Online shopping has become an essential part of our lives specially since the present covid-19 situation. All the businesses that decided to go online, prospered and expanded even more.

An online company setup in UAE provides an entrepreneur with oceans of new possibilities. E- commerce is also amongst the various business set up in UAE that provides tremendous opportunities to people.

The availability of internet to everyone has made the E- Commerce sector expand and has been beneficial for both the customers and the service providers.

For getting a trade license in UAE , A person needs to follow a series of steps. A proper procedure needs to be followed to get a license for an e-commerce business.

Types of E- commerce license available in Dubai

There are three types of e commerce licenses-

1. E- trader license

2. Portal License

3. Virtual Company license

E- trader license

This permit is provided to people who want to sell their products or provide services online. It is provided by Economic Development Department.

Portal License

It is the best for websites listing products, services and reservations. Non-EAU nationals can also obtain this license.

Virtual Company License

UAE and Non UAE residence can do business related activities in the area with the help of this license.

An E-commerce license in Dubai has no currency restrains. It provides 100 percent Dubai free zone ownership. One has to pay 0 percent corporate and personal taxes.

There are no duties on e commerce licenses and in addition to that the cost of operation is also minimal. One gets three years of approved resident visa as well.

Documents needed to get an E commerce license in UAE

· Copies of shareholders’ passports/visas

· Passport copy of partner / Emirates ID

· Local service contract / Civil work contract

· NOC by the authority concerned

· An MOA drawing up

Procedure to obtain an E commerce license in UAE

1. Choose your work zone- If your work zone is mainland then Department of Economic development issues the license however in case the work zone is free zone then the respective free zone authority issues the license to the person who needs to start the business.

2. Registering the name of the company- the name of the company is a company’s identity.

This name also needs to be approved in order to avoid issues such as the name being inappropriate or offensive for a particular community or group of people.

The name can be chosen with the help of business setup consultant in UAE.

3. Filling the application for E commerce license- A duly filled application form along with all the essential documents and papers mentioned above has to be deposited to get a license issued.

4. Apply for a NOC – an Initial approval certificate is issued by the concerned authorities. It is essential to have a no objection certificate from the concerned authority in order to obtain a license to practice business in e commerce sector.

5. Registering a virtual office- It is now essential for every mainland company setup in UAE to register a virtual office in order to work legally.

6. Following the steps completely in a correct order– if one follows these steps correctly, the business license is issued within one to seven working days.

7. Registering with ports and authorities – to practice trade by importing or/and exporting goods and services, one needs to get their business registered with ports and other concerned local authorities. There are no duties imposed on the activities taking place in the free zone.

8. Applying for visas– Applying for visas is an essential part of the process. It depends on the size of the business.

9. Opening a corporate bank account– A corporate bank account is essential to apply and obtain a license for e commerce business

In today’s world, e commerce has become a necessity. Many tasks that were difficult earlier are now done easily just because the world has gone online. The e commerce sector will continue to flourish in days to come as it promotes a digital world and is essential for better connectivity between various regions.

It provides entrepreneurs a wide range of opportunities to go global with a few easy steps. It is a great option specially now with ‘the new normal’.

We at Projectfrpjsc help you in getting your dream company registration in UAE with proper guidance. Several processes can be done without your physical presence, we will provide you with the solutions to all business set up related problems.

With our support, you can expand your empire in the ocean of endless opportunities provided by UAE. Contact us for assistance in setting up your company without any hassle.

Business formation is no easy feat. There are tactics and strategies to build a brand and do business rightfully. Dubai offshore company setup has its own set of challenges. With the ever-changing policies and laws, companies and businesses need to be on the right foot; to adapt and optimize their strategy. But what are these strategies? While it may vary from company to company, here are some dos and don’ts while doing business setup in Dubai mainland.

Doing the research

Understanding the difference between Mainland, Freezone, and Offshore and the acquiring of the licenses for respectives businesses. Do the research and find out what business type suits best for your brand. Read and familiarise yourself with your competitors and most importantly go through the restrictions that comes with each type of new company formation in Dubai. 

 

Selecting the right business license

Select the appropriate business license for your business. At present Dubai offers three types of business license namely: Commercial, Industrial, and Professional License. Choose according to your requirements as there are various stipulations that are required for various licenses such as, approval from concerned authority, documentation and fee, etc.

Getting a service agent

Getting a service agent/local sponsor is not mandatory for business license in UAE. But some of the business activities may require service agent/emirati. Your service agent acts as an intermediary that manages your communication with concerned authorities and various other issues and formalities.

