08 Feb Commercial license in Dubai Free Zone
Learn how to obtain a commercial license in the Dubai Free Zone, because Dubai is considered one of the most prominent investment destinations in the world, thanks to its strategic location, advanced infrastructure, and the facilities it provides to investors and entrepreneurs. One of the most important tools that facilitate business and ensure its success in Dubai is the free zone trade license. This license gives companies the opportunity to operate within a distinct economic environment characterized by many advantages, such as full tax exemptions, 100% foreign ownership, and no restrictions on transferring funds. In this article, we will discuss the details of obtaining a commercial license in the Dubai Free Zone, the necessary steps, and the benefits that investors can achieve through this type of license, which makes Dubai the ideal destination for achieving commercial ambitions.
Commercial license in Dubai Free Zone
Dubai Free Zone
The Dubai Free Zone is an ideal destination for ambitious investors and companies, as it provides a stimulating and flexible investment environment that supports growth and expansion. Dubai’s free zones are characterized by numerous tax exemptions, 100% foreign ownership, and easy administrative procedures. These areas provide advanced infrastructure and modern facilities that meet the needs of various industries and commercial sectors. It also provides various support services, including issuing licenses, employment services, and communication with government agencies. Investing in free zones in Dubai is a strategic step that provides competitive advantages that help companies achieve sustainable success in the local and global market.
Establishing a company in the Dubai Free Zone
Establishing a company in the Dubai Free Zone with the help of Atqan Company is a strategic step that guarantees the success of the project from the beginning. Atqan offers a comprehensive range of services that facilitate the process of establishing companies, starting from choosing the appropriate business activity and determining the trade name, all the way to preparing documents and submitting the necessary applications. Thanks to its extensive experience and deep knowledge of local regulations and laws, Atqan ensures smooth and speedy procedures, saving investors time and effort. In addition, Atqan provides ongoing support in dealing with government agencies and obtaining the necessary licenses and approvals. By cooperating with Atqan, new companies can benefit from the advanced infrastructure and privileges provided by the free zones, enhancing the opportunities for success and growth in a dynamic and evolving business environment.
The importance of the commercial license for establishing companies in the free zone
The trade license is an essential tool for establishing companies in the Dubai Free Zone, as it plays a vital role in facilitating business operations and achieving success. Here are some importance of a business license:
- The commercial license ensures that the company operates within the legal framework approved in the free zone, which protects it from legal violations.
- Business licenses in free zones provide multiple tax exemptions, such as exemption from value-added tax and income tax, which reduces operational costs.
- A trade license allows foreign companies to have 100% full ownership without the need for a local partner, enhancing business independence.
- A trade license facilitates the process of establishing companies quickly and effectively, thanks to simplified and accelerated procedures in free zones.
- Free zones act as advanced logistics and trade centers, making it easier for companies to access international markets and enhance export and import operations.
- Free zones provide a modern and advanced infrastructure that includes offices, warehouses, and logistical facilities, which supports business growth and expansion.
- Commercial licenses in free zones provide various investment incentives such as financing, technical support, and advisory services.
- Free zones create a favorable business environment that brings together diverse companies, providing opportunities for cooperation and strategic partnerships.
- A commercial license provides facilities for labor recruitment and employee visa procedures, which helps companies build efficient work teams.
Having a commercial license issued by a recognized free zone enhances the company’s reputation and credibility before customers and business partners.
Overall, a trade license is an essential component of the success and continuity of business in the free zone, enabling companies to take advantage of available investment opportunities and achieve sustainable growth.
Types of commercial license in Dubai Free Zone
Here is a table showing the types of commercial licenses in Dubai :
| Type of commercial license | the description |
|---|---|
| General trade license | It allows companies to import, export, distribute and store various types of goods. |
| Trade license | Designed for companies that deal in a specific or specific trade. |
| Services license | It is granted to companies that provide specialized services such as consulting, marketing, training, and others. |
| Industry license | Designed for companies that want to carry out manufacturing or production activities. |
| Education license | Granted to educational and training institutions to provide education and training services. |
| Media license | Dedicated to companies operating in the media sector such as publishing, media production, and broadcasting. |
| Technical license | Designed for companies working in technology and innovation fields such as software development and biotechnology. |
| Health license | Designed for companies that provide healthcare services and medical treatment. |
| Hospitality licence | It is granted to companies operating in the hospitality sector, such as hotels, restaurants, and hospitality services. |
| Transport and logistics license | Dedicated to companies operating in the transportation, warehousing and logistics services sector. |
These licenses help regulate commercial activities and ensure compliance with local regulations and laws, which enhances the chances of success and growth for projects in the Dubai Free Zone.
Advantages of obtaining a commercial license in the Dubai Free Zone
- Many free zones in Dubai are suitable for various business activities.
- Full tax exemption on companies and personal income up to 50 years.
- Strong and advanced infrastructure in free zones that helps establish businesses.
- Full right to 100% foreign ownership of the company.
- Freedom to recover capital and dispose of profits by 100%
- Providing dual licensing opportunities.
- Freedom to form multiple options for administrative and legal structures.
- No restrictions on currencies.
- Freedom to employ foreign resources and human resources.
Steps to obtain a commercial license
To obtain a commercial license in Dubai with the help of Atqan Company, you can follow the following steps:
- Choose the appropriate type of business activity (such as retail, services, manufacturing, etc.).
- Choose a trade name that complies with local laws and regulations and ensure that it is not repeated.
Submit a request to reserve a trade name: - Submit a request to reserve a trade name through the Dubai Economic Department.
- Prepare necessary documents such as passport, personal photos, residence visa (if required), and a copy of the rental contract.
- Submit an application to obtain a commercial license through the Dubai Economic Department, accompanied by the required documents.
- Pay the fees related to issuing a commercial license.
- Obtaining the required approvals from the relevant authorities according to the type of business activity.
- After completing all procedures and obtaining approvals, the commercial license will be issued.
- Registering the trade license with the relevant government departments and agencies such as the Dubai Chamber of Commerce.
- Opening a bank account for the company to facilitate financial operations.
After obtaining the license and completing all procedures, commercial activity can begin.
Atqan Company provides full support in all these steps, starting from consulting on choosing the appropriate business activity until issuing the commercial license and completing all legal and administrative procedures.
Cost factors for obtaining a business license in Dubai
When obtaining a business license in Dubai , there are several factors that affect the cost. These factors include:
- The cost of the license varies based on the type of business activity (commercial, industrial, service, etc.).
- The cost of the license may vary between different free zones in Dubai and between locations within the city itself.
- The cost of renting commercial or office space affects the overall cost.
- The number of visas you need for the company and employees affects the cost.
- There are registration fees and administrative fees that include submitting applications, issuing licenses, and government approvals.
- If a company requires additional permits or multiple activities, the cost may increase.
- Some free zones provide integrated service packages that include establishment and management services, which may affect the cost.
- The cost of the license may vary based on the duration of the license (one year or several years).
- Fees include government procedures such as security and safety inspection, environmental permits, etc.
Expenses include employee health insurance, property insurance, and other services.
It is important to consider all these factors and plan well financially to ensure that all requirements are met and to avoid unexpected additional costs. Companies like Atqan can provide support and advice to help you accurately calculate the total cost.