Any business in Dubai involved in industrial or manufacturing activities requires an industrial license. Dubai requires an industrial license when a company is involved in converting raw materials into manufactured products, materials and commodities of all kinds and types to sell them for profit.
Factories involved in manufacturing-related activities must have an industrial license. The following are some examples of business activities permitted under an industrial license.
The industrial license is issued by the Department of Economic Development of the Government of Dubai. To get such a license, however, businesses must get permissions from relevant government departments. The departments from whom approvals are required will vary according to the company’s specific business activities.
Before granting an application for an industrial license, Dubai requires applying companies to submit a detailed business plan. The plan must be comprehensive and include the objectives of the business and the technical specifications of its would-be operations, including factory plans and the equipment that will be installed. It should also outline the number of employees the company plans to hire, how it plans to accommodate these employees, and its ownership and leadership information.
Upon being granted an industrial license, an industrial or manufacturing company must begin constructing its factory and facilities within six months of license issuance. Once its factory is complete, it must apply for permission with the DED to start operations.
Once it begins operating, the company must strictly adhere to the governing authorities’ regulations, especially in hiring qualified employees, complying with Emiratisation requirements, implementing safety precautions, keeping accurate records, and engaging only in approved business activities. If the company wishes to conduct activities beyond its current scope, it must apply with the DED and relevant government departments for additional approvals, or it risks losing its industrial license in Dubai.
The formalities and the procedures involved in industrial company formation in Dubai can be tedious and time-consuming. Emirates First can help you obtain an industrial license by facilitating your application and guiding you throughout the process for a hassle-free business setup.
There are many advantages to industrial company formation in the UAE, in general, and in Dubai, in particular.
Some special advantages may also be available in certain circumstances. For instance, the government could prioritise procurement from industrial and manufacturing businesses with superior products. Innovative companies may be given preferential loan rates. If a company’s industrial operations will add great value to the economy, the government may provide the company land for free or at a great subsidy, waive business setup fees, or even give the company research and development funding or grants.
The following are the basic steps involved in obtaining an industrial license in Dubai.
Emirates First can help you apply for an industrial license in Dubai. Contact us at +971 50 347 2388 for any questions or to start the license application process.
If you are looking for dedicated and professional assistance in setting up a business in UAE, get in touch with us. Our expert consultants can get your business registered and help you further for a smooth operation.
Frequently Asked Questions on obtaining an industrial license in Dubai