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Business licenses · UAE

UAE business license types

Your business activity decides which license you need. This page compares the commercial, professional and industrial licenses, shows how each emirate names its licenses and sets out the fees the authorities publish.

The short answer

A UAE business license is the document that allows a person or company to carry out an economic activity, in the definition of the Department of Economic Development, Ajman. A company must hold it before the activity starts. On the mainland it is issued by the emirate's licensing authority, such as the Dubai Department of Economy and Tourism. The activity decides the type: commercial for buying and selling, professional for services, industrial for manufacturing.

What is a UAE business license?

A UAE business license is the official document that allows a person or company to carry out one or more economic activities. That is how the Department of Economic Development, Ajman defines it.

The license comes before the activity. Under Article 11 of the Commercial Companies Law, a company must obtain all the approvals and licenses its activity requires before it starts that activity.

The license follows the activity. The UAE Government portal describes the business activity as the basis for choosing both the legal form and the license type.

Good to knowA license also brings tax registration. Every licensed company must register for corporate tax, even if it expects to pay 0%.

What is the difference between a commercial, professional and industrial license?

The three differ by what the business does. A commercial license is for buying and selling, a professional license is for services based on expertise, and an industrial license is for making goods.

Three types is a simplification, not an official classification. Each authority defines its own list, and the UAE Government portal lists six: industrial, commercial, professional, tourism, agricultural and crafts.

Commercial, professional and industrial licenses compared
License typeWhat it coversExamples the Dubai authorities giveGood to know
CommercialBuying and selling goods and servicesImport and export, wholesale, retail, logistics, software trading, construction, real estateCommercial agencies are on the list of activities not open to 100% foreign ownership
ProfessionalService based businesses that earn revenue from expertiseConsulting firms, legal firms, administrative services, educational institutions, artisansWhether a local service agent is needed depends on the legal form and the emirate
IndustrialManufacturing, production, packaging and assembly of goodsFood production, textiles, paper, equipment manufacturingIn Dubai, external approvals are required before operations start

How do you know which license your activity needs?

Start with the activity, because the license type follows from it. The UAE Government portal says there are more than 2,000 business activities to choose from, and the Department of Economic Development, Ajman offers a free service to search its licensable activities.

Some activities need additional approvals from other government bodies, before or after the license is issued. The UAE Government portal names the bodies below as examples.

We confirm the license type and the approvals for your activity with the authority before you apply.

  • The telecommunications regulator (TDRA)
  • Ministry of Climate Change and Environment
  • Civil Aviation Authority
  • Central Bank of the UAE
  • Ministry of Energy and Infrastructure
  • The media regulator
  • Securities and Commodities Authority

Is a business license the same in every emirate?

Each authority publishes its own list of license types, and the lists differ, as the table shows.

Abu Dhabi is one example. It calls the license an Economic License, and a single commercial economic license service covers commercial, tourism, agricultural, artisanal and professional activities.

License types listed by each authority
AuthorityLicense types it lists
UAE Government portalIndustrial, commercial, professional, tourism, agricultural, crafts
DubaiIndustrial, commercial, professional, E-Trader, dual, instant, SME, Intelaq
Abu DhabiEconomic License products: Standard, Instant, Virtual, Dual, Freelancer, Mobdea, Tajer Abu Dhabi, Farms and Small Producers
SharjahCommercial, professional, industrial, Eitimad and e-commerce, plus an Instant License route
AjmanThe Ajman DED pages we checked describe one license issuance service and do not list license types

Which license types are only for UAE and GCC nationals?

Four of the license types named on this page are reserved for UAE nationals, or for UAE and GCC nationals. They are not options for a founder who holds neither nationality.

In Sharjah the same applies to one legal form: a commercial or industrial sole proprietorship may be owned by UAE or GCC nationals only.

  • Dubai SME license (Mohammed Bin Rashid Establishment License): UAE and GCC nationals only
  • Dubai Intelaq license: UAE and GCC nationals only
  • Sharjah Eitimad license, home based: UAE nationals only
  • Sharjah Birq license: young UAE nationals

What is an instant license, and what conditions apply?

Dubai, Abu Dhabi and Sharjah each offer an instant license for certain activities, and each attaches its own conditions. The table sets out what the sources say.

Instant license conditions in Dubai, Abu Dhabi and Sharjah
EmirateWhich activitiesConditions
DubaiAll activities that need no external approval beyond DETVirtual site for the first year only. A valid business location is required at renewal or on any amendment
Abu DhabiCertain activities, with 940 offeredDocuments may be submitted up to one month after the license is received. A lease contract and MOA are listed as required
SharjahOffice activities that need no approvals from other authoritiesAs reported by Sharjah24: no MOA or signed lease in the first year, a maximum of three employees, and standard requirements from the second year

Good to knowIssue times such as five minutes in Dubai or one working day in Sharjah describe the issuing step only. They are not the time the whole setup takes.