Opting for mainland business

While starting a business in Dubai mainland business has its perks as it allows companies to do business anywhere in the UAE. Companies under this business type enjoy great opportunity and exposure. However, under mainland company setup in Dubai  companies enjoy 100% ownership but are not allowed the advantage to carry out their business through out the UAE.

Meeting Visa eligibility requirements

Visa eligibility requirements can be easily met as the company setup in UAE is quite efficient if the documents are at hand. Once completed, checking the validity of the visa and other documents should be kept in mind as well.

Maintaining a legal contract with the service agent

Having a written document with beneficiaries provides a safe pathway for your business. Make your UAE business setup hassle free by maintaining legally acknowledged documents and contracts.  

Familarizing with banking prerequisites

Understanding the banking policies is a major step to having a successful Dubai offshore company setup as it directly affects your capital. Familiarizing yourself with these banking jurisdictions can be helpful in the long term.

Socializing and participating

Socializing in various business events gives your brand a boost and helps in networking with local and international allies, also giving your brand an edge simultaneously.

Being respectful to the local culture and traditions

UAE is a diverse country with people from all over the world. Accordingly, companies from all over the world are not uncommon in the UAE. Being courteous and empathic towards their culture and tradition is important and should always be kept in mind.

Engaging with the right business consultants

Get the right assistance and guidance for your Dubai business setup from an accredited and reliable business setup consultant. Go through the various banking, and company formation with experts and find the suitable options for a successful business venture.

Communicating with other business owners

Communicating with other business owners who have been on the same spot can be helpful as you can get extensive knowledge from a person with experience.

Following these 11 dos and don’ts accordingly can be fruitful for your business. But most importantly always do your research on what you want to pursue as it can be efficient, save you time and be overall productive for your company formation.

1. Projectfrpjsc Intro

Projectfrpjsc is a management consulting services that assist clients interested in setting up their companies in the UAE. The solution to all your business and corporate needs can be fulfilled at Projectfrpjsc. Having 15 years of experience in commercial banking and Mainland Company Setup in UAE we use industry-specific knowledge and practice-led experience to meet our client’s expectation. Assisting companies with transaction banking and trade finance services, we have set up 1000+ companies to date and have affiliation with over 30 banks in the UAE to cater to your needs.

2. Free zone

Companies eligible for free zone license are allowed to practice in the same Dubai free zone or internationally. This set up comes with a lot of special jurisdiction that must be followed, such as the inability to carry our Freezone Company Formation in UAE in the local market. For expatriate partners, this can be a suitable option.

3. Mainland zone

Mainland zone companies are licensed by the DED to Dubai Mainland Business Setup and carry out business all over the UAE and in the local market without any restrictions.

4. Difference between Free zone and Mainland zone

To understand further, the differences between free zone and mainland zone here are some pointers:

 

	FREE ZONE	MAINLAND ZONE
Scope of business	You can do business in the same free zone or outside the UAE. in case of doing business in the local market companies have to pay 5% duty on local market invoices.	You are allowed to do business anywhere in the UAE, and internationally without restrictions.
Ownership	Companies under the free zone do not need any approval from government officials. Exceptions may occur where the beneficiary has to obtain approval from external authority.	Presence of a UAE National is not mandatory for every license as a local partner or local service agent. 100% ownership lies with the expatriate.
Office space	Company may register to incorporate an office space or not. Companies may avail for Flexi desks/smart offices as per their need.	Minimum requirement of 200 sq ft. of office space needs to be fulfilled for leasing and issuing of the license.
Visa facility	Companies generally receive 2 visas but may be given 3-6 as well. To obtain further than the provided the company must lease a physical space in the region to be approved for more.	There are no limitations in visas for mainland companies. But eligibility depends on office space. Larger space, more the number of visas the company may get.
Government authority approvals	Requires standard government approvals and some external government authorities approval in departments such as medicine, education, food-related, or estate regulation etc.	Do not require any specific approvals from authorities but may have exceptions where they may be required external authorities approval.

5. Why Projectfrpjsc is the best choice if you are looking to set up your company under the free zone and mainland zone in the UAE.

• Projectfrpjsc is the right place for your Mainland Company Setup in UAE related needs. To provide a clear run-up on  the services we provide:
• We assist clients with company administration, Opening a Bank Account and other relevant services.
• We are a one-stop Dubai Free Zone Business Guide for business companies looking to set-up in the UAE as we provide resources that explore better business solutions (PRO services, Accounting, VAT, Auditing needs, etc.) and update and inform our clients with various business policies.
• We help our clients choose the right bank to make their transactions efficient
• We also focus on website designing and digital marketing as we chose the right tool for your growing business.
• We provide our client with profitable and financially feasible options to set up companies (such as driving down the cost of the company set up). Apart from that our consultancy provides transparent and intermediary-free pricing.