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Importance of Trade License in Abu Dhabi for Businesses

trade license abu dhabi

The first thing you have to know is how essential the trade license Abu Dhabi is for companies. The reason is simple; this license is a legal requirement for all companies that want to operate in the city. The Department of Economic Development is the entity in charge of business licenses and is necessary to carry out commercial operations in Abu Dhabi. The type of license to apply for depends on the nature of the business; for instance, a general business license.

In this article, you will discover why it is important to obtain a trade license Abu Dhabi for your company. The first thing will be to learn about the different types of commercial licenses and how to choose the ideal one for your needs. In addition, we will provide you with information about the process of obtaining and how to apply for the Abu Dhabi trade license renewal. Finally, you will see all the benefits that you will have access to if you have this license, apart from complying with local regulations and laws.

Types of Dubai Trade Licenses

trade license abu dhabi

The business license is a document that designates the activities that companies can carry out in the country. To obtain a business license you have to go to the Department of Economic Development. Additionally, you have to go through the process of doing trade name registration in Dubai.

Depending on the emirate where you obtain the business license is where you will be able to establish the company. For instance, in Dubai business licenses are valid for various activities. These activities include the export and import of products or goods. In addition to carrying out commercial activities.

It is important to note that business licenses in Dubai will depend on the activities to be carried out. There are four main types of licenses, which are as follows.

  • Professional License: Professional licenses are for those who want to provide specific services.
  • Commercial license: These are for anyone who wants to participate in the commercial sector.
  • Industrial license: These are for companies that are dedicated to carrying out manufacturing and industrial operations.
  • General trade license: These are licenses to operate exports, imports, or general trade.

On the other hand, it is important to highlight that there is also a DED trade license in Dubai. Additionally, you need to make sure you have the proper documentation before applying for any business license. Otherwise, you may be exposed to delays in issuing the license.

Trade license in Abu Dhabi: Application Process

It is important to note that when the expiration date is exceeded, you have to go through the Abu Dhabi trade license renewal process.

First step: The business owner has to choose the type of license they prefer.

Second step: The business owner has to say and limit the business activities that he wants to work in Abu Dhabi. You have to know that for each trade license Abu Dhabi, you are allowed a maximum of ten activities.

Third step: Subsequently, the entrepreneur has to select an appropriate business structure. For instance, sole proprietorship, LLC, and others.

Fourth step: The company owner has to choose a suitable name for his company. It is important to follow the rules for business names in the UAE.

Fifth step: An application must be submitted to obtain initial approval with the DED.

Sixth step: The business name must have the registration after receiving initial approval from the DED.

Seventh step: The entrepreneur must sign an MOA, that is, a Memorandum of Association.

Eighth step: The entrepreneur needs to obtain a lease contract; to do this they have to select an ideal location for the business. For this, you can hire a good business center and ask for guidance.

Ninth step: Finally, the owner has to prepare all the necessary documents. Subsequently, you have to send it to the DED to obtain your trade license Abu Dhabi. Some of the essential documents for this procedure are the following:

  • Trade name certificate
  • The license form with the signature of the shareholders.
  • Photocopy of the naturalization certificate.
  • Photocopy of the residence permit.
  • Other important documents.

You have to know that you have the option of carrying out an Abu Dhabi trade license check, to find out if it is ready or in processing.

Trade license in Abu Dhabi: Validity and Renewals

trade license abu dhabi

According to the DED currently, companies can renew the Abu Dhabi trade license after 3 years. As a result, the year that entrepreneurs and investors could previously carry out is left behind. Thanks to this measure, transaction and processing costs decreased by up to 70%. All for the benefit of small and medium-sized businesses.

Once the expiration date arrives, the businessman has to renew trade license Abu Dhabi. Below, you will see the steps you have to follow to successfully complete this process.

First step: The entrepreneur has to present all the necessary documents for the renewal of the DED license. Among the documents necessary to renew the Abu Dhabi trade license, are the following.

  • Valid lease or Ejari contract. It is important to do a little research on what the process of canceling an Ejari is like if you need it. The contract must have confirmation from the Dubai Land Department.
  • A typed BR/1 form.
  • Photocopy of the current Abu Dhabi trade license.
  • Photocopies of the passports of the interested parties.

