How to Get a Trade License in Dubai
Dubai has transformed into one of the world’s most powerful business destinations, known for innovation, safety, and unmatched global connectivity. From small startups to multinational corporations, thousands of entrepreneurs want to establish their companies in the UAE. And the very first step in this journey is understanding how to get a trade license in Dubai.
This comprehensive guide explains everything—types of licenses, required documents, detailed steps, costs, benefits, processing time, and common mistakes to avoid. Whether you’re a new entrepreneur or an investor expanding into the Middle East, this blog will help you begin your Dubai business journey confidently.
What Is a Trade License in Dubai?
A trade license is an official permit issued by the Dubai Department of Economy and Tourism (DET). It authorizes your business to legally operate in Dubai and defines the exact activities your company is allowed to perform.
Without this license, no company can legally function. It is the foundation of business compliance in the UAE and is recognized by all government and financial institutions.
Why Dubai Is the Top Choice for Entrepreneurs
Before understanding how to get a trade license in Dubai, it’s important to know why this city attracts global businesses:
100% foreign ownership allowed
Fast company formation—often within 1–3 days
0% personal income tax
Access to global markets through world-class airports and seaports
Safe and stable economy with strong investor protection
Easy banking systems for international transactions
Modern infrastructure and flexible business laws
Dubai offers the ideal environment for both new startups and large corporations, making it a magnet for global talent.
Types of Trade Licenses in Dubai:-
Understanding the correct license type is essential when deciding how to get a trade license in Dubai. Your activities must match your license.
1. Commercial Trade License
For trading activities like:
Import and export
General trading
Retail and wholesale
E-commerce
Logistics and distribution
2. Professional License
For service-based and skill-based professions such as:
Consultancy
IT services
Marketing
Legal services
Accounting
Design, media, and photography
3. Industrial License
For companies involved in:
Manufacturing
Production
Assembly
Packaging
Industrial operations
4. Tourism License
For activities such as:
Travel agencies
Tour operators
Inbound & outbound tourism services
Holiday home companies
Choosing the right license ensures compliance and easier approvals later.
Documents Required to Get a Trade License in Dubai
Here are the documents commonly needed:
Passport copies of all shareholders
Visa page (if applicable)
Emirates ID (if available)
Proposed company name
Selected business activity list
Initial approval form
Ejari/tenancy contract (mainland businesses)
Memorandum of Association (LLC structure)
Passport-size photos of shareholders
External approvals (only for special activities)
Different jurisdictions—Mainland, Freezone, and Offshore—may require fewer or additional documents.
Step-by-Step Process: How to Get a Trade License in Dubai
Step 1: Choose Your Business Activity
The government provides over 2,000 activities. Choosing the right one decides your license type, cost, and approvals.
Step 2: Select Your Company Structure
Common structures include:
LLC (Limited Liability Company)
Sole establishment
Civil company
Branch of a foreign or local company
Freezone company
Your structure affects ownership, liability, and documentation.
Step 3: Reserve Your Trade Name
Your company name must follow UAE naming rules:
No offensive words
No religious references
Must reflect the business activity (optional)
Available for registration
Step 4: Get Initial Approval
This is a green signal from DET to continue forming your business. It confirms that the government has no objection to you starting a company.
Step 5: Choose the Business Location
Your business must be located in one of the following:
Mainland
Requires an office or flexi desk. Gives more freedom to trade inside UAE.
Freezone
Offers 100% ownership, low setup costs, and many benefits. Best for international trading.
Offshore
Ideal for holding companies, asset protection, and international operations.
Step 6: Prepare the Legal Documents
This includes:
Memorandum of Association (LLC)
Local service agent agreement (for professional licenses)
Tenancy contract/Ejari
Step 7: Submit Final Application & Pay License Fees
Once all documents are ready, you submit the final application to the relevant authority. Fees vary based on the license type and activity.
Step 8: Receive Your Trade License
Once processed successfully, your trade license is issued, officially allowing you to operate your business.
Step 9: Apply for Additional Approvals (If Needed)
Some sectors require approvals from:
Dubai Municipality
KHDA
DHA
Tourism Department
RERA
Civil Defense
Step 10: Open a Corporate Bank Account
With your license, you can now open a business account with any UAE bank or international bank based in Dubai.
Cost of Getting a Trade License in Dubai in 2025
The cost depends on the license category, business activity, location (mainland or freezone), and number of visas required.
Typical Cost Range
Mainland: AED 12,000 – AED 28,000
Freezone: AED 5,500 – AED 18,000
Office space: Additional (depending on size and location)
The price may also increase if external approvals are needed.
I can give you an exact quotation based on your required activity if you want.
How Long Does It Take to Get a Trade License in Dubai?
The processing time is extremely fast:
Freezone: Same day to 2 days
Mainland: 1 to 3 working days with correct documents
Industrial activities: May take longer due to inspections
Dubai offers one of the fastest business setup processes worldwide.
Benefits of Having a Trade License in Dubai
Once you understand how to get a trade license in Dubai, you gain access to many advantages:
100% repatriation of profits
Access to UAE banking
Ability to hire staff
International credibility
Strong intellectual property protection
Opportunity for global expansion
Flexible visa options for investors and employees
Stable, business-friendly regulations
Common Mistakes to Avoid
Many entrepreneurs face delays because of avoidable mistakes:
Selecting the wrong business activity
Setting up in the wrong jurisdiction
Choosing a name that violates UAE rules
Incomplete documentation
Not getting the required external approvals
Misunderstanding the shareholding structure