A UAE trade license is the official legal document that allows you to operate a business anywhere in the United Arab Emirates. Whether you plan to open a consultancy, a restaurant, or an online store, you cannot begin trading without a valid business license in Dubai or any other emirate.
Issued by the Department of Economic Development (DED) or a Free Zone authority, your trade license is essentially your business identity—it defines what activities you can legally perform, where you can operate, and under what name.
Why Every Business Needs a Trade License in the UAE
Operating without a trade license in Dubai or elsewhere in the UAE is not only illegal—it can result in heavy fines and even business closure. A Dubai business license ensures:
- Legal compliance with UAE commercial laws
- Eligibility to open corporate bank accounts
- Ability to sign contracts and hire employees
- Credibility with clients, investors, and suppliers
💡 Tip: Your UAE trade license is also a requirement for obtaining investor or employee visas.
Who Issues the Trade License? (Mainland vs Free Zone)
There are two main authorities that issue a UAE trade license:
- Mainland License: Issued by the Department of Economic Development (DED) in each emirate—for example, the Dubai DED handles trade licenses in Dubai.
- Free Zone License: Issued by specific Free Zone authorities such as RAKEZ, DMCC, or IFZA for companies operating within their zones.
Each setup has its own rules, fees, and ownership benefits.
What Activities Does a UAE Trade License Cover?
Your trade license determines the exact type of activities your business can perform. The UAE offers four main categories:
- Commercial License: For trading, retail, and import/export activities
- Industrial License: For manufacturing or production companies
- Professional License: For service-based and consultancy businesses
- Tourism License: For travel, hospitality, and event management
Documents Required for a UAE Trade License
The required paperwork is straightforward. You’ll typically need:
- Trade name reservation approval
- Passport copies of all shareholders or partners
- Memorandum of Association (MOA)
- Office lease or virtual office agreement
- Initial approval from the relevant authority
🗂️ Document requirements can vary slightly depending on your business activity and jurisdiction.
How to Apply for a Trade License in the UAE (Quick Steps)
The process to get your Dubai business license or any UAE trade license is simpler than ever:
- Choose your business activity
- Decide between Mainland or Free Zone setup
- Reserve your company name and submit documents
- Pay government fees and receive your license
That’s it—your company can now legally operate, invoice, and hire staff in the UAE.
🧭 Need help with approvals or document submission? Our experts manage the full trade license process so you can start faster. Contact us now!
Average Cost and Validity (2025 Overview)
The UAE business license cost typically starts from AED 5,500 with a zero visa package, depending on chosen jurisdiction (Mainland or Free Zone), required business activity type, location, no of investor and employee visa requirement and more.
Most trade licenses are valid for one year and can be renewed annually.
Some Free Zones also offer multi-year packages at discounted rates.
Always verify current fees and renewal rules before applying, as costs can vary between emirates.
Quick FAQs About UAE Trade License
Before applying for your UAE trade license, it’s common to have a few quick questions about the process, ownership, and cost. To make it easier, here are some of the most frequently asked questions that entrepreneurs—especially those setting up in Dubai or investing from abroad—often ask when starting their business journey in the UAE.
Is a trade license the same as a commercial license?
Not exactly—a commercial license is one category of a UAE trade license, focused on trading physical goods.
Can foreigners own 100% of a UAE business?
Yes, full foreign ownership is allowed in most activities under the updated UAE Commercial Companies Law.
Can I get a UAE trade license from abroad, for example from the UK?
Yes, you can apply remotely through authorized consultants of the top business setup companies in UAE or the UAE Free Zone authorities.
Conclusion: Start Your UAE Business the Right Way
A UAE trade license is the foundation of every successful business in Dubai and across the Emirates. It gives your company legal status, protects your operations, and builds trust with banks, partners, and clients.
🚀 Ready to start your UAE company? Our consultants can help you choose the right trade license, handle approvals, and launch your business seamlessly.