Quick Answer
A general trading license in Dubai allows a business to import, export, distribute, and trade multiple categories of goods under a single commercial permit issued by the Dubai Department of Economy and Tourism (DET) for mainland companies or by a relevant free zone authority. The total cost of a general trading license in Dubai in 2026 ranges from AED 15,000 to AED 50,000 depending on whether you set up on the mainland or in a free zone, the number of visas required, and your office arrangement. The license can be issued within 5 to 15 working days with complete documentation.
What is a General Trading License in Dubai
A general trading license in Dubai is a commercial license that covers a broad range of trading activities under one registration. Unlike a specific trading license which restricts you to a single product category, a general trading license gives you the flexibility to trade across multiple unrelated goods, electronics, textiles, furniture, foodstuffs, building materials, machinery, consumer goods, and more, all under the same company and the same license.
The license is issued under the commercial license category by the DET on the mainland or by the relevant free zone authority. It covers wholesale trading, retail trading, import and export activity, and distribution. The business owner can trade any goods that are not subject to a government ban or special regulatory restriction
Goods that require separate permits or additional approvals on top of a general trading license include pharmaceuticals, medical devices, food and perishables (Dubai Municipality approval), chemicals, precious metals, and tobacco products. These categories are not prohibited under a general trading license, they simply require sector-specific regulatory clearance in addition to the commercial license.
Mainland vs Free Zone: Which Is Right for Your General Trading Business
The first decision when setting up a general trading company in Dubai is jurisdiction. It determines your cost, your market access, your office requirements, and your ownership structure. The two options are mainland under DET and free zone under a free zone authority.
| Factor | Mainland (DET) | Free Zone |
|---|---|---|
| Licensing authority | Dubai Department of Economy and Tourism | Relevant free zone authority (DMCC, IFZA, Meydan, etc.) |
| Foreign ownership | 100% permitted since 2021 amendment | 100% always permitted |
| UAE market access | Unrestricted — trade directly with any UAE customer | Primarily international; UAE mainland sales may need a distributor |
| Physical office requirement | Ejari registered office required | Flexi desk or shared space accepted by most free zones |
| Customs duty treatment | 5% customs duty on imports | Most free zones offer duty-free import and re-export |
| Warehouse facilities | Available across Dubai industrial areas | Available within free zone or near port areas |
| License cost range (AED) | 25,000 to 50,000 including office and government fees | 15,000 to 35,000 depending on free zone and package |
| Best suited for | Businesses selling to UAE consumers, retailers, and government | Businesses focused on import, re-export, and international trade |
The mainland advantage for general trading: a mainland general trading license allows you to sell directly to any buyer in the UAE without restriction. Supermarkets, retailers, distributors, government entities, and individual consumers are all accessible markets. Free zone companies that want to sell to UAE mainland customers must either transact through a registered mainland distributor or apply for a dual license arrangement, which adds cost and complexity.
The free zone advantage for general trading: if your business model is built around importing goods and re-exporting them to international markets, a free zone general trading license gives you customs duty advantages, streamlined logistics through free zone port access, and significantly lower office costs. JAFZA (Jebel Ali Free Zone Authority) and DAFZA (Dubai Airport Free Zone Authority) are particularly strong for businesses with high import-export volumes because of their direct port and airport connectivity.
General Trading License Cost in Dubai 2026: Full Breakdown
The general trading license cost in Dubai has multiple components. The license fee itself is only one part. The total cost includes government fees, office space, visa costs, and professional service fees. Here is what each component costs in 2026.
