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All companies are required to have a Business License in Dubai to continue trade and showcase their lawfulness. Even though getting this license can be expensive, the post-acquisition phase brings numerous advantages and incentives. Getting a business license in Dubai is essential for anyone who wants to start a business in the city. A business license is a legal document that allows individuals or companies to conduct business activities within Dubai. Here is a full guide on how to obtain a business license in Dubai What is a Business License in Dubai?
A business license in Dubai is a legal document issued by the Dubai Department of Economic Development (DED) that allows individuals or companies to conduct business activities within the city. It is a requirement for any individual or company that wishes to start a business or trade in Dubai. The business license specifies the type of business activity, legal structure, and trade name, as well as any other restrictions or requirements. Obtaining a business license in Dubai involves fulfilling certain requirements and paying the necessary fees, which vary depending on the type of business activity and legal structure chosen.
Why do you need a Business License in Dubai?
A business license is required in Dubai to legally operate a business or trade within the city. It is a legal document that proves that the business has been registered with the Dubai Department of Economic Development (DED) and has fulfilled all the requirements needed to operate within the city. The business license ensures that the business operates within the legal framework of the city, complies with the rules and regulations set by the government, and meets the standards required for the specific business activity. Without a business license, the business will be considered illegal, and the owners could face penalties, fines, and even legal action. Additionally, having a business license gives the business credibility and legitimacy, which can help in gaining the trust of customers, investors, and other stakeholders.
Types of Business License in Dubai
  • Commercial License
  • Professional License
  • Industrial License
  • Tourism License
Business License
Commercial License A commercial license is a legal agreement between a company or individual and the owner of a product, service, or intellectual property that allows the company or individual to use, sell, or distribute the product, service, or intellectual property for commercial purposes. Commercial licenses are often used for software, music, art, or other creative works that are protected by copyright or other intellectual property laws. The terms of a commercial license can vary widely, depending on the product or service being licensed, the scope of the license, and the needs of the licensee. In general, a commercial license grants the licensee the right to use the product or service for commercial purposes, but may also impose restrictions on how the product or service can be used, such as limiting the number of users, requiring certain attribution or branding, or prohibiting the use of the product or service for certain types of activities. List of Commercial Licenses in Dubai With this license, businesses can start trading the following:
  • Gold & Precious Metals
  • Automobiles & their Spare Parts
  • Used Furniture
  • Oil & Gas
  • Chemicals
  • Publications & Media Material
  • Safety Equipment, etc.
  • Any many more trading and commercial sectors
Professional License A professional license is a type of legal permission or authorization granted by a government or professional organization to individuals who have completed the necessary education, training, and testing requirements to practice in a specific profession. Professional licenses are required for many occupations, such as doctors, lawyers, engineers, and accountants, among others. The purpose of a professional license is to ensure that individuals who practice in a particular profession have met certain standards of education, training, and competency. In order to obtain a professional license, individuals must typically complete a specific degree program, pass a standardized exam, and meet other requirements, such as continuing education or work experience. Professional licenses are often regulated by state or national government agencies, which oversee the licensing process, establish licensing requirements, and enforce rules and regulations related to the profession. List of Professional Licenses In Dubai, individual consultancy services can receive a Professional License in the following sectors:
  • Computer
  • IT & IT Infrastructure
  • Management
  • Environmental
  • Tax
  • Insurance
  • Marketing
  • Real Estate Brokerage
  • Commercial Brokerage
  • Any many more consultancies and professional services
Tourism License
In Dubai, a tourism license is a legal requirement for companies that offer tourism-related services to visitors. This license is issued by the Department of Tourism and Commerce Marketing (DTCM), which is the regulatory body responsible for overseeing and promoting tourism in Dubai. To obtain a tourism license in Dubai, companies must meet certain requirements and follow a specific application process. The requirements may vary depending on the type of tourism-related services being offered, but generally include:
  1. Business registration: The company must be registered as a legal entity in Dubai, with a valid trade license.
  2. Business location: The company must have a physical office or location within Dubai, which is suitable for the type of tourism-related services being offered.
  3. Staffing: The company must have qualified staff, who are knowledgeable and experienced in the tourism industry.
  4. Insurance: The company must have adequate insurance coverage for liability and other risks associated with the tourism-related services being offered.
  5. Compliance: The company must comply with all applicable laws and regulations related to tourism and business operations in Dubai.
Once the company has met these requirements, it can submit an application for a tourism license to the DTCM. The application must include detailed information about the company’s business operations, staffing, services, and other relevant details. If the application is approved, the company will be issued a tourism license, which is valid for a specific period of time. The company must comply with all the regulations and conditions associated with the license, and may be subject to regular inspections and audits by the DTCM to ensure compliance. Activities of Tourism License
  • Outbound Tour Operator
This license grants permission to the business to plan and execute outbound trips. Additionally, it also assists the companies to function inside and outside the region smoothly. Operators in this category are responsible for helping tourists traveling from UAE to other nations.
  • Inbound Tour Operator
Inbound is the exact opposite of Outbound Tour Operator. Licensees under this classification have to manage tours to Dubai from other countries. With this permit, the operators can also organize exhibits or conferences at a global level.
  • Travel Agent
Individuals who want to open their own Tourism Agency and issuing tickets should apply for a Travel Agent License. After receiving the license, the holders can perform air ticketing services or offer Visa assistance to interested tourists. Benefits of a Business License in Dubai
  • Showcasing the Feature
  • Tax Rights
  • Personal Safety
How Can You Get a Business License in Dubai? Getting a business license in Dubai involves several steps, including:
  1. Choose the Type of Business License: Dubai offers various types of business licenses based on the nature of the business, such as commercial, industrial, professional, and tourism licenses.
  2. Choose a Business Activity: Determine the business activity you want to pursue and obtain the necessary approvals from relevant authorities, such as Dubai Municipality, Dubai Civil Defence, Dubai Electricity and Water Authority, and the Department of Economic Development (DED).
  3. Choose a Company Name: Choose a unique name for your business and register it with the DED.
  4. Get Initial Approval: Submit the necessary documents and obtain initial approval from the DED.
  5. Lease a Business Premises: Rent a physical space for your business and obtain the necessary approvals from the landlord and the relevant authorities.