Author: Ayushi Doegar

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.

#UAEtradeLicense #SPCFreeZone #BusinessSetupInTheUAE

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.  

Reach out to us today!  

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:

1. Photocopy of passport, Visa and Emirates ID
2. 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.

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.

Related Article: Emirates ID Renewal Guide for Expats

Cost of UAE General Trading License

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.

Related Article: How to Get Your Business Trade License in Just Two Hours

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.

Ready for a fast and easy business setup in the UAE? Get in touch – we’re here to help.

Want to pave your way to success with Business Ideas in Dubai?

Uncover the secrets of success where innovation and opportunity converge in this global business playground. Explore the possibilities of Business Setup in Dubai today!

#uaegeneraltrading #spcfreezone #businesssetup #generaltradinglicenseindubai

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!

Want to set up a business in the UAE? Calculate your business setup cost 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 Zone business license holder, you can get in touch with us by calling 800 SPCFZ (77239) if you have queries.

Want to pave your way to success with Business Ideas in Dubai?

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.

Related Article: Emirates ID Renewal Guide for Expats

Is it Easy to Start a Business in the UAE?

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.

• Quick and flexible business setup in UAE

You can get your license in just 45 minutes.

• Competitive pricing

SPC Free Zone offers affordable packages for a range of businesses, with up to 20 visas under one trade license.

• Business-friendly incentives

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.

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Related Article: 5 Reasons for Women Entrepreneurs to Start Their Business in UAE

Around 5% of the population of the UAE are domestic workers – and demand is rising. With an easy process and with the maid visa cost Dubai being affordable, this demand will continue to rise. According to recent research, the UAE spends around three billion dollars annually on domestic help. 

If you’re interested in hiring domestic help and obtaining a maid visa in the UAE, take a deep dive into our latest guide to explore up-to-date costs and requirements. Let’s start with

Understanding Maid Visa Cost Dubai

The maid visa UAE cost comprises several components. It’s important to understand each part to budget accurately. 

• Visa Application Fees: This fee is paid to the GDRFA for processing the visa application. It can vary, but generally, it’s around AED 300-500.
• Medical Examination: The domestic worker must undergo a medical fitness test at a government-approved medical center. This typically costs around AED 300-350.
• Emirates ID: The Emirates ID is mandatory for all residents. The fee for this is approximately AED 370.
• Typing Center Fees: Typing centers handle the application process, usually ranging from AED 200-300.
• Security Deposit (if applicable): In some cases, a security deposit may be required, which can vary. This is usually refundable.
• Flight Ticket: The employer is responsible for the domestic workers flight ticket to the UAE. 
• Visa stamping: Visa stamping inside the passport of the domestic worker, which costs around 100-150 AED.
• Estimated Total Cost: The total maid visa cost Sharjah, excluding agency fees and flight tickets, can range from roughly AED 1,300 to AED 1,670.

If you are going through a domestic worker agency, you will need to account for this cost as well, adding it to the total maid visa cost Dubai.

Benefits of Hiring a Maid in Dubai or the UAE

For busy business owners and aspiring entrepreneurs, time is everything. Many choose to hire help, often in the form of a nanny or maid. In the UAE, understanding the maid visa cost Dubai is an important first step.

• Affordability of maid visa: While employers are required to pay domestic workers a minimum wage and most choose to pay more, the maid visa Dubai price is more affordable than most people assume.
• More time to focus on business: By delegating chores and cleaning to a domestic worker, you can reserve your time and energy for building a business that thrives and spending time with family and friends.
• Help create jobs with maid visa: Many individuals seeking employment as domestic help have families of their own to provide for. The demand for work is rising alongside the demand for help.
• Safe, lawful employment: This might seem like an obvious point, but many expats fail to realize that hiring a maid on a casual basis can land them in hot water. The Ministry of Labour fines individuals for employing workers that are not sponsored by you or workers paid on a cash-in-hand basis. By obtaining the maid visa yourself, you can be secure in the knowledge that you are employing help lawfully.

New regulations for hiring domestic workers in UAE

Federal Decree-Law No. 9 of 2022 came into force on December 15, 2022, and provides rules for housemaid visa in UAE. Under the new maid visa Dubai requirements, a domestic worker in the UAE can only be hired if a license is first secured from the MoHRE.

Domestic workers must be over the age of 18, have the necessary medical examinations and have a formal employment contract.

