Wed. Feb 8th, 2023
Renewal of a Trade License in Dubai

Dubai has the most profitable economy, and it is quickly becoming the most vibrant business hub in the Middle East and the entire world. Different nationalities have found Dubai to be advantageous for establishing businesses. One of the primary reasons is the simple process of registering a business and obtaining a trade license in Dubai. However, according to government regulations, all businesses must renew their trade license every year.

No business can function without a trade license. In Dubai and the UAE, the department of economic development (DED) is in charge of issuing and renewing trade licenses.

The documentation and paperwork can be overwhelming, so enlisting the assistance of experts would be a wise decision. This blog will go over all of the documents you’ll need for the license renewal process.

Why is DED trade license renewal required?

Your DED license must be renewed for a variety of reasons. For starters, it ensures that your company is in compliance with the most recent regulations. Second, it enables you to keep your company operating smoothly and efficiently. Third, it demonstrates to your customers that you are committed to providing them with the best service possible. Finally, it aids in the development of a positive relationship with the Department of Economic Development.

If your trade license is not renewed, you will be unable to conduct business in Dubai and may face penalties. Before you learn about the DED license Dubai renewal, you must be aware of the fact that regardless of which business you’re planning to set up in Dubai or other emirates of the UAE, you need to get a trade license from the authorities. The permit would be valid for at least a year. If you work with local business setup companies like Flying Colour Business Setup Services, you can renew your trade license quickly.

What documents are required for the renewal of a trade license in Dubai?

DED license renewal applications must be submitted at least one month before the expiration date. Otherwise, there will be a monthly fine of around AED 250 with no external penalties. In the UAE, there are nearly 50 free zones. To renew various types of licenses, each zone has different paperwork requirements. If you have a business in Dubai, either on the mainland or in a free zone, the DED may request the following documents for trade license renewal in Dubai:

Lease Agreement

Check that it still has one month of validity with EJARI approval before applying for renewal. Otherwise, the Department of Economic Development in Dubai may reject your registration request if the regulations are not followed.

Paper EJARI

For trade license renewal registration, a tenancy contract with EJARI approval is required. EJARI issues a confirmation certificate along with a tenancy contract, indicating that you can proceed with the renewal of your Dubai trade license.

Previous business license

To obtain the new trade license, you must attach your old one. A copy of your previous trade license will not be accepted and will result in the rejection of your renewal application. Your current trade license must be valid for at least one month prior to the process.

Form BR/1

A BR/1 form is essentially a renewal form for a trade license. You must submit it along with a current trade license. Before submitting the form to DED, ensure that all existing partners and shareholders have signed it.

Photocopy of a passport

Finally, attach passport copies of all business partners and shareholders to demonstrate that they are aware of the business license renewal process. If you don’t have any, you should only submit your own. All of these documents are required for the trade license renewal process in Dubai.

A step-by-step guide to the process of renewing a trade license.

The DED license renewal application is available both online and offline. It is entirely up to you how you wish to apply.

Applying for an expired trade license can be detrimental to your business and may cause your renewal process to be halted. To be on the safe side, you should renew the license before it expires.

Tenancy agreement

When you apply to renew a trade license, your tenancy contract must be valid for at least 30 days. The expired one is deemed invalid and will not renew your license.

Form filling: 

 Send them to the Dubai Department of Economic Development.

Payment receipt

Following submission, the DED will conduct the necessary inspection, and you will be contacted to pay the renewal fee following verification. You will receive the voucher; pay the license fee to complete the trade license renewal process. You will receive your trade license in 2 to 3 days. You can also pay using your mobile device.

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