statements that comply with the International Financial Reporting Standards (IFRS) or other applicable accounting standards.
Filing annual returns: Businesses are required to file annual returns with the tax authorities.
Renewing licenses: Businesses are required to renew their licenses with the relevant authorities on a regular basis.
Fulfilling regulatory requirements: Businesses are required to fulfil other regulatory requirements, such as obtaining the necessary permits and licenses.
It is important for businesses in Dubai to understand their specific tax obligations and to comply with all applicable laws and regulations. Failure to do so could result in penalties and other consequences.
Conclusion
Corporate tax in Dubai is a complex and evolving topic. Businesses operating in Dubai should seek professional advice to ensure that they are fully compliant with all applicable laws and regulations.
Here are some additional things to keep in mind about corporate tax in Dubai:
The UAE government is constantly reviewing and updating its tax laws. It is important for businesses to stay up to date on the latest changes.
The UAE has several tax treaties with other countries. These treaties can affect the amount of tax that businesses owe.
The UAE has several tax incentives available to businesses. These incentives can help businesses reduce their tax expense.
If you have any questions about corporate tax in the UAE, please contact a tax advisor.
If you are an SPC Free Zonebusiness license holder, you can get in touch with us by calling 800 SPCFZ (77239) if you have queries.
Uncover the secrets of success where innovation and opportunity converge in this global business playground. Explore the possibilities of Business Setup in Dubai today!
Every year, thousands of aspiring entrepreneurs launch a successful startup business in the UAE. Boasting one of the world’s largest and most diverse economies, this cosmopolitan and well-connected region consistently ranks highly in terms of ‘ease of doing business’. There are now 330,000 businesses registered across the mainland and its 45 free zones. And, with the introduction of the ‘Fifty Economic Plan’ – an economic framework dedicated to stimulating entrepreneurship and small to medium businesses – this is only set to grow in the next few years.
In this article, we’ll explore everything you need to know about how to open a business in UAE, including the process of business setup in UAE from scratch, legal requirements, and the benefits of a business setup company here. We will cover the following topics:
Steps for starting a business in the UAE
How much does it cost to start a small business in the UAE?
Is it easy to start a business in the UAE?
Which free zone is best in the UAE?
Steps for Starting a Business in the UAE
The steps to starting a business in the UAE can be broken down into three stages. In brief, these are:
Submit documents and application to receive your license in under two hours
Receive your immigration card and e-channel application
Receive your entry permit
The first step is the most complicated part of the process. First, you’ll need to determine the legal entity of your business, depending on the number of shareholders involved. The options are Free Zone Limited Liability Company (FZ LLC), Free Zone Company (FZ Co.) or Free Zone Establishment (FZE). Then, you’ll choose a trading name. Your chosen free zone will be able to confirm whether the name has already been registered. Then, you’ll apply for your business license with the relevant paperwork. If this is approved, you’ll receive your license from SPC Free Zone in under two hours.
The next step involves setting up your e-channel services. This handy online system removes unnecessary paperwork and speeds up the application process. Once you have registered, you will be able to apply for your entry permit.
The third step concerns your entry permit. This temporary visa is usually valid for up to 60 days. Once you have received it, you can activate your status change in-country or by exiting and re-entering the UAE, depending on your nationality. Then, you’ll need to take a medical test. Once you’ve received the results, you can apply for your Emirates ID card.
As you can see, the steps for setting up a business in the UAE are relatively straightforward. However, you will need to ensure your paperwork is in order to avoid any unnecessary holdups. SPC Free Zone can help ensure that setting up your business in the UAE is as quick and pain-free as possible.
How Much does it Cost to Start a Small Business in the UAE?
It costs as little as AED 6,875 to start a small business in the UAE. With comparatively low upfront costs, starting a business in the UAE is highly profitable. However, there are other startup costs to consider too. Understanding the costs of a business startup is crucial to success.
For instance, could you start your business with a smart desk or will you require an office unit? If you are trading in goods, will you need to consider suitable warehouse and storage units? Do you require a visa as a foreign national and will you employ individuals who will require one too? Have you taken into account notarization changes, medical checks and Emirates ID costs? What about requirements regarding capital investments? Keep in mind that prices for each of these vary considerably between free zones too.
At SPC Free Zone, we know that every business is different, which is why we offer a free, bespoke quotation to our clients. For an accurate estimation of how much it will cost to set up your small business in the UAE, get in touch with our friendly team of business advisors today.
Yes, it is easy to start a business in the UAE and it offers a whole string of benefits for growing businesses too, including:
A business-friendly ecosystem
The UAE’s pro-business government is committed to providing world-class facilities, incentives and security for foreign investors. Legislation is constantly evolving to increase opportunities and make it easier for entrepreneurs and startups to expand too.