Categories exempted from the new regulation

According to UAE’s new domestic worker’s law, recruitment of maids and nannies is limited to licensed agencies. However, some residents are allowed to hire domestic help under their sponsorship, and these include those who hold Golden Visas. This category can sponsor an “unlimited number of domestic helpers”, including those looking for a nanny visa Dubai, housemaids, cooks, gardeners, family drivers, farm workers, private tutors, private nurses, personal trainers, personal assistants, and guards, among others. Find out more about maid visa cost for Golden Visa holders if you fall under this category.

Obligations of the employers towards domestic workers

As an employer, it is essential that you comply with the UAE’s rules regarding hiring a housemaid by providing:

• The facilities needed for the worker to perform their duties effectively
• Appropriate accommodation
• Meals and clothing
• Timely payment of remuneration
• Medical care or health insurance
• Respect and safety
• Compensation for work injuries and occupational diseases

You must also fully cover the maid visa cost Dubai in totality.

Obligations of the domestic worker

Domestic workers are required to follow the obligations outlined in employment contracts, in addition to the following:

• Perform their duties under the supervision of the employer and in compliance with the provisions of the employment contract
• Maintain a high standard of care and diligence while performing their duties
• Refrain from absenteeism without a valid reason
• Observe the customs and traditions of the UAE’s community
• Care for and maintain the items in their possession or dispose of them by following the necessary safekeeping procedures
• Respect the privacy of the workplace

The Process of Getting a Housemaid Visa Dubai

Step 1: Check eligibility

Before you start the process of getting a 1 year maid visa Dubai, you need to make sure you’re eligible to sponsor a home worker.

Step 2: Choose a method

Decide the method of bringing your workers to the UAE. The process can be done through a specialized agency, or you can initiate it yourself through Tadbeer centers. The centers offer different packages, you can pick the one that suits you.

Step 3: Prepare the documents

You’ll need to ensure you have obtained an entry permit for your maid. They will also need to undergo a medical examination within 30 days of entering the country to apply for an Emirates ID card. You will then need to submit a number of documents on their behalf, including:

• The completed application form.
• A copy of both the maid’s passport and the sponsor’s.
• Sponsor’s residence visas.
• Attested marriage certificate.
• Original Emirates ID
• An affidavit from the embassy or consulate of non-relationship is provided in case the maid is from the same country.
• Maid’s Medical Fitness Certificate issued in her country.
• A bank statement from the past three months.
• Proof of accommodation or a tenancy contract with a minimum of two bedrooms.
• A salary certificate of sponsorship in Arabic for government employees or a labour contract for private employees.
• A labour contract from the sponsor’s employer.
• Three passport photos
  

You should also note that all of these forms must be signed by an authorized typing centre before submission. You must also pay the total cost of maid visa cost Dubai.

Step 4: Bring your maid to Dubai

After finding the right candidate, you can start the process of sponsoring and bringing the worker to the UAE. This step includes several procedures:

• Applying for the maid’s work permit.
• Medical Fitness exam and Emirates ID registration.
• Receiving the Domestic Worker Identity Card.
  

Step 5: Get an Emirates ID

Get an Emirates ID handled for your maid through any authorized typist or the official government portals. This is a part of the maid visa cost Dubai you will have to incur.

Processing time and expected delays

The processing time for a maid visa UAE can vary, but generally, it can take anywhere from a few days to a couple of weeks, once all required documents are submitted. Recent governmental streamlining is aimed to decrease those wait times. However, potential delays can occur due to incomplete documentation, medical test results, or high application volumes.

Expert Tips to Overcome Challenges for Maid Visa

Common challenges include incomplete paperwork and medical delays. Double-check all documents and payments for maid visa cost Dubai against official requirements and schedule medical tests promptly. Clear communication is key; consider using a translator or agency to avoid misunderstandings.

Renewing Your Maid Visa in Dubai

For maid visa renewal Dubai, you need to submit a renewal application and an online medical request form. These forms can be obtained from an authorized typist and submitted to any GDRFA office near you after paying the required fees for maid visa renewal cost Dubai.

If You Need To Cancel Your Maid Visa in Dubai

The process of canceling the maid visa is simple and fast. You can seek the help of a typing center or process it yourself online through the GDRFA website.

Frequently Asked Questions (FAQs)