What you need to do to get an e commerce license in Dubai?
Many people in the UAE are shifting from traditional to online shopping as it is convenient. This shift has made entrepreneurs, business owners as well as traders consider setting up an e commerce business in Dubai.
If you are among those entrepreneurs interested in starting an online business in Dubai here is what you need to do!
Steps to get your ecommerce license in Dubai
The principles of setting up an online business in Dubai and operating it could be tedious and confusing. Even before you get your products or services aligned to sell on the website you must know how to get an ecommerce license in Dubai.
To get an ecommerce license you need to follow the below steps –
- Decide on a legal structure
- Choose a business location
- Register the company’s trade name
- Submit the application to get the ecommerce license
- Submit the application for the initial approval certificate
- Draft the MOA / local service agent agreement
- Rent an office
- Register with ports & customs authorities (in case of import/exports)
- Collect the license from the Department of Economic Development (DED)
- Open a corporate bank account
Understand the costs of ecommerce license in Dubai
The costs related to obtaining an ecommerce license in Dubai. Depending on whether you would like to opt for a trading or a professional activity the ecommerce license costs may vary.
Nevertheless, the most common costs to start an online business in Dubai are as follows –
- DED Registration Fees
- Office Rent
- Sponsorship Cost – UAE Local Partner
- Visa cost for Partner
- Immigration Card Cost
- Stamp of the Company
- Partner Medical and Emirates ID
- Foreign Name Charges, if any.
- Fees for Medical Insurance of Investor
- Any other government fees like Civil Défense, etc.
- Additional Partner Fees
- Additional Partner Visa Fees
Know the Different Ecommerce Licenses in Dubai
There are several types of ecommerce licenses in UAE. Dubai offers mainly three types of ecommerce license. You can opt for these licenses depending on your nationality and business activity.
Here are the three types of ecommerce license in Dubai –
- E Trader Licence
If you wish to offer your services or sell products online, you can obtain an e trader license.
The e traders license in Dubai is monitored by the Department of Economic Development and can be only obtained by UAE and GCC nationals residing in Dubai. An e trade license can be obtained only under a single ownership. You cannot have a physical office space or open a shop with this license.
- Portal License
Portal license is yet another ecommerce license in Dubai that can be obtain by non-UAE national. You can start an online business in Dubai with a portal license – to link buyers and sellers. A portal license is also ideal for a listing website that products, services or reservations.
- Virtual Company License
The virtual company license was recently launched by the Dubai Economy and DIFC. The virtual company license allows overseas investors and non-residents of UAE undertake commercial activities in the region. However, this license is limited to only three sectors – they are computer programming and related activities; designing activities; services related to printing and advertising.
Are there more types of ecommerce license? Can only UAE nationals avail an ecommerce license? Is there an option for foreigners or expats to start an online business in Dubai? How much does an ecommerce license cost? Which is the best e commerce license in UAE?
If you have doubts or questions related to setting up an online store or obtaining an ecommerce license in Dubai speak to our expert before you proceed.
Book a free consultation with an expert! Contact Shuraa Business Setup – you can call us, whatsapp us or drop in an inquiry and our representatives to book a free consultation with us.