Essential Licenses and Permits for Business Operations in Dubai

Starting a business in Dubai can be an exciting journey! The first crucial step? Getting your licenses and permits in order. This is the key to operating legally and starting strong.

But before you look at the list, your first big decision is your company's jurisdiction. Will you set up in Mainland Dubai or in a Free Zone? This choice affects the licenses you need, who you can sell to, and your ownership rules.

At MSZ Consultancy, we take the complexity out of the process. We handle the paperwork and ensure you meet all regulations, so you can focus on building your business for success.

Here is a clear overview of the essential licenses and permits you will need:

1. Trade License: The Backbone of your Business

This is your main business license. You can't legally operate in Dubai without it. The license is provided by the Department of Economy &

Tourism (DET) and comes in three types:

• Commercial License: For buying and selling goods.
• Professional License: For offering services (like consulting, IT, or design).
• Industrial License: For manufacturing or production.

Our Tip: Mainland is best for shops and restaurants serving the local UAE market; whereas, Free zone is suitable for 100% ownership for those trading internationally or in services.

Learn more about Trade Licenses

2. UAE Residence Visas: For You and Your Team

To live and work in Dubai, you and your employees will need residence visas sponsored by your company. There are two main types we handle:

• Investor/ Partner Visa: For the business owners.
• Employee Visa: For your team members.

Our Tip: Think of us as your HR paperwork department. We manage the entire visa process—from application to medical tests and ID cards- so you and your team can focus on the work, not the paperwork.

Learn more about Dubai Business Visa.

3. Local Sponsor Agreement (Mainland Companies)

The rules for mainland companies have changed for the better! In many sectors, you can now own 100% of your commercial business. This is great news for foreign investors.

However, it's not quite that simple for everyone:

• If you're starting a business in Dubai (like consulting, design, or IT), you will still need to appoint a Local Service Agent. This is a UAE national who helps with government procedures but does not have any ownership in your company.
• Some specific sectors (like healthcare or media) have their own rules and might still require a local partner.

Our Tip: Whether you’re setting up in the Mainland or a Free Zone, we'll give you straight answers on exactly what your business needs, so you can make decisions with confidence.

4. Special Approvals for Regulated Industries

Regulated areas are industries like healthcare, education, finance, etc. There will be additional approvals, and sanctions. For example:

• Healthcare: Dubai Health Authority (DHA) for clinics, pharmacies, and hospitals
• Financial Services: Dubai Financial Services Authority (DFSA) for financial services institutions

Our Tip: We specialize in helping secure approvals for regulated industries, ensuring you meet all legal requirements before launching.

Explore Specialized Licenses.

5. VAT Registration: Stay Compliant

If your business revenue exceeds AED 375,000 per year, you must register for Value-Added Tax (VAT) with the Federal Tax Authority (FTA).

Our Tip: Our experts handle your VAT registration and ongoing tax filings, so you avoid penalties and stay compliant.

6. Municipal License: Health & Safety Compliance

A Municipal License is mandated by the Dubai Municipality for businesses requiring a physical presence (e.g. retail stores, restaurants, offices). This license locates your business address, which records your compliance with local health and safety and zoning regulations.

Our Tip: This is a must for retail and food businesses. We'll help you get it quickly.

7. Import/Export License: For Global Trade

If you are trading in goods internationally, you will require an Import/Export License. This is important for compliance with customs and International Trade Law.

Our Tip: We’ll streamline the application process to ensure you are prepared for your global journey and expansion plans.

Learn more about Import/Export Licenses.

8. Health & Safety Permits: Keep Your Business Safe

Businesses that operate in a public facing or manufacturing space must do their due diligence on health and safety. Whether that be food safety for a restaurant or safety for workers in a factory. These must be taken seriously and acted upon accordingly.

Our Tip: Let us help you navigate these regulations and get your business safely up and running.

Ready to Set Up Your Business in Dubai? Let MSZ Consultancy Help You

Dubai’s business setup process doesn’t have to be complicated. Our experienced team at MSZ guides you through every step, ensuring you get all the licenses and permits you need without the hassle.

[Book your free consultation] or call +971 52 544 1248 now, and let’s get your business on the fast track to success!