Favourable tax incentives
Unlike most countries, Dubai offers total exemption from personal tax. While VAT does apply to specific business activities, total rates are significantly lower than elsewhere in the region. Plus, businesses operating in free zones can benefit from 100% ownership with zero paid-up capital.
Easy business setup in UAE
Setting up a business in the UAE is now easier than ever, with help from business advisors in free zones like SPC Free Zone. Setting up your business requires less paperwork and can be broken down into easy-to-follow stages too.
First-rate digital infrastructure
The UAE boasts some of the most advanced digital infrastructure in the world, with world-leading internet connectivity.
High standard of living
The UAE leads in healthcare, education, real estate and recreational activities. It’s also one of the safest places to live in the world, with comparatively low crime rates.
Strategic location
The UAE serves as the gateway to both east and west, with easy access to Africa, Asia and Europe. The region’s centralised time zone makes it easier to do international business and coordinate trading activities too. The UAE also boasts one of the world’s busiest airports, a highly efficient railway network and dozens of high-speed highway interchanges.
Pool of talent
The UAE attracts a skilled and effective workforce, and it also proactively identifies human capital needs at a competitive cost. It has a high number of expat workers at all levels of the economy, accounting for over 80% of the workforce.
Which Free Zone is Best in the UAE?
SPC Free Zone is one of the best free zones in the UAE for a number of reasons, including:
Convenient location
SPC Free Zone is located in the heart of Sharjah with immigration services on site.
You can choose from over 1,500 business activities, with 100% foreign ownership, zero paid-up capital and a dual license option that offers both mainland and free zone on the same license.
Interested in setting up a business in the UAE? Get in touch with SPC Free Zone to kickstart your road to success.
If you have your sights on establishing a business setup in Dubai, congratulations! You have landed in the perfect spot. Dubai has carved its reputation as a prominent trading hub within the Middle East and across North Africa. In addition, it offers numerous advantages for businesses and corporations seeking to thrive and connect with the rest of the globe.
Despite the challenges provided by the global pandemic and a recession, the UAE economy is set to rise at its fastest rate since 2011, exceeding original estimates. As a result, the UAE GDP is predicted to rise by 5.4 percent in 2022 and 4.2 percent in 2023. This economic potential has attracted a growing number of businesses to Dubai.
Fortunately, establishing a business setup company in Dubai is extremely simple, especially with the aid of Sharjah Publishing City Free Zone.
Why Start a Business in Dubai?
Dubai and the UAE are amiable and supportive places for businesses. Over 20,000 new businesses started in Dubai last year alone, many of these were started by entrepreneurs from other countries, with the assistance of business set up companies in Dubai. As a result, around 80% to 90% of the people working in the UAE are from other countries.
There are many good reasons why entrepreneurs worldwide prefer business setup in Dubai. The main advantages are:
Low taxes: The UAE doesn’t have any taxes on personal income, except for a 5% tax called VAT that was introduced in 2018.
Robust economy: With a GDP of roughly AED 692 billion, the UAE is the Arab world’s second-largest economy. It is diverse and offers opportunities in various industries like healthcare, hospitality, technology, and trade.
Good quality of life: The UAE ranks 23rd in the Best Countries Index, which means it offers a good quality of life. It is slightly behind countries like Spain and Ireland and ahead of Portugal and Greece.
Support for startups: The UAE has many programs and initiatives to support startups and help businesses grow.
The future of business in Dubai looks promising. So, if you’re interested in a new company setup in Dubai, or low cost business setup in Dubai, you’re not alone. The fact is that if you adequately follow the steps in this article, it won’t be difficult.
What are the Considerations Before Starting a Business in Dubai?
Before diving into your journey of starting a business setup in Dubai, there are a few crucial aspects that deserve your attention.
Economic Zone: Free Zones vs Offshore
Before you start your business journey, you must select whether you want to operate in a Free Zone or Offshore. Both solutions offer advantages and disadvantages depending on your needs.
Free Zone
A Free Zone firm is registered in a free zone, an independent jurisdiction territory inside each emirate. The Free Zone Authority (FZA) is the regulatory organization operating and regulating free zones. There are already over 45 free zones across the country. Doing business in Dubai freezone is quite rewarding, with offer 100% ownership and a variety of other unique features.
Offshore
You can also register offshore companies in a free zone, and they can enjoy similar advantages. However, an offshore company is not the same as a free zone company. The main difference lies in how the business operates. For example, offshore companies are permitted to conduct business activities outside the UAE rather than within it. They also do not have any minimum capital requirements that need to be deposited before they can be established.
Types of Licenses
Commercial License: If you seek a business setup in Dubai that involves buying and selling goods or trading activities, you will need a commercial license. This license is suitable for businesses involved in import/export, sales, logistics, travel & tourism, general stores, and real estate.
