Renewing a trade license in Dubai has been simplified significantly by the Dubai Economic Department, transforming what was once a complex process into a streamlined online process. With this in mind, this comprehensive guide on how to renew trade license in Dubai online willensure your business continues to operate within the legal confines of the Department of Economic Development (DED).
A trade license is essentially the key that the government provides, allowing individuals or companies to unlock business opportunities within a certain geographical jurisdiction. The DED Trade License renewal is an important aspect of maintaining these opportunities in Dubai, where trade licenses are issued and managed by the authority.
What is a Trade License?
In the city of Dubai, a trade license serves as a formal permission slip from the Department of Economic Development (DED), allowing both nationals and foreign investors to engage in and manage a plethora of business activities in the thriving economic hub. The license renewal fee in Dubai is a small price to pay for access to such a flourishing market. Major categories of licenses issued in Dubai encompass commercial, professional and industrial licenses.
To acquire a trade license, an applicant must demonstrate the fulfilment of certain criteria:
- Evidence of reserved trade name
- Initial DED approval
- A valid office or commercial property contract certified by the Real Estate Regulatory Agency (RERA)
Why is it Important to Renew a Trade License?
According to Dubai’s strict trade licensing laws, licenses are issued on an annual basis and must be renewed promptly upon expiry. Regular renewal such as a trade license renewal in Dubai is key to avoiding any interruption of business activities, maintaining credibility in the market, meeting legal obligations and sidestepping any unnecessary fines or legal complications.
Expired Trade License Renewal Penalty Table
| Days Since Expiry | Penalty (AED) |
|---|---|
| 1st Month | 200 |
| 2nd Month onwards | 200 + Monthly Increments |
Potential penalties vary based on the duration of the license’s expiration. Fines increase incrementally every month past the due date. Delayed renewal and incurred penalties may compromise the operations and overall reputation of a business.
Step-by-step guide on How to Renew Trade License in Dubai Online
In this section, we offer a well-compiled step-by-step guide which outlines the renewal process online. This guide, created by juxtaposing official resources and user experiences, aims to provide entirely accurate and detailed procedures.
Step 1: Login to the Official Portal
Over the years, Dubai has successfully digitized the trade license renewal process via the Dubai Trade Portal. To embark on the trade license renewal in Dubai, first, make your way to the official DED website.
Setting up an Account
For first-time users, the acquisition of an account is a necessary initial process. Follow the bountiful prompts, which guide you to create a profile. This process, although seemingly repetitive, is actually straightforward, requesting basic information such as your identification details, contact details, and a chosen password.
Accessing the Renewal Section
With your account prepared, login using your new credentials. Navigate to the “”License Management”” dashboard – here, you can hurry to the “”Renew License”” option.
Step 2: Submitting the Renewal Application
Once on the renewal page, the next step involves filling out the application form correctly. This form demands details regarding the license you intend to renew alongside the structural makeup of your business. Ensure that the information you provide matches the details provided during initial licensing to avoid any discrepancies that might delay the process.
Filling Out the Application Form
The form generally requires information like the trade license number, company name, and owner details. It will also request details about company structure, shareholders, and the share capital information. Diligently fill out the details, ensuring all information is accurate and recent. Thereafter, confirm the filled-in details to proceed with the application.
Uploading the Required Documents
Every application must be accompanied by specific documents. These documents include a typed BR/1 form, Ejari Certificate, copies of passport for partners, and the current license copy. After double-checking the accuracy and clarity of these documents, you can upload them onto the platform. Endeavour to keep all documents in a readily accessible location on your device for a smooth uploading process.
Step 3: Paying Trade License Renewal Fee
Having successfully filled the form and uploaded the necessary documents, your last task in the renewal process is to settle the license renewal fee. The system will automatically calculate these fees based on your license type and business structure.
Payment Options
You can settle your payment through a range of payment methods including credit or debit cards, bank transfers, or dedicated payment gateways provided by the website. Select your preferred method and proceed with payment.
Confirmation of Payment
Once the payment process is complete, a digital receipt will be generated as proof of payment. It is crucial to save this receipt as it might be required for future references. At this point, your part in the renewal process is complete. The DED system will take up from here and process the application.
Post Renewal Formalities
Upon successful renewal, the authorities will issue a renewed trade license which you should print and keep a record of. It’s also important to remain compliant with license renewal conditions to maintain good standing.
Approval and Receipt of Renewed Trade License
After DED approves your trade license renewal application, you’ll receive a renewed license via text message or email. This license is just as valid as a physical copy, and it is advisable to print it for your records and operations.
Complying with Post License Renewal Rules
Post trade license renewal, all business entities should ensure they comply with the stipulated DED regulations and guidelines related to their specific trade activities. These might include periodic checks and regulations about staff welfare and safety measures among others.
Overall
In conclusion, the authorities have made tremendous strides in streamlining the trade license renewal procedure in Dubai aligning it with the advancement of technology. Following the above steps can guide you through the DED trade license renewal process making it a hassle-free task.
Frequently Asked Questions
- How long does it take to renew a trade license in Dubai online? A: The online renewal process is quick and on successful submission, approval may come within 1-3 working days.
- What happens if I fail to renew my trade license in Dubai on time? A: Failure to renew your trade license before expiry attracts penalties that increase with each passing month. Continual failure might result in the blacklisting of your business.
- Can I conduct business with an expired trade license in Dubai? A: No, it’s illegal to conduct business with an expired license. You risk substantial penalties and legal consequences.
- How can I check my penalty for late trade license renewal? A: Penalties can be checked online through the official DED website or by visiting the DED office.
- Is the online trade license renewal process secure in Dubai? A: Yes, the online renewal process is secure. The DED has implemented robust security measures to protect users’ details and ensure that online transactions are conducted safely.
