DOCUMENTS REQUIRED FOR TRADE LICENCE RENEWAL IN DUBAI

Dubai is one of the largest hubs of businesses and organizations. Dubai has made compulsory business licenses for each company. The annual trade license renewal in Dubai is mandatory. The licensing process is simple and straight, but you need a lot of documentation. “Department of Economic Development is working as the supervisor for a trade license.

Renewal of trade licenses is a necessary process. If your license is not renewed, it might cause problems like penalties, banning business, etc. 

Trade License

A trade license is a written document for establishing any business in any country. This provides us permission to carry out your activities. The license does not allow any trade except the one it has permitted. It just legalizes your business in Dubai. If you plan to set up a business in Dubai, you must get your trade license and renew it for the smooth functioning of the company. 

What Are The Paperwork Goes Behind Trade Licence Renewal In Dubai?

The trade license is made for one year. After a year, it is essential to renew the trade license. The application for trade license renewal in Dubai must be submitted before 30 days of expiry. In case you are late, you have to pay a fine of AED 200 per month. Different Free zones have their unique requirement for a trade license renewal. There are, on average, 50-plus free zones with a particular requirement. 

List of documents requirements for trade license: 

1. Ejari registration

Mainland companies must submit an attested tenancy contract agreement to renew the license. Any company that fails to comply with providing the Ejari with a validity of at least three months will have to end up paying penalties.

2. A copy of the old trade license

A copy of your old trade license must be attached to the request for renewal. 

3. R/1 form

A BR/1 form must be filled out for the license renewal process. The BR/1 form must have the signature of the existing partner and should be approved by DED. All the documents must be attached to this form before submission. 

4. Photocopy of the passport of all the business partners.

A passport photocopy of all the stakeholders involved in the business must be submitted. You can submit your own if you are running a sole proprietorship business. 

There are two ways of applying for the renewal of a trade license, either online or offline. You can opt for any one of them. Submit your renewal form with all the necessary documents to the Department of Economic Development (DED). The governing bodies in Dubai perform all regulatory procedures. 

Step By Step Method To Renew Your Trade Licence In Dubai 2022.

• Check your tendency to contract

The most important thing to be checked while applying for trade license renewal is the validity of the tenancy contract. The agreement must be valid for at least a month. An invalid license is not renewable.

 File your application to the DED

With all the necessary documents attached, please fill out the BR/1 form and submit it to the Department of Economic Development.

• Receive the payment voucher 

After verifying the trade license renewal, the DED sends the payment voucher through which you can pay the renewal fees.

• Make a payment 

The last process is to make the payment after receiving the voucher. Your trade License is as good as new and gets renewed. 

Consequences Of Not Renewing Your Trade Licence In Dubai

A renewable trade license is essential for the business’s smooth running. Trade license renewal saves the possibility of banning and blacklisting. 

• Penalties

The Department of Economic Development can find the business whose license is not renewed. DED has the legal right to do it. A penalty of AED 5000 can be imposed. A trader who trades after the expiry date must pay a fine of AED 250 per month. 

• Blacklisting business 

A company that trades without a trade license risks being blocked. This will lead to the termination of the operation of the entire company.

• Banning the company 

The DED has the authority to ban the company at any time if you operate your business through illegal means. This is a severe 

consequence and you may be unable to re-establish your enterprise in Dubai.

WHY THE CLEVER CORP CONSULTANCY SERVICES?

Trade license renewal in Dubai is easier than ever when you contact us. Our business experts will help you throughout the renewal process to ensure everything’s in order. Be it the documents, paperwork, approval, or anything else – we got you. Our services give you a customized solution focused on your particular business and market, and we design strategies that enable our clients to achieve continuous growth and scale sustainably. To discuss more in detail your business plan, reach us today to have a suitable solution for your business dreams. We at Clever corp hold vast experience and our expert advisors are at the clock at your service to understand your idea better and get them into reality. Contact us at +971586412031 or +97145804048 to discuss with our experts at info@theclevercorp.com.

Original Source: https://theclevercorp.com/documents-required-for-trade-licence-renewal-in-dubai-2022/