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Commercial License in Dubai

Launch your trading, retail, or import-export business in Dubai mainland with a commercial license in Dubai. We handle the complete setup process, from LLC formation and trade name registration through to license issuance and visa processing, so you can start trading legally across the UAE.

With recent regulatory changes, foreign investors can now hold 100% ownership of commercial license companies for most trading activities. Our team manages all government approvals and documentation to get your business operational quickly.

What Is a Commercial License in Dubai?

A commercial license in Dubai (also called a trading license) is issued by the Dubai Department of Economy and Tourism (DET) for businesses engaged in buying and selling goods. This includes retail operations, wholesale trading, import-export activities, and general trading businesses operating in the Dubai mainland.

Unlike professional licenses for service-based businesses, commercial licenses are specifically designed for trading activities. Commercial license holders must establish a Limited Liability Company (LLC) structure, which we set up as part of your company formation.

Your commercial license allows you to conduct business anywhere in the UAE, including direct sales to government entities and local consumers, giving you market access that free zone companies cannot match without additional permits.

Why Choose a Commercial License in Dubai?

  • 100% foreign ownership – Own your trading company outright for most commercial activities without a local partner requirement
  • Trade across all Emirates – Sell directly to UAE consumers, businesses, and government entities without restrictions
  • Multiple activities permitted – Add up to 10 trading activities on a single license
  • Limited liability protection – LLC structure protects your personal assets from business liabilities
  • Import and export rights – Clear goods through UAE ports and customs directly
  • Visa allocation – Sponsor yourself, employees, and dependents for UAE residence
  • Golden Visa eligibility – Qualifying business owners may obtain 10-year residence through the Golden Visa programme

Commercial Activities We License

We assist clients in obtaining commercial licenses for a wide range of trading activities:

Category Example Activities
General Trading Import/export of multiple product categories, wholesale distribution
Retail Trading Clothing, electronics, cosmetics, furniture, homeware retail
Construction Materials Building materials, hardware, electrical equipment trading
Food Trading Foodstuff trading, beverages, perishables (requires food safety approvals)
Automotive Vehicle trading, spare parts, automotive accessories
Electronics Consumer electronics, IT equipment, telecommunications products
Real Estate Brokerage Property sales, leasing services (requires RERA registration)

Certain trading activities require additional approvals. Food trading requires Dubai Municipality food safety certification. Real estate activities need RERA (Real Estate Regulatory Agency) registration. We coordinate all sector-specific approvals as part of your setup.

Your commercial license can include up to 10 business activities. We help you select the right activity codes to cover your current operations and planned expansion.

100% Foreign Ownership for Commercial Licenses

The UAE has removed the local partner requirement for most commercial activities, allowing foreign investors to hold 100% ownership of their mainland trading companies. This represents a significant change from previous regulations that required 51% UAE national ownership for commercial licenses.

Note: A small number of strategic activities still require UAE national involvement. We verify your specific activity’s eligibility for 100% foreign ownership before proceeding with your application.

For activities that qualify, you establish your company as a single-shareholder LLC or multi-shareholder LLC with full foreign ownership. We handle the LLC formation process, including Memorandum of Association drafting and registration with the Dubai Economy.

Documents We Need From You

To start your commercial license application, we require:

  • Passport copies of all shareholders (valid for at least 6 months)
  • Passport-sized photographs with white background
  • Proposed trade name options (we recommend 3 alternatives)
  • Business activity description and product categories
  • No Objection Certificate from current UAE employer (if transitioning from employment)

We handle all remaining documentation including:

  • LLC Memorandum of Association drafting and notarization
  • Trade name registration in English and Arabic
  • Initial approval application
  • Office lease arrangement and Ejari registration
  • Dubai Municipality approval for business premises
  • External approvals from relevant authorities
  • Final license issuance

Our Commercial License Setup Process

We manage every stage of your commercial license application:

Activity Selection and Trade Name
We identify the correct commercial activity codes for your trading business and verify your proposed trade name complies with DET naming conventions. We submit your application through the Dubai Invest portal.

Initial Approval
We obtain initial approval confirming your chosen activities and trade name. This typically takes 1-2 business days.

LLC Formation
We draft your Memorandum of Association defining share distribution, management structure, and company objectives. Our team handles notarization at Dubai Courts and registration with the Companies Register.

