A simple guide to trade license Dubai price, Dubai license fees, and business permits in the UAE
Starting a business in Dubai sounds exciting, right? But before you open your doors or launch your website, there’s one big question you’ll face: how much is this going to cost? More specifically, what’s the deal with the Dubai business license cost?
Getting a business license in Dubai isn’t just a formality—it’s your legal gateway to operating smoothly in the UAE. Without it, you’re taking unnecessary risks that could derail your plans fast.
But here’s the thing: the cost isn’t fixed. It varies depending on your business activity, location, and the specific type of license you need. On top of that, additional fees for permits, renewals, and administrative requirements can add up quickly if you’re not prepared. If you also plan to open a bank account remotely in the UAE, having the right license in place is often a key prerequisite—so it pays to get it right from the start.
This guide breaks it all down for you. No complicated terms, no boring legal stuff—just the facts you need. Whether you’re an expat looking to launch a startup, a freelancer ready to go solo, or someone curious about business permits in the UAE, you’ll find clear answers here.
By the time you finish reading, you’ll know exactly what to expect with Dubai business license cost in 2025—and how to plan your budget smartly. Ready? Let’s dive in.
What Is a Dubai Business License?
PC: Business Setup in Dubai
A Dubai business license is an official document that allows you to legally operate a business within the city. Without this license, you can’t sell products, offer services, or even set up an office in Dubai.
Think of it as your business’s passport ; it proves you have permission from the government to carry out commercial activities. The type of license you need depends on what kind of business you plan to run.
There are three main categories of business licenses in Dubai:
- Commercial License: For trading activities like buying, selling, and importing goods. If you want to open a shop or run a trading company, this is the one you’ll need.
- Professional License: For service providers, freelancers, and consultants. If your business offers services like marketing, design, or consultancy, this license fits best.
- Industrial License: For manufacturing and industrial activities. If you plan to produce goods or operate a factory, this is your go-to license.
Each license type has specific rules and requirements. Plus, depending on where you register your business—whether on the mainland, in a free zone, or offshore—the license details and costs will vary.
Getting the right business license is the first step in making your Dubai business official, opening doors to banks, visas, and contracts. So, it’s not just paperwork—it’s the foundation of your success.
How Much Does a Dubai Business License Cost in 2025?
The short answer: It depends. The Dubai business license cost in 2025 can range widely depending on your business type, location, and other factors. But to give you a ballpark, prices generally start from around 3,000 AED ($820) and can go up to 15,000 AED ($4,080) or more.
Here’s a quick look at what you’re paying for:
License Type | Average Cost Range (AED) | Approximate Cost (USD) | What It Covers |
Commercial License | 3,000 – 10,000 | $820 – $2,720 | Trading activities, retail, import/export |
Professional License | 3,000 – 7,000 | $820 – $1,900 | Services like consultancy, marketing, freelancing |
Industrial License | 5,000 – 15,000 | $1,360 – $4,080 | Manufacturing and industrial activities |
Keep in mind, these costs usually cover the initial license fee. There are additional costs to consider, like:
- Office rental or physical space requirements
- Government fees and approvals
- Application and processing fees
- Renewal fees every year
Also, if you choose to set up your business in a free zone, prices and packages can look very different, sometimes including visa services or office space.
In short, while the basic license fee gives you the legal right to operate, the full cost of starting and running your business in Dubai might be higher once you factor everything in.
Trade License Dubai Price: Breaking It Down
When your activity is buying, selling or trading goods, it’s the trade license you will require. This is possibly the most common license in Dubai and it uses its own way of setting pricing.
So, what does the trade license Dubai price look like in 2025?
It depends on where you shop, but to purchase one part can cost you from 3,000 AED ($820) to 10,000 AED ($2,720). However, the price amount varies according to the type of business, what you are doing with your company and where your company is situated inside or outside a free zone.
Here’s a quick example to give you some perspective:
- Small retail store in Dubai mainland: Around 3,500 AED ($950) to 6,000 AED ($1,630)
- Import-export business in a free zone: Could range from 7,000 AED ($1,900) to 10,000 AED ($2,720) or more, often bundled with office space and visa options
- Large trading company with multiple activities: The cost can jump above 10,000 AED ($2,720), especially if you need special approvals or permissions
Keep in mind that trade licenses usually require you to have a physical office or warehouse, which adds to the overall cost.
What’s included in your trade license price?
- Government fees for issuing the license
- Application and processing charges
- Initial approval fees
Extra costs might come from things like:
- Office rent or warehouse lease
- Sponsorship fees if you’re an expat (depending on business setup)
- Renewal fees (usually annual)
In the end, the trade license Dubai price is a key part of your startup budget, but it’s not the whole story. Plan for related costs to get the full picture.