Second step: When submitting the documents, the applicant has to wait for approval to obtain the license. You have the option of carrying out the Abu Dhabi trade license check, to see if the renewal is ready.

Third step: The entrepreneur has to pay the fee for the renewal of the Abu Dhabi trade license.

Fourth step: Finally, you will have your printed commercial license valid again.

Benefits of acquiring trade license in Abu Dhabi

A trade license Abu Dhabi is vital for the operation of a company. Additionally, you can find a very extensive Abu Dhabi trade license activities list. This way, you can choose the business activities that best suit your company. It is important to note that obtaining a trade license in Abu Dhabi without office is not possible.

Furthermore, there are many business advantages in the UAE. Thanks to this, many investors choose to establish their companies or branches in the country. For this reason, we will present you with the main benefits of having an Abu Dhabi trade license.

Tax benefits

Thanks to tax exemptions and incentives for all businesses, Abu Dhabi is one of the most attractive locations for businesses. In this way, it becomes a reference point for companies around the world. In addition, you will be able to allocate this money that was going to be used for taxes, in other things that improve the production of your company.

Diverse market

Abu Dhabi has a strategic location in the Middle East. In this way, it provides access to a large and diverse market. Thanks to this, it provides opportunities to trade with neighboring countries. Plus, thanks to such a large job market, it gives a wide range of options to new investors.

Proficient employee

In Abu Dhabi, you can count on a workforce that is highly educated and competent. This can be beneficial for companies looking to hire highly talented employees. In this way, companies will not have many problems finding experienced and highly capable employees. Furthermore, this greatly benefits the company’s productivity.

Business-friendly environment

In Abu Dhabi, the government is fully committed to creating a highly business-friendly environment. For this reason, they implement policies and regulations that can encourage entrepreneurship and investment.

This way, you will be able to obtain a commercial license quickly and through a completely simple process. Therefore, you will not waste valuable time on slow and complicated processes. Allowing you to focus on other requirements for your company.

Investment opportunities

The UAE is a country of great opportunities for investors from around the world. In this way, Abu Dhabi is not far behind and is one of the main emirates to invest. In addition, it offers a wide variety of investment opportunities.

Among these opportunities, you can find access to capital markets, infrastructure projects, real estate, and many others. For this reason, many entrepreneurs from all over the world decide to invest in Abu Dhabi. Furthermore, thanks to the opportunities provided by the country’s government, it has become one of the main investment locations in the world.

Therefore, you can say that Abu Dhabi is the ideal place to carry out any type of business or investment. Enabling your company to increase its capacity and expand more easily throughout the world.

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A closer insight on the Instant Trade License in Dubai

instant license in Dubai

The instant license in Dubai is a public policy that allows investors to obtain a business license in minutes. Any individual who applies for an instant license receives it in minutes and nearly begins operations. The Department of Economic Development (DED) is the competent authority for issuing the licenses.

In this article, we will discuss how to obtain an instant license in Dubai. As in any other country, once you decide to set up a business in Dubai, the due process starts under the country’s laws. They detail all of the important steps that must be taken to set up a business and get it running. In that sense, Dubai has once again innovated with these new licensing procedures. Now, we will see who is eligible for this benefit and what documents still need to be submitted.

  1. What is an instant license?
  2. How can you obtain an instant license in Dubai?
  3. What are the gains of having a DED instant trade license in Dubai?
  4. Why should you use our business solutions in the UAE?

1. What is an instant license?

Dubai is one of the UAE’s most diverse regions. Also, it is one of the most prosperous economic zones on the globe. It provides a massive market for foreign investors looking for investment and business setup opportunities.

In addition, Dubai is always at the forefront of developing novel investor-friendly policies. As a result, to reduce the time-consuming traditional business setup process, they created the instant license in Dubai as a simple way for investors to start their business in minutes.

The instant license Dubai process removes the need for filing to obtain a trade and professional license. Clearly, it is an attempt to simplify as much as possible the procedures for starting a new firm in Dubai. If you are an individual thinking about starting a commercial or professional business, you can apply for one. In addition, with the help of an expert who offers these services, the process can be easier.