Industrial License: The industrial license is for businesses engaged in manufacturing activities that convert natural materials into final products, either manually or mechanically. Industries like textile, metal, and paper manufacturing fall under this license.
Professional License: The professional license is issued to service providers, artisans, and craftsmen. Businesses such as medical services, beauty salons, and repair services typically apply for this type of license.
If you are wondering how to start a business in Dubai when it comes to e-commerce activities, consider getting an e-commerce license from SPC Free Zone. We offer affordable prices, 1,500+ business activities, up to 20 visas, 100% foreign ownership, and quick license issuance within just 2 hours.
Free zones are prevalent among international entrepreneurs when starting a business and for good reasons. These zones offer compelling advantages, including zero personal tax, favorable corporate tax rates, and complete company ownership.
To assist you with the navigation of the process, here are the 7 essential steps to setup a business in a free zone:
Step 1: Select the company structure
The first step involves selecting the ownership structure to initiate a business setup in Dubai’s free zones. These free zones allow 100% ownership for expatriates. Investors can register as a Free Zone Establishment or a Free Zone Company (FZC), with the main difference being the number of shareholders. Both fall under the Limited Liability Company (LLC) classification and are governed by free zone laws rather than UAE Commercial Companies Law (CCL).
Step 2: Select a trade name
Choosing a trade name is crucial for establishing your free zone company’s brand presence and identity. As part of the business setup in Dubai, it is recommended to verify the name’s validity with the DED, Department of Economic Development, or the relevant free zone authority.
Checking the name’s compliance with trade name protocols and avoiding duplication with registered names is essential. Some naming conventions include adding the legal form of the entity (LLC, FZE, FZC) and ensuring the name does not violate public morals or public order or use the words of governing authorities, emirates, the UAE, or religions.
Step 3. Application for a business license
When you plan to set up a business in Dubai, one crucial step is the application for a business license. This process is essential as it determines the primary economic activities of your venture. The kind of products or services you plan to offer directly influences the trading license you need to obtain.
Acquiring a license is of utmost importance as it serves as legal proof that your business has the right to operate within the UAE. In free zones such as SPC Free Zone (Sharjah Free Zone), trade licenses have numerous advantages. These advantages include access to over 1,500 business licenses across various industries and the possibility of obtaining a license for up to 10 years.
Step 4: Find an Office Space
When planning for a business setup in Dubai, one crucial aspect is selecting office space. Free zones provide entrepreneurs the flexibility they need for their office space requirements. Free zones provide a varied range of office suites, whether you choose to rent or acquire a property.
These options vary in size and the availability of specific facilities, allowing you to tailor your office space to suit the specific needs of your business.
Step 5: Registration
A business setup in Dubai is a straightforward process. While registering a company in a free zone, submit your application along with the necessary trade license, documents, and paperwork. Then, you shall need to pay the registration and licensing fees.
Unlike setting up a business in other parts of Dubai, the costs in free zones are lower. This is because you don’t need a large amount of money upfront, and office spaces are reasonably priced. So, starting a business in a free zone reduces the initial cost and makes it easier financially. Once you have completed the payment, the rest of the process is smooth.
In a nutshell, a business setup in Dubai is a breeze, igniting the flames of ambition within every business-minded individual. And with SPC Free Zone by your side, success is within reach. Our professional team of experts is passionate about turning your entrepreneurial dreams into a tangible reality.
Imagine transforming your business idea into a thriving venture in just a day! We’ll help you navigate the process seamlessly with our unwavering guidance and support.
Don’t hesitate any longer. Take that leap of faith on your path to success today. Reach out to us at SPC Free Zone, and together, let’s embark on this incredible journey toward realizing your business goals!
How to start a business in Dubai with ease?
You can contact SPC Free Zone, and our experts will assist you in setting up your dream business in Dubai with ease. We provide comprehensive support throughout the set-up process, ensuring a hassle-free experience for you.
What are the options for business setup in Dubai?
You can choose between operating in a Free Zone, Mainland or Offshore.
What is the difference between a Free Zone and an Offshore company?
Free Zone companies operate within the UAE and have certain requirements, while offshore companies can conduct business activities outside the UAE and have no minimum capital requirements.
What are the ownership structures available for setting up a free zone company?
Free zones allow 100% ownership for expatriates. You can register as a Free Zone Establishment (FZE) with one shareholder or a Free Zone Company (FZC) with two or more shareholders.
How do I choose a trade name for my free zone company?
Check with the relevant authorities to ensure your chosen name complies with trade name protocols. Include the legal form of the entity and avoid violating public morals or using prohibited names.
What is the process for obtaining a business license in a free zone?
Your trade license depends on your business activities. Free zones offer a variety of licenses across industries, such as SPC Free Zone with over 1,500 licenses and up to 10-year durations.
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