Dubai attracts entrepreneurs and ambitious business owners from the around the world. There are numerous industries out here offering enormous opportunity, from healthcare and hospitality to technology and tourism.
The types of licenses on offer are just as varied. There are several ways to incorporate a business out here. The pathway that’s right for you will depend on the types of activities you wish to conduct and the desired location of your operation.
In this article, we’ll cover the types of business licenses available in Dubai and explain how to obtain the one you need.
What is a business license in Dubai?
Every business operating in Dubai must be licensed. Regardless of the types of activities you are conducting, you will need to apply to the appropriate body for the one you need. Business licenses are issued by the Dubai Department of Economic Development (DED) and by various free zone authorities throughout the emirate.
Types of business licenses in Dubai
Agriculture
Agriculture licenses are for businesses growing and managing crops, working with livestock or operating fish farms. Other businesses, such as plant nurseries, fertilizer and pesticide traders and agricultural consultants must also hold this kind of license.
Craftsmanship
If you work independently to provide craft and creative services, you may need a craftsmanship license. This includes blacksmiths, carpenters, electricians, masons and plumbers.
Commercial
Commercial licenses are required for any business conducting general trading or contracting activities. As the holder of a commercial license, you can conduct business within the UAE as well as internationally. Industries typically covered by the commercial license include real estate, gold and precious metals trading, car dealing, healthcare and transportation.
Industrial
Industrial businesses are those involved in the manufacture and production of goods and commodities. This typically includes real estate brokers, wholesale and logistics businesses and those involved in import and export. Unlike many other types of business, those operating under industrial licenses are required to have a physical office presence in the UAE.
Professional
Professional activities are those which require creative or artistic skills and expertise. This typically includes the fields of insurance, marketing, IT, media and all manner of consultancy services. Professional licenses are available to business owners and freelancers.
Tourism
With over 15m visitors to Dubai every year, tourism is one of the emirates most thriving sectors. To operate in this industry, you will require a tourism license. This includes businesses such as travel agencies, hotels, tour and excursions companies and most other businesses offering services to tourists.
How to apply for a business license in Dubai: Step-by-step
Applying for a business license in Dubai can appear complex at first glance. But when you work with the team at Creative Zone, we’ll help you launch your new venture in just four simple steps.
Step 1: Outline your business activities
First things first, you’ll need to clearly define your intended business activities. Failure to do so can cause issues further down the line and carrying out unlicensed activities may lead to fines or even license revocation.
Your stated activities must be chosen from the official list published by the DED. The team at Creative Zone will help ensure that you have the correct approvals to run your business.
Step 2: Choose your company name
The second step is equally important: choosing a company name. There are a few key things to keep in mind at this stage – many that would not apply anywhere else in the world.
Be aware that you must abide by a strict set of naming conventions. In short, you should avoid any offensive or blasphemous language. Avoid names of well-known organisations and avoid abbreviations if naming your company after yourself – i.e. Dave Mann Consulting, rather than D Mann Consulting. You must also check that your chosen name is available to register.
Step 3: Making your license application
Now you are ready to make your application. UAE trade licenses can be obtained via the DED or by applying directly to your chosen free zone. Once again, the Creative Zone team will guide you through this process, liaising with all relevant authorities on your behalf. Get in touch to find out more.
Step 4: Making your visa applications
Finally, you’ll need to organise your visas. With the right guidance, the visa application process can be incredibly straightforward. As well as making your application, you’ll be required to submit biometric information and undergo a medical fitness test.
As the holder of a UAE business license, you can also sponsor others for their visas too. This could be a spouse, parent or child, or a domestic worker such as a housekeeper. The maximum number of visas you can apply for will depend on the size of your company, your chosen setup and, for dependant visas, your personal earnings.
Benefits of doing business in Dubai
100% Foreign Ownership: Dubai allows foreign investors to own their businesses fully, removing the necessity for local partners.
Geographical Advantage: Dubai is a gateway to the Middle East, Africa, and Asia – Dubai’s strategic location positions it as an ideal center for businesses aiming to enter these markets.
Diverse Free Zones: With over 45 free zones, the UAE provides tailored incentives and benefits for various industries and business types.
Favourable Tax Conditions: The UAE’s tax environment is advantageous, with no personal income tax and a relatively low corporate tax rate of 9% where applicable.
Stable and Secure Environment: Known for its political stability, strong legal system, and safety, the UAE is a reliable and secure destination for foreign investors.
Access to Global Talent: The UAE’s workforce is skilled and diverse, offering access to international talent that can significantly contribute to business growth and success.
Why work with Creative Zone to get your business license in Dubai
Starting a business in Dubai can be a complicated process – particularly if you’re new to working in the UAE.
That’s why selecting the right partner is a critical step when looking to launch or grow a business out here. As the most trusted business setup advisor in the Middle East, Creative Zone has been empowering entrepreneurs and SMEs with comprehensive support since 2010. With a strong reputation for assisting businesses locally and globally, we offer a complete range of solutions for all your business setup needs.
When you work with us, you get fast, reliable and unbiased advice on your unique business setup requirements. We can help you choose the right kind of license for your business activity and take you through the entire process from start to finish.
We’re here to assist every step of the way. No matter your chosen activities, legal entity or visa requirements, we’re on hand with support, guidance and expertise. So, if you’re looking to lay the foundations for life in the UAE, Creative Zone is your ideal starting point.
Contact us today to kickstart your business in Dubai.