1.1 What happened to free zones and instant licenses?

There are copious comments about the use of the instant license on the Mainland, but none in its free zones. That is because these areas do not meet one crucial feature for impulse an instant license.

First and foremost, we have to stress the main idea behind this concept: to attract new investors and make the process in Dubai and the UAE easier and simpler for them. The promise is that the instant trade license in Dubai will allow obtaining a commercial or professional license in as little as 5 minutes. In effect, we are dealing with a one-step process.

However, the question about what is an instant license in Dubai has no sense in the free zones. This is so because companies there must obtain approval from the free zone authority. Also, depending on their activities, local approvals are almost always required.

These features run against the goal of reducing delays and, as a result, the absence of consent from external agencies. Free zone authorities continue to hold added sanctions that make instant licenses unsuitable.

Are you looking for more information related to this? You can reach out to us, at Connect Business Center.

1.2 Who is eligible to apply for an instant license in Dubai?

Note that an instant license is only for activities that do not require any external approval. Companies with the following organizational structures are eligible to apply for an instant license in Dubai:

  • LLC (Limited Liability Company)
  • One-Man L.L.C.
  • Single-person business
  • Civil corporation

More specifically, any business activity that does not necessitate additional approvals or clearances from external agencies or departments can apply for an instant license in Dubai. Companies that require approval from Dubai Municipality, ministries, or other departments are not eligible to apply for the subject license.

You can contact us, your business center partner, to learn more about the eligibility criteria and potential changes.

2. How can you obtain an instant license in Dubai?

Obtaining a license is one of the most central steps after defining the nature of the business activity. Since Dubai has a variety of licenses for various types of businesses, the DED began the process of issuing an instant license in 2018 to boost the country’s market.

Instant licenses Dubai’s activities list can be processed through a digital portal under the DED.  The entire procedure is carried out online and can be completed in a matter of minutes.

Once you have completed the online form and submitted the required documents, the authorities will issue you the instant license, allowing you to begin your business

2.1 DED instant trade license via official e-services

You can do the instant license Dubai activities through official e-services. It will not request any extra docs. The ex-pat or resident who is forming the business should be present.

Still, you must have your Emirates ID on hand to create a Dubai Smartpass ID. Provide the trading name, activities planned, details of owners and partners, and any other documents that are required for DED.

Currently, the Dubai instant license cost ranges around AED 9,000.

2.2 Documents required

The documentation requirements vary depending on the channel through which you apply for an instant license in Dubai. Typically:

  1. Each partner’s passport must be present while filling out the application form.
  2. A copy of your residency visa
  3. Letter of authorization from the current employer
  4. Copy of local sponsor’s passport and Emirates ID

If you apply via DED’s e-services platform no more documentation is required. For those without an existing account, an original ID is required to open an account and obtain a UAE Pass ID.

If you apply at a service center or similar:

  • Passport copies for all partners and managers—to apply for the license, all partners, or at least one of them, must be present at the service center.
  • A photocopy of the foreign partner’s UAE residence visa and Emirates ID.
  • Copy of foreign partner’s UAE visit visa [if not a resident visa holder]
  • A letter of authorization from the current sponsor of the resident visa holder.
  • A certified copy of the local sponsor’s passport and Emirates ID

2.3 How to apply for an instant license in Dubai

The basic steps for applying for an instant license in Dubai on the DED e-services platform are as follows:

  1. The first step is to select the legal entity, which can be an LLC, a civil company, or a sole proprietorship.
  2. Once the legal entity has been firm, the legal activity for which an instant license in Dubai can be obtained must also be decided.
  3. Once the activity has been selected, the investor must determine the firm’s owners.
  4. An investor must select at least three names when applying for an instant license in Dubai and the UAE.
  5. The next step would be to determine the company’s total share capital.
  6. Fill out all of the application forms.
  7. Submit all required documents to the appropriate department.
  8. Following the submission of the documents, a payment voucher will be produced.
  9. Once the voucher has been successfully generated, complete the payment.
  10. Following successful payment, the investor will be issued an instant business license.

The instant business license in Dubai can be obtained only after full payment has been made to the relevant authorities.

