A business license is required for starting a business in the United Arab Emirates, and your company's yearly trade license renewal is important for efficient operation. Businesses in Dubai are required by law to renew their trade licenses on an annual basis. In Dubai, the trade license renewal in Dubai procedure is managed by the Department of Economic Development (DED), which also takes care of the necessary paperwork.
The DED has a well-organized commercial license renewal procedure in Dubai that emphasizes promptness and efficiency. For those who want to learn more about how to renew a trade license in the UAE, this blog is the ideal resource.
What is a UAE trade license?
A UAE trade license is a permission granted by the government of a free zone or the mainland that enables companies to operate within the nation. For all firms, regardless of size or industry, it is a legal necessity.
Businesses should consider obtaining a trade license for several reasons.- Permits companies to operate in the emirate.
- Enables companies to carry out financial activities and open bank accounts.
- Allows companies to access advantages and services provided by the government.
- Aids in shielding companies from judicial risk.
Documents Required for Trade License Renewal in Dubai
The required paperwork must be ready while renewing your DED trade license in Dubai. Below, we have mentioned the necessary documents required for trade license renewal in Dubai.
1. Ejari Registration
A registration certificate from Ejari, which verifies your tenancy contract, is required to renew your license. A valid Ejari certificate is required; otherwise, fines apply.2. Valid Tenancy Contract
To be eligible for the renewal of your trade license, your tenancy contract must be active for at least one month. Make sure Ejari has reviewed and approved your contract.3. Previous Trade License Copy
When submitting an application for renewal, make sure to enclose a copy of your old trade license. It is a necessary document proving your authorization to carry out business operations in the United Arab Emirates.4. BR/1 form
Complete the license renewal process by filling out the BR/1 form. Every current partner must fill out and sign this form. Before submitting, please attach all other necessary documents to this form.5. Photocopies of Passports for Each Business Partner
Give copies of each partner's passports that are connected to your company. Provide a copy of your passport if you are the only owner.After gathering these materials, you can send the Department of Economic Development (DED) your renewal form. Depending on your requirements, you have the option to complete the renewal process offline or online. Regardless of the application method selected, Dubai's relevant governing authorities handle the regulatory processes and evaluations.
Steps to renew a Trade license in Dubai in 2025
The following is a detailed instructions on how to Renewal DED license in Dubai in 2025:1. Review the terms of your lease
Before starting the renewal procedure, be sure your lease is still in effect for at least one more month. Your trade license may not be able to be renewed if the contract is void.
2. Send the DED your application
Fill out the BR-1 form and include all necessary paperwork. The application should be sent to Dubai's Department of Economic Development (DED). The DED will examine your application and carry out the required investigations.
2. Take the payment voucher in hand
You will receive a payment voucher from the DED after your application has been approved. This voucher is reflective of the renewal fees.
3. Complete the payment.
Follow the instructions on the payment voucher to complete the payment. Your trade license will be renewed, and the registration procedure will be finished once the money has been successfully processed.
4. Mobile app option
As an alternative, you can apply for the trade license renewal through the DED mobile app. The renewal procedure can be finished conveniently with the help of the app. Consult with the professionals at Shuraa Business Setup to make sure your trade license is effectively renewed.
Cost of trade license renewal in Dubai
The trade license renewal cost in Dubai usually starts from between AED 8,000 to AED 15,000 depending on several factors, including the jurisdiction and economic zone.
It is crucial to remember that these numbers are approximations and may change depending on particular needs and the nature of the business activity. To learn more about the trade license renewal fees in Dubai consult with experienced advisors at Shuraa Business Setup advisors to receive a precise price catered to your specific needs.
What is the Grace Period for Trade License Renewal?
There is a 30-day grace period for Dubai mainland enterprises to renew their trade licenses. There will be fines for failure to renew within this time frame. Make sure you renew your license within the grace period to avoid penalties.
What is the penalty if you Fail to Renew the trade license in Dubai?
The following are some consequences for failing to renew your trade license in UAE on time:- Penalties: There are many levels of fines associated with not renewing your trade license on time. The business shall pay a certain amount of fine for each month that it fails to renew its trade license after it expires. The business will also be fined a certain amount if it carries on with its operations after the trade license expires.
- Blacklisting: The company will be placed on a blacklist if it carries on with its operations without renewing its trading license despite the penalty.
- Prohibition of business expansion: A company is not permitted to grow or seek to launch new ventures without first renewing its trade license. Any intentions they may have had for future business expansion will be hampered by this.
- Put a reminder in your calendar: This will help you maintain a schedule and not miss the deadline for renewal.
- Consult with the local government office: Depending on the jurisdiction, different deadlines and processes may apply for renewals.
- Assemble all necessary paperwork: This could contain tax returns, insurance documentation, and other records.
- Send in your application early for renewal: You will have plenty of time to deal with any potential problems as a result.
Renew your trade license with Shuraa!
When it comes to helping enterprises and expats succeed in the UAE business climate, Shuraa Business Setup is a one-stop shop. We possess the expertise to assist you at every step of your business journey, from company formation to PRO services.
We can help you take advantage of all available business opportunities, ensure that your business conforms with all regulations, and assist you in the process of renewing your trade license.
