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Business licenses · Commercial

Commercial license in Dubai and the UAE

A commercial license is the license for trading. This page explains what it covers, how each emirate issues it, who can own the company and what the official sources say about Chamber membership and VAT.

The short answer

A commercial license is the mainland license for businesses that buy and sell goods and services, including import and export, wholesale and retail. In Dubai it is issued by the Department of Economy and Tourism (DET), and in other emirates by the local licensing authority. Invest in Dubai states that foreign investors can hold 100% of a mainland company in more than 1,000 commercial and industrial activities.

What can you do with a commercial license?

A commercial license lets a business buy and sell goods and services. The Dubai Department of Economy and Tourism (DET) describes it as covering trading activities such as general trading, import and export, wholesale and retail.

Invest in Dubai adds logistics, software trading, construction and real estate to the examples. Sharjah's Economic Development Department defines the commercial license as a license for buying, selling, distributing, importing and exporting.

The UAE Government portal notes that foreign trade requires compliance with local laws and customs procedures.

How does the commercial license differ by emirate?

Each emirate's authority describes the commercial license in its own words and publishes different information about it. The table sets out what each one says.

In Abu Dhabi, the fee lines TAMM lists for the commercial economic license include an organisational entities fee of AED 790, Ministry of Economy fees of AED 2,500, social contributions of AED 1,500, an establishment card request of AED 315 and Abu Dhabi Chamber fees of AED 150 to AED 2,200. TAMM describes the total cost as varying as incurred.

The commercial license in Dubai, Abu Dhabi, Sharjah and Ajman
EmirateIssued byHow the authority describes itWhat it publishes
DubaiDepartment of Economy and Tourism (DET)Trading activities such as general trading, import and export, wholesale and retailNo fixed fee. Fees vary with the license type and activities
Abu DhabiDepartment of Economic Development, through TAMMOne commercial economic license service, which also covers tourism, agricultural, artisanal and professional activitiesFees line by line, and a service time of 5 working days. Requires an MOA and an approved lease contract
SharjahSharjah Economic Development Department (SEDD)Buying, selling, distributing, importing and exportingA commercial sole proprietorship may be owned by UAE or GCC nationals only
AjmanDepartment of Economic Development, AjmanThe pages we checked describe one license issuance serviceThe license is issued with Chamber of Commerce membership and a commercial signboard permit

Good to knowFive working days is the time TAMM shows for that service. It is not the time the whole setup takes.

Can a foreigner own 100% of a trading company on the mainland?

Invest in Dubai states that foreign investors can hold 100% of a mainland company in more than 1,000 commercial and industrial activities. That figure is for Dubai.

In Dubai, the usual vehicle for a commercial license is a limited liability company. A Dubai LLC can be owned by any individual or company regardless of nationality, including a single owner.

Commercial agencies are an exception. They are on the list of activities not permitted for 100% foreign ownership, both in Dubai and on the UAE Government portal. Invest in Dubai says that to run a restricted activity you need to work with a local partner.

In Sharjah the legal form matters. A commercial sole proprietorship may be owned by UAE or GCC nationals only, so a foreign founder would use an LLC or a service agent structure.

Is Chamber of Commerce membership part of a commercial license?

In the three emirates below, Chamber membership appears in the license or in its fee lines.

  • Dubai: the Instant License includes Dubai Chamber membership for commercial activities.
  • Abu Dhabi: TAMM lists Abu Dhabi Chamber fees of AED 150 to AED 2,200, by category, among the fee lines for the commercial economic license.
  • Ajman: the license is issued together with Chamber of Commerce membership and a commercial signboard permit.

Good to knowThe official pages we checked do not state in terms whether membership is compulsory for every commercial license. We confirm the position for your activity with the authority before you apply.

Can you sell across the UAE with a mainland commercial license?

Invest in Dubai states that a mainland company can trade with individuals and businesses in Dubai, across the UAE and internationally.

A free zone company cannot trade within the UAE without a specific mainland license.

Do you need to register for VAT as soon as you get a commercial license?

According to Invest in Dubai, VAT registration becomes mandatory once taxable supplies and imports exceed AED 375,000 a year, and all mainland companies are subject to the UAE VAT regime, at 5%.

Invest in Dubai states that voluntary registration is possible above AED 187,500.

Corporate tax is separate. DET reminds new license holders to register for corporate tax within three months of obtaining the trade license.

Good to knowThis page states what the official sources say. It is not tax or legal advice.

Are permits for promotions and events part of the license in Dubai?

DET treats them separately. Commercial permits for promotions, sales, events or advertising are a separate DET service for existing businesses.

We prepare and submit the application for the license. The cost of any separate permit is confirmed with you in writing before you commit.

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

Commercial license: common questions.

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

What can I legally do with a commercial trade license in Dubai?

A Dubai commercial license is issued for businesses that buy and sell goods and services. The Dubai Department of Economy and Tourism gives general trading, import and export, wholesale and retail as examples, and Invest in Dubai adds logistics, software trading, construction and real estate.

Do I need a commercial license to import goods into the UAE and sell them locally?

Importing and selling goods are commercial activities. The Dubai Department of Economy and Tourism describes the commercial license as covering trading activities such as import and export, wholesale and retail. The UAE Government portal adds that foreign trade requires compliance with local laws and customs procedures.

Is a general trading license the same as a commercial license?

The Dubai Department of Economy and Tourism names general trading as one of the trading activities that a commercial license covers, alongside import and export, wholesale and retail. No DET page we checked describes general trading as a separate class of license or publishes a separate fee for it.

Can a foreigner own 100% of a trading company on the UAE mainland?

Invest in Dubai states that foreign investors can hold 100% of a mainland company in more than 1,000 commercial and industrial activities in Dubai. A Dubai limited liability company can be owned by any individual or company regardless of nationality, including a single owner. Commercial agencies are on the list of activities not open to 100% foreign ownership.

Is a commercial agency open to 100% foreign ownership?

Commercial agencies are on the list of activities not permitted for 100% foreign ownership, both on Invest in Dubai and on the UAE Government portal. Invest in Dubai says that to run a company performing a restricted activity you need to work with a local partner.

Do I have to join the Chamber of Commerce with a commercial license?

Chamber membership appears in the licensing process of three emirates we checked. The Dubai Instant License includes Dubai Chamber membership for commercial activities, TAMM lists Abu Dhabi Chamber fees of AED 150 to AED 2,200, and in Ajman the license is issued together with Chamber of Commerce membership. We confirm the position for your activity with the authority.

Will I need to register for VAT as soon as I get my commercial license?

According to Invest in Dubai, VAT registration is mandatory once taxable supplies and imports exceed AED 375,000 a year, and voluntary registration is possible above AED 187,500. VAT is 5%. Corporate tax registration is separate. DET reminds new license holders to register for corporate tax within three months of obtaining the trade license.

How is a commercial license different from a professional license?

A commercial license is issued for businesses that buy and sell goods and services. A professional license is for service based businesses that earn revenue from expertise, such as consulting firms. The license follows the activity, so we confirm the position for your activity with the authority if you plan to sell both products and services.

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