Mainland general trading license cost breakdown
| Cost Component | Amount (AED) | Notes |
|---|---|---|
| DET initial approval fee | 300 to 500 | One time for new applications |
| Trade name registration | 620 to 900 | Per approved trade name |
| Commercial license fee | 10,000 to 15,000 | Annual fee set by DET based on activity |
| DED activity fees | 5,000 to 8,000 | Per business activity registered |
| Memorandum of Association notarisation | 1,500 to 3,000 | Required for LLC structures |
| Ejari office registration | 220 | Mandatory for mainland companies |
| Office rent (annual) | 20,000 to 80,000 | Varies significantly by location and size |
| Investor visa | 3,500 to 5,000 | Per visa including medical and Emirates ID |
| Dubai Chamber of Commerce membership | 1,200 | Annual mandatory membership for trading companies |
| Professional service fee | 2,000 to 5,000 | Business setup consultant fee if used |
| Total estimated first year cost | AED 30,000 to AED 65,000 | Varies by office size and number of visas |
Free zone general trading license cost breakdown
| Free Zone | License Cost (AED) | Visa Allocation | Office Type | Total Est. Cost (AED) |
|---|---|---|---|---|
| IFZA Dubai | 12,500 to 15,000 | 1 to 6 visas | Flexi desk | 15,000 to 28,000 |
| Meydan Free Zone | 12,500 to 18,000 | 1 to 5 visas | Flexi desk or office | 14,000 to 30,000 |
| DMCC Dubai | 18,000 to 25,000 | 1 to 10 visas | Flexi desk or office | 22,000 to 45,000 |
| DAFZA | 20,000 to 30,000 | 1 to 10 visas | Physical office required | 30,000 to 55,000 |
| JAFZA | 22,000 to 35,000 | 1 to 10 visas | Physical office or warehouse | 35,000 to 70,000 |
Important: free zone license fees above are base license costs. Adding investor visas increases the total cost by AED 3,500 to AED 5,000 per person. Warehouse space, when required for physical goods storage within the free zone, adds AED 15,000 to AED 60,000 annually depending on size. Always request a complete package quote from the free zone authority or a licensed setup firm before committing.
General Trading License Requirements in Dubai 2026
The document and eligibility requirements for a general trading license in Dubai differ slightly between mainland and free zone applications, but the core requirements are consistent.
Documents required for all applicants
- Valid passport copies of all shareholders with minimum 6 months validity
- Passport size photographs with white background for each shareholder
- UAE residence visa or tourist entry stamp if already in the UAE
- Proof of residential address — utility bill or bank statement dated within 3 months
- No Objection Certificate from current UAE employer if the applicant is already on a UAE employment visa
Additional requirements for mainland DET applications
- Ejari registered tenancy contract for the business office address
- Memorandum of Association signed by all shareholders and notarised
- Initial approval form completed through the DET online portal
- Dubai Chamber of Commerce registration application submitted simultaneously with license application
- Sector-specific approvals where applicable — Dubai Municipality for food trading, Ministry of Health for medical goods, and relevant authority for any regulated product category
Additional requirements for free zone applications
- Completed free zone application form specific to the chosen authority
- Business plan summarising the trading activities, target markets, and projected revenue — required by DMCC and DAFZA; optional for smaller free zones
- Board resolution if applying on behalf of a corporate shareholder
- Certified translation of any documents not in Arabic or English
What goods are NOT covered by a general trading license
A general trading license in Dubai does not automatically permit trading in the following categories. Each requires a separate regulatory approval on top of the commercial license:
- Pharmaceuticals and medical devices: Dubai Health Authority or Ministry of Health approval required
- Food products and perishables: Dubai Municipality food trading approval and cold chain compliance where applicable
- Alcohol: Restricted licensing from relevant emirate authority; not available to all business structures
- Tobacco and tobacco products: Ministry of Finance excise tax registration required; specific import approvals
- Precious metals and gemstones: Dubai Multi Commodities Centre specific permits or Ministry of Economy approval
- Chemicals and hazardous materials: Ministry of Climate Change and Environment approval plus specific handling certifications
- Weapons and military equipment: Ministry of Interior approval; heavily restricted and not available to most private businesses
How to Get a General Trading License in Dubai: Step by Step
- Choose your jurisdiction. Decide between mainland DET and a free zone based on your target market, budget, and operational model. If you are selling primarily to UAE businesses and consumers, mainland is the correct choice. If you are focused on import and international re-export, a free zone will better serve your logistics and cost structure.
- Reserve your trade name. Submit 3 trade name options in order of preference to DET or the relevant free zone authority. Names must not duplicate existing registrations, must not include restricted words, and must reflect a commercial trading activity. Approval typically takes 1 to 3 working days.
- Obtain initial approval. Submit the initial approval application with your business activity details, shareholder information, and trade name approval. For DET mainland applications this is done through the DED system. For free zones, through the free zone’s online portal. Initial approval confirms that your business activity is permissible under the proposed structure.
- Secure your office space. For mainland DET applications, sign a tenancy contract and register it on Ejari through the Real Estate Regulatory Authority. For free zone applications, select your package — flexi desk, serviced office, or dedicated unit — and execute the free zone’s standard workspace agreement.
