Trade license renewal in Dubai is just as important as obtaining a trade license to run a successful business in the region. Annual trade license renewal in Dubai is required to avoid being penalized or having your company’s business license suspended, which freezes all business activities. The renewal ensures your company’s smooth operation and compliance with regulations.
The Department of Economic Development (DED) oversees the process of trade license renewal in Dubai. Here are the different types of trade licenses available in Dubai:
● Commercial license
● Industrial license
● Professional license
● Freelance license
Hiring local business consultants will make the process simpler, but if you want to take matters into your own hands, here’s a guide on how to renew a trade license in Dubai.
Steps to Renew Trade License in Dubai Mainland
Here is the 3-step DED Dubai license renewal process:
Review your tenancy contract:
When it comes to trade license renewal in Dubai, a tenancy contract is one of the key documents. The contract must be attested by the Ejari and must have a remaining validity period of at least one month. An invalid contract may prevent you from renewing your trade license.
Apply for license renewal with DED:
After checking the validity of the tenancy contract, you must apply for license renewal with all necessary documents at the Dubai DED. When applying for trade license renewal in Dubai, the following documents must be submitted:
● A BR/1 form that has been typed
● Photocopy of the valid tenancy contract
● Photocopy of the most recent business trade license
● Photocopies of shareholders’ passports
● Ejari registration certificate
Fill out the BR/1 form and include all required documents. Apply for the DED Dubai license renewal. The DED will review your application and conduct the required checks.
Once you apply, DED will issue you a transaction number and a payment voucher. This transaction number will be used as a reference until the trade license renewal in Dubai. The trade license renewal fee is paid using the payment voucher. After you have completed the payment, the registration process will be completed, and your trade license will be renewed.
To ensure a smooth procedure, you must prepare the necessary documents for DED trade license renewal in Dubai. Before applying for a trade license renewal in Dubai, you should double-check with the local business setup service provider. The following are the main documents required for trade license renewal in Dubai:
Valid tenancy contract
To renew the license, you must have a tenancy contract that at least has a month’s validity. You must first check and verify your tenancy contract before applying. Furthermore, it must be Ejari-approved. Under legal obligations, your trade license renewal request may be denied if your contract does not have a validity period of at least one month.
Old trade license and its copy
When applying for renewal, include a copy of your previous trade license. It is a required document that proves your authorization to conduct business in the UAE.
The BR/1 form is a license renewal form that must be completed and submitted to begin the process. You must type a BR/1 form with existing partners’ signatures and submit it to the DED for approval. Before submitting, all documents must be attached to this form.
Photocopy of passports for all business partners
It is required to submit passport copies of all shareholders to demonstrate the involvement of all members.
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Different ways of trade license renewal in Dubai
There are 3 particular ways in which you can apply for trade license renewal in Dubai to the DED:
● You can renew your trading license through traditional offline means. In this case, you will have to apply to the corresponding departments and authorized service agents will handle the entire trading license renewal procedure.
● You can also apply online with the help of local business setup consultants or through the mobile app that assists you with trade license renewal in Dubai.
● You can receive or send a text message from/to the number 6969 with the license number close to the expiry date for renewal and pay the fees by clicking on the payment link.
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Consequences of delayed renewal
If a business operates without a license or fails to renew its license, the Department of Economic Development (DED) can impose several penalties. Here are a few examples:
● Monetary fines
● Restrictions on expansion