Trade License in Abu Dhabi: Procedure, Types & Benefits

In this article, we have discussed about what is the procedure to get a trade license in Abu Dhabi. Read the complete article to know more about types, benefits, documentation, renewal

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trade license in abu dhabi

What is the Abu Dhabi Trade License?

In Abu Dhabi, a business trade license is a document that permits individuals or companies to carry out commercial operations within the emirate. It is required for conducting business in Abu Dhabi and is given by the Department of Economic Development (DED). 

The type of license is determined by the nature of the firm, such as general trading, industrial, service, or e-commerce.

Types of Trade License in Abu Dhabi

The different types of trade licenses in Abu Dhabi are mentioned below:

Procedure to get a Trade License in Abu Dhabi

The list of procedures to get a trade license in Abu Dhabi are:

  • The business owner must select the sort of license for which he wants to apply.
  • The owner of the business must then decide on an appropriate business structure, such as a corporation, LLC, or sole proprietorship.
  • The business owner must select an appropriate trade name for the company while adhering to the UAE government’s guidelines on authorized names.
  • An application must be filed to the DED for initial approval.
  • Memorandum of Association (MOA) must be signed by the business owner.
  • Following initial approval, the trade name must be registered.
  • All paperwork, including the Memorandum of Association and application form, must be prepared by the applicant and submitted to the DED for final approval.
  • Per license, a maximum of ten activities are permitted. The business owner is therefore forced to restrict the kind of business ventures he wants to undertake in Abu Dhabi.
  • To secure a tenancy contract, the business owner must first select an appropriate site for the company.

Documents Required to Apply for Trade License in Abu Dhabi

The list of documents required to apply for a trade license in Abu Dhabi are:

  • Trademark certification
  • Shareholders signed the licensing agreement.
  • Copies of all shareholder’s passports
  • Certified copy of immigration certificate
  • A document from the Ministry of Economy and Planning authorizing the foundation of the firm.
  • A copy of your residency permit
  • A letter from the authorities sanctioning the proposed commercial activity.
  • A letter of clearance and no objections from the applicant’s local sponsor 
  • A copy of the Memorandum of Association 
  • A duplicate copy of the bank letter confirming the claimed financial status of the company
  • Proof of the applicant’s rental contract

Benefits of Trade License in Abu Dhabi

Legal Recognition and Legitimacy 

A trade license is an official permit to do business in Abu Dhabi. This lends validity and legal recognition to your company. It lets people who matter and possible customers know that your business follows local rules and is ethical.

Wide Range of Markets and Business Opportunities

Abu Dhabi’s location at the hub of major global trade lines gives it access to a huge range of markets and business opportunities. With a trade license, you can do business, bring things into and out of the country, and form partnerships with companies in other countries.

Tax Breaks and Other Perks 

The government of Abu Dhabi gives businesses with trade licenses tax breaks and other benefits. There is no personal income tax and no customs duties on imported goods. There is also no business tax rate on certain types of income.

Sponsoring Employees and Getting Residence Visas 

If you have a business license, you can sponsor employees and get residence visas for them. In this way, you can find and keep skilled workers from all over the world, which helps your business grow and expand.

Simplified Business Setup and Compliance with Regulations 

Getting a trade license in Abu Dhabi is a pretty simple and clear process. The Abu Dhabi Department of Economic Development (DED) makes the application process easier by giving clear instructions and quick steps.

Renewal of Trade License in Abu Dhabi

  • The candidate needs to send all the necessary paperwork to DED. 
  • These papers include a valid rental agreement, a letter from the Ejari – Dubai Land Department confirming that the rental agreement is legal, a typed BR/1 form, a copy of the current trade license, and copies of everyone’s passports.
  • Once the papers are turned in, the applicant has to wait for approval.
  • After that, the person applying for the license will get a fee coupon and must pay the fee to renew the license.
  • The Trade License will be sent to you in print form by DED after you pay the fee.


Obtaining a trade license in Abu Dhabi is a critical step for any company doing business in the region. It not only ensures legal compliance but also establishes a company’s legitimacy and commercial trust. In Abu Dhabi, the process of getting a commercial license is simplified and helpful, reflecting the emirate’s dedication to promoting a vibrant business environment. Businesses with a trade license gain access to the rich prospects in Abu Dhabi’s diverse economy. 

Furthermore, the government’s efforts to simplify and digitize the procedure show a forward-thinking approach, making it easier for both domestic and international enterprises to contribute to the region’s economic progress. As a result, obtaining a trade license is a necessary first step for enterprises seeking to enter Abu Dhabi’s active and promising market.


A trade license can be obtained either online or in person at the Abu Dhabi DED. Depending on the intricacy of the application, the application procedure can be finished in a few days.

A trade license costs different amounts depending on the type of license and the number of employees. The usual cost, however, is between AED 1,000 and AED 10,000.

A trade license is only good for one year and must be renewed every year.

A trade license is required for any business that wants to operate in Abu Dhabi. This includes both UAE nationals and international nationals who own businesses.