Renew The Trade License
Image source: | Process To Renew The Trade License in Dubai  UAE | Every organization in Dubai must have a commercial license to run its business. It makes it a compulsory license renewal process every year. The Department of Economic Development (DED) is reviewing the licensing process in Dubai. Renewing a license is a complex process and requires a lot of documentation. Renew the license promptly. Otherwise, this could result in sanctions, fines, and even a ban on business. Before starting license renewal, you need to know the type of license issued by DED in Dubai.

How To Renew the Trade License?

A commercial license is one of the most important requirements for doing business in Dubai. Renewing a business license involves a lot of paperwork. Renewing a business license can also be a lengthy process if you are not used to it. Delays in submitting a commercial request will be subject to sanctions or, even worse, prohibiting business permits, freezing all business activities. 

Different Types of Trade License in Dubai

Obtaining a valid commercial license is one of the critical requirements for doing business in Dubai / UAE. An excellent commercial license in Dubai allows the entrepreneur to legally carry out the company or group of activities mentioned in the permit. Providing training without a valid commercial permit is considered “illegal” in the UAE. 

There are mainly three types of commercial licenses in Dubai. And they are listed below.

  • Commercial license

Any business activity involving the sale of a tangible product must apply for a commercial license to operate.

  • Industry license

Every manufacturing and industrial company must have an industrial operating license.

  • Professional license

The provision of services that require special skills to renew is present in the category of professions. You must have a professional license to do so.

Steps to Renew The Trade License in Dubai

Follow these steps for trade license renewal Dubai

  • Guarantee the validity of the lease agreement

Your lease agreement must be valid for a minimum of 3 months to apply for a license extension. You cannot apply for a license extension if the lease agreement has exceeded this minimum validity period. Leases also require EJARI certification. Therefore, do not postpone the extension procedure until the last minute.

  • Receive approval

Required documents for renewing the business license in Dubai

Certain documents are required to renew the right, and they are listed below.

  • Ejari registration certificate
  • rental contract
  • Form BR / 1 (introduced)
  • Passport of business partners. (Copy)
  • Existing commercial license (copy)
  • Apply for License Renewal

HAVING Business in Dubai needs approval from relevant authorities to renew their business license. Apply for license renewal at DED, along with all the required documents. 

  • Accept Payment Voucher

After reviewing the permit extension application and all other documents submitted, DED issues a payment receipt. Receive payment receipt.

  • Make Payment

If you have a business in Dubai, you need approval from the relevant authorities to renew your business license. Apply for a license extension with all required documents from DED. 

What Happens If you Fail To Renew Your Trade License ?

  • Fine

When the licensed company expires, the Dubai Department of Economic Development can enforce several foreclosure deals. Companies operating without a license can be subject to an AED 5,000 fine. The additional office for existing licenses without a permit fines the company with an AED 2000 fine.

An expired business license can result in fines for your company. Late payments can also result in penalties for the company concerned. As already mentioned, companies have to pay a fine every month. Pay fines immediately after the expiration date.

Continuing to do business without a commercial license extension could result in the company blacklist by the relevant government agencies. In this case, the company must confiscate all transactions and cancel visas and sponsorships registers under the company name. Business expansion can also be limited.

  • Blacklist of companies

If a company continues its business without renewing its business license, it can be blacklisted and cease all activities involving that company. You can cancel the visa and sponsorship from the company.

  • Limiting business expansion

An expired license company is not allowed to thrive in these circumstances. Companies need to have a clean balance sheet when expansion plans are made. Even if you organize to get started, you may lose the chance after a year or two as work piles up.

  • An expired business license can damage the company

Ensure you know the expiration date and work on time to extend it before the deadline if possible. Authorize someone at a company you trust or work with an outside partner who can take the responsibility off your shoulders. In any case, keep your license -otherwise, your company will suffer, and you risk losing everything.

The agency offers A-Z business solutions that cover everything from registering commercial licenses to timely annual renewals with timely reminders so that you, the business owner, can focus on your business. You may need to direct your inquiries to professionals related to handling business requirements.


The company needs to renew its license because a leak can ruin your entire business. By reducing permits, the company blocks, and even your transactions can confiscates, and visas and sponsors registered by the company are no longer valid.

A commercial license is required to run a business, so organizations hire someone specifically for this purpose. The outsourcing of this activity is one of the most common trends that corporate organizations follow. It is all done very carefully and updated promptly without affecting the company’s future.

The outsourcing company will help you renew your license on time every year to concentrate more on your big projects. They will provide you with information regularly and, if necessary, also hand over the documents. If the papers are wrong, they are also updated.