In Dubai, Holding A Valid Trade License Is A Legal Requirement, Not Just A Procedural Formality.
All Businesses, Regardless Of Size Or Industry, Must Renew Their Trade License Annually To Continue Operations Legally.
The Department Of Economic Development (Ded) Is The Governing Authority Responsible For Overseeing The Trade License Renewal Process.
While The Process Is Relatively Straightforward, It Requires The Submission Of Specific Documents And Adherence To Deadlines.
Timely Renewal Is Crucial—failure To Renew On Time Can Lead To:
What Is A Trade License?
Cost of Trade License Renewal in Dubai
Step-by-Step Trade License Renewal Process
Consequences of Not Renewing Your License
How Shuraa Can Help with the Renewal Process
Trade licenses in Dubai are valid for one year and must be renewed annually. The renewal application should be submitted at least 30 days before the license expires. Missing the deadline could result in a fine of AED 200 per month (plus additional penalties, if applicable). While the specific requirements can vary across Dubai’s 50+ free zones, here are the general documents you’ll need:
Ejari Certificate
You must have a valid Ejari registration certificate for your tenancy contract. Without it, your renewal application may be rejected and you could be fined.
Valid Tenancy Contract
Your tenancy contract must be valid for at least one more month at the time of renewal. It must also be registered and approved by Ejari. If it’s expired or nearing expiration, your renewal won’t go through.
Copy of Existing Trade License
A copy of your current trade license is required to initiate the renewal process.
BR/1 Form
This is the official renewal application form. It must be typed, signed by all existing business partners, and submitted with all supporting documents.
Passport Copies of Business Partners
You’ll need to include a copy of the passport of each business partner. If you’re a sole owner, just your passport copy will do.
Once you’ve gathered all these documents, submit them to the DED either online or in person—whichever is more convenient for you. All applications are reviewed and processed by Dubai’s regulatory authorities, regardless of the method used.
The cost for renewing a trade license typically ranges between AED 8,000 and AED 15,000, depending on your business activity, location, and the specific free zone you’re operating in.
Good news—if you have a residential Ejari, you may be eligible for discounts on accommodation fees. You can also benefit from reduced Chamber of Commerce fees depending on your setup.
To ensure seamless business operations and regulatory compliance, it’s vital to renew your trade license before it expires. Here’s how:
Check Your Tenancy Contract
Make sure your tenancy contract is valid for at least 30 more days. If not, renew your lease before moving forward.
Complete and Submit the BR/1 Form
Fill out the license renewal form, attach all necessary documents, and submit them to the DED for verification.
Receive Your Payment Voucher
Once your application is approved, you’ll receive a payment voucher outlining the fees.
Make the Payment
Pay the renewal fees using the voucher to complete the process. You can do this online, through the DED mobile app, or in person. Once paid, your renewed license will be issued.
Failing to renew your trade license can seriously impact your business. Here’s what you risk:
Hefty Fines
Operating without a valid license can result in a penalty of AED 5,000, and an additional AED 250 per month if you continue operations after expiry.
Blacklisting
Businesses that operate illegally may be blacklisted by authorities, which can result in permanent closure and loss of credibility.
Business Closure
The DED has the authority to shut down any company running without a valid license. Once shut down, re-establishing a business in Dubai can become a major challenge.
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