2.4 How much does the instant license cost?

There are diverse sources for the instant license Dubai fees. Due to that, there is a wide range for calculating the total cost.

Payment by voucher

You will be given a single payment voucher that covers the instant license Dubai fees for initial approval, trade name reservation, and license issuance. The cost will vary depending on your company’s activity. A fixed market fee of AED 3,000, on the other hand, applies to all types of business activities.

Additional expenses

However, the instant license Dubai cost could rise to around AED 5,000, including any additional fees such as application fees, approval fees, trade name fees, and license issuance costs. If you are new to the UAE, you must also consider the cost of your visa as well as the cost of any dependents.

A local sponsor is required in the case of an LLC, but applying for an instant license in Dubai can be done if the LLC was formed using individuals only. Also, an instant license is available for activities that do not require any external approval.

To recap, your Dubai instant license cost could end up being roughly AED 7,000-9,000 in total.

3. What are the gains of having a DED instant trade license in Dubai?

There are many benefits. Firstly, applying for a regular license can take several months to complete while planning to open a business. A general business license requires leases but is needless for an instant license in Dubai due to a 12-month waiver. When applying for an instant license, the office address will initially be the name of Dubai City.

A Dubai instant license also benefits the investor because it is not necessary to name and approval to begin some activities. In effect, it will in time confer powers for the opening of the instant license Dubai’s bank account and getting other documents from the Labor Ministry.

At the same time, the Dubai instant license activities allow investors to evaluate the market before making larger investments.

3.1 Other benefits of an instant license

As said above, with the instant procedures, you can obtain an instant trade license in Dubai in a matter of minutes with fewer requirements.

To summarize, an instant license in Dubai provides significant benefits to entrepreneurs. A comprehensive list of benefits is as follows:

  • A quick and simple online claim
  • The license is ready in minutes.
  • Begin doing business right away.
  • The documentation is minimal.
  • There is no need for a lease for the first year.
  • Low-cost business formation procedures
  • There is no need for a Memorandum of Association (MOA).
  • No additional approvals or requests
  • Trading name registration is not necessary
  • Avoid the time-consuming process of negotiating a tenancy contract or Ejari
  • For the first year, you can work from home
  • The best way to explore the Dubai market and analyze the growth probability, viable markets, and operation methodology
  • Apply online or in-person

4. Why should you use our business solutions in the UAE?

Why should you use Connect Business Centers‘ services? We provide dedicated assistance in establishing a business in the UAE. Our team will handle all of the paperwork for you to obtain an instant license in Dubai and will advise you on the best business activities to pursue.

When you want to fulfill a governmental procedure, there are numerous laws and regulations to follow. Do not be concerned; we are here to help. We can assist you with a wide range of tasks. For many years, we have supported numerous firms. As a result, we have relationships and networks with both public and private organizations.

Equally, serviced offices for rent are now an essential component of any global business strategy. We have contact with the partners you need to be successful in establishing your new workspace. Go and take a look at the best business properties in the UAE.

We can quickly solve any problem your UAE business may be facing thanks to our networks. Contact us right away to get your instant license, form your venture, and start doing business. Take advantage of this opportunity by contacting us at +971 43 316 688. You can also speak to us via email at

If you are looking for new job opportunities, The Talent Point is a great place to start. Send your resume to as soon as you need it. You should not be concerned about your data. CVs sent to are deleted after a careful review.

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Residency Visas in Passports will be Replaced by the UAE ID

residency visa

The promotion of technological innovation in various areas of life is a relevant characteristic of the UAE. That is particularly true in business affairs. Now, the country goes a step further by introducing new forms of identification for both nationals and foreigners. Specifically, they have decided to replace the stamp of the residency visa in the passport by using the number of the identity document.

In this article, we will cover the details of this new use of Emirates ID cards and the advantages that this will bring. For that, we will address the following matters:

  1. How have the rules on identification and residence in the UAE changed?
  2. Changes in the issuance of a new ID card in the Emirates
  3. What are the keys to understanding the new identification measures?
  4. How does the UAE Residency Visa system function?
  5. How can we help you with your documents in the UAE?

