Complete guide on business licenses in Dubai
Business licenses in Dubai is compulsory requirement for every type of company formation. Setting up a new business in Dubai can be an exciting prospect and several variables need to be considered. However, the most important of all is business licensing in Dubai.
This article will provide you a complete guide on the various types, structures and procedures involved in Dubai business licensing.
Why do you need a business license in Dubai?
A Dubai based business license validates your company as a legal entity certified to do business. Not just this, the business license also identifies you and your business enterprise. It takes accountability of your commercial proceedings as well as protects the public health and safety. On the other hand, it also allows to the governmental entities to regulate and survey the commercial proceeding in the city.
Who provides business licenses in Dubai?
The Department of Economic Development (DED) is a government body entrusted to license companies or individuals who desire to carry out businesses in Dubai. The Department of Economic Development provides business licenses in Dubai. Dubai DED is the entity that does not only provide business licenses, but also regulates the procedures related to business licensing.
A DED licensed business is generally known as a “local company”. You must note that only mainland companies are registered and licensed by the Department of Economic Development, unlike free zone companies – those are licensed by private authorities.
Watch the video for further details –
What are the types of business licenses in Dubai?
There are mainly four types of business licenses in Dubai as well as around the UAE.
- Commercial license for general trading businesses
- Professional license for service related businesses
- Industrial license for manufacturing goods
- Tourism license for travel and tours industry
Business licensing is the most initial stage of starting a UAE business, but you also need to know that there are different agencies and jurisdiction that manage the system of business licensing. Watch the video to understand it in detail.