What can you do with a commercial license?
A commercial license lets a business buy and sell goods and services. The Dubai Department of Economy and Tourism (DET) describes it as covering trading activities such as general trading, import and export, wholesale and retail.
Invest in Dubai adds logistics, software trading, construction and real estate to the examples. Sharjah's Economic Development Department defines the commercial license as a license for buying, selling, distributing, importing and exporting.
The UAE Government portal notes that foreign trade requires compliance with local laws and customs procedures.
How does the commercial license differ by emirate?
Each emirate's authority describes the commercial license in its own words and publishes different information about it. The table sets out what each one says.
In Abu Dhabi, the fee lines TAMM lists for the commercial economic license include an organisational entities fee of AED 790, Ministry of Economy fees of AED 2,500, social contributions of AED 1,500, an establishment card request of AED 315 and Abu Dhabi Chamber fees of AED 150 to AED 2,200. TAMM describes the total cost as varying as incurred.
The commercial license in Dubai, Abu Dhabi, Sharjah and Ajman| Emirate | Issued by | How the authority describes it | What it publishes |
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| Dubai | Department of Economy and Tourism (DET) | Trading activities such as general trading, import and export, wholesale and retail | No fixed fee. Fees vary with the license type and activities |
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| Abu Dhabi | Department of Economic Development, through TAMM | One commercial economic license service, which also covers tourism, agricultural, artisanal and professional activities | Fees line by line, and a service time of 5 working days. Requires an MOA and an approved lease contract |
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| Sharjah | Sharjah Economic Development Department (SEDD) | Buying, selling, distributing, importing and exporting | A commercial sole proprietorship may be owned by UAE or GCC nationals only |
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| Ajman | Department of Economic Development, Ajman | The pages we checked describe one license issuance service | The license is issued with Chamber of Commerce membership and a commercial signboard permit |
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Good to knowFive working days is the time TAMM shows for that service. It is not the time the whole setup takes.
Can a foreigner own 100% of a trading company on the mainland?
Invest in Dubai states that foreign investors can hold 100% of a mainland company in more than 1,000 commercial and industrial activities. That figure is for Dubai.
In Dubai, the usual vehicle for a commercial license is a limited liability company. A Dubai LLC can be owned by any individual or company regardless of nationality, including a single owner.
Commercial agencies are an exception. They are on the list of activities not permitted for 100% foreign ownership, both in Dubai and on the UAE Government portal. Invest in Dubai says that to run a restricted activity you need to work with a local partner.
In Sharjah the legal form matters. A commercial sole proprietorship may be owned by UAE or GCC nationals only, so a foreign founder would use an LLC or a service agent structure.
Is Chamber of Commerce membership part of a commercial license?
In the three emirates below, Chamber membership appears in the license or in its fee lines.
- Dubai: the Instant License includes Dubai Chamber membership for commercial activities.
- Abu Dhabi: TAMM lists Abu Dhabi Chamber fees of AED 150 to AED 2,200, by category, among the fee lines for the commercial economic license.
- Ajman: the license is issued together with Chamber of Commerce membership and a commercial signboard permit.
Good to knowThe official pages we checked do not state in terms whether membership is compulsory for every commercial license. We confirm the position for your activity with the authority before you apply.
Can you sell across the UAE with a mainland commercial license?
Invest in Dubai states that a mainland company can trade with individuals and businesses in Dubai, across the UAE and internationally.
A free zone company cannot trade within the UAE without a specific mainland license.
Do you need to register for VAT as soon as you get a commercial license?
According to Invest in Dubai, VAT registration becomes mandatory once taxable supplies and imports exceed AED 375,000 a year, and all mainland companies are subject to the UAE VAT regime, at 5%.
Invest in Dubai states that voluntary registration is possible above AED 187,500.
Corporate tax is separate. DET reminds new license holders to register for corporate tax within three months of obtaining the trade license.
Good to knowThis page states what the official sources say. It is not tax or legal advice.
Are permits for promotions and events part of the license in Dubai?
DET treats them separately. Commercial permits for promotions, sales, events or advertising are a separate DET service for existing businesses.
We prepare and submit the application for the license. The cost of any separate permit is confirmed with you in writing before you commit.