How to Add Activities to Your Trade Licence in the UAE

If you’re a business owner in the UAE and want to expand your services or products, updating your trade licence is crucial. The UAE market offers many growth opportunities, and keeping your trade licence up-to-date ensures your business stays compliant with regulations.

Here’s a simple guide to help you through the process of adding activities to your trade licence.

Preparing to Add Activities to Your Licence

Review Your Current Trade Licence Before making changes, check your current trade licence. This document allows you to operate in the UAE, so it must comply with local regulations. You can use the ‘Business Verification’ tool on the Dubai Economic Department (DED) website to confirm your licence status. Enter your trade licence number or company details to view its validity, renewal needs, and any outstanding actions or fees.

Identify New Activities for Expansion Decide on the new activities you want to add. This might involve offering new products, services, or adapting to market trends. For instance, a clothing retailer might want to add accessories, or a marketing consultant might expand into web development. Ensure your trade licence reflects these changes to avoid legal issues and build trust with clients.

Consult with Advisors Updating your trade licence can be complex. Seeking advice from business setup service providers can make the process smoother. They can handle the necessary paperwork and ensure all regulatory requirements are met.

The Application Process

Obtain Approval from DED Start by getting approval from the DED, which oversees business activities in Dubai. After approval, you must submit an application form, often the BR1 form, to request the changes. Depending on the new activities, you may need a No Objection Certificate (NOC) from relevant authorities, such as the Dubai Municipality for food-related activities.

Submit Required Documents You’ll need to submit various documents, including:

• Photocopies of passport and visa
• NOC from your sponsor (if needed)
• Original trade licence and registration certificate
• Completed application form
• Lease contract for your office
• Initial approval certificate for your company name
• Resolution from the parent company’s board (for certain structures)
• Notarised LLC Agreement (if applicable)
• Updated Memorandum of Association (MoA)

Online vs. Offline Application You can apply online through DED’s platform, which might be more convenient. For example, Jafza customers can use the Jafza portal for their applications. The process and requirements may vary based on your business’s location and activity.

Fees and Timelines Adding activities involves government charges and processing fees. The total cost depends on the jurisdiction and type of activity. Typically, amendments during the licence’s validity period incur the full licence fee. Changes made during renewal attract an additional fee of around $135 (AED 500). Processing usually takes between 3 days and 4 weeks, depending on the nature of the activities and required approvals.

Understanding Trade Licence Activities

What Are Licence Activities? In the UAE, a trade licence specifies your business’s operations, detailing its services or products. You need to select activities from a predefined list categorized into industrial, commercial, professional, and tourism groups.

Types of Permitted Activities Your trade licence can cover multiple activities, but combining activities from different main groups (like industrial and professional) is generally not allowed. Adding activities often incurs extra fees, usually around $205 (AED 750) per additional activity on the mainland. This fee can vary in different free zones.

Regulatory Requirements Certain activities might require additional permits or comply with specific regulations. Some may need a UAE national sponsor, minimum capital, or a bank reference letter.

Final Thoughts

Updating your trade licence to add new activities is a significant step in growing your business in the UAE. With careful planning and adherence to regulations, the process can be straightforward. Once updated, your business will be ready to explore new opportunities with official approval and compliance.

For a smooth and compliant business expansion, ensure your trade license is current and accurately reflects your new activities.