The General Trading License in UAE is an essential business license for global investors to conduct business. A General Trading License in UAE will enable the business owner to conduct various trade operations.
It includes exports, imports, distribution, storage, re-exports, and more. The investors can trade a variety of goods in the local UAE market, GCC region, and the rest of the world. So, the scope of a General Trading License in UAE is huge.
The General Trading License allows the trading of multiple goods under a single license. Whereas, specific trade licenses allow trading in single goods such as Food Stuff Trading. The cost of a General Trading License in Dubai starts at AED 14,900 in the Free Trade Zones.
General Trading License in UAE – Key Highlights
The General Trading License in UAE allows the business owner to trade in goods ranging from garments to electronics. The biggest advantage of having a General Trading License is trading multiple items simultaneously.
To strengthen and expand its presence in the local UAE market, obtaining a General Trading License from the mainland of UAE is the ideal choice for investors. It helps them to open a retail store and also distribute the goods in the UAE market.
Additionally, The company can conduct trade operations in GCC and international regions as well. Free Zone General Trading License in UAE is the right fit for businesses that aim to expand their market into new geographies. Especially for those who operate in overseas, export, and re-export sectors.
Free Zones have their benefits in facilitating global trade operations due to the easy access to Airports, Seaports, and other infrastructures. Thus, it helps businesses seamlessly connect with the rest of the world.
Obtaining the General Trading License in UAE – Steps Explained
To obtain a General Trading License in UAE there are certain steps. It starts from selecting the right trade name for the company to obtaining the trade license.
After the trade name selection, choose the right free zone or the mainland for obtaining the General Trading License. Make the fee payment and submit the investor details to the trade licensing authority.
After the review of the documents, the trade license authority will issue the general Trading License to the business owner. In the Mainland and few of the Free Zones there is a requirement of having a physical office to secure the general trading license.
So, seeking the assistance of business consultants will help in locating an ideal office space in the Free Zones or in the mainland. Also, preparing a tenancy contract for the office space. Thereby, a general trading company can operate in UAE without any hassle.
What are the Advantages of Setting up a Limited Liability (LLC) General Trading Company in Dubai?
1. Zero Taxation Policy
There is no personal income tax in the UAE. However, there is a 5% VAT on all transactions initiated within the region. Also depending on where the business is established, there are few exceptions in the VAT levied.
So, UAE is the perfect choice for obtaining a general trading license due to the tax savings the company will enjoy. They can easily move goods in and out of UAE and make sales in the country without the burden of any excess tax cuts.
Read more on VAT Registration in UAE here.
2. Flexibility in Hiring
A mainland company has more flexibility in terms of adding employees to your company. Employee visas in the mainland of UAE are based on office size and the selected business activity.
Obtaining a General Trading License in UAE paves way to create a robust distribution network and strong market presence for the company. Employees are essential to operate the General Trading Company in full capacity.
3. No Requirement of Minimum Capital
There is no requirement for any paid-up capital required to be shown for LLC Company Formation in the Mainland of UAE. Hence, the process of LLC Company Setup is more streamlined and easy.
A General Trading License in UAE often requires a high capital to cover all the cost of operations, procurement of goods, logistics, and more. However, the absence of minimum capital requirement makes it easy to start a general trading company and scale up seamlessly.
4. Easy Company Registration Process
There are minimum documentation and processes involved in the issuance of a General Trading License and setting up a Limited Liability General Trading Company in the Mainland of UAE.
The process of General Trading Company Setup in UAE takes less than a week and your General Trading License and new company documents will be in your hand.
5. Top-Class Infrastructure
UAE is known for its world-class infrastructure and business support ecosystem. It has got some of the worlds-best office spaces and locations for company setup.
The secure banking network, Government support, and world-class amenities make it the perfect location for business sustainability. All these benefits makes UAE the perfect place to secure a General Trading License.
6. Doing Business Anywhere in the UAE
LLC Business Setup enables you to operate anywhere in the UAE. Based on your requirements and budget you can choose an office space anywhere in UAE. Also. It will help in facilitating the trade operations using your general trading license and newly formed LLC trading Company in the UAE.
General Trading License from Free Zones of UAE
A General Trading License from the Free Zones of UAE is also an equally prospective option for foreign investors. There are enormous business benefits to obtaining a General Trading License from the UAE Free Zones.
Obtaining a General Trading License from a UAE Free Zone
If the investor is keen on the overseas market, export, and re-exports, a Free Zone General Trading License would be the right fit for the business to flourish easily. Free Zones have their benefits in facilitating global trade operations due to the easy access to Airports, Seaports, and other infrastructures.
Thus, it helps your business to seamlessly connect with the rest of the world. Export companies aiming at the international market as well as trading companies importing and selling in the UAE prefer Free Zones due to the above business benefits.
To know more, read: Ways the Free Zone Companies can trade in the Mainland of UAE
Connect with our Expert Business Consultants to know more about General Trading licenses in UAE.
Contact: Aurion Business Consultants
