FAQs abut Registratin & Licensing in Dubai Trade Names 1. Is it required t register a trade name in rder t apply fr an initial apprval? N, a trade name may be bked fr ne year renewable perid, against payment f due fees. 2. Hw lng can a trade name be maintained? It can be maintained fr a perid f ne year, which is renewable. 3. In the case where there is a trade name registered in anther Emirate, is it pssible t maintain r use the same name in the Emirate f Dubai? If the trade name is nt registered with the Ministry f Ecnmy and Cmmerce, it can be used in the Emirate f Dubai. 4. Can a trade name be maintained after a license's cancellatin? Yes, but that shall be against payment f a Dhs. 200 (tw hundred Dirhams) fee t keep the name fr ne year. Licensing & Registratin Issuing 1. It is pssible t establish a limited liability cmpany fr several prfessinal activities? N, limited liability cmpanies are restricted t trading and industrial activities, and civil business cmpanies are established fr practicing prfessinal activities. 2. What are the requirements fr issuing a trade license? Prir t perating any business in Dubai, the steps utlines belw must be taken in rder t meet the legal requirements f all cncerned gvernment authrities and t guarantee maximum cmmercial benefit fr the business wner: Determine the categry/categries (cmmercial, industrial and/r prfessinal) and type f business activity/activities t be practiced. Determine all the related business activities that can be included within each business license, subject t a maximum f ten activities per license. Determine yur business' apprpriate legal frm taking int cnsideratin the desired business activity/activities and the number and natinalities f the business' wners. Determine all the requirements and cnditins f the desired license. Determine the business' trade name. Publicatin f Gvernment f Dubai, Department f Ecnmic Develpment 1
Submit an applicatin t the Department fr an initial apprval either by persnal visit t the Department's ffices r thrugh the Internet, a dcument clearing service r legal cnsultant's ffice. Register a trade name after btaining an initial apprval either by persnal visit t the Department's ffice r thrugh the Internet, a dcument clearing service r legal cnsultant's ffice. (If yu have previusly reserved a trade apprval by use f the recrd number). Lease a business premises (it is recmmended that yu cntact the cunter f the Planning Department f Dubai Municipality n Telephne Number 2020105 r n Dubai Municipality's Telephne Number 2063788, befre leasing a premises in rder t verify that is suitable fr the business). Thereafter yu can visit the said Department's cunter n the building's grund flr fr apprval f the premises. Prepare all required dcuments such as memranda f assciatin and apprvals f ther relevant gvernment authrities, which are necessary in each case. Fr example t carry n media activities, an apprval issued by the Ministry f Infrmatin and Culture is required. Such dcuments can be mailed, if yu have paid the required fees directly thrugh the "Internet". Submit an applicatin t the Department t btain a final license. Pay the required fees and cllect yur license. 3. What are the requirements fr issuing a trade license via the website? T issue a trade license via the website, the same requirements fr issuing a nrmal trade license is used. 4. What are the licenses, which require a lcal services agent? All licenses f prfessinal activities, whether fr sle establishments r cmpanies which are nt wned r subscribed t by a United Arab Emirates natinal, require a lcal services agent except the activities mentined in questin N.14. 5. Fr hw lng will an initial apprval be valid? An initial apprval will be valid fr a perid f 6 mnths frm the date f issuance, and it can be renewed ten days prir t the date f expiry. 6. Is it pssible t amend the type f activity r trade name in an initial apprval? Yes, this can be dne against payment f apprval fees again. 7. In case f btaining an external apprval required fr any suspended activity, is it pssible t btain the Department's apprval fr issuing a license fr such activity? Yes, apprval fr the license can be granted. 8. What are the requirements f a bank's certificate invlving depsiting f a capital? Publicatin f Gvernment f Dubai, Department f Ecnmic Develpment 2
