Has your license been renewed?

Read the blog to see the penalties for expired business licenses in Dubai.

A valid license in Dubai is a free pass to run a business anywhere in the United Arab Emirates. License owners should check for license renewals as needed. If you do not renew your license on time, you will have to pay a heavy fine.

Renewal of business license in Dubai

DED and other UAE government agencies have made it mandatory for all businesses to renew their licenses well before their expiration date. Otherwise, you will be penalized. The three primary problems which can be faced due to non-renewal of licenses are:

Fine

 The Dubai  Economic Development Authority (DED) has established an online and SMS renewal system for renewing trade licenses. However, if your company does not renew your license on time, you may incur the following losses:
– a company practising without a license could be penalized with AED 5000.
–  failure to renew a license within the specified time limit could cost AED 250.

Blacklist your company

If a company continues its business without renewing its business license, it may be blacklisted. Blacklisting is the toughest disciplinary method that regulators can allow. Being blacklisted is not just limited to all types of operations. In some cases, owners, managers, shareholders and directors may even be expelled from the UAE.

But they also give you a fair opportunity to renew your license. The United Arab Emirates government has given all business owners a grace period to get things sorted in time. During this grace period, you can renew your trading license and registration in Dubai.

Expansion limits

Even small business license renewals take place every year. Occasionally, businessmen may lose track of when their license needs to be renewed. The one-month delay could be exacerbated, as these SMEs will not be allowed to grow under these circumstances in the future. The company must have a clear record of the expansion plan, or suspend or liquidate the business. So let’s say you’re a little late to renew your business license. In this case, your business activity will be suspended and your company will not be able to expand its business activity in the future.

Choose Xpert Advisory for a hassle free business in UAE

We at Xpert Advisory could make a well-timed renewal of your enterprise license conveniently by avoiding any kind of delay. Our team of experts will take care of all the renewals while you keep your focus only on growing your business.

For more information mail us at aus@xpertadvisory.com

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