UAE Streamlines Business Licensing: Requirements and Costs in Dubai, Abu Dhabi and Sharjah
Starting a business in the UAE has become easier and faster through government digital services. Entrepreneurs and investors can now obtain an economic activity licence in as little as five minutes in some emirates, including Dubai and Abu Dhabi.
According to Gulf News, economic development departments across the emirates have introduced online services and streamlined administrative procedures, allowing businesses to obtain instant licences without going through lengthy processes.
These services are available in Dubai, Abu Dhabi, Sharjah and other emirates, although the requirements, fees and necessary documents vary by emirate.
What Is an Instant Business Licence in the UAE?
An instant business licence is an economic activity licence issued through a fast, fully digital process. It allows entrepreneurs to register their businesses without completing the usual administrative procedures.
In emirates such as Dubai and Abu Dhabi, the licence can be issued in as little as five minutes in some cases.
One of the main advantages is that certain standard documents, such as a tenancy contract for the business premises, are not required when submitting the application and may be provided at a later stage.
These services are available to UAE citizens, GCC nationals and UAE residents.
Obtaining an Instant Business Licence in Dubai
In Dubai, an instant licence can be issued within five minutes for economic activities that do not require approval from government entities outside the Dubai Department of Economy and Tourism.
Applicants can also obtain the company’s memorandum of association and use a virtual address to register their economic activity during the first year.
After the first year, a valid business address must be provided when renewing or amending the licence.
Dubai’s instant licence offers other benefits, including Dubai Chambers membership for commercial activities, an establishment card from the General Directorate of Identity and Foreigners Affairs – Dubai, and an establishment card from the Ministry of Human Resources and Emiratisation.
The Ministry of Human Resources and Emiratisation establishment card allows a business to employ three people. It is available to limited liability companies, single-owner limited liability companies, sole establishments and civil companies.
Documents Required in Dubai
Applicants must provide their Unified Identification Number (UID) and Emirates ID.
Steps to Obtain a Licence in Dubai
1. Visit Dubai’s official investment website at investindubai.gov.ae and sign in using UAE PASS.
2. Specify the company’s legal structure, such as a limited liability company, single-owner company, sole establishment or civil company.
3. Select the intended commercial or professional activity from the list approved by the Dubai Department of Economy and Tourism. The activity must not require external approval.
4. Reserve the company’s trade name.
5. Enter the details of the owners and managers, including how shares will be distributed among the partners, and upload the required documents, including Emirates ID. The company’s electronic memorandum of association will be generated automatically.
6. Pay the applicable fees.
Once the process is complete, the digital economic activity licence and related documents will be issued immediately and made available for download.
Cost of an Instant Licence in Dubai
The cost varies depending on the type of economic activity and the ownership structure, ranging from AED 5,000 to AED 18,000.
Obtaining an Instant Business Licence in Abu Dhabi
The Abu Dhabi Department of Economic Development has also streamlined the process of obtaining an instant economic activity licence through online services.
Through Abu Dhabi’s TAMM government services platform, applicants can select a suitable business licence, submit an application and receive the licence within minutes.
However, unlike some other services, applicants in Abu Dhabi must submit a tenancy contract for the business premises and the company’s incorporation documents within 30 days of the instant licence being issued to complete the registration process.
Steps to Obtain a Licence in Abu Dhabi
1. Visit tamm.abudhabi or download the TAMM app from Google Play or the App Store, then sign in using UAE PASS.
2. Go to Business Services and search for “Issue Economic Licence – Instant Licence”.
3. Select the preferred legal structure, such as a sole establishment, limited liability company or single-owner company.
4. Select up to six economic activities for the business.
5. Pay the licence issuance fee. No documents are required at this stage to complete the application.
After payment, the instant licence will be issued and sent to the applicant’s registered email address.
The licence holder must obtain the tenancy contract and company incorporation documents within 30 days and upload them to their TAMM account to avoid penalties.
Cost of an Instant Licence in Abu Dhabi
The licence issuance fee ranges from AED 790 to AED 5,500, depending on the type of economic activity and the ownership structure.
Obtaining an Instant Business Licence in Sharjah
The Sharjah Economic Development Department (SEDD) also provides instant licensing services for new investors and existing businesses seeking to expand their economic activities.
One of the main advantages of the licence is that businesses can begin operating without declaring physical premises during the first year.
A tenancy contract is also not required during the first year. If the licence holder is a commercial company, the company’s incorporation contract is likewise not required during that period.
Documents Required in Sharjah
An Emirates ID or passport is sufficient to submit an application.
Steps to Obtain a Licence in Sharjah
1. Visit the Sharjah Economic Development Department website at sedd.ae and sign in using UAE PASS.
2. Under Digital Services, select Instant Licence.
3. If you already have a registered trade name, the system will automatically display the names linked to your UAE PASS account, allowing you to confirm the preferred name.
4. If you need a new trade name, enter your proposed name. The system will check whether it is available or has already been reserved. If approved, it can be registered as part of the same process.
5. Specify the business’s legal structure, such as a sole establishment or limited liability company.
6. Select the intended economic activity. More than one activity may be selected.
7. Pay the applicable fees.
Once payment is completed, the instant licence will be issued and sent to the applicant’s email address.
Cost of an Instant Licence in Sharjah
The licence issuance fee is AED 5,000.
An additional AED 500 is charged for membership in the Sharjah Chamber of Commerce and Industry.
The total stated cost of obtaining the licence in Sharjah is therefore AED 5,500.
Registering a Business in Other Emirates Through Basher
The UAE Ministry of Economy and Tourism also provides the integrated Basher platform for setting up businesses in other emirates.
The platform allows entrepreneurs to complete the business establishment process online from anywhere in the world in about 15 minutes.
Using blockchain technology and other advanced digital solutions, Basher connects the services of 18 federal government entities in partnership with several private-sector organisations.
The platform aims to reduce administrative procedures and simplify the registration of economic activities for investors and entrepreneurs.
Steps to Register a Business Through Basher
1. Visit basher.gov.ae and sign in using UAE PASS.
2. Under Business Tools, select Business Setup Navigator.
3. Select the emirate and area where the economic activity will be registered.
4. Enter the number of company owners, whether one or several, and provide their nationalities.
5. Specify the number of employees in the business.
6. Indicate whether you intend to rent physical premises for the economic activity. If yes, enter the address, property type and area in square feet.
7. Select the company’s legal structure, such as a sole establishment or limited liability company.
8. Specify the business activities and economic sectors.
9. Enter the company’s trade name in Arabic and English.
10. Review the information provided, pay the applicable fees and submit the application.
Applications submitted through Basher are processed in about 15 minutes.
Once the process is complete, the official economic activity licence, local chamber of commerce membership number and the company’s digital memorandum of association will be issued electronically.
Cost of Registering a Business Through Basher
Basher does not charge an additional fee for its services.
However, applicants must pay the standard licensing fees set by the economic development department of the relevant emirate.
The amount depends on the emirate where the company is registered and the type of economic activity.
Applicants can use the business cost calculator on the Basher platform to estimate the required fees.
Key Points Before Applying for an Instant Licence
Although an instant licence can be obtained within minutes in some UAE emirates, eligibility depends on the type of economic activity, the company’s legal structure and the regulations of each emirate.
An exemption from submitting a tenancy contract or incorporation documents at the application stage does not necessarily mean these requirements are permanently waived. Additional documents may still be required after the licence is issued or when it is renewed.
Applicants should therefore check the requirements for their chosen activity, the applicable fees and the deadlines for submitting additional documents through the official platform of the relevant emirate before applying.