Before you can open a company in Dubai, you need the right license. The types of business licenses in Dubai depend on what your business does, where you set it up and who your customers are. Pick the wrong one and you may need to amend, upgrade or even close your company later.
This guide explains all the main types of business licenses in Dubai in plain words. We also compare mainland, free zone and offshore, list the special approvals some sectors need and show you how to choose and add activities.
At Aspira Business Setup Services, we have 12+ years of experience and have formed 5,000+ companies for 4,500+ clients in Dubai mainland, all UAE free zones and offshore. We help you pick the license that fits your business.
What Is a Business License in Dubai?
A business license (also called a trade license) is the official permission to run a business in Dubai. It shows your company name, legal form and allowed activities. All types of business licenses in Dubai are issued by one of three bodies: the Department of Economy and Tourism (DET) on the mainland, a free zone authority, or an offshore registry. Every license must be renewed each year.
Types of Business Licenses in Dubai at a Glance
This table sums up the types of business licenses in Dubai and who each one is for:
| License type | Who it’s for | Examples | Where available |
|---|---|---|---|
| Commercial (trading) license | Businesses that buy and sell goods | Electronics shop, car parts trader, import and export | Mainland and free zones |
| General trading license | Traders who want to deal in many unrelated goods | Trading in food items, textiles and electronics together | Mainland and many free zones |
| Professional license | Service providers, consultants and skilled experts | Consultancy, marketing agency, IT services, design studio | Mainland and free zones |
| Industrial license | Manufacturing and processing businesses | Food factory, furniture workshop, packaging plant | Mainland industrial areas and industrial free zones |
| Tourism license | Travel and hospitality businesses | Travel agency, tour operator, holiday homes, desert safari | Mainland (DET) |
| E-commerce license | Online sellers and online platforms | Online store, marketplace, dropshipping | Mainland and free zones |
| Freelance permit | Individuals working for themselves | Writer, photographer, developer, trainer | Mainly free zones |
| Home business license | Small businesses run from home | Home bakery, tailoring, handicrafts | Mainland (limited eligibility) |
Eligibility, allowed activities and approvals can change. Check with Aspira before you apply.
The Main Types of Business Licenses in Dubai Explained
Commercial (Trading) License
The commercial license is one of the most common types of business licenses in Dubai. It is for businesses that buy and sell goods, such as retail shops, wholesale, and import and export. Activities on one commercial license should usually belong to the same product group. Read more on our trading license page.
General Trading License
A general trading license lets you trade in many goods that are not related to each other. It suits import and export companies that want to add new products without changing their license. Some goods, such as food, medicines and chemicals, still need extra approvals.
Professional License
A professional license is for service businesses that sell skills and knowledge, such as consultancy, marketing, IT services, recruitment and accounting. Since 2021, foreign investors can own 100% of most mainland companies. Some professional activities still need proof of qualifications or a local service agent.
Industrial License
An industrial license is for businesses that make, process or pack products, such as factories and food production. Industrial businesses usually need a factory or warehouse in an approved industrial area, plus safety and environmental approvals.
Tourism License
A tourism license covers travel agencies, tour operators, hotels, holiday homes and desert safari companies. In Dubai, DET handles tourism licensing as well as trade licensing. Some tourism activities need a physical office or trained staff.
E-Commerce License
An e-commerce license lets a company sell goods or services online through a website, app or marketplace. It is available on the mainland and in many free zones. Individuals selling online from home may use DET’s e-Trader license. It is open to UAE and GCC nationals and to Dubai residents, including expats, who are mainly limited to service and online selling activities. Read our guide to the home business license in Dubai. Influencers who earn from paid content also need an Advertiser Permit from the UAE Media Council.
Freelance Permit
A freelance permit lets one person work in their own name without forming a company. It suits writers, designers, developers, trainers and consultants. In Dubai, freelance permits are mainly offered by free zones, such as those run by the Dubai Development Authority. Some freelance permits come with a residence visa.
Home Business License
A home business license lets you run a small business from home. Dubai’s Intelaq home business license is open to UAE and GCC nationals living in Dubai. Most expats choose a free zone license with a flexi-desk or a freelance permit instead.
Other License Types
Craftsmanship licenses cover skilled trades such as carpentry and repairs. Agricultural licenses cover farming and fishing. They are less common, but they are still types of business licenses in Dubai.
Mainland vs Free Zone vs Offshore Licenses
All types of business licenses in Dubai sit inside one of three setups. This choice matters as much as the license type itself.
| Setup | Issued by | Trade in the UAE market | Residence visas | Starting price with Aspira |
|---|---|---|---|---|
| Mainland | Department of Economy and Tourism (DET) | Yes, anywhere in the UAE | Yes | From AED 18,000 (with virtual office) |
| Free zone | The free zone authority | Inside the free zone and abroad; mainland work needs a distributor or a permit | Yes | From AED 5,565 (license with no visa) |
| Offshore | An offshore registry (for example RAK ICC or JAFZA) | No | No | From AED 9,999 (license and address) |
Aspira prices are starting prices and can change. Visas, establishment card, medical test and health insurance are extra.
Choose mainland company setup if most of your customers are in the UAE. Choose free zone company setup for a lower cost and international business. Choose offshore company setup for a holding company or to hold assets.
Under Dubai Executive Council Resolution No. 11 of 2025, Dubai free zone companies can work in mainland Dubai with a DET permit, for approved activities only. This adds extra fees and rules.
