Do you want to start a business in Dubai as an entrepreneur, combining your professional skills and business savvy? Acquiring a professional license in Dubai gives investors the right to operate certain professional degree services in Dubai UAE. Professional license is issued by Dubai Department of Economic Development (DED) and is meant for the operation of specific professional services in the United Arab Emirates. However, if you’re new to Dubai, you might be unaware of the Dubai professional license cost.
So, in this guide, we will show you how to apply for a professional license in Dubai, including benefits, necessary documents, business activities, and professional license fees. So, let’s discuss it in detail:
What Is a Professional License In Dubai, UAE?
To receive a UAE professional license means your business can provide professional services in Dubai. Commercial and professional licenses are different from each other. A commercial trade license supports business activity involves selling of goods, while a professional trade license in Dubai is offered to service-based business areas where the business owner’s expertise is estimated. This license type is for freelancers or corporate consultants engaged in providing consultancy, education, IT, and other professional services to any customers within the UAE.
Unlike other license types, License type B focuses on service provision instead of trading activities. However, unlimited liability is possible except when the business is registered as a Limited Liability Company (LLC). Also, a license holder company may require a local service agent if registered as a solo entrepreneur.
If you’re unsure what license you’ll need for your business in Dubai, Xpert Advisory will help you get the right professional and commercial license to operate in the UAE.
How Will A Professional Trade License In Dubai Benefit You?
The official data reports that 59 percent of new business licenses in the UAE issued in 2021 were professional and 41 percent commercial. A professional license is the best choice for businesses running professional activities in Dubai and the UAE. Let’s discuss the benefits of having a professional business license in Dubai:
- 100% business ownership
- Low operational costs
- It enables all sorts of business activities related to licenses.
- It allows you to interact with multiple clients and markets.
- A corporate bank account
- Allows applicants to apply for UAE national visas, industrial licenses, and labor quotas.
How To Obtain A Professional License In Dubai: 6 Easy Steps
Follow these steps for obtaining your professional license in Dubai quickly:
Step 1: Partner with Xpert Advisory
Xpert Advisory is the partner you need when securing your professional license in Dubai. We will handle all the activities related to your professional license and trade name registration applications. From the first step of business setup in Dubai to the day you can start trading, we’ll guide you through every part of the process.
Step 2: Selecting Business Activities in Dubai
Selecting business activities is required to get your professional license. Perhaps you can only do the work included in your local service agreement form, and if you don’t provide all your business activities on the license application, you may be fined.
You have a choice of over 2,000 business activities, and it’s recommended that you go with a business setup expert like Xpert Advisory so that your business activities and the license application will work together.
Step 3: Selecting Legal Business Setup Structure
You have several different legal structures from which to choose for your professional business in Dubai. It includes Sole Proprietorships and Limited Liability Company (LLC) forms.
Step 4: Reserving A Business Name
In the UAE, all businesses need to acquire a business name with the Registry Office for getting a license. There are strict rules from the government concerning this. You may incorporate your name into the company’s trade name but only use your full name (and not your surname or initials by themselves).
Moreover, you must reserve a business name that should not contain any words you consider offensive or profane or that refer to Allah or Islam. To reserve a trade name, you need to submit three names in order of preference, and then the Registry Office will check that the names are available and compliant before issuing you a reserved trade name certificate.
Step 5: Initial Approval Application
Applying for initial approval from the DED is the last step before you can file a professional license application. Initial approval revolves around the DED having no objections to your business, and it is considered fit according to factors that relate to other government departments and agencies. However, it does not authorize the trading to start.
Step 6: Filling Out the Forms to Get a Professional License
After submitting necessary documents to the DED for approval, you can file your professional license application to the DED with all accompanying certifications required to get a professional license. After the government has issued your professional license, you will have to pay for the professional license. Then, you can start to trade your services!
Cost of a Professional License In Dubai
Dubai professional license cost has a lot of variations. The following are the key factors involved in the cost of a professional license:
- DED Professional License in Dubai Approval Fee: AED 1,000* – AED 3,000*
- Trade Name Reservation Fee: It costs AED 620* (with foreign name fees applicable)
- Drafting and Notarizing MOA: AED 2,000* – AED 4,000*
- License Issuance Fee: AED 10,000* – AED 15,000*
- Office Space Lease: Anywhere from AED 20,000* – AED 50,000* (depending on location and size).
- Visa Fees: From AED 3,000* – AED 5,000* per visa.
The cost of obtaining a professional license in Dubai can go up to AED 35,000* – AED 80,000*.
Documents Required to Get Your Professional License In the UAE
Getting a professional license in Dubai demands that you provide particular papers to the correct gatekeepers to guarantee that all legal and administrative necessities are met. The list of documents most commonly required by the authorities to set up a business includes the following:
- Copies of the Passport of the Shareholders and Directors of the company
- License Application form completed
- Initial approval certificate
- Business name reservation certificate.
- Memorandum/ Article of Association (MOA).
- Education background, professional qualification, etc.
- Industry authority approvals
Final Words
Obtaining a professional license in Dubai is essential for companies that provide service-based businesses in the UAE. Despite its challenges, a professional license allows 100% ownership, low cost, and access to a wide range of business activities. If you are a freelancer, consultant, or professional service provider, this license lets you open your doors to unlimited opportunities across Dubai’s expanding market.
So, if you’re looking for the Dubai professional license cost that fits you the most, Xpert Advisory can guide you in finding the most optimal setup for you while you avoid the hassle! Contact us today and let us complete the judicial formalities so you can focus on running your business!
FAQs
What Is The Cost Of A Business License In Dubai?
The cost of a small business license in Dubai can range anywhere between AED 8,000* to AED 30,000*, depending on the jurisdiction, nature of your business, different types of licenses they obtain, visa requirements, and whether the place from where they work has had to be rented.
What Are The Cheapest Commercial Trade License Zones In The UAE?
Dubai South, Meydan Free Zone and International Free Zone Authority (IFZA) under DSO are Dubai’s least expensive free trade zones. Moreover, the cheapest options for free zones in the Emirate of Sharjah are the Sharjah Publishing City Free Zone (SPCFZ) and Sharjah Media City (Shams) Free Zone.
How Much Is LLC In Dubai?
LLC registration in Dubai will cost you between AED 20,000* and AED 30,000*. The fees, however, depend on the industry type and the services. The investor visa cost is AED 4,000 to AED 5,500. The fee is between AED 5,000 to AED 7,000, depending on the type of employee you hire
