The UAE, and particularly its capital Abu Dhabi, is a great place to start a company and establish your business. The reason behind it is the government’s efforts in promoting bilateral ties and trade with almost every nation in the world.

Understanding What is Abu Dhabi Trade License

A Abu Dhabi license is the documentation that is required by a company or individual to be allowed to carry out commercial activities in the UAE. The process is regulated and conducted through the supervision of the Department of Economic Development (DED). Once you have acquired the license, you will be given permission to do the following activities.

Following activities you can do after getting Trade License:

• Import and export your goods with other nations
• Take part in a number of commercial related activities
• Let the masses know of your services and products through advertisements

If you are new to the Emirates, we recommend getting help from an expert business setup consultancy in UAE to help you acquire the trade license. This will streamline the process and help you avoid any cultural barriers or legal complications.

How to Get Abu Dhabi Trade License?

Do you know- how to get abu dhabi trade license? These are the steps that you need to take to acquire a trade license in Abu Dhabi. The steps are relatively straightforward, but you may run into trouble if you are unaware of how to tackle each step. A business setup consultant will help you through all of these steps:

Simple Steps to Get Abu Dhabi trade license

• Select the license type.
• Narrow down the business activities (Keep in mind that the maximum number of activities are 10 per license)
• Pick an appropriate structure and legal status (LLC, sole proprietorship etc.)
• Choose a trade name for your company that falls under the rules of permitted names by the UAE government.
• Submit your application for initial approval by the DED
• After receiving initial approval, register your trade name
• Find a local sponsor and sign a Memorandum of Association (MOA)
• Find a location to establish your business and obtain a tenancy contract
• Gather all relevant documentation including the MOA and application form
• Submit it to the DED for final approval and that’s all!

How to Get a Trade License in Abu Dhabi! Send Us Your Inquiry

Required Documents for Trade License in Abu Dhabi

The following are the required documents that you need to submit to the DED to greenlight the process.

• Certificate of trade name
• Shareholders signed licensing form
• Copies of the passports of all shareholders
• Copy of naturalization certificate
• A letter from the Ministry of Economy and Planning that authorizes the company formation
• Copy of your residence permit
• A letter approving proposed business activities signed by the authorities
• Clearance and no objections from your local sponsor in the form of a letter
• A copy of your Memorandum of Association with said local sponsor
• A copy of the letter from your bank that authenticates the claimed finances of the company
• A copy of your tenancy contract

Once you have submitted the above-mentioned documents to the relevant authorities, they will give you a trade license fees voucher that you need to pay.

Permitted Activities under Different Trade Licenses

1. Commercial License Activities

With a commercial license, these are some of the businesses/activities that you can partake in:

• General Trading
• Real Estate
• Healthcare
• Contracting

2. Professional License Activities

Getting a professional license will allow you to:

• Teach privately or with an institution
• Practice Law as an individual or firm
• Audit firms as an individual or with an organization

It is basically the license that individuals who are skilled in academic fields need to obtain.

3. Industrial License Activities

It is the Industrial license needed to:

• Run a factory
• Manufacture goods
• Sell goods for profit

This is the license that most investors nudge towards in Abu Dhabi.

4. Craftsmanship License Activities

This is the license that workers whose main skill is what they do with their hands need to acquire. The following are some of the professionals that need this license:

• Plumber
• Electrician
• Carpenter
• Painter

5. Tourism License Activities

Considering the UAE’s status as a global tourist destination, organizations that wish to partake in the industry must get this license. Doing so will allow them to;

• Run a hotel
• Start a travel agency
• Run a restaurant

Keeping in mind that the opportunities are vast in the tourism sector, the above-mentioned are only a portion of the activities that can be carried out under this license. For full information about all the activities under each trade license, it is best to get a consultation from our expert business setup agents.

Abu Dhabi Trade License Fees

Abu Dhabi trade license fees may vary according to the nature and business that you wish to establish. Find the below information, is an estimate of what to expect for a general trading license.

• Local Sponsor MOA fee: AED 12,000
• Commercial License fee: Between AED 8000-15000
• Administrative fee: Between AED 3000-45000
• Tenancy Cost: Minimum AED 5000 for an office space
• E-channel: AED 2200

The total Abu Dhabi trade license fees comes up to AED 38,700. However, it is important to mention that this is the cost for the first time. The cost goes down significantly in the second year and there are factors that you do not have to pay for. For instance, you can cut down the cost of the tenancy by getting a virtual office in Abu Dhabi. This is only one example of how an agent can help you minimize costs and maximize profits.

What are the steps to renew a trade license in Abu Dhabi?

In the scenario that you already have an existing trade license, you will have to renew it yearly. This is what you need to know about the renewal process and fees:

Are you Looking for  Dubai Trade License ? Send Us Your Inquiry