Understanding Dubai License Fees
When you hear “Dubai license fees,” it’s easy to think it’s just one simple payment. But the reality is a bit more layered. The total cost of your Dubai business license includes several different fees that add up over time.
Here’s what you need to know:
1. Initial License Fee
This is the main charge you pay to get your license issued. It varies based on the type of license (commercial, professional, or industrial) and where you register your business. This fee usually covers the official permission to operate.
2. Application and Processing Fees
These are the administrative costs for paperwork, approvals, and government processing. They might seem small individually, but they add up.
3. Renewal Fees
Dubai business licenses aren’t one-and-done. You need to renew your license every year. Renewal fees are generally close to the initial license fee but can sometimes be a bit lower. Missing renewal deadlines can lead to fines.
4. Additional Government Fees
Depending on your business activity, you might need extra approvals or clearances from other government departments. These come with their own charges.
5. Miscellaneous Fees
These could include fees for name reservation, initial approvals, document attestation, or even penalties if paperwork isn’t submitted on time.
Here’s a quick table summarizing typical Dubai license fees:
Fee Type | Typical Cost Range (AED) | Description |
Initial License Fee | 3,000 – 10,000 | Main fee for issuing your business license |
Application/Processing | 500 – 1,500 | Paperwork and administrative charges |
Renewal Fee | 2,500 – 9,000 | Annual license renewal |
Additional Approvals | 500 – 3,000 | Extra government clearances (if needed) |
Miscellaneous | 200 – 1,000 | Name reservations, document fees, fines |
Understanding these fees helps you budget correctly and avoid surprises. The key is to ask your business setup consultant or free zone authority exactly what’s included in the fees they quote.
What Is a Business Permit UAE and How Does It Differ?
A business permit in the UAE is an official approval that allows you to carry out specific activities within your business. It’s not the same as a business license, but they often work together.
Think of it this way: The business license is your general permission to operate legally in Dubai. The business permit is an extra green light you need for certain types of work or special activities.
Here’s how they differ:
- Business License: The basic legal document that lets you run a business. It covers broad categories like trading, professional services, or manufacturing. Without this, you can’t legally operate.
- Business Permit: A permission you get when your business activity requires special approval. For example, if you’re opening a restaurant, you’ll need a health permit. If your work involves import/export of certain goods, you might need customs permits or environmental clearances.
Common types of business permits in the UAE include:
- Health and Safety Permit: Needed for food businesses, clinics, and gyms.
- Environmental Permit: Required for businesses that impact the environment, like manufacturing or waste management.
- Import/Export Permit: For trading goods across borders.
- Specialized Industry Permits: For sectors like education, finance, or tourism.
How does this affect your costs?
While the business license cost covers the basic legal setup, permits usually come with their own fees. These fees depend on the type of permit and the issuing authority. Sometimes, you’ll pay for both upfront, other times you get the permit after your license is approved.
In short: your Dubai business license gets you in the door, and the business permits let you operate within the rules for your specific business activities.
Factors That Affect Your Dubai Business License Cost
Understanding what drives the cost of your Dubai business license helps you plan better. Here are the main factors that influence how much you’ll pay in 2025:
1. Business Location
Where you register your business makes a big difference. Dubai has three main zones: mainland, free zones, and offshore.
- Mainland: Setting up here often costs more because you’ll need local sponsorship and a physical office.
- Free Zones: Usually cheaper and faster to set up, with many packages including visas and office space. But you might be limited to doing business only within the free zone or internationally.
- Offshore: Cheapest option if you don’t need a physical presence in Dubai and mainly want international business benefits.
2. Type of Business Activity
The kind of business you’re running affects your license type and cost. Some activities require special approvals or extra permits, which add to the price. For example:
- Trading businesses usually pay more because they need commercial licenses and often warehouses or shops.
- Service-based businesses like consulting usually have lower fees with professional licenses.
- Manufacturing or industrial activities tend to be the most expensive due to extra regulations.
3. Office Space Requirements
Most mainland businesses need a physical office, which adds to your expenses. Some free zones offer flexi-desk or shared office options that reduce this cost.
4. Number of Visas Needed
If you plan to hire employees or bring in family members, the cost of visas will impact your budget. Many free zone packages include a set number of visas.
5. Additional Approvals and Clearances
Depending on your business activity, you may need approvals from health, environment, or industry-specific authorities. These come with extra fees and can affect the timeline for your license issuance.
In short, the more complex your business setup, the higher the Dubai business license cost. But knowing these factors helps you pick the right setup and avoid unexpected charges.
How to Apply for a Dubai Business License: Step-by-Step
Getting your Dubai business license might sound complicated, but it’s straightforward when you know the steps. Here’s a simple guide to help you through the process:
1. Choose Your Business Activity
Decide exactly what type of business you want to run. This will determine the kind of license you need; commercial, professional, or industrial.
