Industrial License in Dubai, UAE
The United Arab Emirates’ business sector is expanding rapidly. Business industries are developing, and starting a business in a particular industry requires a license. Presently, the UAE issues manufacturing, import and export licenses, housemaid, and freelance work.
This article will explain Industrial license in Dubai, UAE
What is meant by Industrial License?
In Dubai, firms that transform raw materials or natural resources into finished commodities are granted this license. The transformation can be done manually or mechanically, beginning with plain or semi-manufactured materials. This license is issued to businesses that turn raw materials or natural resources into finished goods in Dubai. The transformation must be accomplished manually or automatically, and it might begin with raw materials or semi-manufactured products. The operations covered by an Industrial license in Dubai, UAE consist primarily of production, separation, accumulation, packaging, etc. Typically, it is granted by the Dubai Department of Economic Development (DED). The issue of this license, however, requires approval from Dubai Municipality and other ministries and authorities.
Manufacturing, separation, accumulation, and packing are typical industrial license operations. The Dubai Department of Economic Development (DED) issues it. However, the Dubai Municipality and other ministries and authorities must approve this license’s issuing.
Dubai Industrial License Sector:
Individuals employed in the manufacturing sector are required to obtain an Industrial license in Dubai, UAE. These are some of the industries that fall under this classification:
- Production of bread and food industries
- Textile manufacturing
- The metal casting industry
- Equipment and engine production
- Production of petroleum-based products
- Paper manufacturing
The requirements for obtaining an industrial license
When applying for an Industrial License, ensure you have fulfilled all the below conditions. The specifics are as follows:
Local service agent: – your firm must have a local service agent (LSA) who assists you with all the legal processes related to obtaining an Industrial license in Dubai, UAE This requirement must be considered. When you engage with an LSA, you have complete business and operational control over your venture.
Office Space: If you wish to apply for an Industrial license in Dubai, UAE you must have a physical office and a warehouse in Dubai. Virtual offices are not acceptable.
Local License: – Also, you will require a municipal, industrial license in the location where you conduct business.
Capital: -Your company’s capital must be at least Dh 250,000
Documents needed for an industrial license:
A report including information on the plant, including the factory’s plans, the purpose and intention for opening the factory, data on manufacturing tools, production cost and money, and some information on financing possibilities. Additional information may include employment information and other pertinent data.
- Copy of passport and proof of residency for non-citizens and summary of the citizen’s registration
- Feasibility Study Partnership Agreement (if a partnership firm)
- A copy of the business license
- Copy of Balance Sheet
- National Media Council Approval
- Ministry of Health Approval
- Permission from the Interior Ministry
How to apply for an industrial license?
Suppose you are contemplating applying for an Industrial license in Dubai, UAE In that case, the first step is to identify a business formation expert you can trust to manage the complete application procedure on your behalf. This eliminates the trouble of business incorporation and assures that your application will be thorough and accurate.
The application procedure for an Industrial license in Dubai, UAE should now consist of at most four phases.
- If you are opening or remodelling a factory to operate your business, you must first obtain clearance from the appropriate authorities. If, however, you want to do business from an established location, such as a free zone, this step is unnecessary.
- Making your licensing application is the next step. If you establish a business on the mainland, you must apply directly to DED. If you want to conduct business from a free zone, submit your application now to them. Regardless of your chosen structure, a company formation expert can create and manage your application on your behalf.
- Before conducting business in the UAE with an industrial license, you must get other permits. The Chamber of Commerce and Industry, the Industrial Registry, and the Ministry of Health must approve your license. A professional in business creation can secure all of these permissions on your behalf.
Lastly, before you can begin trading, you must apply for a visa to the UAE. You can submit your visa application concurrently with your application for a business license. Instead, you may deal with a company formation professional who can manage the application as part of the business incorporation procedure. Sponsoring visas for others, such as your children, spouse, or parents, to enter the UAE is also possible.
Obligations of a holder of an industrial license:
The federal authorities in Dubai have stipulated specific responsibilities for the holder of an Industrial license in Dubai, UAE You must adhere to the same for the seamless operation of your industry and to avoid unintended ramifications.
- If your proposal is authorised, you must begin developing the industrial space within six months of approval.
- Submit all required information to the Dubai Department of Economic Development (DED) as instructed
- When ready to begin the industrial activity, you must send a letter to the DED. After that, the DED will issue an authorisation certificate.
- The register of industries must contain your industry. Send a letter to the appropriate authority requesting the same.
- In the event of any revisions or amendments to the factory’s data, submit a letter to the DED outlining the changes in the manner specified.
- You cannot sell or lease government-allocated land to establish an industry.
- It is necessary to compile and submit a copy of the company’s personnel information to the DED.
- All items and supplies imported after claiming exemption from customs duties should not be used unless otherwise indicated during import.
- According to federal regulation, a minimum of 25% of local Emiratis must be employed.
- Observe all applicable laws, rules, and regulations.
- All requirements to preserve cleanliness, health conditions, and industrial safety must be followed without fail.
- The DED must be notified in writing of any changes, including the nomination of a director. In that situation, the shareholders and the director will be accountable for all actions, law enforcement, and maintaining tight standards for the industrial safety of the firm.
- The authorities must receive reports regularly.
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