The Dubai Trade License is one of the most common licenses issued for businesses doing business by way of buying, selling, importing, or exporting goods. The license needs to be obtained by all companies which plan to conduct business operations throughout Dubai and Abu Dhabi for both local and international commercial activities.
New businesses need to understand the proper procedure for obtaining a trading license in Dubai which allows them to operate their company in Dubai and throughout the UAE and in global markets. Anyone who wants to establish a business in the UAE needs to fully understand the trading license system which includes eligibility criteria and costs as well as the necessary documents for their application.
What Is a Trading License in Dubai? Commercial License vs Trading License
The Dubai trading licensing system has many types of commercial licenses available to businesses involved in the Field of Trade. Even though both terms refer to very similar things, they have several important differences.
Commercial License
A commercial license is issued to companies performing commercial operations such as:
- Retail and wholesale trading
- Import and export of goods
- Product distribution
Trading License
A trading license is a specific subset of a commercial license that authorizes buying and selling of goods. It allows a company to:
- Trade within Dubai and the wider UAE
- Conduct international trading depending on the jurisdiction (mainland or free zone)
Activities Allowed Under a Trading License
A trading license in Dubai permits a wide range of activities. When applying, your business activity must be clearly defined and approved by the licensing authority.
Common activities include:
- Import and export of goods
- Wholesale and retail trading
- General trading across multiple categories
- E-commerce trading
- Distribution and logistics services
Many businesses opt for a general trading license, allowing them to trade multiple product types under one license. This offers operational flexibility but may have higher costs compared to a single-activity commercial license in Dubai.
Who Should Apply for a Trading License?
Any business that deals with product trading should acquire a trading license in Dubai.
- Importers and exporters
- Retail store owners
- Wholesale distributors
- E-commerce businesses
- International trading companies
- Logistics and supply chain providers
To obtain a commercial license in Dubai, a foreign investor, whether a start-up or established business, must comply with all applicable laws, gain credibility within the Dubai market, and gain access to Dubai’s extensive global trade infrastructure.
Cost of Trading License in Dubai
The cost of obtaining a trading license in Dubai varies depending on jurisdiction, business activity, and office requirements.
Mainland Trading License Cost
A mainland commercial license in Dubai usually costs between AED 15,000 and AED 30,000, which typically includes:
- License issuance fees
- Trade name registration
- Initial approvals
- Government charges
Free Zone Trading License Cost
Free zone trading licenses are more cost-effective, typically ranging from AED 6,000 to AED 15,000. Packages may include:
- License issuance
- Flexi-desk or virtual office
- Limited visa quota
Factors Affecting Cost
- Single vs general trading license
- Office or warehouse requirements
- Number of visas
- Mainland vs free zone jurisdiction
Trading License – Mainland vs Free Zone
Choosing between mainland and free zone is a key decision for your trading license in Dubai.
Mainland Trading License
- Trade anywhere in Dubai and across the UAE
- No restriction on local customers
- Ideal for retail stores and distributors
- Office space is mandatory
Free Zone Trading License
- The business allows complete foreign ownership rights to its operations.
- The company delivers affordable setup solutions to its clients.
- The solution works best for online businesses and companies that conduct international trade.
- The system blocks all direct trading activities that involve mainland markets.
The right choice depends on your business model, target market, and growth plans.
Documents Required for a Trading License
To apply for a trading license in Dubai, the following documents are typically required:
- Passport copies of shareholders
- UAE visa or entry stamp (if applicable)
- Emirates ID (for residents)
- Trade name reservation certificate
- Initial approval certificate
- Memorandum of Association (MOA)
Additional documents may be needed depending on activity type or jurisdiction. Accuracy in documentation ensures smoother approvals.
How Docman Helps You Get a Trading License
Docman aims to assist business owners with acquiring trading business licenses swiftly and without violation in Dubai.
1. Total Service Approach : Docman will take care of the complete licensing process from choosing a Business Activity to issuing the Commercial License for Dubai.
2. Quicker Application Processing : Expert oversight of the entire licensing process will reduce errors, speed the licensing process, and guarantee compliance with both Free Zone and mainland authority regulations.
3. Transparent Pricing Structure : You will have the benefit of an upfront pricing structure for your Trading License with no hidden fees.
4. Continual Compliance Support : In addition to this, Docman will also provide assistance with business license renewals, license amendments and maintaining compliance with the latest regulatory compliance in Dubai, so your company continues to operate efficiently.
