• Business Setup
13 min read

How to Get a General Trading License in Dubai

Chandy JosephPublished Updated

A general trading licence lets one company trade across unrelated product categories - food, electronics, furniture, clothing and more - without holding a separate licence for each. It is the licence most import, export and distribution businesses in Dubai are built on.

Delve into the guide to learn what a general trading license is and how to get a general trading license for your business in Dubai.

Already licensed? The customs and tax side — client code, HS codes and duty, import VAT and re-export — is covered separately in running a general trading company in Dubai.

What is a General Trading License in Dubai?

A general trading license in Dubai is a license that allows you to import, export, and trade goods and products under this license category. Unlike, other license types, a general trading license enables you to trade in a broad array of goods – however, except a few products that are prohibited in the country such as tobacco and other goods that do not comply with health standards.

Why You Need a General Trading License in Dubai?

If you're a foreign national and want to start a trading company in Dubai that sells unrelated products, you'll need to get a general trading license. Getting a general trading license is a must, especially if you plan to get involved in multiple trading activities. Even if these activities are spread across different industries, a general trading license will cover them. That's why getting a general trading license should be one of the most important steps for easy and smooth company formation in Dubai.

Once you've got your general trading company license in Dubai, your business startup in Dubai is allowed to conduct all of its trading activities under this one license.

What Is A General Trading Company in Dubai?

A general trading company typically spans textiles, electronics, equipment and general merchandise, and can import and export a variety of items across those categories under the one licence.

Additionally, certain regulated commodities must meet health and safety regulations when operating a business. Pharmaceuticals, frozen meals, and gold are all examples. Aside from these controlled commodities, the DET (Department of Economy and Tourism), formerly the DED, enables new business setups to trade and do business with foreign companies.

Steps to Get a General Trading License in Dubai

The Department of Economy and Tourism (DET) currently offers quick licensing processing for a general trade corporation. To obtain a general trade license in Dubai, the following steps must be done during business registration:

  1. Get approval for the company name – Present the Department of Economic Development and Tourism with three to four possibilities for your company name reservation.
  2. Choose Legal Structure & Define Business Activities – To continue your application for a trade license choose a legal structure for your business as well as define the business activities that you intend to carry out.
  3. Submission of documents – To complete the application, you must go to one of the recognized centers. A passport copy, residence visa copy or visit visa, and Emirates ID are all essential documents for starting a general trading company in Dubai. After you have submitted your application to the center, the DED will give you a payment voucher for the license after fully validating the documents. You must pay the specified cost in order to get your trade license.

Documents Required To Get a General Trading License in Dubai

In order to get a general trading license in Dubai for your business to start a general trading company, you will have to submit essential documents to the concerned authority. Below are the documents that you will need to submit:

  • Business plan
  • License Application
  • Fees payment receipt
  • Name Approval letter from DED
  • MOA (Memorandum of Association)
  • Passport copy of the investor or the shareholders (if any)

Activities under General Trading License

According to the Dubai Department of Economic Development (DED), the owner of a general trading firm in Dubai can import, trade, and re-export any of the permitted items. Furthermore, with the exception of a few prohibited industries such as oil or tobacco, it permits you to trade in nearly everything. Sweets and vehicle parts, jewels and shoes, pet supplies and toys, and practically any other combination you can think of are all acceptable trades.

Activities that require particular permits and arrangements can be carried out through a sole proprietorship, an LLC, or a single-owner (LLC-SO) business in Dubai.

Dubai Mainland General Trading License

A mainland general trading licence is issued by the Dubai Department of Economy and Tourism (DET). Its defining advantage is market access: a mainland company can sell directly to customers anywhere in the UAE, supply government and semi-government buyers, and bid for public tenders, without appointing a distributor or routing goods through a third party.

Since the 2021 commercial-companies reform (Federal Decree-Law 26/2020 with Cabinet Decision 55/2021), most mainland trading activities can be wholly foreign-owned, so the old 51% local-partner requirement no longer applies to general trading.

What mainland means in practice for a trader:

  • Customs position. A mainland company sits inside UAE customs territory. Duty falls due when goods land, not when they are sold.
  • Premises. A physical office with a registered tenancy contract is required, and the visa quota is tied to the size of that space.
  • Cost. A standard Dubai mainland licence starts at AED 13,900 in government fees, or AED 18,750 with one investor visa. General trading prices above that because of its breadth — the itemised figures are in the cost section below.
  • Ongoing. Annual licence renewal, tenancy renewal and Corporate Tax registration apply from the first year.

Mainland is usually the right answer when your customers are inside the UAE — retailers, contractors, government buyers or local distributors. See the itemised Dubai mainland cost breakdown, or compare our company setup packages.

