How to renew trade license in dubai- is one of the most common questions among the entrepreneur communities in the city.

In fact, many of them lack the right-know about renewing a license in Dubai. It happens as they do not have the right idea. And they fail to navigate across the processes while they develop a wrong approach.

Consequently, they are unable to renew their business and end in despair.

However, those worries are over now. After going through this post, you will have an in-depth idea about the entire process of renewing your license in Dubai. And hopefully, you can implement the ideas in your real-life and enjoy trouble-free business activities.

Let’s start.

What is a trade license?

Trade license is a legal document to operate a business or any other commercial activities. This is a permission from the government allowing the license holder to run the business activities without any legal barrier.

In other words, a trade license is a legal paper authorizing the license holder to conduct business in a specific region or country.

This is an important document for a business. Because if you do not have the license, you are unable to run your business. If the government or relevant authorities do not allow you to conduct your business, you cannot do it.

In exchange for a nominal fee, you can obtain the trade license.

In Dubai, after completing all the formalities, you can also have a digital trade license as the processes have been streamlined.

Importance of Trade License in Dubai

A trade license is highly important in Dubai. In fact, in the UAE, rules and regulations are strict. So, if you do not have valid permission to run your business, you cannot operate it. Moreover, you may have to face the following issues:

Penalties – If you do not have a license or if the date expires, you may face financial penalties. Further, you may be blacklisted by the UAE authorities and may have to close your business.

Bank account complexities – At the same time, your bank account will be frozen, and you would be unable to use the bank account for financial transactions and other activities.

Visa complications – Moreover, if you do not renew your trade license, you will face complexities about the visa you have. You cannot hire new staff for your business or cannot process labor cards.

Damaging your reputation – This is one of the worst things you could have in Dubai. Your business reputation will be damaged severely.

So, if you know how to renew trade license in dubai, you will be able to run the business smoothly and get rid of unwanted troubles from the legal authorities and others.

How to Renew Trade License in Dubai – steps to follow

In this section of the post, you will get a clearer concept on how to renew trade license in Dubai. Follow the steps and implement them in your real life.

Step 1: Gathering documents

As the first step, you have to collect all relevant documents to renew the trade license. And prior to the document collection, check your tenancy contract. If the tenancy is alright, you can move for the document collection.

But if the tenancy is not valid, you need to validate that first. However, if there are 30 days remaining until the tenancy contract expires, you can renew your trade license.

Please note that the authorities will not renew your trade license if the tenancy is not valid.

Now, you have to gather all the necessary documents for the trade license renewal submission process. The documents include:

• Trade license copy (existing one)
• Tenancy contract (valid)
•  Passport copy
• Emirates ID copy
• Trade license renewal form
• Disclosure form (if necessary)
• Lease agreement copy
• Payment clearance form

Step 2: Application submission

Once all the documents are in place, you have to prepare for the application submission process.

Please note that the application submission process varies based on the business location. So, you can complete the application process online.

Using the Invest in Dubai portal, or using the DET mobile application or by eServices platform, you can smoothly submit the application.

For the online application, you have to upload your documents, provide verification details, and clear the payment.

At the same time, if you are unwilling to submit online, you can renew the trade license through your nearest authorized service centers.

When the process is completed, you will get a payment voucher. Next, you have to pay the payment mentioned in the voucher. Remember that the payment rate is different based on your business type, business zone and other issues.

Step 3: Clearing the payment

When you have the payment voucher, you have to pay the exact amount. Using an online portal, you can pay the amount. In that case, you have to use your debit or credit card.

Alternatively, you can make bank deposits or use smart payment kiosks. Moreover, you can pay at the service centers when you visit them.

Once the payment is successful, you will get your renewed trade license certificate in the next few hours. Then, the DET or the respective authority will issue the renewed trade license either through an email, or as a pdf format for downloading.

Also, the service center may provide you with a printed version of the trade license.

Frequently asked questions

 

How to renew trade license in Dubai?

In a nutshell, the process is pretty simple. You need to collect the right documents, submit them online or at any service center, pay the renewal fee and receive the renewed trade license.

What is the trade license renewal fee in Dubai?  

Trade license renewal fee varies on different grounds. It may be your business type or maybe your business location or the types of products you deal with, or type of business license. So, it is not possible to get the idea about any specific fees for license renewal. However, you can get an estimation of the fees from below:

–          License renewal fee – up to 15,000 (AED)

–          Ejari or Tenancy – Up to 50,000 (AED) or more

–          External approval fees – up to 5,000 (AED)

–          Service charges – up to 2,000 (AED)

However, the trade license renewal fee for free zone starts from 10,000 AED, based on your license type.

Can I renew my license without Ejari?

Well. This is a critical issue to deal with. You have to get or renew your Ejari license. But if you do not have the Tenancy or Ejari license, you can renew your trade license for only one year.

Do I have to face penalties if my trade license is not renewed?

The answer is YES. You have to face penalties if you do not renew your trade license. Your business and you could be subject to monetary fines, blacklisting, frozen bank accounts, business closure, among other things.

How long does it take to renew a trade license?

It varies. Renewing a trade license online will take up to 10 minutes. If you use support from any service center, it may take half an hour to one business day. And if you need any external approval, it may take up to a week.

Is it possible to complete the renewal process faster?

Of course, you can make the process faster. But for that, you need to follow certain steps in advance. The first thing you should do is to keep your Ejari updated. Your tenancy issue can cause unnecessary delays.

Next, you need to keep your all-other relevant documents up to date. Using an online portal for document submission will cut your time shorter.

And lastly, maintain all your transactions transparent so that you can avoid any compliance issues.

End note

So, now you know how to renew trade license in dubai. Following the processes mentioned above, you can have your license renewed. And operate your business smoothly.

However, regardless of your business location (mainland or free zone), if you feel any issue that you cannot solve alone, share the problem with us. Our experts will guide you to get out of the problem.

They will help you prepare the documents, submit them and get your renewed trade license without any trouble.

Book your appointment today to know more about the process.