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Launch Your Online Business with an E-Commerce License in Dubai!

Empower your digital enterprise with a comprehensive E-Commerce License from CoHUB. Benefit from Dubai’s thriving online market, enjoy seamless regulatory compliance, and take advantage of our expert support to establish and grow your e-commerce venture. Start your journey to online success today with CoHUB!

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Ecommerce License in Dubai

E-Commerce License in Dubai – CoHUB

Start your e-commerce journey in Dubai with Us, where we help you obtain the essential E-Commerce License to ensure compliance and drive growth in the region’s booming digital marketplace.Whether you’re starting a new online store or expanding your existing operations, an E-Commerce License is essential for ensuring compliance and achieving growth.

Why Choose an E-Commerce License in Dubai?

Dubai offers a strategic advantage for e-commerce businesses with its robust digital infrastructure, favorable regulatory environment, and global connectivity. An E-Commerce License allows you to operate legally within Dubai and beyond, providing you with the credibility and framework needed to thrive in the competitive online marketplace.

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    Benefits of an E-Commerce License

    100% Foreign Ownership

    Enjoy complete control over your e-commerce business without the need for a local partner.

    Access to a Growing Market

    Tap into Dubai's expansive online consumer base and leverage its position as a global trading hub.

    Regulatory Compliance

    Operate within the legal framework set by Dubai’s Department of Economic Development (DED), ensuring your business adheres to local regulations.

    Enhanced Credibility

    Build trust with customers by operating under a recognized and regulated business license.

    How to apply for an e-commerce license in the UAE

    The application process for an e-commerce license may differ for each jurisdiction, but we are giving you an overview so you can get a better idea of the documents you need to prepare and the processes you need to go through.

    Step 1: Prepare the following details and documents

    • Company name
    • Business activity
    • Copy of your passport or visa/entry stamp
    • Share ratio
    • Contact number, email and complete address of all company shareholders
    • Photos (if required by the free zone)

    Step 2: Liaise with your chosen free zone / mainland jurisdiction

    • Submit the required documents to the free zone or mainland jurisdiction.
    • Once they have received the documents, your e-commerce license application will enter the stage of initial approval. In most cases, you have to make a payment to the free zone or mainland to initiate the application process. The rate of an e-commerce license may start from AED 5,750, depending on the jurisdiction.
    • Most jurisdictions require pre-approval first before they issue your license. The application process may take 3 to 7 days in free zones, whereas your application can be processed on the same day or up to 2 days in the mainland.

    Step 3: Wait for your documents to be released

    Once your license has been issued, then the digital documents will be sent to you. Some free zones may require original documents, which will be sent to you at a later date.

    Step 4: Start your visa application

    If the e-commerce license package you chose comes with visa(s), then the visa application process will begin after the immigration card has been issued.

    Types of E-Commerce Licenses in Dubai

    Dubai offers a range of e-commerce licenses tailored to different business needs and nationalities. Here, we can guide you through selecting the best license type for your online business. Here are the three primary e-commerce licenses available in Dubai:

    1. E-Trader License

    The E-Trader License is perfect for individuals or small businesses operating e-commerce activities from home or without a physical store. This license is a cost-effective solution for those looking to establish a simple online business. It provides a straightforward way to start selling products or services online with minimal overhead.

    2. Portal License

    The Portal License is designed for businesses that act as intermediaries between buyers and sellers. It is suitable for non-UAE nationals and is ideal for creating online platforms that list products, services, or reservations. This license allows you to operate a listing website or marketplace, connecting various vendors and customers.

    3. Virtual Company License

    The Virtual Company License was introduced by Dubai Economy to facilitate international businesses. It enables overseas investors and non-residents of the UAE to conduct commercial activities within Dubai without the need for a physical office. This license is advantageous for companies seeking to expand their operations into the Middle East and North Africa (MENA) region, offering flexibility and broader market reach.

