Economic License Issuance
Effortless Economic License Acquisition with Al Tawakkal Consultancy
Establishing a business in the UAE is a promising endeavor, and it begins with the acquisition of an economic license. The process for obtaining this license can vary, depending on the type of business activity and the legal form of the company.
Understanding the Nature of Your Activity
The initial step in obtaining an economic license is to precisely identify the nature of the business activity you intend to pursue. The specific nature of the economic activity defines both the legal structure of the company and the type of license required. There are six distinct types of licenses to choose from: industrial, commercial, crafts, tourism, agricultural, and professional licenses. It’s essential to note that a single license can encompass more than one business activity, with a comprehensive list of over 2,000 economic activities available for selection within the UAE¹.
Selecting the Appropriate Legal Form
The choice of the legal form is integral and contingent on business requirements. It determines the laws and regulations that the business must adhere to. In the UAE, you can select from several legal forms, such as partnership, limited partnership, limited liability company, public joint-stock company, private joint-stock company, or a branch of a foreign company. The chosen legal form must be in harmony with the selected economic activity.
Reserving and Registering Your Trade Name
The trade name plays a pivotal role in distinguishing your business from others and preventing customer confusion. It’s essential for the trade name to be closely related to the type of license and clearly indicative of the same. The registration of a trade name can be initiated through the Department of Economic Development in each Emirate, their official websites, or smart applications. The criteria for trade name selection encompass several factors:
- The trade name should be accompanied by an abbreviation of the legal form (e.g., LLC).
- It should not contain inappropriate language and must be in compliance with public sensibilities.
- The trade name must be inherently linked to the economic activity conducted.
- It should not include the names of Almighty Allah, government authorities, or the names and logos of third parties¹.
Applying for Economic License Issuance
Once you have identified your business activity, the applicable legal form, and successfully reserved your trade name, the next step involves applying for an economic license. Dubai Economy & Tourism provides a streamlined process for this purpose, and you can apply for an economic license online through the DED website. To initiate the online application, log in using your credentials and select “Apply for License” under “My Transactions” on the Business Dashboard page. Within the “License application information” section, input all the necessary details concerning your business activity and its legal form.
It’s imperative to bear in mind that the issuance of an economic license entails a fee, which varies based on factors such as the type of business activity and the chosen legal form.
Choose Al Tawakkal Consultancy for Expert Guidance
Navigating the intricacies of acquiring an economic license is a crucial step in establishing your business in the UAE. Al Tawakkal Consultancy understands the significance of a streamlined and hassle-free process. Our professional team possesses a deep understanding of the UAE’s regulatory framework and is dedicated to providing expert guidance and support throughout the license acquisition process.
We offer a seamless experience, reducing complexities and ensuring efficient license issuance. Our commitment to excellence and in-depth knowledge of the legal landscape enables us to simplify this journey for you. With our support, you can confidently apply for your economic license, knowing that you are in full compliance with UAE regulations.
In the UAE, a Normal License is a fundamental requirement for businesses. It grants legal permission to operate within the country and is categorized based on the nature of the business, including commercial, industrial, and professional activities. Obtaining a Normal License involves adhering to specific regulations, obtaining permits, and ensuring compliance with local laws. Whether you're a startup or a large corporation, this license is essential for establishing and conducting business operations in the UAE.
In the UAE, the concept of an "Instant License" is an innovative and time-saving approach to obtaining business licenses. Designed to streamline the licensing process, an Instant License is particularly attractive to entrepreneurs and small businesses seeking a swift start. This type of license allows eligible businesses to receive their licenses quickly, often within a matter of minutes, thanks to simplified procedures and digital platforms. While not all business activities qualify for an Instant License, it represents a significant step in facilitating business setup and supporting economic growth in the UAE. By opting for an Instant License, businesses can expedite their entry into the local market, reducing the traditional bureaucratic hurdles associated with licensing procedures.