Dubai Free Zones General Trading License

A free zone general trading licence is issued by the zone authority rather than DET, and it changes the customs position rather than just the paperwork. Goods held inside a free zone sit outside UAE customs territory. Duty is suspended while they remain there and is only triggered when the goods are formally imported into the mainland — or never, if they are re-exported.

That makes free zones the natural home for import-and-re-export businesses, regional distribution, and traders holding stock for onward markets.

What a free zone means in practice:

  • Ownership. 100% foreign ownership has always applied in the free zones, with full profit repatriation.
  • Selling into the UAE. This is the real constraint. A free zone company cannot sell directly into the mainland market — goods go through a mainland distributor, or are cleared through customs with duty paid, or the company takes a dual-licence arrangement.
  • Share capital. Some zones set a minimum share capital for a general trading licence specifically. It varies by zone and by the goods involved, so confirm it with the zone before committing.
  • Cost. The cheapest routes sit in the northern emirates — RAKEZ from AED 6,010 and SHAMS from AED 6,875 — but general trading is not offered at the entry price in every zone.
  • Corporate Tax. A free zone trader may qualify for 0% on qualifying income as a Qualifying Free Zone Person, but income earned from mainland UAE customers is generally excluded — see our QFZP guide.

Dubai zones commonly used for general trading include DMCC, JAFZA, DAFZA, Meydan and IFZA. Outside Dubai, RAKEZ and SHAMS are the usual low-cost options.

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Mainland or free zone: which fits your trade?

The decision follows your customers and your goods, not the licence fee.

Choose mainland if

  • Your buyers are inside the UAE — retail, contracting, hospitality or government.
  • You want to bid for public tenders.
  • You need to invoice local customers directly, without a distributor margin in between.

Choose a free zone if

  • You import and re-export, and the goods may never enter the UAE market.
  • You are holding stock for regional distribution.
  • Entry cost and speed matter more to you than direct mainland access.

Many established traders run both — a free zone entity for import and storage, and a mainland entity to sell locally. For a fuller side-by-side, see mainland vs free zone in the UAE.

The Cost of General Trading License in Dubai

General Trading License Cost Details Amount AED
Trade name reservation cost 620
Initial Approval Fees 120
Tasheel Fees for initial Approval 345
Tasheel Fees for MOA 350
License Fees (Approx.) 12,500 - 15,000
DET Activity Fees (General Trading) 15,000
Immigration Card 750
Cost of general trading license in Dubai 29,685 - 32,185 AED
Cost of general trading license in Dubai

General trading packages by route

The table above itemises a Dubai mainland licence. In practice most traders compare four routes, and the entry price depends on how many residence visas the licence needs to carry:

  • Northern-emirate free zone — from about AED 6,010 with no visa, or about AED 12,010 with one visa. The cheapest route to a UAE trading licence.
  • Dubai free zone — from about AED 12,500 with no visa, or about AED 17,700 with one visa, depending on the zone.
  • Dubai mainland (DET) — a standard commercial licence starts at AED 13,900, or about AED 18,750 with one visa. A general trading licence prices above that because of its breadth - see the itemised table above. This is the only route that sells directly into the UAE market.
  • Offshore vehicle — about AED 12,000 for RAK ICC or AED 22,000 for JAFZA Offshore. An offshore company is a holding and international-trading vehicle: it is not a UAE trading licence, cannot trade inside the UAE market, and cannot sponsor residence visas.

General trading is not offered at the entry price in every zone, and some zones price it above their standard commercial licence, so confirm the figure against your specific goods before budgeting.

What is not included

Every figure above is licence and registration cost only. Budget separately for:

  • Residence visas for investors and employees
  • Office rent or flexi-desk fees
  • Government and registration charges on renewal
  • Dubai Municipality fees, charged at 5% of the annual rent
  • Avyanco professional and consultancy fees

The general trading license cost in Dubai depends on factors like the number of partners in the company, the number of managers in the company, and the type of name you choose, for your company. A general trading licence in Dubai totals between AED 29,685 and AED 32,185 in government fees, as itemised in the table above, because its broad multi-product scope prices above a single-activity commercial licence — a standard Dubai mainland licence starts at AED 13,900 in government fees. See our Dubai mainland cost breakdown for the itemised fees, or compare every jurisdiction on the UAE setup cost comparison.

You can contact us to know more about the costs and procedures involved in getting a general trading license in UAE or any other aspects of starting a business in Dubai.

