3S Business Setup FAQs

Business Setup FAQs in Dubai & UAE

Clear answers to common questions about UAE trade licenses, mainland and free zone company setup, business activities, external approvals and document requirements.

What are the basic documents required for registering a Trade License?
  • A copy of the passport.
  • A copy of the current UAE residence visa or tourist visa and Emirates ID.
  • A No Objection Certificate from the current sponsor, if required for UAE residents.
What is a General Trading License, and what activities does it include?

A General Trading License allows the trading of different goods and products listed under the activity classification guidebook, except activities that require external approvals from specialised authorities.

What are the general steps for issuing a General Trading License?
  1. Obtain preliminary approval.
  2. Reserve a trade name.
  3. Get external approvals if the activity requires them.
  4. Sign the required legal documents, such as the Memorandum of Association.
  5. Secure a registered business premise and complete the license process.
What is a Mainland License in the UAE?

A Mainland License allows a company to operate across the UAE and internationally. Mainland companies are licensed by the Department of Economic Development of the relevant Emirate and usually offer wider trading flexibility.

What are Free Zones in the UAE?

Free Zones are designated business areas in the UAE that offer benefits such as 100% foreign ownership and business-friendly setup options. Free Zone companies may need additional arrangements to trade directly in the mainland market.

Why can’t a Free Zone company do business directly in the Mainland?

Free Zone companies are regulated by their respective Free Zone authorities and do not automatically fall under mainland DED licensing. To trade directly in the mainland, they may need a local distributor, branch arrangement, or mainland license.

What are the general conditions for reserving a company trade name in the UAE?
  • The name must not contain offensive or restricted words.
  • The name should not include country or government names.
  • If a person’s name is used, that person should be a partner or owner.
  • The business activity should be reflected where required.
  • The name should not include punctuation marks.
What type of license is needed for both commercial and professional activities?

If both commercial and professional activities are practiced, a Commercial License is generally required.

What are external approvals for UAE business activities?

External approvals are permissions from relevant authorities that regulate specific business activities, such as health, safety, environmental, educational or specialised commercial sectors.

What are the conditions for opening a branch of a Gulf company?

The Board of Directors’ resolution should be executed in the Gulf country of origin, attested by the UAE Embassy, translated into Arabic and endorsed by the relevant authorities.