How to Get a General Trading License in Dubai, UAE?

Introduction

The popularity of general trading licenses in Dubai has increased. Because the trading industry is the most important in the country and hence gained popularity.

Dubai is a favorable destination for everyone around the globe because of its strategic location. Hence, we are witnessing the popularity of the general trading license. It becomes easier for an organization to transfer its goods and services due to the easy access to ports and airports.

A guide about a general trading license in Dubai, UAE.

You all are thinking about getting your general trading license but before that, it is also necessary to learn every major and minor thing related to it. 

First, let’s read about what a general trading license is.

Obtaining a general trade license in the UAE means that a company can legally sell, distribute, store, and import goods. A general trading license in Dubai can cover a wide range of activities. It covers all types of goods, including electronics, food, and furniture. Although nearly all goods can be traded, some can’t be traded or require special permission from different municipalities. These products include alcohol, weapons, and medical drugs. 

A general trading license is different from a regular trading license. A general trading license allows you to trade multiple goods under one license. You can also trade unrelated goods. Contrary to popular belief, a regular trading license allows you to trade one type of commodity.

A general trading license in Dubai, UAE, costs.

Now, let’s get a brief idea about the cost of a general trading license in Dubai, UAE. 

As we all know, there are two main zones in Dubai: mainland business setup and free zone business setup. Both these zones have different business requirements and hence the general trading license cost in Dubai varies. 

• If you are thinking about a mainland company setup in Dubai, then the cost of the general trading license will be AED 30,000 to AED 50,000. This cost includes trademark registration, initial approval, license issuance, office space rental, etc.  
• On the other hand, a free zone general trading license in Dubai costs somewhere between AED 12,000 to AED 25,000. As you know, there are various free zone options in Dubai, and hence you can choose as per your preference and business benefits. 

Benefits of a general trading license in Dubai, UAE.

The UAE’s tax benefits are one of the reasons general trading licenses are highly sought-after. You can also import and export goods from the UAE without paying customs taxes. It is also much easier to set up a business within the UAE. You can have 100% ownership of your business, and you can access global as well as local markets. You can enjoy low taxes and full repatriation. 

The price of a general trading license in Dubai can vary depending on the free zone that you choose. You can also register companies in free zones within three to four days. In order to establish a company, you will need minimal paperwork from the free zone authorities.

How do you obtain a general trading license in Dubai, UAE?

As you are thinking about a general trading license in Dubai, here are the steps you have to follow. 

• Choose Your Business Jurisdiction: For your business in Dubai, you have to decide whether you want to setup in Mainland company formation or a free zone company setup. Accordingly, you can decide on the further process. 

• Select a Business Name: As you decide on your business structure, the next step will be deciding on a business name. While selecting a business name, you have to be careful that your selected business name does not harm anyone or any religion’s feelings. The selected name must not be used by anyone and must resonate with the idea of your business. 

• Define Business Activities: At this step, you have to define your business activity. However, in a general trading license, you are allowed to trade multiple goods. Above, we have listed everything you can and can’t trade in your general trading license. Additionally, if you want to sell some goods, you require an additional license as well. 

• Choose a Business Structure: Just like business jurisdiction, there are various business structures as well, such as sole proprietorship, limited liability company formation, free zone establishment, and free zone company. However, as we have been in the industry, limited liability company formation in Dubai is the most favorable condition.

• Apply for Initial Approval: At this step, you have to apply for initial approval. Submit these documents: passport copies of the shareholder, proposed trade name, business plan, and application form. As you get your initial approvals, you get permission from the Dubai government to start your business in Dubai. 

• Lease Office or Workspace: In a general trading business setup in Dubai, there are different rules for mainland setup in Dubai and free zone setup in Dubai. If you start a mainland business, then you have to lease an office space. And if you are thinking about a free zone setup, then a flexi desk or a virtual space works. 

• Submit Final Documents and Pay Fees: Now is the time to submit all your final documents for your general trading license in Dubai. You have to submit the initial approvals, office lease, passport copies of shareholders, MoA, and application form. Then pay the relevant license fee. 

• Receive Your General License: After completing the process, you will receive your trade license and be allowed to import and export goods. 

This is the process you have to follow for your general trading license in Dubai, UAE. 

Why choose Make My Firm for the process of your general trading license in Dubai?

Make My Firm will help you obtain your UAE general trading license. Our consultants can help you navigate the entire process, from understanding the regulatory requirements to obtaining a general trading license in the UAE, through to the approval process. Our range of business setup services includes mainland company setup in Dubai, taxation services, limited liability company formation in Dubai, accounting and bookkeeping, trademark registration, and many more. 

Conclusion

Make My Firm Business Setup Dubai is available to help you set up a general trading business in Dubai. Call us at +971 52 673 9977 to speak with one of our business consultants. For a chat query, send a WhatsApp message to +971 52 673 9777. You can also email us at infommf@makemyfirm.ae.