If you are planning to start a business in UAE then you must have a general trading license to start your business. If you have a general trading license then you will be able to do multiple activities of trading in the same or different industries. You will be able to do business like import and export goods like furniture, clothes, electronics, accessories and you can also do a trading business of these kinds of products. If you want to trade special products like alcoholic beverages, frozen goods and pharmaceutical products then you will have to get special approval from the authority. A general trading license will give you a wide range of options to start and run a business in the UAE. If you want to know how you can get a General Trading License in UAE then this article will help you to know about the procedures.
Steps for Get a General Trading License in UAE
You will have to follow a step by step process to get a general trading license in the UAE. At first, you will have to select a legal structure and a trading name for your company. You can select a maximum of 10 business activities to be included in a license, so select carefully all the businesses you want to do. To get the initial approval, start filling up the application form and submit it.
If any external approval is required then you can apply for it but it depends on the type of your business. Prepare all the necessary documents to get approval. Select a location which is convenient for your business. To get the final license, you will have to submit the application form to the Department of Economic Development and pay the payment for the license. You will also pay an issuance fee to obtain the general trading license.
You will have to submit documents with the application form to get a general trading license. You will have to submit a license application signed by the manager of the company or the legal representatives of the company, approval letter from the Department of Economic Development, copy of the passport of the management partners, A Memorandum of Association (MOA).
After submitting the required documents your application will be under review and the Commercial Registry Authority will check the validation of the documents. All the documents will be forwarded to the Federal Ministry of Economy by the Department of Economic Development for publication. If your application gets accepted then the ministry will send an approval letter to the Department of Economic Development and the DED will issue the original general trading license. The license will be valid for one year and you will be able to renew the license for the next 5 years. The cost of a general trading license in the UAE is around 30,000-40,000 AED.
If you get a general trading license then you will be able to get several benefits. The legal process of your company will be hassle-free. You will not have to pay tax for jurisdiction. You will be able to get a wide range of facilities from the banks and you will also be able to issue visas for employees from other countries. There will be no paid-up capital and no restrictions on currencies.