Trade License Activities
Trade license activities refer to the tasks for which you want to get a license. The license is a permission letter issued by the government of the state to pursue particular task or activity related to trade or business.
Abu Dhabi the business hub of the Gulf
Abu Dhabi, as one of the principal cities of UAE, provides a platform of issuing a license for some the activities.
The city legislations are strict when it comes to issuing a license for a particular event, business or project. There are almost three to four departments that involve in the screening process to issue a permit. Abu Dhabi allows five basic types of company setups in the region which are
- Sole Proprietorship
- Commercial Companies
- Foreign Company Branches
- Exclusive Distributor
- Gulf Establishment and Companies
Each of the company setups requires different documents to get a trade license from Abu Dhabi’s government.
A sole proprietor is a person who individually owns a business or a company. If you want to run such kind of company setup in Abu Dhabi, it is a must that you are Abu Dhabi’s national citizen. This opportunity is only available for the persons owning UAE citizenship or a passport.
The first and foremost is to have a trade name register and approved by Department of Economic Development. The department sends the application to the chamber, requesting the membership. As soon as the chamber passes the company as a member, the government proceeds to issues trade license. Other documents require passport copy, photographs, description of the activity and leasing contract.
A commercial company is the second form of company setup. Abu Dhabi policies for the commercial companies are similar to that of India and China. They allow foreign businesses and investors to trade only if they have collaboration or a partnership with the local firm or business. It is a must that the Abu Dhabi National holds a minimum of 51% of share.
The additional documents require the register partnership agreement, lease contract, photographs and passport copies of both the partners, license application form and immigration approval.
Foreign Company Branches
For foreign companies which want to establish their office or a branch in Abu Dhabi, like multinational banks; it is important to get the approval from the department of economic development. The documents require attested certificates’ copies of a facsimile of the mother company, financial statements, and statements of business activities.
The exclusive distributor is a wholesale agent working on behalf of the foreign company. The commercial agent has to get the approval of the agreement and registration from the Ministry of Economy.
Gulf Establishment and Companies
The Gulf nationals have an open chance to pursue any business of their likeness according to law and order. The only thing that matters is to take care of the lawfulness in the region.