Getting a valid business license is the foremost step to establishing a company in the UAE. Business licenses are of different types. Each license is suited for a particular kind of commercial activity. The authorities have broadly classified the following main categories of business licenses which are as follows:
- Commercial License
- Professional License
- Industrial License
- Tourism License
- Freelance License
Commercial License
The UAE’s commercial license is perfect as it allows companies to participate in diverse commercial endeavours concerning retail and wholesale commerce. Whether for general commerce, retail, or wholesale business setup in Dubai or outside, it is essential for trading businesses. However, to legally operate in the UAE market and address unique restrictions, an e-commerce business license is compulsory for anyone looking to enter the expanding e-commerce sector. The needs of Internet businesses are catered for with this license.
Professional License
Individuals and companies that offer services based on specific knowledge and personal abilities are awarded a professional license. This license applies to consulting, engineering, financial auditing, medical and legal services.
A few more typical operations covered under this license are carpentry, artisan shipping, printing and publishing, medical services, beauty salons, computer graphic design services, repair services, document clearing, etc. Foreign investors can acquire 100% company ownership with a professional license.
Industrial License
The industrial license is the best option to open a factory or production unit in the UAE. This license allows operations in various sectors, including food, industrial chemicals, pharmaceuticals, textiles, metals, paper and paper-based products, timber and furniture, precious stone cutting, assembling machines, farm equipment, automobiles and accessories, aircraft fabrication, engines, and petroleum product production.
Tourism License
In the tourism and travel industry, travel agencies, tour operators, hotels, and resorts are awarded tourist licenses in the United Arab Emirates. Its objective is to govern and assist the travel and tourism sector. Due to Dubai’s popularity as a travel destination, companies that provide services related to tour management, hospitality, lodging, and leisure must have a tourism license.
This license covers the following specific activities:
Travel agents can issue tickets and assist with visas. Outbound tour operators plan trips outside the UAE. Inbound tour operators arrange tours to the UAE from other countries and can handle global events.
Freelance License
With the freelance license, people can work independently and market their expertise without starting a company. Those in the graphic design, writing, translation, and software development industries can use this license. The freelance license is renowned for its inexpensive application fees and for granting flexibility in offering services to several clients.
Business Licenses in the UAE- Know the Types
Mainland UAE Business License
If a person or corporate organization wishes to conduct business locally within the United Arab Emirates, they must first establish a business in the UAE mainland, in any emirates. The Department of Economic Development grants business licenses, often known as “Mainland Licenses.”
UAE Business License in Free Zone
The demographic areas in the UAE that are permitted to carry out specific commercial activities are known as free zones. A UAE Free zone Business License is necessary for any company that wants to conduct business in certain areas. It is important to remember that these permits are restricted to commercial operations.
UAE offshore business license
An offshore company is a phrase used in business to describe any corporate entity helping conduct operations outside of its registered jurisdiction. The UAE only issues offshore licenses through accredited.
Takeaway
Foreign investors could find it challenging to understand the licensing procedure; therefore, assistance from business setup experts is crucial. A team of legal specialists familiar with the nuances of the regulatory environment in the United Arab Emirates works for the consultants. A&A Associate are specialized in the UAE company setup process. Therefore, they can help you get an appropriate business license in UAE for your enterprise.