When setting up a business in Dubai, understanding the total cost and renewal requirements for a mainland license is essential for long-term success. Whether you’re a startup, investor, or established entrepreneur, budgeting correctly and renewing your license on time ensures that your business operates legally and avoids unnecessary penalties. This detailed guide explains all aspects of the Dubai mainland license cost, renewal process, and ongoing compliance requirements, giving you a clear picture before you invest.
1. Understanding the Cost of a Mainland Business License in Dubai
The total cost of a mainland business license in Dubai varies depending on several key factors, including your business activity, company structure, and number of shareholders or employees.
Here’s a general breakdown of the costs involved:
- Trade Name Reservation: AED 600 – AED 800
- Initial Approval Fee: AED 120 – AED 300
- License Issuance Fee (DED): AED 10,000 – AED 15,000 (depending on activity)
- Ejari Tenancy Contract: AED 3,000 – AED 10,000 (based on office size/location)
- MOA Notarization & Typing Center Fees: AED 1,000 – AED 2,500
- External Approvals (if required): AED 500 – AED 5,000
- Visa Quota Registration & Establishment Card: AED 2,000 – AED 3,000
On average, the total setup cost for a Dubai mainland license ranges between AED 15,000 to AED 30,000 for most commercial or professional companies. It’s important to note that certain business categories, such as medical services, construction, and consultancy, may require additional regulatory approvals, which slightly increase the total cost.
2. Factors That Influence License Cost
Your overall setup and renewal cost depend on:
- Business Type: Commercial, industrial, or professional.
- Office Space: The size and location of your office directly affect Ejari costs.
- Number of Activities: More activities under one license can raise the fee.
- Nationality and Shareholding: 100% foreign ownership is now allowed, but some activities may still need a local service agent (LSA).
- Approvals: Extra permits from Dubai Municipality, KHDA, RTA, or DHA.
Understanding these factors helps you plan your business budget more efficiently and avoid surprise charges later.
3. Renewal Process of a Mainland License in Dubai
All mainland licenses in Dubai must be renewed annually through the Department of Economy and Tourism (DET) (formerly DED). Renewing on time keeps your trade license valid and prevents fines or suspension.
Here’s the step-by-step process for renewal:
Step 1: Ensure Tenancy Contract Validity
Your Ejari tenancy contract must be valid for at least one month at the time of renewal. If it’s expired, you’ll need to renew it before applying for the license renewal.
Step 2: Gather Required Documents
The following documents are typically required:
- Valid trade license copy
- Tenancy contract (Ejari)
- BR/1 Form (business renewal form)
- Passport copies of shareholders
- Visa and Emirates ID copies (if applicable)
Any updated approvals from external authorities (if required)
Step 3: Submit Application
Submit your renewal application through:
- The DED online portal, or
- An authorized typing center, such as SH Typing Center, for faster processing.
Step 4: Pay Renewal Fees
Once your documents are verified, you’ll receive a payment voucher. The renewal fees usually range from AED 8,000 to AED 15,000, depending on the license type.
Step 5: Receive Updated License
After successful payment, your renewed trade license will be issued immediately. You can download it digitally or collect a printed copy for your business records.
4. Penalties for Late Renewal
Failing to renew your mainland license on time can result in penalties and even business suspension.
Typical fines include:
- AED 200 per month for late renewal
- Possible blacklisting of your trade name after long delays
- Freezing of immigration or labor cards, preventing visa services
To avoid these penalties, it’s best to start your renewal process at least one month before the expiration date.
5. Tips for Hassle-Free Renewal
- Keep your Ejari and business documents up to date.
- Ensure all employee visas are renewed before the trade license expires.
- Use authorized typing centers like SH Typing Center to handle renewals quickly and correctly.
- Check your registered email or SMS for DET renewal reminders.
- Keep digital copies of your trade license and payment receipts for records.
By following these steps, you can renew your license smoothly without facing downtime or fines.
6. Value of Professional Assistance
While business owners can renew their licenses directly through the DET portal, many prefer to work with authorized typing centers to save time and ensure compliance.
A professional service like SH Typing Center can:
- Verify your documents before submission.
- Handle external approvals.
- Process renewals instantly through DET and GDRFA systems.
- Provide reminders for next year’s renewal.
This eliminates stress and helps you focus on running your business instead of navigating paperwork.
The Dubai mainland license is the foundation of your company’s legal existence in the UAE. Understanding the cost breakdown and renewal requirements ensures that your business remains compliant, active, and ready to grow. By planning your budget carefully and working with professionals like SH Typing Center, you can manage renewals seamlessly, avoid penalties, and maintain your company’s good standing in Dubai’s highly competitive market.