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Co-Founder & CEO movingo
Editor
Author
Iakov Kukushkin
Copywriter, Journalist
Apr 23, 2025
Every business must have a valid trade license to operate legally in the UAE. As of 2024, about 1.5 million trading licenses were active in the country. While obtaining a license in the UAE and Dubai is straightforward, certain challenges can delay the process.
In 2025, the UAE government introduced significant improvements to business registration. These changes included a simplified licensing process, faster processing times, and new digital application services.
In this article, we'll guide you through obtaining a trading license in the UAE and help you avoid common pitfalls.
In 2025, the UAE government introduced significant improvements to business registration. These changes included a simplified licensing process, faster processing times, and new digital application services.
In this article, we'll guide you through obtaining a trading license in the UAE and help you avoid common pitfalls.
- What is a trading license in Dubai?
- Benefits of a trade license in Dubai
- Types of trading licenses in Dubai
- How to get a trading license in Dubai – Step-by-step guide
- Free Zone, Mainland, or Offshore – which is better for your business?
- Types of trading licenses in Dubai
- Documents required to get a trade license in Dubai
- How much does a trade license cost in Dubai?
- How long it takes to get a trade license in Dubai
- Common mistakes when applying for a trade license in Dubai
- Trade License FAQ
What is a trading license in Dubai?
A trading license in Dubai is an official document issued by the Department of Economy and Tourism (DET) or Free Zone Authorities. It allows businesses to do things like buy and sell goods, import and export, and distribute. There are different types of trade licenses, depending on what kind of business you're in and where you're located.
Benefits of a trade license in Dubai
- 100% foreign ownership (in most cases)
- No personal income tax
- Access to global markets
- World-class infrastructure
- Fast and easy business setup
- Bank account eligibility
Types of trading licenses in Dubai
How to get a trading license in Dubai – Step-by-step guide
1
Create a business description
Write a detailed business description or business plan for your future company and send it to us by email.
Write a detailed business description or business plan for your future company and send it to us by email.
2
We’ll schedule a call
Our expert consultants will review your business plan and schedule a call with you. We will understand your needs and create the best solution for you.
Our goal is to help you save time and money during setup. We always give you at least two good options to choose from, so you can pick what works best for your business goals and budget.
Our expert consultants will review your business plan and schedule a call with you. We will understand your needs and create the best solution for you.
Our goal is to help you save time and money during setup. We always give you at least two good options to choose from, so you can pick what works best for your business goals and budget.
3
You’re license will be ready within a week
Good planning is key — when we know what to do, things are done really efficiently.
Why waste time and energy collecting and organizing documents when you can hire professionals to do it for you? Give us a call and we'll chat, it'll only take a few minutes.
Good planning is key — when we know what to do, things are done really efficiently.
Why waste time and energy collecting and organizing documents when you can hire professionals to do it for you? Give us a call and we'll chat, it'll only take a few minutes.
Free Zone, Mainland, or Offshore – which is better for your business?
Where you choose to do business can have a big impact on your future, as well as on getting a license. Each location has its own set of rules and regulations, so it's important to understand what they are. Here's a quick look at some key things to consider:
Types of trading licenses in Dubai
Documents required to get a trade license in Dubai
- Passport copies of shareholders
- Business plan
- Additional documents depending on the business type
How much does a trade license cost in Dubai?
The cost of obtaining a trade license in Dubai varies depending on the type of business and jurisdiction. On average:
- Mainland trade license
AED 10,000 – AED 30,000 - Free Zone trade license
AED 5,000 – AED 20,000 - Offshore trade license
AED 5,000 – AED 50,000
We can help you figure out the exact cost and handle all the paperwork so you don't have to. How about it?
How long it takes to get a trade license in Dubai
- Mainland License
2-4 weeks - Free Zone License
1-2 weeks - Offshore License
1-2 weeks
Common mistakes when applying for a Trade License in Dubai
- Choosing the wrong business jurisdiction – Limits business operations, reduces tax benefits, and increases costs.
- Not verifying trade name availability – Leads to application rejection and setup delays.
- Missing required documents – Results in processing delays or license application denial.
- Not understanding hidden costs – Creates unexpected expenses that affect cash flow and profitability.
- Selecting the wrong business activity – Requires reapplication for a new license, causing delays and extra costs.
Follow this guide, and you'll find getting your trading license in Dubai a smooth, hassle-free process in 2025. And if you need support, we're right here to assist you.
Trading License FAQ
- With movingo you get a license in 1-2 business days.
- Yes, some Free Zones allow you to operate without a physical office. This is especially true for e-commerce or consulting activities.
- Costs range from AED 5,000 to AED 50,000 depending on the type of license, location and additional services.
- Some trade licenses in some Free Zones can cost AED 5,000
Ajman Free Zone, Sharjah Media City (Shams), and IFZA are known for their low-cost packages and flexible payment plans
Renewal fees are typically similar to the initial cost. They range from AED 5,000 to AED 50,000
A trade license lasts for 1 year and needs to be renewed every year.
Only some mainland businesses might need a local agent. Most Free Zones allow 100% foreign ownership without a sponsor.
Yes, all businesses must have a valid trade license to operate legally in the UAE.
Businesses enjoy 0% personal income tax and 0% corporate income tax (up to a certain revenue threshold). In Free Zones, there are also exemptions from customs duties and VAT.
Yes, some Free Zones and special license types (such as e-commerce or freelancer licenses) allow home-based businesses.
An Instant License can be issued within 1 day with fewer documents and no office requirement. A normal license usually takes 1–4 weeks and involves more steps.
movingo is an all-in-one platform for company formation, visas, and everyday legal matters in the UAE. We're here to ensure your journey stays obstacle-free. Check this out:
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