- Submit full license application. Submit the complete document package including initial approval, Memorandum of Association for mainland LLC structures, office lease, and all shareholder documents. Pay the applicable government and license fees at this stage.
- Obtain sector approvals if required. For regulated goods categories, submit parallel applications to the relevant regulatory authority simultaneously with your license application to avoid delays. Some approvals take 2 to 4 weeks independently of the license process.
- Receive your trade license. Once all approvals and fees are confirmed, the DET or free zone authority issues your general trading license. For straightforward applications with complete documentation, license issuance takes 5 to 10 working days on the mainland and 3 to 7 working days in most free zones.
- Apply for an investor visa and open a bank account. With your trade license issued, apply for your investor residence visa through the immigration authority and initiate your corporate bank account application. Both run in parallel and typically take 2 to 4 weeks to complete.
Annual Renewal and Ongoing Costs
A general trading license in Dubai must be renewed annually. Failure to renew on time results in a 10% penalty of the license fee for the first month and a further 10% for each additional month of delay. The DED also restricts the ability to conduct government transactions, including visa renewals for employees, for companies with expired licenses.
Annual renewal costs are broadly the same as the initial license fee components, excluding one-off costs such as trade name registration and initial approval fees. The ongoing annual cost for a mainland general trading company with a small office and 2 visas is typically AED 35,000 to AED 55,000 per year including all renewals, visa renewals, and office rent. For a free zone general trading company, the equivalent figure is AED 20,000 to AED 40,000 per year.
Key Facts: General Trading License in Dubai 2026
| Item | Details |
|---|---|
| License type | Commercial license — General Trading activity |
| Issuing authority | Dubai Department of Economy and Tourism (mainland) or free zone authority |
| Foreign ownership | 100% for all nationalities — both mainland and free zone |
| Mainland license cost | AED 30,000 to AED 65,000 total first year including office and one visa |
| Free zone license cost | AED 15,000 to AED 55,000 depending on free zone and package |
| Processing time | 5 to 15 working days with complete documentation |
| Minimum documents required | Passport copy, photograph, proof of address, trade name approval |
| Office requirement (mainland) | Ejari registered physical office mandatory |
| Office requirement (free zone) | Flexi desk or shared space accepted by most authorities |
| Visa eligibility | Investor visa issued with license; employee visas based on office size quota |
| VAT registration threshold | AED 375,000 in taxable supplies — mandatory registration then required |
| License validity | 1 year — annual renewal required |
| Renewal penalty | 10% of license fee per month of delay |
| Regulated goods | Require additional sector approvals on top of commercial license |
Key Takeaways
- A general trading license in Dubai covers multiple unrelated product categories under one commercial permit, eliminating the need for separate licenses per product type.
- The total cost of a general trading license in Dubai ranges from AED 15,000 to AED 65,000 in 2026 depending on jurisdiction, office type, and number of visas.
- Mainland DET licenses give unrestricted access to the UAE market including government contracts and direct consumer sales; free zone licenses are more cost-efficient for import and re-export operations.
- 100% foreign ownership is available for general trading companies on both mainland and free zone structures with no requirement for a local UAE national partner.
- Regulated product categories including food, pharmaceuticals, chemicals, and tobacco require additional sector-specific approvals on top of the general trading license.
- The license processing time is 5 to 15 working days for straightforward applications with complete documentation.
- Annual renewal is mandatory and late renewal carries a 10% monthly penalty of the license fee.
- General trading companies crossing AED 375,000 in annual taxable supplies must register for VAT with the Federal Tax Authority.
Summary
A general trading license in Dubai is one of the most commercially flexible licenses available in the UAE, giving businesses the ability to import, export, and trade across multiple product categories without maintaining separate registrations for each. The total cost in 2026 ranges from AED 15,000 for a basic free zone setup to AED 65,000 for a fully established mainland operation with office and visas. The mainland route is the right choice for businesses targeting the UAE domestic market; the free zone route suits businesses built around international trade and re-export. Both structures now permit 100% foreign ownership with no local partner requirement. With complete documentation, the license can be issued within 5 to 15 working days. The ongoing annual cost of maintaining the license, renewing visas, and retaining office space is the figure businesses most consistently underestimate when planning their setup budget.