1. How Have the Rules on Identification and Residence in the UAE Changed?

The UAE introduced in its system a new generation of identification cards. In this country, the ID document is unique for each person and mandatory to carry. This new technology is prominent because, on April 11, 2022, the ID number will obsolete the stamp page of the resident visa.

Without a doubt, the Emirates ID card is of the utmost meaning because its unique number is used for each cardholder to access practically everything, from government services to smart gates at airports.

Indeed, the updated requirements ambition to make the ID and residency application process more direct for all those who apply, easing living and settling in the Emirates. All the departments and airlines related to these procedures received from authorities a message to comply with the verification of the status of residence through the passport document and the Emirates ID.

In short, it means that the Emirate ID is replacing the residency visa as the main residency document. No longer will it be necessary to stamp passports with visa stickers? This decision will lead to a significant change in the way of regulating the presence of nationals and foreigners in the country. So, it is pertinent to know the details of this measure.

1.1 What is the reason for such changes?

It should be noted that all citizens and residents must have an Emirates ID. Electronic Emirati IDs became mandatory and a legal requirement in 2011. As expected, the change is driven by this new Emirates identification card, based on a state-of-the-art smart system that contains all the details of the residency visa.

The new ID card has technologically advanced features that have made it possible to include data not visible without a proper reader and also has a longer useful life of at least ten years.

One of its virtues is that it includes a 3D image achieved with laser printing and shows the cardholder’s date of birth. It is a project that, in parallel, is renewing both identification cards and Emirati passports at a high technological level.

Of course, the cards have a variety of uses, including access to government services, housing, prescription drugs, banking, and legal proceedings.

1.2 What is a Residency Visa sticker?

We need to remember that foreigners with offers of jobs, investors, property owners, charges (relatives of valid visa holders), university students, and retirees (in some cases), can request and obtain residency in the UAE. Residency Visas are issued to immigrants when they are already within the country using entry permits or visit visas.

People over 18 years can apply for a Residency Visa after undergoing a medical check to prove that fit in health. They must also pass a security revision and apply for their ID card.

Previously, the final part of the visa application process included the stamping of the visa on the applicants’ passports. The applicants left their passports at the immigration office. The pink sticker stamping is the procedure that disappears as of April 11.

Although the change will apply to visas issued after that date, information on previous visas will still be available online through the app of the official residency authorities.

2. Changes in the Issuance of a New ID Card in the Emirates

Following its tradition of innovating in all aspects, the UAE created a new civilian and business instrument based on the best technologies. Effectively, an Emirates ID is the identity document issued by the UAE government for citizens and residents of the country. All UAE citizens and residents must apply for an Emirates ID and carry it with them at all times.

The technology change in 2021 gave new functions to the ID instrument, making it more powerful.

2.1 New ID card features

The new Emirates ID card consists of the following components that provide the highest levels of accuracy and security. For example, some core gears are:

  • Electronic card
  • Certificates of digital signature and authentication
  • Biometrics

Additionally, the card has:

  • Identification number

Of course, the identity card has an identification number known as the ID number. That number adheres to its holder forever. With this number, you can benefit from all government services and some non-governmental and private entities, which require an identity card of who accesses the service. The identity number is a unique and non-repeating 15-digit number.

  • Electronic chip

Each card has an electronic chip containing the personal data of the owner. For that, this data is only read by dedicated machines. Also, most data is encrypted and can only be read, written, or updated by legal officers, to protect data privacy.

  • Other technologies

The ID card features include the last in smart-card technology, precise lettering, UV ink, and line drawing. There are also nine security features making it very difficult to counterfeit.  Truly, these features exceed current standards used in many cards, such as bank credit cards.

2.2 For what is the ID used?

The Emirates ID is used for:

  • Voting in Federal National Council elections
  • Passing immigration controls through eGates and smart gates at various airports in the UAE
  • Traveling within the countries of the GCC
  • Gaining access to many government services
  • Verifying passengers’ residency status when traveling out of the country.

Otherwise, it is good to know that in the UAE is illegal to confiscate other people’s ID cards. Thereby, firms may not retain the ID cards of their employees or their customers and visitors. So, they can only take note of the personal data on the ID cards.

