Avoid all the usual headaches and inconveniences associated with the renewal process of trade licenses in Abu Dhabi (Trade license renewal Abu Dhabi) by understanding the entire process and the legal requirements. This article is a guide to help undergo the process of trade license renewal in Abu Dhabi.
What is a Trade License?
A trade license is issued by DED, permitting businesses to perform the activities under the license’s scope. A trade license ensures the residents of UAE and the consumers that they are dealing with a regulated business and that they won’t be bothered by improper trading.
Also read: Trademark Registration in Dubai and Cost
Requirements for Abu Dhabi Trade License Renewal
Mainland Business
- Copy and original current trade license of the entity
- Ejari certificate and tenancy contract
- Documents that are needed to acquire approval of all external departments (documents will depend on the license’s approved business economic activities)
Take note: mainland company trade license renewal in Abu Dhabi can seem simple and straightforward; however, it can get complicated and time-consuming, most especially when it is time to secure the approvals of several government authorities apart from the Dept of Economic Development (DED). The duration for a trading license to get renewed in Abu Dhabi can take a week or two. If additional approvals are needed, then the process can be longer.
Free Zone (FZ) Business
- Original and copy of business trade license
- Audit report (applies to certain free zones)
- PO box renewal confirmation
- Shareholder’s passport copy
- Other types of documentation, depending on the free zone authority and the activity covered by the trade license subject to renewal in the Abu Dhabi free zone.
It is important to remember that the trade license renewal process for free zone businesses can vary, depending on the jurisdiction a business is under and the kinds of packages that have been availed. Similar to mainland business trade license renewal in Abu Dhabi, renewing a trade license for a free zone business can take 1-2 weeks. In addition, if the shareholder of the free zone business is a foreign corporation or foreign business, a copy of the parent company’s renewed trade license is also needed.
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Steps to Renew Trade License in Abu Dhabi
Step 1: Review the Tenancy Contract
A tenancy contract must be valid for more than 3 months from the date of submitting a trade license renewal application with the DED or free zone authority. You have to ensure that you have reviewed your tenancy contract. If the tenancy contract also has to be renewed, then you have to undergo the renewal of your tenancy contract first. Ejari has to provide an attestation or a certificate for the renewal of your tenancy contract.
Step 2: Secure Approval of All Relevant Government Authorities
Doing business in Abu Dhabi needs the approval of all relevant authorities for the business license to be renewed. To give you an example, a business providing a Trade License in Abu Dhabi taxi service requires the approval and consent of the UAE’s Road & Transport Authority. Likewise, a business that is catering to food has to secure the approval of the UAE’s Food Safety Dept, including several other permissions from local regulators. It’s essential for every single approval applicable to be secured before proceeding with the trade license renewal in Abu Dhabi.
Step 3: Send the Application
Put together the Ejari certificate, tenancy contract typed formed for the renewal of the trade license with the DED, and photographs of business partners among others. Apply with the correct set of documents to ensure the application is approved.
Step 4: Secure the Transaction Number From the Payment Voucher
The DED will provide a payment invoice with a transaction number following the submission of a trade license renewal application. A transaction number has to be kept in storage or retained as it will be utilized as the reference number when the license is released by the authorities.
Step 5: Settle All Fees
Pay the fees for the application for business license renewal in Abu Dhabi with the use of the payment voucher. Make sure you are processing the trade license renewal early or prior to the license’s expiry date as there may be delays and you would not want to acquire any administrative fine or penalty.
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