- Commercial License
What is a Commercial License in UAE?
A commercial license in the UAE is issued to companies involved in trading activities. Whether you’re dealing in physical goods, import/export, general trading, or retail, this license is essential to operate legally in the UAE.
Although often referred to as a commercial license in Dubai, the same license is also issued in other Emirates and free zones like RAKEZ Free Zone in Ras Al Khaimah, offering cost-effective options and business-friendly setup procedures.
This license allows businesses to trade in one or multiple product categories, depending on the business activity selected. It’s ideal for startups, SMEs, and global investors looking to access the UAE and regional markets.
- Why Commercial License
Benefits of a Commercial License in UAE
Obtaining a commercial license offers numerous advantages for entrepreneurs and companies looking to establish a presence in this dynamic economic hub. For local and foreign entrepreneurs, the UAE commercial license offers benefits such as 100% foreign ownership in free zones, low operational costs, and full repatriation of capital and profits. It also opens doors to global trade opportunities, supported by the UAE’s world-class infrastructure and logistics network. Below are the key benefits:
100% Foreign
Ownership
Full ownership in RAKEZ and other UAE free zones, no local partner needed.
Multiple
Business Activities
Trade in various product categories under one license.
Access to
Global Markets
UAE’s location supports expansion to MENA, Asia, Europe, and other parts of the world.
Low Setup &
Operating Costs
Affordable licensing packages, office options, and minimal admin fees.
Tax
Advantages
0% personal income tax and 0% corporate income tax* in the RAKEZ free zone.
Visa
Eligibility
Sponsor UAE residence visas for owners, staff, and family members.
* If business status is Qualifying Free Zone Person.
What Businesses Can Operate Under a RAKEZ Commercial License?
A commercial license issued by the Ras Al Khaimah Economic Zone (RAKEZ) authorizes businesses to engage in a wide range of trading activities, including buying, selling, importing, exporting, and distributing goods and services in the UAE and internationally.
Key Features of a RAKEZ Commercial License
Allows multiple related trading activities under one license (up to 10 activities), reducing costs for diverse operations.
Enables trading locally in the UAE and internationally, leveraging RAKEZ’s strategic location near ports and airports.
RAKEZ offers tailored facilities like warehouses, offices, and co-working spaces for commercial businesses.
- Business Activities
Types of Business Activities Allowed
Under a Commercial License
Below is a concise overview of the key types of business activities permitted under a RAKEZ commercial license.
| Business Activity | Description |
|---|---|
| Retail | Operating retail stores, supermarkets, convenience stores, or e-commerce platforms for direct consumer sales. Examples include clothing, electronics, or grocery retail. |
| Wholesale | Engaging in bulk trading of goods like electronics, textiles, construction materials, or consumer products for resale to retailers or businesses. |
| Import and Export | Trading goods across borders, including commodities like jewellery, automobiles, or security equipment. Covers import for local sale or re-export. |
| General Trading | Trading a diverse range of unrelated products under a single license, such as foodstuff, building materials, and garments. Ideal for businesses with varied product portfolios. |
| Contracting and Maintenance | Providing services like construction contracting, repair, maintenance, or installation (e.g., security equipment or HVAC systems). |
| Logistics and Warehousing | Establishing facilities for storage, distribution, and transportation of goods, supporting efficient supply chain operations. |
- Our Process
Step-by-Step Process for Getting a Commercial License in UAE
The process of obtaining a commercial license in the UAE is simple and efficient, particularly with RAKEZ. Aurum, the RAKEZ Accelerator in Dubai, helps simplify this journey. We offer expert advice on license types, assist with document preparation, and guide you through each step. Our multilingual advisors ensure smooth communication. We also connect you to cost-effective facilities such as warehouses, offices, and flexi-desks. With Aurum, you can set up your business quickly and with confidence.
Below is a concise step-by-step guide to securing a RAKEZ commercial license.
Start by identifying the trading activities your business will engage in, such as retail, wholesale, import/export, or logistics. RAKEZ allows up to five related activities under one license. Aurum helps you select the right activities from RAKEZ’s list of over 4,000 approved options.
Choose your company’s legal form, Free Zone Establishment, Limited Liability Company (LLC), or Branch. RAKEZ offers 100% foreign ownership within its free zones. Aurum provides guidance based on your visa requirements, office needs, and business goals.
Complete the RAKEZ application and submit the necessary documents. These include passport copies, a digital photo, Emirates ID and visa copy (if applicable), and Ultimate Beneficial Owner (UBO) details.
Pay the applicable setup fees, which can vary depending on your chosen activities, visa quota, and office type. Once approved, you will receive your license. Aurum streamlines the payment process and ensures a smooth and timely issuance.
- Frequently Asked Questions
Your Common Questions Answered
What does a Commercial License in the UAE allow businesses to do?
A commercial license permits businesses to engage in trading activities such as buying, selling, importing, exporting, and distributing goods or services. It covers sectors including retail, wholesale, logistics, and contracting, allowing companies to operate both within the UAE and internationally.
What types of activities can I include under a RAKEZ commercial license?
RAKEZ supports over 4,000 business activities across more than 50 sectors. These include retail, wholesale, import/export, general trading, and logistics. You can combine up to five related activities under one license. Aurum helps you choose the most suitable options based on your business goals.
Can foreigners fully own a business with a RAKEZ commercial license?
RAKEZ free zones allow 100% foreign ownership without the need for a local sponsor. Aurum provides guidance on choosing the right legal structure, such as a Free Zone Establishment or an LLC, to give you complete business control.
What documents are needed to apply for a RAKEZ commercial license?
You will need passport copies, a digital passport-sized photo, Emirates ID and visa copy if you are a UAE resident, and Ultimate Beneficial Ownership (UBO) details. Aurum simplifies the process by assisting with document preparation and ensuring accurate, timely submission.
What facilities does RAKEZ provide for commercial license holders?
RAKEZ offers a variety of flexible facilities, including flexi-desks, dedicated offices, and warehouses to support different types of business operations. Aurum helps you choose the right setup based on your operational needs and long-term goals.
What is the process for renewing a RAKEZ commercial license?
RAKEZ commercial licenses can be renewed annually or for a multi-year period, depending on the chosen package. Renewal typically requires submitting updated tenancy agreements and completing the necessary paperwork. Aurum manages the renewal process to ensure timely compliance and avoid any business disruptions.
Why is RAKEZ a top choice for a commercial license?
RAKEZ offers a strategic location, tax-free benefits in its free zones, 100% foreign ownership, and access to over 4,000 approved business activities. With fast licensing and Aurum’s personalized support, it’s an ideal hub for trading businesses aiming for growth.
Ready to Launch Your Trading Business?
Get your commercial license in the UAE with ease through RAKEZ, supported by Aurum’s expert guidance and end-to-end business setup services.