General Trading License
In the UAE, general trading involves the import, export, and sale of a wide variety of goods, such as electronics, clothing, furniture, toys, and industrial equipment. While a general trading license covers most physical products, some items—like alcohol, automobiles, medical supplies, and weapons—require special permits.
What Is a General Trading License?
A general trading license allows companies to trade multiple product categories across various industries. This is ideal for businesses planning to operate in diverse sectors. In contrast, a standard trading license limits you to one product category, such as electronics or apparel.
Key Benefits of a General Trading License in Dubai
1️⃣ Versatile Product Range Trade multiple types of goods under a single license, with the exception of restricted products.
2️⃣ Local & International Trading Sell goods in Dubai’s domestic market or export them to other global destinations.
3️⃣ Efficient Licensing Process The process to obtain a general trading license is straightforward, often taking as little as one week.
4️⃣ Cost-Effective Business Setup Dubai’s streamlined processes and competitive fee structures make setting up a trading company manageable and efficient.
5️⃣ Visa Sponsorship Benefits A general trading license allows business owners to sponsor visas for employees and dependents, making relocation and expansion more accessible.
Whether you’re importing, exporting, or distributing products locally, Dubai offers an unmatched platform for success. The city’s strategic location, world-class infrastructure, and supportive business environment make it a top destination for entrepreneurs.
Why Start a General Trading Company in Dubai?
Dubai is a global hub for trade, making it the perfect location to launch a general trading business. Here’s why:
📍 Prime Global Location: Strategically located between East and West, Dubai connects businesses to some of the world’s largest markets with ease.
🚚 Outstanding Trading Infrastructure: From advanced ports and airports to logistics and warehousing facilities, Dubai has a robust ecosystem that supports trading businesses.
🤝 Diverse Business Networks: Dubai offers access to a vast network of professional services, including logistics, marketing, legal, and financial support.
📈 Growing Market Demand: The UAE’s dynamic economy and affluent population ensure consistent demand for a wide range of imported goods.
✔️ Business-Friendly Environment: The government has created an efficient, transparent system that simplifies starting and running trading businesses in the UAE.
Step 1
Prepare Your Application
Submit all required documentation and complete your KYC.
Step 2
Obtain Necessary Approvals
Secure approvals from government and security authorities
Step 3
Receive Your License
Once approved, your trading license will be issued, and you can begin operations.
FAQ’s about General Trading License
If goods are imported into a UAE port and then re-exported, no VAT or customs duty is applied. However, when goods are transferred to the mainland, a 5% VAT and 5% customs duty are applicable. Specific items like carbonated and sweetened beverages face a 50% duty, while energy drinks, e-smoking devices, and tobacco products are subject to a 100% customs duty.
Businesses with a free zone general trading license are not permitted to rent their own warehouse facilities. Instead, they must work with a local distributor who provides storage and logistics services. Finding the right distributor is key, and there are several options available to suit specific business needs.
Free zone companies must rely on local distributors to handle storage, transportation, and delivery of their goods within the UAE. These partnerships ensure compliance with local regulations while maintaining efficient logistics operations.
Yes, businesses with a general trading license can sell on popular e-commerce platforms like Amazon, Noon, and others. However, this requires a partnership with a local logistics company to handle the fulfillment and delivery process within the UAE.
Yes, a general trading license allows businesses to both import goods into the UAE and re-export them internationally. This flexibility makes it ideal for traders operating in global markets.
Businesses operating under a free zone general trading license cannot sell directly on the UAE mainland. Instead, they need to partner with a local distributor who holds a mainland license. The distributor will manage the logistics, delivery, and fulfillment for mainland sales.
The cost of obtaining a general trading license in Dubai can vary depending on the authority or jurisdiction you choose but generally ranges from AED 12,000 to AED 30,000.
Goods imported into the UAE can arrive at any port. To transport items from a port to the mainland or between a free zone and the mainland, you’ll need specific documents, such as:
Bill of Lading or customs bill
Supplier Invoice
Packing List/Delivery Note
Bill of Entry for free zone imports
Bill of Exit for goods exported from the free zone to the mainland or internationally
Having the right documentation ensures smooth customs clearance and compliance with UAE regulations.
A general trading license provides incredible opportunities for entrepreneurs in Dubai’s thriving economy. From importing and exporting to selling online, understanding the legal and operational requirements is essential to ensure a smooth start to your trading journey.
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