A certificate is required t be issued n a bank's fficial letterhead by ne f the banks perating in the Emirate, in the name f the establishment r cmpany which is in the prcess f being established. 9. What are the requirements f appinting an auditr fr a limited liability cmpany? An auditr shall be a hlder f a valid license in the Emirate f Dubai, and a valid certificate issued by the Ministry f Ecnmy & Cmmerce. 10. After btaining an initial apprval, d I have the right t prceed in the activity? N, the purpse f such an apprval is t ensure that the Department des nt bject t the carrying n f the activity, and t permit cmpletin f ther dcuments required fr issuing a final license. 11. Can my minr sn, wh is under 21 years f age, becme my partner in a limited liability cmpany? Yes. 12. Is it required t lease a premise t perate an activity, r is it pssible t carry n such activity frm a living accmmdatin? Are there any specific requirements r cnditins gverning the premises such as space r lcatin? Yes, leasing an ffice/shp is ne f the mst imprtant requirements fr btaining a license fr any activity. There are sme special cnditins gverning the space. Fr sme activities, such as a supermarket r department stre. A lcatin shuld be suitable fr an activity, and this can be arranged in c-rdinatin with the Planning Department f Dubai Municipality. 13. What are the duties and bligatins f a lcal services agent f a prfessinal license, r a lcal spnsr f a freign cmpany's branch? An agent's duties and bligatins twards the ther party are limited t facilitating the practice f an activity in the Emirate, such as assisting in btaining and renewing f a license, and btaining and renewing f necessary wrk permits issued by the Ministry f Labur and Scial Affairs, and ther gvernment authrities. 14. What are the prfessinal licenses which d nt require a lcal services agent r lcal spnsr in respect f licenses held by individuals wh / cmpanies which are nt frm Gulf Cperatin Cuncil Cuntries (GCCC)? Engineering cnsultancy Legal cnsultancy Bank representatin ffice 15. As a physician wh is nt a GCCC natinal, d I have the right t apply fr a license fr a sle establishment t perate as a "clinic", and t appint a lcal services agent, r t establish a civil business cmpany in partnership with a United Arab Emirates natinal? Only a GCCC natinal can btain a license fr a sle establishment t perate as a clinic, and nly a GCCC natinal can establish a civil business cmpany t perate such an activity. As a physician f anther natinality, yur legal status in the license shall nly be as a physician in charge. 16. Can a Jebel Ali free zne establishment pen a branch in the Emirate f Dubai? Publicatin f Gvernment f Dubai, Department f Ecnmic Develpment 3
A free zne establishment can nly pen a representatin ffice in the Emirate. Functins f such an ffice shall be restricted t prmting a cmpany's prducts, services r business, r t facilitating trading cntracts between a cmpany and its clients. Such an ffice shall nt be allwed t perate any cmmercial business r t cnclude any cmmercial deals by itself. 17. Can a freign cmpany's branch existing in Jebel Ali Free Zne pen a branch in the Emirate f Dubai? A branch existing in the Free Zne can nly btain a license fr a representatin ffice in the Emirate f Dubai. In rder t pen a new branch it is required that the main cmpany in the cuntry f rigin submits an applicatin fr a license. Hence a new branch shall directly belng t the main cmpany and nt t the branch existing in the Free Zne. 18. What is the minimum number f partners in a private sharehlding cmpany? Pursuant t Article (215) f the Federal Law N. 8 f 1984, funders f a private sharehlding cmpany shall nt be less than three persns. 