Opening a business

Once the preliminary details of your future business are ironed out and your funding and initial investment capital is in order, you can begin the formal process of obtaining a trade licence through the Department of Economic Development. Regardless of what business structure you’ve decided on, if you’re an expatriate you are likely need to appoint a local service agent, also known as a sponsor.

Since non-GCC nationals are not permitted to be majority share holders outside of free zones in the UAE, a system of shared ownership has been developed in which UAE nationals formally own 51% of the company and the foreign proprietor owns the remaining 49%; details of profit and loss distribution are then agreed upon in a separate contract. Local sponsors can be individuals or locally-owned businesses. For the most part, a local sponsor will not have any responsibility towards the business but is obliged to assist with all government related procedures such as obtaining permits, trade licences, visas and labour cards. His/her signature will be required on most official forms.

Depending on the legal structure of the business, the Department of Economic Development has certain capital requirements for obtaining a trade licence. Those requirements are detailed in the DED’s official explanation of legal business structures on its website.


Also keep in mind that certain businesses require separate approvals from varying government ministries before the trade application can be completed. When applying for a trade name, be sure to enquire about any external approvals that will be needed for the proposed business activity. Do note that 'Virtual offices' are not allowed by DED which has advised potential investors that any commercial enterprise in Dubai must have a
physical address and an actual office.

It is important to do as much preliminary research as possible before applying for your trade licence. This means attending trade shows and exhibitions, networking through Dubai’s various business councils and even meeting with a consultancy firm that specialises in the business set up process.
 

 

Published Date : 20/02/2013Back
RELATED GOVERNMENT ENTITIES
Department of Economic Development
Dubai Chamber of Commerce and Industry
Dubai Real Estate Regulatory Agency
Dubai Courts
Dubai Airport Free Zone
Dubai Healthcare City
Dubai International Financial Centre
Dubai Internet City
Dubai Media City
Dubai Multi Commodities Centre

RELATED PRIVATE LINKS
Dubai International Capital
AMEinfo
Dubai Explorer
Gulf News

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Life Events Top Category

Businesses

Individual Life Events

Starting a business in Dubai

Sublife Event Title

Opening a business

Life Events Supporting Partners

Dubai Chamber

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Published Date

07/06/2011

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06/06/2017

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Body

Once the preliminary details of your future business are ironed out and your funding and initial investment capital is in order, you can begin the formal process of obtaining a trade licence through the Department of Economic Development. Regardless of what business structure you’ve decided on, if you’re an expatriate you are likely need to appoint a local service agent, also known as a sponsor.

Since non-GCC nationals are not permitted to be majority share holders outside of free zones in the UAE, a system of shared ownership has been developed in which UAE nationals formally own 51% of the company and the foreign proprietor owns the remaining 49%; details of profit and loss distribution are then agreed upon in a separate contract. Local sponsors can be individuals or locally-owned businesses. For the most part, a local sponsor will not have any responsibility towards the business but is obliged to assist with all government related procedures such as obtaining permits, trade licences, visas and labour cards. His/her signature will be required on most official forms.

Depending on the legal structure of the business, the Department of Economic Development has certain capital requirements for obtaining a trade licence. Those requirements are detailed in the DED’s official explanation of legal business structures on its website.


Also keep in mind that certain businesses require separate approvals from varying government ministries before the trade application can be completed. When applying for a trade name, be sure to enquire about any external approvals that will be needed for the proposed business activity. Do note that 'Virtual offices' are not allowed by DED which has advised potential investors that any commercial enterprise in Dubai must have a
physical address and an actual office.

It is important to do as much preliminary research as possible before applying for your trade licence. This means attending trade shows and exhibitions, networking through Dubai’s various business councils and even meeting with a consultancy firm that specialises in the business set up process.
 

 

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Related Government Entity

Department of Economic Development; Dubai Chamber of Commerce and Industry; Dubai Real Estate Regulatory Agency; Dubai Courts; Dubai Airport Free Zone; Dubai Healthcare City; Dubai International Financial Centre; Dubai Internet City; Dubai Media City; Dubai Multi Commodities Centre; Dubai Silicon Oasis; Dubai Studio City; DuBiotech; Gold & Diamond Park; International Media Production Zone; Jebel Ali Free Zone; Dubai Knowledge Village; Dubai International Convention and Exhibition Centre

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Dubai International Capital; AMEinfo; Dubai Explorer; Gulf News

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AlertUpdateDate

20/02/2013

AlertNewDate

07/06/2011

TopCategory:TopCategoryArabic

لقطاع الأعمال

TopCategory:TopCategoryEnglish

Businesses

ArticleCategory:CategoryArabic

مستثمر جديد في دبي

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Starting a business in Dubai

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دائرة التنمية الاقتصادية; غرفة دبي; مؤسسة التنظيم العقاري بدبي; محاكم دبي; المنطقة الحرة بمطار دبي; مدينة الرعاية الصحية بدبي ; مركز دبي المالي العالمي; مدينة الإنترنت بدبي; مدينة دبي للإعلام; مركز دبي للسلع المتعددة; واحة دبي للسيليكون; مدينة دبي للاستديوهات; دبيوتك; مجمع الذهب والألماس; المنطقة العالمية للإنتاج الإعلامي; المنطقة الحرة بجبل علي; قرية المعرفة بدبي; مركز دبي الدولي للمؤتمرات والمعارض

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Dubai International Capital; AMEinfo; Dubai Explorer; Gulf News

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ModificationDt

20/02/2013

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Created at 07/06/2011 10:29 by Ali Developer
Last modified at 20/02/2013 09:25 by Atef AlRifai