How to start your business as a sole trader in Dubai?

Table of Contents

What is a sole trader? When it is required to set up as a sole trader in Dubai?

In the United Arab Emirates, a sole proprietorship is a legal entity that is owned or run by one person who has a business license that is granted in their own name. All of the entity’s obligations, including its financial liabilities, are assumed by the owner.
But the Department of Economic Development, or DED, the license is mandatory.
A Dubai sole trader is allowed to engage in business or professional activities throughout the Emirates; as a result, the license they apply for must take these activities into account.
Even if there isn’t a set minimum to start a single trader in Dubai, a person must figure out how much money is required to run their business.

Keep track of your purchases and costs.
Pay income taxes and national insurance contributions on your earnings.
Depending on the type of business you operate or the risks you take, you may require a different kind of insurance.
Some health and safety requirements you must follow include creating a health and safety policy, getting insurance for your company, and setting up the appropriate workplace amenities.

The DED is responsible for registering and issuing trade licenses to new businesses in the UAE

For a sole proprietorship, the total cost of the virtual business license in Dubai is AED 850, which includes AED 200 for the company name and AED 650 annually for the virtual company license.

Choose a trading name for your business in Dubai.
Obtain a preliminary approval from the Department of Economic Development of Dubai (DED)
Complete the business license application form and deliver it to the registrar together with the required paperwork.
Pay the fees and get a license
Get office space.