Question 1

What types of trade licenses are available in Dubai?

Accepted Answer

Dubai offers three main types: Commercial License (for buying and selling goods), Professional License (for service-based businesses and consultancies), and Industrial License (for manufacturing and industrial activities). Each covers specific business activities.

Question 2

How do I get a trade license in Dubai?

Accepted Answer

To obtain a Dubai trade license: 1) Choose your business activity and jurisdiction (mainland or free zone), 2) Reserve a trade name, 3) Submit required documents, 4) Get initial approval, 5) Sign MOA, 6) Pay fees, 7) Collect your license. AxisOne DC handles all steps.

Question 3

How much does a trade license cost in Dubai?

Accepted Answer

Trade license costs vary by type and jurisdiction: Free zone from AED 5,555, mainland commercial from AED 15,000, mainland professional from AED 12,000, and industrial from AED 20,000+. AxisOne DC provides transparent pricing for all license types.

Question 4

How long is a Dubai trade license valid?

Accepted Answer

A Dubai trade license is valid for one year from the date of issuance. It must be renewed annually to keep your business legally operational. Late renewal incurs government penalties.

Question 5

Can I add activities to my existing trade license?

Accepted Answer

Yes, you can add or amend business activities on your existing trade license. This requires an activity amendment application through DED (mainland) or your free zone authority. Additional fees apply for each new activity added.

Question 6

What is the difference between a commercial and professional license?

Accepted Answer

A commercial license allows buying, selling, and trading goods. A professional license covers service-based businesses like consulting, IT services, and education. Professional licenses typically have lower setup costs and simpler requirements.

Question 7

Can I operate multiple businesses with one trade license?

Accepted Answer

You can have multiple business activities on a single trade license, but they must be compatible. For example, a commercial license can cover multiple trading activities. If activities span different license categories, you may need separate licenses.

Question 8

What happens if my trade license expires?

Accepted Answer

Operating with an expired trade license is illegal in the UAE and can result in fines, inability to process visas or bank transactions, and potential business closure. There is typically a 30-day grace period, but penalties accumulate daily after expiry.

Question 9

Can I transfer my trade license to someone else?

Accepted Answer

Yes, trade license ownership can be transferred through a share sale or assignment. This requires amending the MOA, updating DED records, and notifying relevant authorities. AxisOne DC handles the complete transfer process.

Question 10

Do I need a trade license to freelance in Dubai?

Accepted Answer

Yes, freelancers need a freelance permit (a type of professional license) to operate legally in Dubai. Several free zones including Dubai Media City, Dubai Internet City, and IFZA offer dedicated freelance packages starting from AED 7,500.

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