    Cost of an E-Commerce License in Dubai – CoHUB

    The cost of obtaining an e-commerce license in Dubai varies based on several factors, including the type of license, location, and business complexity. Here’s a breakdown of the costs you can expect:

    Mainland E-Commerce License

    An e-commerce license in Dubai’s mainland typically starts at approximately AED 11,500*. This cost can vary depending on the specific requirements of your business and the services you need. Additional expenses to consider include:

    • Physical Store Registration (if applicable): Costs related to setting up a physical presence if required.
    • Office Rent: Fees for leasing office space, if needed.
    • Visa Costs: Expenses for obtaining necessary visas.
    • Specialized Permits: Any additional permits required for your business activities.
    • Investor’s Medical and Emirates ID Costs: Health checks and ID processing fees.
    • Foreign Name Charges (if applicable): Fees for using a foreign business name.
    • Medical Insurance: Coverage for the investor.
    • Other Government Fees: Additional regulatory charges.

    Freezone E-Commerce License

    In Dubai Freezones, the cost of an e-commerce license generally starts at around AED 12,500*. The actual fee can vary based on factors such as your business type, model, size, and structure. Each Freezone has its own set of licensing fees and administrative charges.

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    Frequently Asked Question

    How much does it cost to start an e-commerce company?
    Starting an e-commerce company in Dubai can cost between AED 11,500 and AED 12,500, depending on whether you choose a mainland or Freezone license. Additional costs may include office rent (if required), visa fees, specialized permits, and other administrative expenses. For a precise cost breakdown tailored to your specific business, contact CoHUB.
    Do you need to rent an office space?
    For an e-commerce business operating with a mainland license, renting office space may be required, depending on your business model. However, if you obtain a Freezone license, office space requirements can vary, and some Freezones offer flexible options including virtual offices.
    How long do you need to start an e-commerce company in the UAE?
    The process to start an e-commerce company in the UAE typically takes 2 to 4 weeks. This includes time for obtaining the necessary licenses, setting up your business, and completing any additional registrations or approvals. The timeline can vary based on the efficiency of document processing and the complexity of your business setup.
    What is the best Freezone for e-commerce?
    The best Freezone for e-commerce depends on your specific business needs and objectives. Popular Freezones for e-commerce include Dubai Internet City, Dubai Silicon Oasis, and Jebel Ali Free Zone. Each Freezone offers different benefits, such as tax exemptions and logistical advantages, so it’s essential to choose one that aligns with your business goals.
    What are the penalties for setting up an e-commerce shop without a license?
    Operating an e-commerce shop without a valid license in Dubai can lead to significant penalties, including fines, legal actions, and potential business closure. To avoid such issues, ensure that you obtain the appropriate e-commerce license before starting your business operations.
    Are e-commerce businesses required to register for VAT?
    Yes, e-commerce businesses in Dubai are required to register for VAT if their taxable supplies exceed AED 375,000 annually. VAT registration ensures compliance with UAE tax regulations and allows you to reclaim VAT on business-related expenses.
    eTrader license vs. E-Commerce license in Dubai
    The eTrader License is suitable for individuals or small businesses operating e-commerce activities from home without a physical store. In contrast, the E-Commerce License is designed for more established online businesses that may operate from a physical location or a larger scale. The eCommerce license typically provides broader business activities and benefits.
    When do I need a license for an e-commerce website?
    You need a license for your e-commerce website before you start any commercial activities. This includes launching your online store, processing transactions, and engaging in sales. Operating without a license can lead to legal and financial repercussions.
    What is the difference between an e-commerce business license and a business trade license?
    An e-commerce business license is specifically for online businesses, focusing on digital trade and e-commerce activities. A business trade license, on the other hand, covers a broader range of commercial activities, including physical retail operations and other non-digital trades.
    What fees do you have to pay for an e-commerce license in Dubai?
    Fees for an e-commerce license in Dubai include the license fee, which generally ranges from AED 11,500 to AED 12,500. Additional costs may include office space (if required), visa fees, permit fees, and other government charges. For a detailed breakdown of fees, contact CoHUB.