3. What Are the Keys to Understanding the New Identification Measures?

The main thing about the measures is that the Emirates ID replaces the UAE Residency Visa as the main element of identification. As we already indicated, the ID contains the relevant information related to the residence. A summary with some more information is as follows:

  • This ID update substitutes the system of residency visa stickers applied to passports
  • The processing of residency visas is still in force
  • Now, the Emirates ID serves as a document proving residency in the UAE
  • When the user passes a medical test, the resident visa status is ready and all relevant information about residency is available on the ID
  • Residency visa and Emirates ID can be renewed within a single application, as opposed to two separate processes as of now.
  • The ID card increased the services to residents in the country using it
  • Thanks to a smart application, it obtains an electronic copy of the ID
  • It is a measure in line with the objectives of using technological innovation to be increasingly efficient
  • The most sensitive data in the cards is not visible. Only chip-reading machines with approval can read it. Thus, the security of the users improves knowingly.

4. How Does the UAE Residency Visa System Function?

Foreign people who want to live in the UAE must have a residency visa and a work visa.

4.1 Resident Visa

In the past year 2020, the UAE introduced long-term residency visas for different sorts of people, particularly entrepreneurs and talented doctors. They do not need a sponsor and can hold one hundred percent ownership of their businesses.

The country introduced:

  • Golden visa, a ten-year resident visa for specialists, high-level investors, and other prominent individuals
  • Green visa, allows highly skilled people to sponsor themselves without ties to an employer
  • A freelancer visa is for independent workers

Evidently, these measures intend to promote the boom of competitiveness and seek to attract a very significant quantity of foreign direct investment. The plan is for ten years.

As a result, this system of visas allows residents and immigrants to live and study in the country to obtain residence without an Emirati sponsor. Doubtless, it is an impressive advance in the cordiality of the country.

4.2 Working Visa

The UAE allows you to work in the country simply with a work visa and a permit. First of all, you need someone to hire you and then initiate the procedure to obtain the visa. You and the firm that wants you to work must comply with:

  • You must be 18 years old or more
  • The work you will do must match the report of the firm
  • The license of the firm must be active
  • The employer must be free of infractions

Work visas in the UAE have specific rules to protect workers’ rights. In short, any foreigner over 18 can work in the UAE if meets the official standards. There is no highest age for working in the UAE, but over 65 years, the firms must pay a higher fee.

4.3 Golden Visa

The Golden Visa appeared in 2020. It is a ten-year permanent UAE visa for doctors, scientists, innovators, researchers, outstanding students, humanitarian workers, entrepreneurs, managers, and specialists in almost all fields of science, humanities, and businesses.

Undoubtedly, it is a mechanism for attracting highly qualified people to the country for their contribution to improving the development of their respective sectors. By the way, eligibility for these visas has recently expanded considerably.

4.4 Green Visa

Within its new visa scheme, the Green Visa distinguishes between work permits and residency visas. It also aims at highly qualified people, investors, and the best students and graduates. It also seeks to ease visa restrictions for self-employed workers, widows, divorced, and similar.

Additionally, green visa holders will be able to sponsor parents and children up to 25 years old instead of 18 years old.

Previously, in the United Arab Emirates, the residence status of foreigners was linked to their employment. Employers were sponsors and if an expatriate lost his/her job had to leave the country, or find a new job within a month.

4.5 Freelancer Visa

The self-employed worker visa is the first plan of its kind in the UAE. It allows these workers to sponsor themselves through their independent commercial activities.

Other specific regulatory changes include the extension of business travel permits until six months. It also allows parental sponsorship for family, an extension of residency for humanitarian causes, and a longer grace period after job loss.

5. How Can We Help You With Your Documents in the UAE?

It is relevant to know the legal issues related to your installation in the UAE. The changes in the use of the Emirates ID are relevant for everyone thinking about investing in the Emirates. Moreover, among the most delicate and essential procedures are those related to residency.

Advance your immigration plans safely and confidently by accessing our services. Based in Dubai, our firm, Connect Business Centers, allows you to find the best local partners.

Also, if you would like to set up a business as a foreigner, you must make sure to have the proper office space you need. Make sure everything goes well by using our property listings database, the largest in the Emirates