A business license is a document that validates your company as a legal entity in Dubai. Companies are given a mainland trade license in Dubai in order to maintain track of their commercial activity and ensure secure transactions. The procedure of forming a corporation in Dubai is divided into various parts. The most important step, though, is obtaining a trading license.
QuickBiz strives to provide you with a step-by-step guide to starting a company in Dubai. The Dubai Economic Department can provide you with a mainland trading license (DED). Every organization, however, must comply with the essential conditions and standards of a Dubai commercial trade license. So, let’s understand in detail each of those aspects.
The first step is to determine the sort of category of business as you have to apply for that particular license, such as;
If you’re having trouble defining your business and can’t find it in the DED’s official list of business activities, you may contact a business consultant to guide you through every process.
It’s also crucial to consider where you want to do business in the UAE. The different categories of jurisdictions in the UAE are Mainland or Onshore, Free Zone, and Offshore. The Mainland company structure gives you complete freedom to do business in both domestic and foreign markets. The Free Zones are located in a designated area within the United Arab Emirates, and they are allowed to do business both within and outside the country. A corporation that is incorporated in one jurisdiction but has its parent corporation in another is known as an offshore corporation.
In Dubai, entrepreneurs have a number of business forms to select from. Depending on the sort of business and its region, there are several rules that govern the structure of a company. So, regardless of which of the following sorts of enterprises you pick, you will have to follow specific rules and laws.
Choose a business name that does not conflict with the names of any other companies in Dubai; if it does, the name will be rejected. After the name has been authorized, register it with DED. Registration normally takes 3 days and is valid for 6 months.
According to DED law, there are a few business activities that are prohibited. DED is the authorized agency for deciding, regulating, classifying, permitting, and licensing all economic activity. This does not apply to free zones or offshore business formations, though. So, depending on the type of business and activity you choose, you may or may not get the approval. In such cases, hiring a business consultant for your business proves to be the best option.
Only if the company is based on the mainland is it essential. The lease agreement, RERA paperwork, and EJARI must all be filed before the DED may provide first permission. At a low cost, QuickBiz provides its clients with creative co-working office spaces.
This is the DED’s first approval to register the business; it may be acquired by filling out an application form and delivering it to the authorities with the necessary papers, such as the MOA and AOA. You can start your business now and finish the procedure of getting your trade license later.
Fill out the registration application form and send it to DED for approval after it is completed, and all needed documents are attached. Within a week, you will get notification of approval or rejection.
The business license will be processed when the registration is completed, and it will be granted based on the nature of the business activity and the jurisdiction of the business. From the moment you obtain your first approval, it takes around a week or more to secure your trade license.
DED will provide you a payment voucher once you’ve completed the license application and sent the required documentation. To obtain the business trade license, the final payment must be completed. You become a full-fledged company entity after you obtain your trade license.
With countless legal requirements, various paperwork, multiple company structures, picking the appropriate licenses, and much more, receiving expert advice is always recommended when starting a business in Dubai or anywhere else on the globe.
QuickBiz understands that launching a business is only the beginning, thus our business wings are deliberately intended to get you expert advice and assistance in all aspects of the business. To assist entrepreneurs in making the right decisions. So, to get our extensive support and business setup services in Dubai, call us on +971 56 406 6546.