Last updated: 2026-07-26
To set up a trading company in Dubai, you reserve a trade name, choose mainland or free zone jurisdiction, obtain a commercial license, and register an importer code with Dubai Customs. A mainland commercial license costs from AED 12,900 and issues in 3–7 working days (2026). Federal Decree-Law No. 32 of 2021 permits 100% foreign ownership for trading activities, and DBS Group, serving 80,000+ entrepreneurs since 2009, manages the entire process end to end.
Why Dubai Is the Trading Hub of the Middle East in 2026
Dubai’s non-oil foreign trade crossed AED 2 trillion in 2024 and the emirate targets AED 25.6 trillion in cumulative trade by 2033 under the D33 economic agenda (Dubai Media Office, 2025). For a trading business that means real infrastructure: Jebel Ali Port, Al Maktoum airport cargo capacity, and a customs regime with 0% duty on most re-exports. The jurisdiction decision — mainland or free zone — shapes everything downstream, which is why the first step to set up a trading company in Dubai is understanding how mainland formation works before you commit to a license package.
Trading activities also enjoy full foreign ownership: since the Commercial Companies Law amendments under Federal Decree-Law No. 32 of 2021, commercial trading licenses in Dubai mainland no longer require an Emirati partner, and 100% of shares can sit with foreign shareholders (2026).
Need help choosing your jurisdiction? WhatsApp DBS at +971 54 332 2846 →
The 7 Proven Steps to Set Up a Trading Company in Dubai
Step 1 — Define your trading activities
Dubai’s Department of Economy and Tourism (DET) lists over 2,000 licensable activities. A specific commercial license (e.g., foodstuff trading) costs less than a general trading license, which bundles unlimited product categories from roughly AED 25,000 in government fees (2026). Pick specific activities if you trade in one category — see our full guide to the general trading license in Dubai to compare both routes.
Step 2 — Choose mainland or free zone
Mainland licenses let you sell directly into the UAE market and bid on government contracts. Free zones (JAFZA, DMCC, IFZA) offer 0% customs duty inside the zone and lower entry costs, but selling onshore requires a local distributor or a branch (2026).
Step 3 — Reserve your trade name
Trade name reservation through DET costs AED 620 and clears in 1 working day when the name follows naming rules — no religious references, no abbreviations of personal names (2026).
Step 4 — Obtain initial approval and draft the MOA
Initial approval (AED 120) confirms the government has no objection to your activity. The Memorandum of Association is then notarised — typically AED 1,500–2,000 in notary fees for an LLC (2026).
Step 5 — Secure your office and Ejari
Mainland trading companies need a physical address registered in Ejari (AED 220 registration). Flexi-desks satisfy the requirement for smaller operations; warehouses come later once volumes justify them (2026).
Step 6 — Pay license fees and collect the license
The commercial license package for a single-activity trading LLC starts from AED 12,900 in DET fees and issues in 3–7 working days once documents are complete (2026).
Step 7 — Register with Dubai Customs and open your bank account
An importer/exporter code from Dubai Customs (AED 100 registration, renewable annually) is mandatory before your first shipment clears. In parallel, start corporate bank account opening in Dubai — banks take 5–20 working days and require your license, MOA, and Ejari (2026).
Want the full checklist done for you? WhatsApp +971 54 332 2846 →
Mainland vs Free Zone for Trading Companies: The 2026 Matrix
This is the decision that determines your customs treatment, your market access, and your cost base. Of the 80,000+ setups DBS has processed, 64% of 2025 trading clients chose mainland — direct UAE market access outweighed free zone fee savings for most (DBS client data, 2025).
| Factor | Mainland (DET) | Free Zone (JAFZA/DMCC/IFZA) |
|---|---|---|
| Sell directly in UAE market | Yes | No — distributor or branch required |
| Customs duty on imports | 5% standard rate | 0% inside zone; 5% on mainland entry |
| License cost (single activity) | From AED 12,900 | From AED 12,500 (IFZA, 2026) |
| Office requirement | Ejari-registered address | Flexi-desk included in most packages |
| Government contracts | Eligible | Not eligible |
| Importer code | Dubai Customs direct | Via free zone authority |
| Corporate tax | 9% above AED 375,000 profit | 0% on qualifying income if QFZP conditions met |
Ready to pick your route? WhatsApp +971 54 332 2846 →
What It Costs to Start a Trading Company in Dubai (AED, 2026)
| Activity | Government Fee | DBS Service | Total | Notes |
|---|---|---|---|---|
| Trade name reservation | AED 620 | Custom — WhatsApp +971 54 332 2846 | From AED 620 | 1 working day (2026) |
| Initial approval | AED 120 | Included in DBS package | From AED 120 | DET no-objection (2026) |
| Commercial license (single activity) | From AED 12,900 | Custom — WhatsApp +971 54 332 2846 | From AED 12,900 | General trading from AED 25,000 (2026) |
| MOA notarisation | AED 1,500–2,000 | Drafting included | From AED 1,500 | LLC structure (2026) |
| Ejari registration | AED 220 | Custom — WhatsApp +971 54 332 2846 | From AED 220 | Flexi-desk accepted (2026) |
| Dubai Customs importer code | AED 100 | Included in DBS package | From AED 100 | Annual renewal (2026) |
| Investor visa (per person) | AED 4,500–6,500 | Custom — WhatsApp +971 54 332 2846 | From AED 4,500 | Medical + Emirates ID included (2026) |
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Budget AED 20,000–30,000 all-in for a lean single-activity mainland trading LLC with one visa (2026). For the line-by-line breakdown across entity types, see the full company setup cost breakdown.
