How to Renew Trade License in Dubai

How to Renew Trade License in Dubai

Every business that is established in Dubai is required a trade license. Trade license expires after a certain period which has to be renewed annually. Without trade license business owners cannot able to continue doing their business. So they have to renew it as early as possible. It’s better to understand the different types of trade licenses available in Dubai.
Commercial License: This is for companies engaged in trading activities, including buying and selling goods.
Industrial License: This is for companies involved in industrial or manufacturing activities.
Professional License: This is for service providers, professionals, artisans, and craftsmen.
Tourism License: This is for companies involved in tourism-related activities, such as travel agencies, tour operators, and hotels.
Freelance Permit: this permit for individuals who wish to conduct business as a sole practitioner or freelancer.
E-commerce License: E-commerce License allows the businesses engaged in online trading activities.


Process to Renew a Trade License in Dubai

Have a Valid Tenancy Contract

If you want to renewal of the license then you must have a registration certificate from Ejari that confirms your tenancy contract. It will be fines Failure to possess a valid Ejari certificate.
Validity of tenancy contract at least more than one month is eligible for trade license renewal. Your contract is to be verified and approved by Ejari.

Documents Required for Trade License Renewal in Dubai

If you want to renew your trade license in Dubai then you need to prepare the necessary documents:
If you want to renewal of the license then you must have a registration certificate from Ejari that confirms your tenancy contract. It will be fines Failure to possess a valid Ejari certificate.
Include a copy of the old trade license when applying for renewal. 
BR/1 form is the license renewal form, fill this  BR/1 form and signed by all existing partners.  
Attach all other required documents to this BR/1 form before submission.
Provide all partners’ photocopies of the passports that involved in your business. Submit a photocopy of your own passport if you are the sole proprietor.
Once you submit these documents and renewal form to the Department of Economic Development (DED). The renewal process can be completed in both way online and offline, depending on your preference. 


Make the Payment

The DED will provide you with a payment voucher if your application is verified. The amount in voucher is paid for the renewal fees. Once the payment is successfully done, the finalized registration process and your trade license will be renewed. Alternatively, you can also apply for the trade license renewal through DED mobile app. This is easy way to complete the renewal process.

What Happens if Trade License in Dubai Expires?

It will be fines if trade license in Dubai expires, you could be fined round about AED 5000An. You do have a 30-day grace period after your trade license expires to get it renewed. You will be charged AED 250 If you don’t renew or cancel your license within that. 
You will get blacklisted if your license expires and you continue to do business in the country. This is the most severe form of punishment you faced such as:

  • Your company won’t be allowed to participate in business proceedings.
  • Your visa could be canceled and you could be banned from travelling.
  • Your sponsors may choose to pull out because being blacklisted looks bad for your company.
  • May be deported owner, managers, shareholders and directors of company from the Dubai.

Conclusion - avoid letting your license expire at all costs.


Cost to renew a trade license in Dubai

The standard fee for trade license renewal in Dubai is anywhere between AED 9,000 to AED 16,000 and it depends on the jurisdiction and economic zone. You can avail the trade license renewal Dubai discount for accommodation fees if you have a residential Ejari and you can also get sizable discounts on the overall Chamber of Commerce fees.

Process to Renew Trade License in Dubai Free Zone

The same process to renew Trade License whether it is for a company in the Mainland or in a Free Zone. If you’re renewing a license in a Free Zone, go to Free Zone where your business is located.
These documents are required in your Free Zone needs them during your renewal:

  • No Objection Certificate (if applicable)
  • Need of the Certificate of Continuity of Existence, Good Standing, or Current Trade License.