8 June, 2024

How to Start a General Trading Company in Dubai, UAE

start general trading company in dubai

Dubai continues to solidify its position as a top global business hub, showing substantial expansion in sectors such as commerce, banking, and transportation. Establishing a trading company in Dubai, it provides a profitable investment opportunity, taking advantage of the city’s strategic location and robust economic structure.

General Trading Company in Dubai

If you are thinking about establishing a general trading firm in Dubai, we have simplified the procedure for you. Utilize our comprehensive instructions to obtain a general trading license in Dubai and take advantage of the prosperous business climate.

Benefits of Starting a Business in Dubai

The government of Dubai is dedicated to promoting development in all areas, providing appealing options for international investors. The city’s position as a hub for global trade attracts both experienced investors and aspiring entrepreneurs due to its advantageous location.

Understanding the DED General Trading License

The general trading license, also referred to as the mainland trade license, is provided by the Dubai Department of Economic Development (DED). This license enables you to engage in trading activities throughout the UAE mainland, providing greater flexibility than free zone licenses restricted to certain areas.

how to start general trading company in dubai

Steps to Start a General Trading Company in Dubai

Setting up a general trading company in Dubai is easy with the assistance of a local expert in company formation. These are the five crucial steps:

Step 1: Determine Business Activities

  • Determine the products you intend to sell and make sure they are in line with your company’s goals.

Step 2: Choose a Company Name

  • Choose a name that follows the naming guidelines of the region and steers clear of any derogatory or popular terms.

Step 3: License Application

  • Submit required paperwork, including incorporation articles and shareholder passport copies. One can acquire the general trading license online within around half an hour.

Step 4: Visa Application

  • Apply the necessary visas, such as residency visas, for both you, your employees, and household workers. The process involves getting an entry permit, changing status, completing medical and fitness evaluations, applying for an Emirates ID, and stamping the visa.

Step 5: Bank Account Opening

  • Choose an appropriate local or international bank for setting up a corporate bank account. Comprehend the needs of various financial establishments, which might involve obtaining a business license in the UAE and residency visas for shareholders. Minimum balance criteria vary from AED 10,000 to AED 150,000. Accounts are usually set up in a period of two to four weeks after a successful application.

Costs Involved in Setting Up a General Trading Company in Dubai

Obtaining a general trading license in Dubai typically costs between AED 15,000 to AED 50,000 or higher, depending on factors such as business location, warehouse size, office space, additional approvals, business jurisdiction, and visa applications.

Required Documents for Starting a General Trading Business in Dubai

In order to start a general trading business in Dubai, you usually require:

  • An application for a license signed by all stakeholders and legal representatives.
  • Passport-sized pictures for each of the business partners.
  • Passport copies required for each business partner.
  • Visa copies needed for every business partner.

Detailed Steps to Set Up a General Trading Company in Dubai

  1. Choose Your Business Activities: Decide on the products or services your trading company will offer. 
  2. Pick a Company Name: Select a unique and appropriate name for your company. 
  3. Apply for a License: Submit your license application to the relevant government authorities. 
  4. Obtain Visas: Arrange work visas if you plan to hire foreign employees. 
  5. Open a Bank Account: Set up a business bank account to manage your finances.

Additional Insights

Cheapest General Trading License in the UAEThe SPC Free Zone provides a budget-friendly choice with a general trading license available for approximately AED 6,500.

General Trading Company in Dubai A Dubai-based trading company is involved in importing, exporting, and trading various goods such as furniture, electronics, clothing, toys, and industrial equipment. This adaptability enables businesses to prosper in the dynamic import-export industry.

Online Sales with a General Trading License A general trading license allows you to engage in both online and offline sales, taking advantage of the increase in e-commerce fueled by current developments. Under this license, you have the option to bring in goods for selling locally as well.

Operation of General Trading Companies General trading firms operate across various industries, prioritizing business investments rather than specific trades, in contrast to specialized trading companies that concentrate on a specific sector.

Start Your General Trading Company with Expert Assistance

Now is the ideal moment to launch your general trading business in Dubai once you have a solid grasp of the necessary steps and documentation needed. The favorable government policies and efficient procedures create the perfect setting for profitable business opportunities.

To receive more help, think about teaming up with a reliable consultancy specialized in business setup, such as Company Setup Consultants. Our knowledgeable consultants focus on setting up businesses in Dubai and can offer the support and knowledge necessary for a successful and easy setup procedure.