Benefits of Starting a General Trading Company in Dubai

The commercial case for a general trading company in Dubai rests on four things:

  • High-Quality Infrastructure – The availability of office spaces with flexible rent or lease plans and the greatest infrastructural amenities give an excellent location and environment for firms to conduct their operations in the most efficient manner possible.
  • Easy Business Setup process – The procedure of forming a corporation in the UAE is uncomplicated. If all of the paperwork is in place and ready, the entire operation may be completed in 3-4 working days.
  • Minimum Capital Requirements – It is not required to produce a bank guarantee or to deposit the share capital with the bank. Furthermore, 100% capital repatriation is permitted for UAE enterprises.
  • Low Taxation Policy – There is low corporation tax in the UAE for doing business. An investor with a license in UAE does have to pay taxes on taxable income (profits) above the threshold of AED 375,000, taxed at 9% above that threshold — one of the lowest headline corporate-tax rates in the world.
  • No Trade Barriers – The expenditures and time necessary to start a business are extremely minimal in Dubai. Furthermore, businesses having a mainland trading license are exempt from any paid-up share capital requirements or regular audits. This increases the company's profitability and affordability to the beyond level. Hence, there are no trade barriers to operating a business in UAE.

Why Choose Avyanco to Set Up Your General Trading Business in Dubai, UAE?

At Avyanco, our expert team makes the process of opening a general trading company in Dubai easy for investors. We handle the activity mapping, approvals and submission so the licence is issued without avoidable delay. Connect with Avyanco Business Setup and:

  • We will help you get any and all external approval required for your license.
  • We will share the pros and cons of mainland and free zone licenses and help you choose the right one to set up your business in Dubai, UAE.
  • We will offer you customized business setup packages that will perfectly match your requirements.

Tell us what you plan to trade and we will confirm the right route and the real cost before you commit.

Frequently Asked Questions

01What is a general trading licence in Dubai?
A general trading licence lets a company import, export, distribute and trade a wide range of unrelated products under a single licence — rather than being limited to one product category. It is one of the most flexible commercial licences, issued on the mainland by DET or through a free zone.
02How much does a general trading licence in Dubai cost?
A general trading licence prices above a single-activity commercial licence because of its broad scope, so use the standard licence as your floor rather than your estimate. A Dubai mainland licence starts at AED 13,900 in government fees (AED 18,750 with one investor visa), and the cheapest free-zone routes start at AED 6,010 in RAKEZ or AED 6,875 in SHAMS. General trading is not offered at the base price in every zone, so it must be confirmed against your specific goods. See the full UAE cost comparison.
03What is the cheapest way to get a trading licence in the UAE?
On government fees alone the northern-emirate free zones are cheapest — RAKEZ from AED 6,010 and SHAMS from AED 6,875 — but a free-zone licence does not let you sell directly into the UAE mainland market without a distributor or a dual-licence arrangement. If your customers are inside the UAE, a Dubai mainland licence from AED 13,900 is usually the cheaper answer once you account for that restriction.
04Should I get a general trading licence on the mainland or in a free zone?
A free zone offers 100% ownership and customs advantages for import/export and re-export; a mainland general trading licence lets you sell directly across the UAE market and bid for government tenders. Many traders combine both. Avyanco maps the right route to your products and customers.
05Can a foreigner own 100% of a general trading company in Dubai?
Yes. Free zones have always allowed 100% foreign ownership, and since the 2021 commercial-companies reform (Federal Decree-Law 26/2020 with Cabinet Decision 55/2021) most mainland trading activities can also be wholly foreign-owned, removing the old local-partner requirement.
06Do I pay Corporate Tax on a Dubai general trading company?
UAE Corporate Tax applies at 0% on taxable income up to AED 375,000 and 9% above it. A free-zone trading company may qualify for 0% on qualifying income as a Qualifying Free Zone Person, but trading with mainland UAE customers is generally excluded from that relief — see our QFZP guide.
07Can a free zone company sell directly in the UAE mainland market?
Not directly. A free zone general trading company can import, store and re-export freely, but to sell into the mainland it needs a mainland distributor, or the goods must be cleared through customs with duty paid, or the company takes a dual-licence arrangement. If most of your customers are inside the UAE, a mainland licence is usually the simpler and cheaper route once that restriction is priced in.
08Do I pay customs duty on goods held in a Dubai free zone?
Not while they stay there. Goods inside a free zone sit outside UAE customs territory, so duty is suspended. It is only triggered if the goods are formally imported into the mainland — and never if they are re-exported. That suspension is the main reason import-and-re-export businesses choose a free zone.
09Does a mainland general trading licence need an office?
Yes. A mainland licence requires physical premises with a registered tenancy contract, and the number of visas the company can sponsor is tied to the size of that space. Free zones are more flexible here, with smaller desk-based options available in most zones.
10Can a general trading company bid for UAE government contracts?
A mainland company can supply government and semi-government buyers and bid for public tenders. A free zone company generally cannot do so directly, which is one of the clearest practical differences between the two routes for a trading business.
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