Dubai is a booming business hub, with many entrepreneurs and investors seeking to start their ventures in the city. One of the essential requirements for starting a business in Dubai is obtaining a General Trading License. In this blog, we will discuss a General Trading License and how to get the cheapest General Trading License in UAE.
What is general trading license in Dubai? A General Trading License is a legal permit that allows a business to trade in multiple activities under one licence. A general trading licence’s permitted activities can vary but generally include import, export, and trading of goods, commodities, and services. The licence also enables the company to carry out activities related to e-commerce, consultancy, and other allied services.
In Dubai, obtaining a general trading licence is crucial for businesses that wish to operate in the mainland of Dubai or engage in international trade. The General Trading License is issued by the Department of Economic Development (DED), the governing body that regulates business activities in Dubai.
When obtaining a General Trading License in Dubai, the cost can be a significant barrier for entrepreneurs and investors. However, there are ways to get the cheapest General Trading License in the UAE.
One option is to apply for a General Trading License in one of the free zones in the UAE. Free zones are designated areas where foreign investors can set up their businesses with 100% ownership, zero taxes, and customs duties. The free zones also provide various services, including office space, warehousing facilities, and logistical support. Free zones in Dubai, such as Dubai South, Dubai Multi Commodities Centre (DMCC), and Jebel Ali Free Zone (JAFZA), offer some of the cheapest General Trading Licences in the UAE. The cost of a General Trading License in these free zones can range from AED 15,000 to AED 25,000 annually, depending on the zone and the nature of the business.
Another option to get a cheap General Trading License in the UAE is a virtual business licence. A virtual business licence allows businesses to operate without a physical office space, making it a cost-effective option for startups and small businesses. Companies with a virtual business licence can conduct their business activities online, and the licence can be obtained for as low as AED 2,000 annually.
In conclusion, a General Trading License is a crucial requirement for businesses that wish to operate in Dubai or engage in international trade. While the cost of obtaining a General Trading License can be a significant barrier, there are ways to get the cheapest General Trading License in UAE. Applying for a General Trading License in a free zone or a virtual business licence can be cost-effective for entrepreneurs and investors. It is advisable to seek professional advice before applying for a General Trading License to ensure compliance with local laws and regulations.