DUBAI ECONOMIC DEPARTMENT
OVERVIEW:
The Department of Economic Development (DED) is the government body entrusted to set and drive the economic agenda of the emirate of Dubai, UAE. The DED supports the structural transformation of Dubai into a diversified, innovative service-based economy that aims to improve the business environment and accelerate productivity growth.
The DED and its agencies develop economic plans and policies, identify and support the growth of strategic sectors, and provide services to domestic and international investors and businesses.
The DED is also a proud winner of the Distinguished Government Entity in the Dubai Government Excellence Programmed 2012.
BENEFITS
No capital requirement for a local Dubai license?
Freedom to operate and have clients anywhere in UAE and around the globe
You can open your office anywhere in Dubai?
Widen your connections by being part of Dubai Business Club
TERMS AND CONDITIONS:
- All business partners to be present at DED with their Emirates ID for those who are not registered in MYID (only the presence of one partner (or the manager) is sufficient in case other partners are already registered in MYID)
- Provide passport copy of all license partners (including the manager)
- Provide copy of Emirates ID of all license partners (including the manager)
- Provide copy of residency visa and NOC from sponsor for foreign partners (Non-local, non-GCC)
- Provide copy of visit visa for foreign partners.
PROCEDURES:
- All partners will be registered in MYID.
- Trade name will be reserved for the business license (pre-reserved trade name can be used)
- Initial approval will be issued for the business license (pre-issued initial approval can be used)
- Electronic memorandum of association will be issued (Attesting from Notary Public is NOT required)
- Start Business certificate shall be issued with 6 months validity.
Once the customer provides tenancy contract for the business location attested by RERA (Ejari), the trade license will be issued automatically and SMS notification will be sent to the mobile number registered in the license details. The customer can get the license once the fees are paid at any payment channel.
FAQs General.
Can customers start the business registration and licensing procedures from outside UAE?
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No. Business registration and licensing procedures are associated with smart services which require Emirates ID.
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What are the procedures to establish a limited liability company?
• Reserve a trade name
• Obtain a preliminary approval
• Obtain an approval from other authorities if the activity deems necessary
• Obtain the Memorandum of Association of the companies
• Provide a certificate of authenticity of the lease contract issued from the Real Estate Regulatory Agency
Can the share of the new partner in the Civil Works Company exceed 51%?
Yes, except in the case of engineering consultancy.
Should all the documents be translated in case a foreign company opened a branch in Dubai?
No
What are the conditions for opening foreign companies’ branches?
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• Filling a registration and license application form and reserving a trade name.
• A copy of the service agent’s passport (with the details of residence/Visa for non-GCC (Gulf Cooperation Council) nationals)
• A copy of the service agent’s identity card and family book
• A copy of the responsible director’s passport and a no objection letter from his current sponsor
• Approval of other governmental agencies concerned with the activity of the company
• The Board of Directors’ decision to open a branch and to appoint a director
• A copy of the Memorandum of Association and the Commercial Register which should be duly certified by the UAE Ministry of Foreign Affairs and the UAE embassy of the country in which the company is incorporated.
What are the conditions for establishing a business center?
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Conditions of licensing the activity of the business center:
• The total site area of the business center shouldn’t be less than 5000 feet where the area of each office is not less than 250 feet including hallways and facilities. The net area per office shouldn’t be less than 200 square feet.
• Having a lease agreement between the property owner and the business center of a period not less than 4 years.
• A written consent by the property owner authorizing the business center to sublease the property during the period of the lease contract.
• Submitting schemes for the site showing the number and the distribution of offices until the allowed number of establishments that can be registered in the site is determined by the commercial register sector in accordance with the aforementioned information in paragraph (A) of this article.
• An annual fee of 25,000 twenty five thousand AED is calculated for every site allocated for the business center activities.
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What are the conditions of obtaining a consulting license?
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Having educational qualifications, experience, and obtaining external approvals.
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What are the professional activities?
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Professional activities are the activities that depend on mental and physical effort to be practiced. They include agriculture, fishing, education, health, social work, and community, social and personal services.
Issuing of a Business License
What is the procedure of issuing a license of all activities and legal forms?
• Reserving a trade name
• Obtaining a preliminary approval
• Obtaining an approval of other authorities if the activity deems necessary
• Obtaining a Memorandum of Association of the companies
• Obtaining a service agent contract for occupational licenses
• Lease contract issued from the Real Estate Regulatory Agency.
What are the procedures to establish a limited liability company?
• Reserve a trade name
• Obtain a preliminary approval
• Obtain an approval from other authorities if the activity deems necessary
• Obtain the Memorandum of Association of the companies
• Provide a certificate of authenticity of the lease contract issued from the Real Estate Regulatory Agency.
Can the share of the new partner in the Civil Works Company exceed 51%?
Yes, except in the case of engineering consultancy.
Should all the documents be translated in case a foreign company opened a branch in Dubai?
no
What are the conditions for opening free zone companies’ branches?
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• Filling a registration and license application form and reserving a trade name.
• A copy of the responsible director’s passport and a no objection letter from his current sponsor
• Approval of other governmental agencies concerned with the activity of the company
• The Board of Directors’ decision to open a branch and to appoint a director and a copy of the Memorandum of Association and the Commercial Register
• The Ministry of Economy approval for the commercial and industrial companies where the rate of nationals is less than 51%
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Conditions of licensing the activity of the business center:
• The total site area of the business center shouldn’t be less than 5000 feet where the area of each office is not less than 250 feet including hallways and facilities. The net area per office shouldn’t be less than 200 square feet.
