TRADE LICENSE RENEWAL DUBAI
A Guide to Trade License Renewal in Dubai
According to the law, every business in Dubai should have a trade license from the Department of Economic Development (DED) authority. The DED authority permits only those businesses which possess a valid trade license to conduct business in Dubai. It is legal to conduct any business without a trading license, and such activities are subject to penalty. Therefore, you need to get your trade license in order to conduct business. You also need to carry out trade license renewal Dubai so that you can carry out your business without any hassle. In the following lines of the article, we are going to take a look at the process of getting a trade license Dubai as well as getting trade license renewal Dubai. So, let’s begin.
However, before we begin to talk about the trade license renewal Dubai and the process of getting trade license in Dubai, you know about certain things. There are certain types of businesses which need special permission from different ministries. For example, if you have a manufacturing business then you would need permission from the Ministry of Finance and Industry, which other businesses may not need. Similarly, businesses dealing with pharmaceutical and medical products require permission from the Health Ministry.
What is a trade license?
So, what exactly is a trade license and why do you need to go through trade license renewal in Dubai. According to the UAE code of conduct, a trade license is a legal certificate that allows a businessman or an investor to set up a business and indulge in activities which are mentioned in the license.
A general trade license is valid for one year. Thereafter, you need to go for trade license renewal Dubai. Once you renew your trade license, it would be valid for another 5 years. Thereafter, you would have to go for trade license renewal Dubai every 5 years. Let us now take a look at the how you can get a trade license in Dubai. After that, would look at how to deal with trade license renewal Dubai.
How to get a trade license in Dubai?
You need to understand about the types of trade license in Dubai. This would avoid confusion when you are applying for trade license or trade license renewal Dubai. Business services in Dubai are divided into 3 trade license categories:
- Commercial licenses (for all trading activities)
- Industrial licenses (for carrying out manufacturing practices)
- Professional licenses (professionals, craftsman, tax advisors, and business consultants etc.)
Steps to Obtain a Trade License in Dubai
You need to undergo the following steps to get a trade license in Dubai:
STEP 1: You need to select the category of business you are involved in. It can be either be commercial, professional or industrial
STEP 2: Decide on the all the business activities that you would like to carry out as they would have to be included in the business license. You can add maximum 10 per license. You can start with just one core activity and then add on more at a later time.
STEP 3: Choose the appropriate trading name for your business. The UAE Laws prohibits certain names and terms included in the name. You should follow all such relevant rules before naming your company.
STEP 4: Fill in and submit the trade license application for initial approval
STEP 5: Then you would need to get external approvals, if required, depending on the type of business activities. You would need to arrange for all the required documents like the Memorandum of Association, as well as all the approved documents from all the relevant government authorities
STEP 6: Choose a business location and get a tenancy contract attested by Ejari
STEP 7: Submit your application to the DED to get to the final trade license
STEP 8: Make the necessary payment for the license
Even though there are a lot of steps involved, it is relatively a simple to get a general trade license in Dubai. Now, let us move on to the next thing – how to get trade license renewal Dubai?
How to Get a Trade License Renewal Dubai?
To get trade license renewal Dubai, you would have to arrange for a number of important documents. Here is a list of all the documents required for the purpose of trade license renewal Dubai:
- A typed BR/1 form
- Ejari Registration Certificate and a photocopy of Tenancy Contract
- Photocopy of the current business trade license
- Passport photocopies of all the business partners
Every business needs to go through trade license renewal Dubai as per the rules of the department and to remain legitimate. Now, here are the steps that you need to follow for trade license renewal Dubai:
Step 1: Have a valid tenancy contract
The first thing you need to ensure is that the tenancy contract of your business should have a validity of at least 1 month and it should be attested by Ejari. If the tenancy contract does not have the validity of minimum one month, you cannot apply for trade license renewal Dubai.
Step 2: Apply for license renewal
Then, you must apply for trade license renewal at the DED, along with all the required documents (given above). You can apply through different mediums like e-Services, mobile application, authorized law firms, and even authorized service centers.
Step 3: Payment
After submitting the application, the DED would allot a payment voucher for your business. After receiving the voucher, you should proceed with the payment procedure. Immediately after making the payment you will receive your renewed license.
Despite DED’s consistent efforts to ease the process obtaining and trade license renewal Dubai, sometimes handling these procedures of acquiring and renewing a trade license in Dubai can prove cumbersome for entrepreneurs. This is where services of a consultant like Arab Business Consultant come to the rescue. They have years of experience in helping entrepreneurs with trade license renewal Dubai. If you have any queries on how to get or renew a trading license in Dubai, get in touch with them to get the help that you need.