How AB Capital Services Can Help
Setting up a general trading license in Dubai involves more than just paperwork, it requires the right decisions around jurisdiction, cost structure, compliance, and banking. AB Capital Services supports entrepreneurs with a clear, step-by-step approach to ensure your business is set up correctly from the start, avoiding delays, rejections, and unnecessary expenses.
With deep experience in UAE business setup and banking processes, AB Capital focuses on practical execution, helping you move from idea to fully operational company with minimal friction. Whether you’re entering the UAE market or scaling an existing business, their team ensures a smooth, compliant, and efficient setup aligned with your long-term goals.
Key Services Offered by AB Capital Services Dubai:
- Business setup (Mainland & Free Zone)
- General trading license registration
- Corporate bank account assistance
- Investor & employee visa processing
- PRO services and government approvals
- VAT registration and compliance support
- Business structuring and advisory
- Ongoing renewal and compliance management
FAQs: General Trading License in Dubai
1. What can I trade under a general trading license in Dubai?
A general trading license in Dubai permits trading in a wide range of goods including electronics, textiles, garments, furniture, building materials, machinery, foodstuffs, automotive parts, cosmetics, household goods, packaging materials, and consumer goods. The license does not cover goods that are prohibited in the UAE and does not automatically permit trading in regulated categories such as pharmaceuticals, alcohol, tobacco, precious metals, chemicals, and medical devices. Each regulated category requires a separate approval from the relevant government authority on top of the general trading license.
2. How much does a general trading license cost in Dubai in 2026?
The total cost of a general trading license in Dubai in 2026 ranges from AED 15,000 for a basic free zone setup to AED 65,000 for a mainland company with a physical office and investor visa. The license fee component alone ranges from AED 10,000 to AED 25,000. Additional costs include trade name registration (AED 620 to AED 900), office rent (AED 20,000 to AED 80,000 annually on the mainland), investor visa (AED 3,500 to AED 5,000), Dubai Chamber of Commerce membership (AED 1,200 for mainland companies), and professional service fees if using a setup consultant.
3. Can a foreigner get a general trading license in Dubai without a local partner?
Yes. Since the UAE amended its Commercial Companies Law, foreign nationals can own 100% of a general trading company on the Dubai mainland with no requirement for a local UAE national partner or sponsor. Free zone general trading companies have always permitted 100% foreign ownership. This applies to all nationalities and there is no minimum share capital requirement for most general trading license structures.
4. What is the difference between a general trading license and a specific trading license in Dubai?
A general trading license in Dubai covers multiple unrelated product categories under one license. A specific trading license — also called a commercial license with a defined commodity — restricts the holder to trading in a single named product or product family. A general trading license is more expensive than a specific trading license because it covers a broader scope of activity. Businesses that trade in only one or two closely related product categories may find a specific trading license more cost-efficient, while businesses with diverse product portfolios benefit from the flexibility of a general trading license.
5. How long does it take to get a general trading license in Dubai?
A general trading license in Dubai can be issued within 5 to 10 working days for mainland DET applications with complete documentation. Free zone applications are typically faster, with some free zones processing and issuing the license within 3 to 7 working days for straightforward applications. Delays occur when documentation is incomplete, when sector-specific approvals are required for regulated goods, or when the trade name application requires amendment. The full setup process including investor visa and bank account opening typically takes 3 to 5 weeks from start to finish.
6. Do I need a physical office for a general trading license in Dubai?
For a mainland general trading license in Dubai issued by the DET, a physical office with an Ejari registered tenancy contract is mandatory. Virtual offices and flexi desk arrangements do not satisfy the DET office requirement for a general trading company. For free zone general trading licenses, most free zone authorities accept a flexi desk or shared workspace arrangement as a valid address without requiring a dedicated physical office. If your business involves physical storage of goods, a warehouse space within the free zone or a third-party logistics facility outside it will also be required.
7. Can a general trading license in Dubai cover food products?
A general trading license covers food products as a category, but trading in food and perishable goods in Dubai requires an additional Dubai Municipality food trading approval on top of the commercial license. The Dubai Municipality assesses the storage, handling, and transportation arrangements for food goods before issuing its approval. Certain food categories including dairy, meat, and fresh produce have further requirements around cold chain management and import health certification. The Dubai Municipality approval process runs in parallel with the license application and typically adds 2 to 4 weeks to the overall setup timeline.
