{"id":1559,"date":"2019-11-30T13:37:49","date_gmt":"2019-11-30T13:37:49","guid":{"rendered":"http:\/\/emiratesbd.ae\/blog\/?p=1559"},"modified":"2019-11-30T13:37:50","modified_gmt":"2019-11-30T13:37:50","slug":"company-formation-in-dubai-business-license-types-and-activities","status":"publish","type":"post","link":"https:\/\/emiratesbd.ae\/blog\/company-formation-in-dubai-business-license-types-and-activities\/","title":{"rendered":"Company Formation in Dubai \u2013 Business License Types and Activities"},"content":{"rendered":"\n

The company formation and allied services in Dubai are gaining high traction over the years with more and more new company registrations initiated every year.<\/p>\n\n\n\n

The government of the UAE is constantly introducing entrepreneur-friendly policies like Long Term Residence Visa, reducing certain business setup fees, etc.<\/p>\n\n\n\n

UAE aims to drive its economy to greater heights by inviting more investors to the UAE market and provide world-class infrastructure for business setups.<\/p>\n\n\n\n

Free Zones, Mainland and Offshore Companies in the UAE<\/strong><\/h2>\n\n\n\n

The Free Zones, Mainland, and Offshore provide the investors with a whole lot of options to choose for the company formation in UAE.<\/p>\n\n\n\n

Based on the nature of your business, business activities selected, and the target audience. You can choose which business jurisdiction in the UAE you want to set up your dream company in.<\/p>\n\n\n\n

There are a host of business activities to choose from, whether you set up your business in any of the three business jurisdictions.<\/p>\n\n\n\n

The rationale behind choosing the right business jurisdiction mainly depends on whether you are targeting only at international markets or are you also considering UAE and the rest of GCC markets for your business.<\/p>\n\n\n\n

Also, when it comes to Mainland Company registration, there is a requirement of a local sponsor (51% of shares) and foreign individuals (49% of shares) to start the company and its business operations in the UAE.<\/p>\n\n\n\n

There are a host of benefits like operating in the local market, apply for government contracts, set up your business anywhere in the UAE, no limit on employee visa quotas, limited liability company formation, etc.<\/p>\n\n\n\n

Whereas in the case of Free Zones, you get benefits such as 100% foreign ownership, 100% profit repatriation, customs duty exemption, world-class infrastructure, easy company formation, etc.<\/p>\n\n\n\n

<\/p>\n\n\n\n

Types of Business Licenses in the UAE<\/strong><\/h2>\n\n\n\n

Choosing the right business license is of utmost importance and one of the first steps in the company formation process in the UAE. Business activities are classified into majorly four business licenses in the UAE.<\/p>\n\n\n\n

The most popular Business License types available in the UAE are the following.<\/p>\n\n\n\n

Commercial License in Dubai<\/strong><\/h4>\n\n\n\n

Commercial License in UAE is issued for companies involved in buying and selling of goods. The Commercial License in Dubai allows companies to conduct trade in the UAE or even outside of UAE.<\/p>\n\n\n\n

There are various Commercial License types in UAE for specific business activities.<\/p>\n\n\n\n

For example, if you are only focused on trading in the local market, you can apply for a general trading license in the UAE.<\/p>\n\n\n\n

 Similarly, for any sort of imports\/exports, there is an import-export license that you will have to register from the concerned Business License issuing Authority.<\/p>\n\n\n\n

For the trade of specific items like Computers, Automobiles, equipment, building materials, there are specific business license types and business activity list in the UAE.<\/p>\n\n\n\n

The investor has to choose a specific Business License in Dubai while registering the company with the respective free zones, mainland or offshore.<\/p>\n\n\n\n

Here is a list of Commercial Trade Licenses available for your specific business activities.<\/p>\n\n\n\n