14 Oct How Can I Get a General Trading License in Dubai?
Are you planning to start trading in Dubai? If yes, you must apply for a general trading license in Dubai. A general trade license is required as part of the UAE business formation procedure; therefore, securing it is one of the first things an entrepreneur needs to do.
A company with a general trading license in Dubai is permitted to export, import, or trade all items other than those that are controlled and must adhere to health and safety regulations, such as pharmaceutical products and weapons. Because of general trading licenses, new businesses in Dubai can manage their trade activities under a single license.
Moreover, due to the strong demand for goods, the simplicity with which business may be conducted, and the city’s proximity to expanding markets, Dubai is one of the most sought-after destinations for launching a new company. Your startup could become a significant force in the supply sector, supplying goods to businesses across the country.
So, if you want to start trading in Dubai, keep reading. This blog will walk you through all you need to know – general trading LLC license cost in Dubai, documents, benefits, processes, and activities.
What Does a General Trading License Mean?
Thanks to its geographical location and prime transportation facilities, Dubai has always been the ideal location for traders, both locally and internationally. All you need to do is apply for a general trade license to start your trading activities in this region.
You can get a general trading license for a specific product if you want to target a specific segment. Whereas an entrepreneur with a broad trading license can deal with multiple products. The main advantage of this license is that it can be used to trade a wide range of commodities.
So, if this sounds appealing and you are interested in obtaining the permit, the next question is how to obtain a general trading license in Dubai and what are its advantages?
What Advantages Do General Trading Licenses Have in Dubai?
There are several benefits to getting a general trade license in Dubai. Here are a few examples:
- If you apply for a business license on the mainland of Dubai, you will be able to conduct business domestically and internationally, including in free zones.
- Applying for and obtaining visas for multiple personnel is an added benefit as your trading firm generates revenue and you consider expansion.
- In the UAE, there are no corporate or individual taxes associated with operating a business. A licensed business owner in the UAE is exempt from paying income or profit taxes.
- A general trading license also permits e-trading. Therefore, you can list your business online and create a digital source of added revenue.
- You get the opportunity to venture into multiple varieties of commodities and goods. Hence, you can explore various industries that you want to target via your business in Dubai.
What Kinds of Business Activities Are Allowed With a General Trade License?
The following are some of the popular Dubai general trading license activities:
1. Import and Export of Goods and Commodities
Because of the efficient system and first-rate transportation options for trading goods and commodities in the UAE, you can sell foods, decorations, electronics, accessories, beauty products, and other items if you have a general trading license.
However, keep in mind that prescription medications, alcohol, automobiles, and other items are not covered by this license and will require additional approvals. To benefit from risk-free company operations in the Emirates, obtain customs clearance in addition to your trading license.
2. Grocery Store
With this license, you can open a grocery store in Dubai and sell a wide range of food, trinkets, and other consumables. It is advisable to design the business structure to prevent last-minute glitches, including the investment plan, reserve funds, inventory, and so on.
The following step is to reserve a trading name for your supermarket and obtain the preliminary approval required to apply for a general trading license. A general trade license in Dubai allows this store to engage in operations such as buying, selling, and trading various grocery-related goods.
3. Retail Establishments
There are numerous retail establishments in Dubai and the UAE. High-end goods and services are sold in breweries, jewelry stores, general accessory stores, and more. All you need to do to participate in the UAE’s retail sector is obtain a general trading license.
Buy a rental shop in Dubai, stock it with the necessary merchandise, obtain the required licenses, and voila! You are good to go.
What Documents Do You Require for a General Trading License in Dubai?
All businesses in the UAE must follow the documentation specifications established by the regulatory bodies. Some of the paperwork you’ll need to submit with your application for a general trading license:
- Passport copies
- Passport size photographs
- Entry visa or stamp page
What Is the Procedure in Dubai for Obtaining a General Trading License?
Obtaining a general trading license in Dubai is a simple and painless process. You have to follow the guidelines below:
Choose a Jurisdiction
Before applying for a business license, investors must decide whether they want to get one on the mainland or in a free zone. By obtaining a mainland general trading license, you can freely trade items in the UAE. It is always advisable to choose a mainland license for public trading. If you select a free zone, you will be limited in how you can move the items.
1. Choose Business Activity
Decide on each business activity that will be listed on the business license (a maximum of 10 per license).
2. Fill Out an Application
Complete and submit the application for initial approval from the authorities.
3. Obtain External Approvals
Obtain the necessary external approvals based on the nature of your business operation.
4. Gather the Required Documents
Prepare any documents that have been approved by the appropriate government agencies, such as the Memorandum of Association (MOA).
5. Choose a Location
Choose a location for your business and sign a lease.
6. Submit Your Application
Apply to the designated authority to obtain the official license.
7. Pay the Fees
To obtain the license, pay the required license fees, including the issuance fee.
How Much Does a Trade License in Dubai Cost?
You must be aware of the fees associated with the trade license to avoid problems at the last minute. The general trading license cost in Dubai is between AED 25,000 and AED 45,000.
Our professional consultants can assist you in determining the exact cost of the license. They will calculate the precise pricing after reviewing your requirements.
Partner With Shuraa for Obtaining Your General Trading License
You made the right decision in obtaining a general trading license in Dubai because it is one of the best business sectors in the UAE and will continue to grow in this fast-paced world. It’s essential to keep in mind, though, that the process is only straightforward if your general trade license application is complete and free of errors when it’s submitted.
Working with Shuraa Business Setup is the best way to obtain this license. Our business specialists will handle all paperwork, licensing, banking, and other details for you. Connect with us and let us handle the rest!