How to Build a Multi-Product Business Empire with a General Trading License in Dubai

How to Build a Multi-Product Business Empire with a General Trading License in Dubai

A Story by Freya Parker
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Learn how to get a General Trading License in Dubai. Discover costs, benefits, setup steps, and documents needed to start your trading business.

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Dreaming of running a business that lets you trade a variety of products under one license? That’s exactly what a General Trading License in Dubai offers! This license is your ticket to a world of limitless trading opportunities �" both within the UAE and across global markets.

In this guide, we’ll walk you through everything you need to know �" from benefits and costs to setup steps and renewal.



What is a General Trading License in Dubai?

A General Trading License is issued by the Dubai Department of Economic Development (DED) and allows businesses to trade in multiple types of goods under a single license. You can import, export, and re-export products such as electronics, furniture, apparel, food items, and building materials �" all with one license.

However, some specialized goods like pharmaceuticals, tobacco, or chemicals require additional approvals from respective authorities.



Why Dubai is the Perfect Hub for Trading Businesses

Dubai’s strategic location between Asia, Europe, and Africa makes it a global trade powerhouse. Its modern infrastructure, business-friendly laws, and tax incentives attract entrepreneurs from every corner of the world. Whether you’re a small trader or an international enterprise, Dubai offers unmatched access to regional and global markets.




Benefits of Getting a General Trading License in Dubai

1 Global Trading Opportunities

With Dubai’s world-class logistics network and ports like Jebel Ali, businesses can easily import and export goods worldwide.

2 100% Foreign Ownership in Free Zones

Setting up in a Free Zone allows foreign investors to retain complete ownership of their businesses �" no local sponsor required.

3 Tax Benefits and Incentives

Enjoy zero personal and corporate income tax, no import/export duties, and free capital repatriation �" perfect for maximizing profits.

4 Flexible Office Setup Options

You can start your business with a virtual office, shared workspace, or fully functional physical office depending on your budget and operations.




Activities Covered Under a General Trading License

A General Trading License allows you to engage in:

  • Import and export of consumer goods

  • Wholesale and retail trading

  • Distribution of goods to local markets

  • Storage and warehousing activities

  • Online trading (eCommerce)

In short, it’s one of the most versatile business licenses in Dubai.




Activities Restricted or Requiring Additional Approvals

While the general license covers a wide range of goods, the following categories need special permission:

  • Medical and pharmaceutical products

  • Alcoholic beverages

  • Tobacco products

  • Precious metals and jewelry

  • Chemicals or hazardous materials

Such approvals are usually obtained from Dubai Municipality, MOHAP, or Environment Department.




Types of Business Jurisdictions in Dubai

1 Mainland

A Mainland License (issued by DED) allows you to trade within the UAE market directly and take on government contracts.

2 Free Zone

Free zones like DMCC, JAFZA, or Dubai South offer 100% ownership and tax exemptions, making them ideal for international trading.

3 Offshore

Offshore companies (like in JAFZA Offshore or RAK ICC) are ideal for holding companies, asset protection, and international operations �" but they can’t trade locally in the UAE.




Step-by-Step Process to Obtain a General Trading License in Dubai

1 Choose Your Business Jurisdiction

Decide whether to operate on the mainland, free zone, or offshore, depending on your target market.

2 Decide the Business Structure

You can register as an LLC, sole proprietorship, or branch of a foreign company.

3 Select a Trade Name

Pick a unique, DED-approved name that reflects your business activity.

4 Apply for Initial Approval from DED

Get initial clearance to proceed with the licensing process.

5 Prepare the Required Documents

Gather documents such as passport copies, tenancy contracts, and MOA (Memorandum of Association).

6 Rent an Office Space or Virtual Office

A valid Ejari certificate or lease agreement is mandatory for mainland licenses.

7 Submit Final Application and Pay Fees

Once all documents are ready, submit the application and pay the final license issuance fee.



Documents Required for General Trading License Application

  • Passport copies of all shareholders

  • Passport-size photographs

  • Business name reservation certificate

  • Initial approval receipt

  • Tenancy contract/Ejari

  • Memorandum of Association (MOA)

  • NOC from sponsor (if applicable)

Cost of General Trading License in Dubai

The cost of a General Trading License in Dubai typically ranges from AED 15,000 to AED 30,000, depending on:

  • Jurisdiction (Mainland or Free Zone)

  • Number of business activities

  • Office space rental and visa quota

In Free Zones, the setup packages often include license, visa, and office space bundled together.



Validity and Renewal of the License

A General Trading License is valid for one year and must be renewed annually. The renewal process is simple �" just ensure your tenancy contract and business documents are updated.



How to Expand Your Business Internationally

With this license, you can easily export goods, open global partnerships, or set up subsidiaries in other countries using Dubai’s global reputation as leverage.


Common Mistakes to Avoid During the Licensing Process

  • Choosing the wrong jurisdiction

  • Incomplete document submission

  • Misunderstanding trade activity scope

  • Not renewing the license on time

  • Ignoring visa quota requirements

Avoiding these can save time and prevent costly delays.


Choosing the Right Business Setup Partner

Partnering with a professional business setup consultant can simplify the entire process. Experts handle everything �" from paperwork to approvals �" letting you focus on growing your business.


Conclusion

General Trading License in Dubai opens doors to endless business possibilities. Whether you’re trading electronics, textiles, or food products, Dubai’s world-class infrastructure and investor-friendly environment make it the perfect place to start. With the right guidance, setting up your trading business here can be smooth, profitable, and long-term sustainable.


FAQs

1. Can I sell my products in the local UAE market with a Free Zone license?
You can trade internationally, but to sell in the local market, you’ll need a local distributor or a mainland partner.


2. How long does it take to get a General Trading License in Dubai?
Usually between 5 to 10 working days, depending on documentation and approvals.


3. Can I include eCommerce under my General Trading License?
Yes, online trading is permitted under the general trading license.


4. Do I need a local sponsor for a mainland trading company?
Not necessarily �" recent reforms allow 100% foreign ownership in many mainland sectors.


5. Is it possible to upgrade from a Free Zone to a Mainland license later?
Yes, with proper procedures and DED approval, businesses can migrate between jurisdictions.

© 2025 Freya Parker


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Added on October 10, 2025
Last Updated on October 10, 2025

Author

Freya Parker
Freya Parker

Melbourne, Victoria, Australia



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A car expert from Melbourne. I share simple, practical advice to help you sell your car with confidence and get the best value. more..