Import and export businesses are not new to the world of business, instead have been here for quite a while now, operating a business that caters to the supply and demand of commodities and goods across different countries and jurisdictions. While import refers to the coming of items from other countries, export is sending products across to others.
When it comes to the UAE and Dubai in particular, international trade, imports, and export have played an essential part in the economy. The UAE has become a global trade hub because of the multiple import-export Business in UAE. Here, you’ll know more regarding an import-export business set up in Dubai.
Why is the Import-Export Business a Flourishing Sector in Dubai?
The import-export sector is growing and flourishing, with multiple import-export business opportunities in Dubai for the following reasons.
- The UAE is amongst the easiest and best places for starting a business.
- UAE is present at a strategic location between Europe, Asia, and other African continents.
- Being at a central location, traveling to and from the place is easy.
- The UAE is ideally connected by water and air routes on a global level.
- A suitable time zone offering great trade across the West and the East.
How to Set Up an Import-Export Business in Dubai?
You’d need an import-export license if you’re planning on importing foodstuff, raw material, jewelry, electronics, or manufactured goods. You must follow these steps to get an import-export business license in Dubai and start your business.
1. Get Acquainted with the Process
As a beginner in the field, you need to acquaint yourself with starting an import-export business and getting a trade license in Dubai. You cannot enter the field without any background in everything. At this stage, you can take help from expert services and help you know about the costs, setup, requirements, documents, and the entire process.
2. Select the Activities for Your Business
To get your Dubai import-export license, you must first decide upon the business activity you want to conduct. In Dubai, there are multiple options for business activities to select from. You must choose from the import-export business category on the license.
3. Decide Upon the Business Trade Name
As per the business naming guidelines in Dubai, the name of your company needs to reflect, clearly, your business activities. Yet, it must not have any blasphemous or offensive terms. Moreover, the business name shouldn’t have acronyms or even your name. For example, Ali Exports is okay, but it cannot be A Exports.
4. Select Location for Your Business
Deciding upon the business location is a major thing to consider when beginning a Dubai import-export business. Companies often opt for Free Zone because it gives 100% foreign ownership and a 0% tax rate. Unlike mainland businesses, you won’t have any import custom duties either when it comes to a free zone.
Select a location that offers a good import Export Business for sale in Dubai, so you can make the most of your business.
5. Complete the Application Form and Pay the Fee
Moving ahead, you’ll need to fill in an application form to get your Dubai import-export business license and start a business here. At this stage, you’ll be asked to submit a lot of paperwork and documents. At this stage, you need to pay the necessary fees for getting a business license.
6. Get Your License and Open Up Your Business Bank Account
After you’ve completed the paperwork and paid the required fee, you are all set to start your import-export business after getting your license. Within a few days of completing the application, paperwork, and payment of fees, your license will be ready.
Once your license gets the approval, it’s then time to open your bank account for your business, using which you can receive and make your client payments within the UAE and abroad.
7. Finally, You Need Your Visa
For trading goods and business startups in imports and exports, you need to get your visa. Since the laws for import/export of goods are strict, a visa is needed for the shipments. You have two options; an import-export visa or a transit visa. While a transit visa works for 14 days, allowing you to export and import goods in this time frame, the visa has a 30-day validity, letting you trade our goods within this time.
If you wish to permanently or semi-permanently live and work in Dubai, UAE, you should get a residence visa. To get your visa, fill out the form and submit it with your passport copy and photos. For a transit visa, you need a travel itinerary copy as well. A visa generally takes 2 to 3 weeks, but the processing time may vary. After the approval of your visa, you can collect it easily.
The simple process covered above is all you need to start your Dubai import-export business. It doesn’t take very long, and you’ll be done in about a few days.
Documents Required Business Setup in Export-Import Dubai
Prior to setting up and starting your business in Dubai, you must submit several documents for getting your trading license. The first is the application form that needs to be submitted to the DED. This form can easily be downloaded from the website or you can also get the document’s copy from the office.
Then, you are required to give the trade license proof from Dubai’s Chamber of Commerce and Industry. With these two documents in hand, give in your guarantee letter from any reliable Dubai bank. Finally, you must hand in copies of your UAE residence visa and passport. With all these documents at hand, you are free to head on your journey of starting your import-export business in Dubai. Here is a brief of the documents you need.
- A filled application showing the business activities and your export and import goods
- Passport size photos and passport copies
- Residence visa copy (if it applies)
- Copy of Emirates ID (if it applies)
After collecting all these documents, the process ahead becomes rather simple. Just follow the steps we’ve covered above. Yet, don’t forget to follow all the requirements to start your business in Dubai. Consider having a look at the UAE import-export requirements.
Cost of Import Export Business License Dubai
If you want to start an import-export business in Dubai, the process isn’t very hard or expensive. While there aren’t too many costs, you would need to consider some things when you apply for this license. One of the things essential to consider is the costs.
To start, you have to get your license prepared from the Dubai Chamber of Commerce and Industry. While the license cost can vary, the usual cost is somewhere around 2,000 AED. Other than that, businesses in Dubai need to pay 1,000 AED for the annual registration. After paying the registration and license fee, you must set your office space. The renting cost varies based on the space, but normally ranges from AED 5,000/month.
The final step is getting your trade license from Dubai’s DED department, the Department of Economic Development. While the trade license cost is usually around 3,000 AED, it may be different for different types of businesses.
Benefits of Starting an Import-Export Business in the UAE
Here are some of the benefits of starting an import-export business in Dubai. Let’s have a look.
- Dubai is one of the simplest and easiest locations to set up a business.
- The city is very well connected to other countries by airport and seaport. This makes your export and imports cheap and fast.
- Dubai has a very diverse and suitable infrastructure supporting every type of business.
- Dubai is home to a very reliable, strong, and ideal banking system
- It is the most ideal place for trading with different countries because of its prime location, being the enter of Asia, Europe, and African continents
- Dubai has many different Free Zones which are the ideal place for starting businesses
- Importing and exporting products is very easy to and from Dubai
- Dubai is a prosperous country that has extraordinary purchasing power.
The Verdict
Starting up a business relating to imports and exports in Dubai is amongst the most ideal and lucrative options because of the city’s excellent benefits. With supportive export and import facilities and excellent business infrastructure, Dubai is the best place to flourish your business. Besides the benefits of the location, import-export business is a great way to get international recognition for your business. When combined with the benefits offered by Dubai’s ideal location and developing economy, there can be no better way to give your business a boost.
We have covered a complete guide about starting an import-export business in Dubai, and we hope it proves helpful in guiding you through the entire process if you’re up for it.