Office Space and Municipality Approval
We help you secure appropriate office or warehouse space with an Ejari-registered tenancy contract. We then obtain Dubai Municipality approval confirming the premises meets requirements for your trading activities.

External Approvals
For activities requiring sector-specific approvals (food trading, real estate, etc.), we coordinate with the relevant authorities on your behalf.

License Issuance
Once all approvals and documents are complete, we process the licensing fees and collect your commercial license. The entire process typically takes 7-14 business days depending on activity complexity.

For an overview of all license categories, see our trade license services.

Commercial License Costs in 2026

Commercial license setup involves several cost components. We provide transparent pricing with no hidden fees:

Cost Component Estimated Range (AED)
Trade License Fee 12,000 – 20,000
Trade Name Registration 600 – 2,000
Initial Approval 100 – 500
MOA Drafting and Notarization 2,000 – 4,000
Office/Warehouse Rent (Annual) 20,000 – 80,000+
Visa Processing (Per Person) 3,500 – 5,500
External Approvals (If Required) Variable

Total first-year investment typically ranges from AED 45,000 to AED 120,000 depending on office requirements, number of activities, and visa needs. Contact us for a detailed quote tailored to your trading business. For more details, see our business setup costs page.

Tax Obligations for Commercial License Holders

Commercial license holders in Dubai have the following tax obligations in 2026:

Corporate Tax: A 9% corporate tax applies to taxable profits exceeding AED 375,000. Profits up to this threshold are taxed at 0%. All businesses must register with the Federal Tax Authority (FTA) and file annual returns within 9 months of their financial year-end.

VAT Registration: Businesses with annual taxable supplies exceeding AED 375,000 must register for VAT at the standard rate of 5%. Trading businesses typically reach this threshold quickly and should register early. Updated 2026 VAT rules have simplified compliance procedures.

Customs Duties: Import duties of 5% apply to most goods entering the UAE, though certain categories (food staples, medicines) are exempt. We can advise on duty optimization strategies for your product categories.

E-Invoicing Mandate: Starting July 2026, businesses with annual revenue exceeding AED 50 million must use FTA-certified e-invoicing systems. Smaller businesses follow in subsequent phases (July 2027 onwards).

Commercial License vs. Other License Types

Selecting the correct license type is essential for your business operations:

Feature Commercial License Professional License Industrial License
Purpose Trading, retail, import/export Services, consultancy Manufacturing, production
Foreign Ownership 100% (most activities) 100% 100% (most activities)
Company Structure LLC Required Sole Establishment or Civil Company LLC Required
Office Requirements Physical office or warehouse Flexi-desk accepted Industrial facility required

If your business provides services rather than trading goods, we can assist with a professional license. For manufacturing or production activities, see our industrial license services.

Commercial License Renewal Services

Your commercial license in Dubai is valid for one year from the date of issue. We manage the renewal process to ensure your business remains compliant:

  • License renewal application submission
  • Tenancy contract renewal and Ejari update
  • Activity amendments if your business has expanded
  • Shareholder or manager changes
  • External approval renewals where applicable

We contact you before your license expires to initiate the renewal process, ensuring no lapse in your trading authorization.

Additional Services After License Issuance

Once your commercial license is issued, we provide ongoing support for:

  • Corporate bank account opening – We assist with documentation and bank introductions for trading accounts. See our bank account services
  • Visa processing – Investor visas, employee visas, and family sponsorship
  • Tax registration – FTA registration, VAT registration, and Tax Registration Number (TRN) application
  • Import/export code registration – Customs registration for international trading
  • PRO services – Government document processing through our PRO services
  • Annual license renewal – We manage the renewal process before your license expires

Why Work With Us?

As experienced business setup specialists, we offer:

  • Accurate activity selection matched to your trading model
  • Verification of 100% foreign ownership eligibility for your activities
  • Complete LLC formation and MOA drafting
  • Direct liaison with DET and government departments
  • Coordination of all external approvals
  • Transparent pricing with no hidden fees
  • Ongoing compliance support and license renewals

Disclaimer: This information is current as of January 2026. Regulations, fees, and procedures may change. Specific situations vary based on nationality, business activity, and individual circumstances. Contact us for personalized advice tailored to your trading business.

Contact our team at +971 55 378 8000 to discuss your commercial license requirements.

How to get Dubai Commercial License?

for more details call +971 55 378 8000 or e-mail us in info@ebsuae.com

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