Special Approvals by Sector
Some types of business licenses in Dubai need approval from another authority as well:
| Sector | Authority | Example activities |
|---|---|---|
| Education and training | KHDA | Training centres, tutoring, nurseries |
| Healthcare | Dubai Health Authority (DHA) | Clinics, pharmacies, medical centres |
| Food | Dubai Municipality | Restaurants, cafes, food trading |
| Real estate | Dubai Land Department and RERA | Real estate brokers, property management |
| Virtual assets | VARA | Crypto exchanges, crypto brokers |
| Media and advertising | UAE Media Council | Publishing, media production, influencers |
| Financial services | Central Bank of the UAE or DFSA (in DIFC) | Payments, lending, investment advice |
| Industry | Ministry of Industry and Advanced Technology | Factories and manufacturing |
For example, a training centre needs KHDA approval in Dubai, and a crypto business needs a cryptocurrency license from VARA. Check approvals before you sign a lease.
How to Choose From the Types of Business Licenses in Dubai
Choosing between the types of business licenses in Dubai is easier if you answer these questions:
- What will you sell? Goods point to a commercial license; services point to a professional license.
- Who are your customers? UAE customers usually mean mainland; international customers often mean free zone.
- Do you need visas? Offshore licenses give no visas.
- Do you need a shop, office or warehouse?
- Does your activity need special approval?
- What is your budget? Compare first-year and renewal costs.
Our business setup in Dubai guide explains the full process.
How to Get a Business License in Dubai: Step by Step
The steps are similar for all types of business licenses in Dubai:
- Choose your business activity.
- Choose mainland, free zone or offshore.
- Pick a legal form, such as a sole establishment or LLC.
- Reserve a trade name.
- Get initial approval and any special approvals.
- Sign your office, flexi-desk or virtual office agreement.
- Sign the company documents and pay the fees.
- Receive your license, then apply for the establishment card and visas.
- Open a bank account and register your trademark.
Our PRO services team can handle the paperwork for you.
How to Add Activities to Your License
Most types of business licenses in Dubai let you add activities after the license is issued. On the mainland, you apply to DET for a license amendment; in a free zone, you apply to the free zone authority. The number of activities allowed depends on the authority and the package. Activities from a different group, or ones that need special approval, can cost more and take longer, so plan your activities at the start.
Costs, Tax and Renewal
Costs for the different types of business licenses in Dubai depend on the setup, the activity, the number of visas and the office. Aspira’s free zone packages start from AED 5,565, mainland from AED 18,000 with a virtual office and offshore from AED 9,999. Use our business setup cost calculator for a clear estimate.
Every license must be renewed each year. All UAE companies must register for corporate tax, which is 9% on taxable profit above AED 375,000. VAT registration is required when taxable supplies are above AED 375,000 a year.
Common Mistakes When Choosing a License
- Choosing an activity that is too narrow.
- Choosing a free zone license when most clients are on the mainland.
- Forgetting special approvals for food, health, education or finance.
- Choosing offshore when you need visas.
- Ignoring renewal costs.
- Selling on social media without a license.
Understanding the types of business licenses in Dubai before you apply helps you avoid these mistakes.
Why Choose Aspira for Your Dubai Business License?
- 12+ years of experience in UAE business setup
- 5,000+ companies formed for 4,500+ clients
- Licenses in Dubai mainland, all UAE free zones and offshore
- Honest advice on all types of business licenses in Dubai
- Help with approvals, visas, PRO services and bank accounts
- Licenses can be issued in as little as one working day
Related Organizations
- Department of Economy and Tourism (DET): mainland and tourism licensing
- Free zone authorities, such as DMCC, IFZA, Meydan Free Zone and Dubai Development Authority
- Knowledge and Human Development Authority (KHDA)
- Dubai Health Authority (DHA)
- Dubai Municipality
- Virtual Assets Regulatory Authority (VARA)
- UAE Media Council
- Federal Tax Authority (FTA): corporate tax and VAT
Frequently Asked Questions
Q: What are the main types of business licenses in Dubai?
A: The main types of business licenses in Dubai are commercial, professional, industrial and tourism licenses. There are also general trading, e-commerce, freelance and home business licenses.
Q: Which license do I need for a consultancy?
A: A professional license, on the mainland or in a free zone.
Q: What is the difference between a commercial and a general trading license?
A: A commercial license covers related goods from one group. A general trading license covers many unrelated goods.
Q: Can I get a license to sell online in Dubai?
A: Yes. Companies can get an e-commerce license on the mainland or in a free zone.
Q: Can expats get a home business license in Dubai?
A: Intelaq is for UAE and GCC nationals. Most expats use a free zone license with a flexi-desk or a freelance permit.
Q: Which of the types of business licenses in Dubai is the cheapest?
A: Free zone licenses are usually the lowest-cost option. With Aspira, free zone licenses start from AED 5,565, mainland from AED 18,000 with a virtual office and offshore from AED 9,999.
Q: Can I own 100% of a mainland company?
A: Yes, for most activities.
Q: Can a free zone company work on the mainland?
A: Yes, for approved activities with a DET permit, or through a mainland distributor.
Q: Can I add more activities to my license later?
A: Yes, through a license amendment.
Q: Does an offshore company get visas?
A: No. Offshore companies cannot get visas or trade inside the UAE.
Q: How long is a Dubai business license valid?
A: Usually one year, and it must be renewed every year.
Q: Do all types of business licenses in Dubai need corporate tax registration?
A: Yes. All companies must register. Corporate tax is 9% on taxable profit above AED 375,000.
Get the Right License for Your Business
Still unsure which of the types of business licenses in Dubai fits your plan? Contact Aspira for a free consultation and a clear quote.
Aspira Business Setup Services LLC
- Phone/WhatsApp: +971 56 406 6546
- Email: info@aspiradubai.com
- Website: aspiradubai.com
- Office: 1001, First Floor, Al Nasr Central, 10th Street, Oud Metha, Dubai