Save 40 hours — let DBS handle it. WhatsApp +971 54 332 2846 →
After the License: Customs, VAT, and Corporate Tax
Three registrations follow the license. First, activate your Dubai Customs client code before importing — shipments without it sit at port accruing storage fees. Second, VAT: registration with the Federal Tax Authority is mandatory once taxable supplies exceed AED 375,000 in a rolling 12 months, and 92% of active trading companies cross that threshold within their first year (DBS client data, 2025). Third, corporate tax: 9% applies on profits above AED 375,000 under Federal Decree-Law No. 47 of 2022, with free zone trading entities eligible for 0% only on qualifying income as a Qualifying Free Zone Person (2026). The UAE government portal u.ae maintains the current registration requirements.
Skip the compliance maze — WhatsApp DBS at +971 54 332 2846 →
The DBS Advantage for Trading Companies
DBS Documents Clearing LLC is a government-registered documents clearing company with direct counters at DET, GDRFA, and Dubai Customs. For trading clients we sequence the license, importer code, VAT registration, and bank file as one workflow — in 2025, DBS trading setups averaged 6 working days from trade name to license issuance (DBS client data, 2025). We also pre-clear activity descriptions with DET so amendments (AED 2,000+ each) never become necessary.
Confused about activity selection? Ask DBS — WhatsApp +971 54 332 2846 →
Frequently Asked Questions
How much does it cost to set up a trading company in Dubai in 2026?
A single-activity mainland trading LLC costs AED 20,000–30,000 all-in for 2026: AED 12,900+ in DET license fees, AED 620 trade name, AED 1,500–2,000 MOA notarisation, AED 220 Ejari, AED 100 customs code, and AED 4,500–6,500 per investor visa.
What is the difference between a commercial license and a general trading license?
A commercial license covers specific declared activities from AED 12,900, while a general trading license bundles unlimited product categories from roughly AED 25,000 in government fees (2026). Choose specific activities if you trade one category — the saving runs AED 12,000+ per year at renewal.
Can foreigners own 100% of a trading company in Dubai?
Yes. Federal Decree-Law No. 32 of 2021 removed the 51% Emirati shareholding requirement for commercial trading activities on the mainland, and all Dubai free zones have always allowed 100% foreign ownership. Over 90% of DBS trading setups in 2025 were fully foreign-owned (DBS client data, 2025).
How long does it take to start a trading company in Dubai?
3–7 working days for the license itself in 2026, assuming clean documents. Add 1 day for trade name, 1–2 days for MOA notarisation, and 5–20 working days for the corporate bank account. DBS trading setups averaged 6 working days from name reservation to license in 2025.
Do I need a warehouse to get a trading license in Dubai?
No. A flexi-desk with Ejari registration (AED 220) satisfies the mainland address requirement in 2026. Warehouses become relevant only when you hold inventory — and free zone options like JAFZA lease storage from around AED 30 per sq ft per year (2026).
Is a Dubai Customs importer code mandatory for trading companies?
Yes, for any physical goods crossing the border. Registration costs AED 100 through Dubai Customs and renews annually. Without an active client code, shipments are held at port and storage charges accrue daily — DBS activates the code alongside license issuance so day-one imports clear (2026).
Do trading companies pay corporate tax in the UAE?
Mainland trading companies pay 9% on profits above AED 375,000 under Federal Decree-Law No. 47 of 2022. Free zone trading entities can qualify for 0% on qualifying income — mainly goods sold to other free zone or foreign buyers — if they meet Qualifying Free Zone Person conditions (2026).
When must a trading company register for VAT in the UAE?
Registration with the Federal Tax Authority is mandatory once taxable supplies exceed AED 375,000 in a rolling 12-month period, and voluntary from AED 187,500 (2026). In DBS client data, 92% of active trading companies crossed the mandatory threshold within their first year (2025).
Start Your Dubai Trading Company This Week
The licensing rules reward preparation: correct activities, clean MOA, and a customs code that is live before your first container ships. DBS Group has guided 80,000+ entrepreneurs since 2009 — we handle DET, Dubai Customs, FTA, and the bank in one engagement.
WhatsApp: +971 54 332 2846 | Email: inquiry@dubaibusinessservices.com
By Salem Basheer, DBS Documents Clearing LLC — Last updated 2026-07-26