19. What is the maximum number f activities which can be included in ne single license? A license can include a maximum number f ten activities, prvided hwever that they are all hmgenus. Fr example: trading in readymade garments, ftwear, children's tys, csmetics and imitatin jewellery, etc. 20. What is the minimum capital required fr establishing a limited liability cmpany, and hw can the existence f the required capital be evidenced? Amng the main requirements fr establishing a limited liability cmpany is t submit a certificate issued by ne f the banks perating in the Emirate evidencing the depsit f the capital specified fr the activity wished t be perated. The minimum capital required Dhs. 300,000 (three hundred Thusand) 21. What is the minimum capital required fr establishing an individual establishment? Mst activities d nt require a minimum amunt f a capital, a certificate issued by ne f the banks perating in Emirate shall be submitted evidencing depsit f required capital. 22. Is it required t be a resident f the United Arab Emirates in case f being an wner f a sle establishment r a partner in a license? An wner f a trading individual establishment, wh is GCCC natinal, r a partner in a cmmercial cmpany, wh hlds any ther natinality, shall nt be required t be a resident f the United Arab Emirates. Hwever an wner f a prfessinal sle establishment shall be required t carry n the activity in persn, and this can nly be achieved by residing in the United Arab Emirates. 23. What are the requirements fr pening a branch f a limited liability cmpany existing in anther emirate with a capital f Dhs. 150,000 (ne hundred & fifty thusand Dirhams). A cmpany shall first increase its capital f its main ffice in rder t cnfrm at least t the minimum capital required in the Emirate f Dubai (please vide Questin N. 20 abve). It shall submit a cpy f the Cmmercial Register as prf, as well as submit the fllwing dcuments: - bard f directrs decisin f pening a branch and authrizing a manager-in- charge. Publicatin f Gvernment f Dubai, Department f Ecnmic Develpment 4
- A cpy f the main cmpany's license. - Cpies f all partners' passprts, and f natinal registratin cards f partners wh are United Arab Emirates natinals. - Apprval by the respective gvernment authrities cncerning the required activities. - A cpy f a lease f premises at which the activity will be perated. 24. Is it pssible t pen a branch fr an establishment existing in anther Emirate? A branch cannt be pen fr an establishment, but nly fr ther cmmercial cmpanies. 25. Can a nn-uae natinal btain a license withut a partner r lcal services agent wh is a UAE natinal? N, all trade licenses require a UAE natinal partner whse sharehlding shall nt be less than 51% f the cmpany's capital. Hwever, in the case f prfessinal licenses a UAE natinal can either be a partner r a lcal service agent. 26. Hw many licenses can be issued fr the same premises? Mre than ne license can be issued fr the same premises, prvided that the requirements f the Department's cmmercial Inspectin Sectin and f Dubai Municipality's Planning Department are fulfilled. Publicatin f Gvernment f Dubai, Department f Ecnmic Develpment 5
Licensing Prcessing Fees N Descriptin Fees (AED) 1 Issuance 1-1 DED Initial apprval 100 Bking a trade name 200 Prfessinal / trade / Industrial license registratin 500 Representative ffice license registratin 5,000 Service Agent 700 1-2 Dubai Municipality A Market fees Cmmercial + prfessinal + industrial licenses 5% f the rent Banks 15% f the rent Private Prperty As per Cmmittee Decisin Accmmdatin fees (nn UAE natinals) 5% f the rent Waste fees As per the Activity B Service Imprvement fees: Lcal nly 100 Lcal + partner (prfessinal + industrial) 300 Lcal + Partner (cmmercial) 500 Banks + htels + furnishes apartments 1,000 C Lcal fees: Lcal nly 100 Lcal + partner (prfessinal + industrial) 150 Lcal + Partner (cmmercial) 200 Banks + htels + furnishes apartments 200 1-3 Ministry f Ecnmy & Cmmerce Limited Liability Cmpanies 3,000 Partnership 3,000 1 Issuance 1-1 DED Initial apprval 100 Bking a trade name 200 Prfessinal / trade / Industrial license registratin 500 Representative ffice license registratin 5,000 Service Agent 700 1-2 Dubai Municipality A Market fees Cmmercial + prfessinal + industrial licenses 5% f the rent The ttal and the final cst will be determined at the time f submitting/filling the registratin applicatin and the supprted dcuments. Publicatin f Gvernment f Dubai, Department f Ecnmic Develpment 6