Wed. Nov 30th, 2022
Must-Know Things Before Setting Up Business In Dubai DED?

Must-Know Things Before Setting Up Business In Dubai DED?

The Dubai DED has an extensive list of business activities, and its authorities can add new activities as needed. Companies registered under the DED have no restrictions on the activities they can conduct and are thus better equipped to tap the vast UAE economy. While most businesses set up in Dubai need a local partner with a majority shareholding, DED is working towards introducing legislation allowing companies to operate 100% overseas. The changes will help SMEs in several ways, enabling 100% foreign ownership of certain types of businesses.

E-commerce license:

An e-commerce license is a legal document that a company in Dubai must possess to conduct business online. These licenses allow a company to conduct business in more than one country. There are several benefits to this type of license. It allows a business to do a variety of business activities. These include selling products and services online and receiving payments. A DED e-commerce license is a good investment for any business.

Master Merchant concept:

The Master Merchant concept of Dubai DED is one way to improve suppliers’ efficiency and turn accounts payable into a profit center. The program enables the government to pay suppliers early, which helps DED maintain a good relationship with them and negotiate discounts. The new DED payment system also enables DED to pay suppliers efficiently, contributing to the smart city initiative. However, there are certain limitations to the Master Merchant program.

Flexible legal arrangement:

One of the most advantageous features of a Dubai DED license is its flexibility. While most free zones restrict businesses from conducting business outside, DED companies are not restricted by these restrictions. The DED also offers several advantages, such as ease of licensing, minimal administrative costs, and flexibility in regulatory procedures. In addition, DED licenses are flexible, meaning that DED companies can operate anywhere in the UAE. Moreover, they are not limited in the types of businesses they run and can even set up branches in other countries.


The cost of a Dubai DED license varies depending on your business type. For instance, a company that sells goods or services can expect to pay around AED 2,000 to AED 50,000 to get a license from the DED. Other costs include labor card, establishment and labor card fees, and municipality fees. These costs are included in the annual rent of your business location. Additionally, you must be physically present in the UAE for your shareholders to receive their licenses.