How Much Is Trade License in UAE 2026

Quick answer

In 2026, a basic mainland trade licence in Dubai costs AED 15,000–25,000 for the first year and AED 12,000–18,000 for renewals. Free-zone licences start from AED 12,000 (IFZA) and AED 15,000 (DMCC). Offshore licences from ADGM or RAK ICC begin at AED 18,000. All figures exclude VAT and optional services.

Why licence costs vary so much

The final price depends on three factors: jurisdiction, activity type, and whether you need extra visas. Mainland licences are issued by the Department of Economic Development (DED) or any free-zone authority that also offers mainland packages. Free-zone licences come from DMCC, IFZA, Meydan, SPC, etc. Offshore licences are from ADGM or RAK ICC. Each has its own fee list published on official portals.

Mainland licence cost breakdown 2026

Step 1 – Initial approval

Trade name reservation and initial approval: AED 610–1,200. This is paid to the DED portal and is non-refundable if rejected.

Step 2 – Licence fee

Commercial or professional licence fee ranges from AED 10,000 to AED 20,000 depending on activity. Activities that need MOHRE approval (health, education, food) add AED 2,000–5,000.

Step 3 – Ejari and tenancy contract

You must show a valid Ejari tenancy contract. Average cost in a business centre is AED 15,000–25,000 per year for a flexi-desk. Physical premises push costs to AED 40,000+.

Step 4 – Visas and medicals

Each investor or employee visa costs AED 3,500–4,500 (entry permit, Emirates ID, medical, stamping). Two visas are usually included in the basic package; extra visas are charged separately.

Step 5 – Other government fees

Knowledge fee AED 150, innovation fee AED 400, municipality fees AED 2,000–5,000. Total add-ons average AED 3,000–7,000.

Free-zone licence costs 2026

Free zones publish transparent packages. IFZA offers a 0-visa commercial licence for AED 12,000. DMCC starts at AED 15,000 for commodities trading. Meydan Free Zone charges AED 13,500 for a single visa package. All include Ejari, stamping, and one-year licence. Extra visas cost AED 3,500–4,000 each.

Offshore licence costs 2026

ADGM offers incorporation from AED 18,000 plus 5 % VAT. RAK ICC offshore package is AED 16,800. Both include one year of registered agent and registered office. Renewal fees drop to AED 12,000–14,000 from year two.

Hidden or recurring costs to budget for

• VAT 5 % on all fees
• Annual audit (if mainland LLC) AED 5,000–12,000
• Corporate tax return filing AED 1,500–3,000
• Flexi-desk renewal AED 10,000–18,000
• Visa renewals AED 3,000–4,000 per employee

Common mistakes expats make

1. Choosing the cheapest package without checking visa quotas
2. Forgetting the 5 % VAT line item
3. Assuming free-zone licences allow unlimited mainland trading
4. Not budgeting for medical and Emirates ID renewals every two years
5. Skipping the tenancy contract and getting rejected at typing centre

Step-by-step: how to pay the right amount

Step 1: Decide jurisdiction based on trading area (mainland vs export). Step 2: Use the official portal cost calculator (DED, DMCC, IFZA). Step 3: Add two extra visas in the cart even if you need one today. Step 4: Pay by card or bank transfer; keep the receipt PDF. Step 5: Schedule renewal 30 days early to avoid AED 1,000 late fees.

Tips to keep licence cost low

• Pick a free zone with 0-visa option if you do not need staff visas immediately
• Share a flexi-desk with other founders to halve tenancy costs
• Renew before the 30-day grace period to skip penalties
• Use a single-activity licence instead of multiple activities
• Compare three portals on the same day—prices change quarterly

Key takeaway

Budget AED 18,000–30,000 all-in for the first year of a mainland or free-zone trade licence in 2026, including one visa and basic tenancy. Renewals drop by 20–30 %. Always verify current fees on the authority website before you pay, because packages are updated every quarter.