2. Select Your Business Location
Pick whether you’ll set up in the Dubai mainland, a free zone, or offshore. This affects your license type, costs, and legal requirements.
3. Reserve Your Trade Name
You need to pick a unique business name and get it approved by the Department of Economic Development (DED) or the free zone authority. This step usually involves a fee.
4. Submit Your Application
Gather all necessary documents, such as passport copies, visa status, and business plan. Submit your application along with the required fees to the relevant authority.
5. Get Initial Approval
The government will review your application and give you initial approval if everything looks good. This step confirms your business activity is allowed.
6. Rent Office Space
If required, secure your office or workspace. Some free zones offer flexible options like shared offices or virtual offices.
7. Finalize License Payment
Pay the remaining license fees and any other charges.
8. Receive Your Business License
Once payment is confirmed and all documents are in order, you get your official business license. Now, you’re legally allowed to start your business in Dubai.
Tips:
- Double-check documents to avoid delays.
- Use a business setup consultant if you want expert help.
- Keep track of renewal dates to stay compliant.
Tips to Save on Dubai Business License Costs
Starting a business in Dubai can be pricey, but there are smart ways to cut costs without cutting corners. Here are some proven tips to help you save money on your Dubai business license:
1. Choose the Right Jurisdiction
Free zones often offer attractive packages that include licenses, visas, and office space at lower costs compared to mainland setups. If your business model fits, setting up in a free zone can save you thousands.
2. Opt for Flexi-Desk or Shared Office Options
Instead of leasing a full office, many free zones provide flexible workspace options like a flexi-desk or shared office. These are cheaper and still meet legal requirements.
3. Bundle Your Services
Look for business setup providers that offer bundled packages. These often combine licensing, visa processing, and office rental at a discount.
4. Be Clear About Your Business Activity
Choosing a very broad or complicated business activity can increase costs due to extra approvals and fees. Pick the simplest activity that covers your needs to keep fees lower.
5. Avoid Last-Minute Applications
Applying in a rush can lead to extra fees and mistakes. Plan ahead and submit your documents early to avoid penalties or expedited service charges.
6. Renew Your License on Time
Late renewals usually come with fines and additional fees. Keep track of your license expiry and renew on time.
7. Get Professional Advice
Sometimes paying a little for expert guidance can save a lot in unexpected costs. Consultants can help you choose the right license and setup for your budget.
Smart planning can go a long way in managing the Dubai business license cost. Save where it counts and invest where it matters.
Common Questions About Dubai Business Licenses
Q1: Can I start a business in Dubai without a license?
No, operating a business without a valid Dubai business license is illegal. It can lead to fines, penalties, and even closure of your business. Always get your license before you start any commercial activity.
Q2: How long does it take to get a Dubai business license?
The process usually takes anywhere from a few days to a few weeks, depending on your business activity, jurisdiction (mainland or free zone), and how quickly you submit all required documents.
Q3: Are there different fees for license renewals versus new licenses?
Renewal fees are generally similar to or slightly less than the initial license cost. However, missing renewal deadlines can lead to fines, so timely renewal is important to avoid extra charges.
Q4: Can I transfer my Dubai business license to another person or company?
Yes, but the transfer process depends on the business structure and jurisdiction. Transfers typically require government approval and may involve additional fees.
Q5: Is it possible to change the business activity on an existing Dubai business license?
Yes, you can modify your business activity, but this usually requires submitting a new application, paying additional fees, and sometimes obtaining extra approvals.
Q6: Does the Dubai business license cost include visa fees?
Usually, the license fee does not include visa costs. Visas are separate expenses, although some free zone packages bundle visas with the license.
Q7: What happens if I don’t renew my Dubai business license on time?
You risk penalties, fines, and your business may be considered illegal until you renew. It’s best to renew promptly to avoid disruptions.
Q8: Can freelancers get a Dubai business license?
Yes, Dubai offers freelance permits under certain free zones with lower costs and flexible requirements, making it easier for individuals to work legally.
Q9: Are there any hidden costs when applying for a Dubai business license?
Besides the official fees, watch out for costs like document attestation, translation, local sponsorship fees (for mainland), and office rental, which can add up.
Final Thoughts
Navigating the Dubai business license cost in 2025 might seem tricky at first, but breaking it down makes it manageable. Your license is your legal foundation—it unlocks doors to opportunities, banking, visas, and smooth business operations. Keep in mind that costs vary based on your business type, location, and specific needs, so planning ahead is key.
Whether you’re an expat entrepreneur or a local business owner, understanding these costs helps you budget smarter and avoid surprises. If you want tailored advice or support navigating Dubai’s business landscape, Expatriate Global offers expert consultancy services to guide you through setup, licensing, and compliance smoothly. They specialize in helping newcomers and seasoned entrepreneurs make the most of Dubai’s dynamic market.
With the right knowledge and support, your Dubai business journey can start strong—and stay strong.