• Having a lease agreement between the property owner and the business center of a period not less than 4 years.
• A written consent by the property owner authorizing the business center to sublease the property during the period of the lease contract.
• Submitting schemes for the site showing the number and the distribution of offices until the allowed number of establishments that can be registered in the site is determined by the commercial register sector in accordance with the aforementioned information in paragraph (A) of this article.
• An annual fee of 25,000 twenty five thousand AED is calculated for every site allocated for the business center activities.
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What are the conditions of obtaining a consulting license?
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Having educational qualifications, experience, and obtaining external approvals.
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What are the conditions of obtaining an investment license? Can other activities be added? Can other branches be opened?
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The same usual conditions in addition to paying 500 AED. Yes. No
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Can branches of an occupational company be opened?
Yes
What are the conditions to have a trade name including the term “holding”?
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Paying 50 million and having a legal form as a limited liability company.
What are the commercial activities?
Commercial activities are the activities that require a capital to be practiced. They include wholesale and retail trade, construction, transportation, stockpiling, communication, financial intermediation, real estate, and leasing.
What are the industrial activities?
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Industrial activities are the activities that require a capital to be practiced. They include manufacturing, mining, quarrying, electricity, gas, and water.
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What are the professional activities?
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Professional activities are the activities that depend on mental and physical effort to be practiced. They include agriculture, fishing, education, health, social work, and community, social and personal services.
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Can a sole proprietorship based in other emirate be a partner in a trade license in Dubai?
Can a company be a local service agent?
Yes
What are the procedures for reserving a trade name?
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You can apply for a trade name online or go through an authorized document c
earing office or approved law
irm. Please note that to access online services, you need a user account.
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What does the general trade activity include? And what doesn’t it include?
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It includes the trade of all kinds of goods and products that are mentioned in full details in the trade category of the activity classification guidebook except for those that require an external approval from concerned authorities.
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What are the requirements of practicing a consultation activity?
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To be qualified, and to have an experience in the required consultation field. The requirements of the consultations that require an external approval are determined by concerned authorities.
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Manage Business License
What are the conditions for freezing a license?
• Providing a letter from the company or the institution requesting to stop the licensing temporarily
• Providing a letter from the Ministry of Labor indicating the absence of sponsored people on the license
• Providing a report from the inspection division in Dubai DED.
What are the documents required for the license renewal?
Providing a certificate of authenticity of the lease contract issued from the Real Estate Regulatory Agency and an appendix of the Memorandum of Association when modifying the status of partners.
What are the documents required for the license renewal?
Providing a certificate of authenticity of the lease contract issued from the Real Estate Regulatory Agency and an appendix of the Memorandum of Association when modifying the status of partners.
Cancel Business License
What are the cases where an ineffective partnership can be dissolved other than the escape of a partner?
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If the partnership has ended more than 2 years ago.
What are the conditions of private liquidation?
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• The license expiration date should have ended for more than 2 years.
• The national partner shall acknowledge his liability towards the company.
• Providing supporting documents that strengthens the dissolution request such as the escape of a partner
• Providing a letter from the Ministry of Labor indicating the absence of sponsored people on the license
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What are the procedures and documents required to cancel a sole or a company license?
• For sole proprietorships, a no objection letter from the Ministry of Labor is required in addition to a residence cancellation proof for non-Gulf nationals.
• For civil works companies, a no objection letter from the Ministry of Labor is required in addition to dissolution of partnership contract from the notary public.
• For commercial companies, a no objection letter from the Ministry of Labor is required in addition to a residence cancellation proof for non-Gulf nationals, the minutes of Annual General Meeting to liquidate the company and appoint a liquidator, a letter from the liquidator of accepting the liquidation, and announcing the liquidation in the newspaper.
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Summary of Requirements for Individual Shareholder:
- Passport Copy?
A clear copy of your passport, showing the photo page and signature page The passport must be valid for six months from the date of application.
- Emirates ID & residence Visa page (required from UAE residents)?
- NOC issued by Sponsor (required from UAE residents)?
- UID number issued by Immigration (required from NON UAE residents)?
- UAE Attested Diploma / College Degree (required for Consultancy related activity) *Please contact us for Non individual requirements
Important Note:
- Alldocumentation must be provided in English, or with an accompanying English translation.
Summary of Requirements for Corporate Shareholder:
- Certificate of Incorporation
Certified True Copy of the Certificate of Incorporation.
- Trade License
Certified True Copy of the license.
- Memorandum and Articles of Association
Certified True Copy of the Memorandum & Articles of Association
- Certificate of Incumbency
An original latest Certificate of Incumbency or a legal document issued by the registrar, which confirms name of the shareholders and directors of the company.
- Certificate of Good Standing
If the Corporate Entity is an Offshore, an original Certificate of Good Standing is required.
- Shareholder’s Resolution
An original Shareholder’s Resolution confirming the establishment of the new company; and confirming the name of the person authorized to sign the company formation documents; it must be attested by the Registrar.
- No Objection Letter – original letter from the registrar confirming that they
have no objection in registering a company at DED.
Important Note:
- If established in UAE, it must be stamped by the governing body where the company was formed.
- If establish outside UAE, it must be stamped by the Ministry of Foreign Affairs and the UAE Consulate in the Country of Origin.
- All documents need to be provided in English, or with an accompanying English translation.
Timeline:
Company Formation (Individual & Corporate) – 7to 10 working days upon submission of all required documents to Registrar.
Cost:
Starting from AED 21,000- Company Formation
USD 249 – Bank account opening assistance