How much does the government charge for a business license?

It depends on the emirate. The authorities publish individual fees, and on the pages we checked only Sharjah's FAQ gives an approximate total. The Dubai Department of Economy and Tourism states that fees vary depending on the type of license and the specific activities.

The Links UAE business setup package, with one investor visa, is AED 12,500, and the Links Dubai mainland package is AED 19,500. These are Links package prices, not government fees. We tell you the cost in writing before you commit.

Government fee points published by each emirate
EmiratePublished fee points
DubaiTrade name AED 620. eTrader license AED 1,070 plus AED 300 Dubai Chamber membership. No fixed fee for a normal license
Abu DhabiStandard Economic License from AED 1,200. Instant and Virtual licenses AED 790 to AED 5,500
SharjahAccording to the SEDD FAQ, 8% or 13% of the lease or site area value, by the nationality of the partners
AjmanEconomic license AED 600, plus register and signboard fees

Documents you need

  • Initial approval receipt
  • Copy of the lease contract, which in Dubai must be attested
  • Attested Memorandum of Association, for companies
  • Approvals from other government entities, where the activity needs them
  • Attested service agent contract, where one applies
Packages and prices

What it costs with Links.

Prices are published, with what each one covers and what it does not. We send the full cost in writing before you commit.

mainland

Dubai mainland

Mainland license

AED19,500

  • 100% business ownership
  • Investor visa options
  • Bank account opening
  • VAT consultation
  • Dedicated account manager
What is not included
  • Immigration card and visa charges
  • Foreign trade name
  • Medical insurance
  • E-channel registration deposit
Ask about this package
UAE

UAE business setup

One investor visa

AED12,500

  • Company license
  • Flexi desk
  • 2 year residency
  • Bank account opening
  • Accounting consultation
  • Corporate tax registration
Ask about this package

Terms and conditions apply. Prices are indicative. The license fee differs by business activity, and the final cost varies with the number of visas and government fees. See all packages.

Common questions

Business licenses: common questions.

Answered from the official sources listed below. If yours is not here, ask us directly.

What is a UAE trade license, and do I need one before I start trading?

The Department of Economic Development, Ajman defines the license as the official document under which a person or company is allowed to carry out one or more economic activities. Article 11 of the Commercial Companies Law requires a company to obtain all the approvals and licenses its activity needs before it starts that activity. On the mainland the license is issued by the emirate's licensing authority.

What is the difference between a commercial, professional and industrial license?

In the definitions Invest in Dubai gives, a commercial license is for buying and selling goods and services, including import and export and retail. A professional license is for service based businesses that earn revenue from expertise, such as consulting firms. An industrial license is for manufacturing, production and packaging of goods, with external approvals required before operations start.

How do I know which license type my business needs?

The license follows the activity. The UAE Government portal describes the business activity as the basis for choosing both the legal form and the license type, and says there are more than 2,000 activities to choose from. We confirm the license type and any extra approvals for your activity with the authority before you apply.

Can one UAE license cover several business activities?

Ajman DED defines a license as allowing one or more economic activities. In Abu Dhabi the Standard Economic License includes 6 activities in its basic cost of AED 1,200, with each extra activity at AED 100. In Sharjah, adding an activity costs AED 300. No authority page we checked states a maximum number of activities per license.

Is a trade license the same in Dubai, Abu Dhabi, Sharjah and Ajman?

Each authority publishes its own list of license types. Dubai lists eight, including commercial, professional and industrial. Abu Dhabi issues an Economic License in eight products, and one commercial service also covers professional activities. Sharjah lists commercial, professional, industrial, Eitimad and e-commerce licenses.

How long is a UAE trade license valid, and what happens if I renew late?

No authority page we checked states one general validity period for every license. Ajman DED states that licenses must be renewed annually before expiry. In Sharjah a license can be renewed up to 3 months before it expires, and late renewal fines start from AED 200 per month.

Can I get a UAE trade license without renting an office?

The UAE Government portal states that all businesses must have a physical address. Some routes relax this in the first year. The Dubai Instant License comes with a virtual site for the first year only. Sharjah24 reported that the Sharjah Instant License needs no signed lease in the first year. ADRA states that for the Abu Dhabi Standard Economic License, leasing is optional in the first year for some activities.

Do I need extra approvals from other government bodies for my activity?

Some activities do. The UAE Government portal names bodies such as the Central Bank, the Securities and Commodities Authority, the telecommunications regulator, the Civil Aviation Authority and the Ministry of Climate Change and Environment. Approvals may be needed before or after the license is issued, depending on the activity.

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