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E-commerce business in the UAE

Why Dubai or UAE?

Safest City – Dubai being one of the safest cities to live in, it is the right place to settle and
do all your business transactions..

0% Tax – For all the transactions you make, it is just 0% tax on the capital gain. No matter in which part of the world you do business, you can always invoice from your UAE based company and make transactions through your UAE based bank account.

No limit – And there are no restrictions on your capital gain.

Why is licensing Important?

Trading Business

When you exchange any kind of goods over any platform in exchange for money, then it is a trading business. You are not allowed to do any business in the UAE, without being licensed.

High penalties for illegal practices

Yes there are many people who sell online without a proper license. Using social media is free but you are not supposed to do any business without a proper license issued from the licensing authority in the UAE. You can be charged a penalty of AED 25,000 for doing so.

E-Commerce business is an opportunity

The UAE forecasts a turnover of 27 Billion US Dollars in the E-commerce industry and is expected to grow by 23% every year. This is the opportunity, more than 1,000 people are already licensed to sell their products online.

Lowest cost license

Considering the fact of growing E-commerce business owners and many people doing business without a proper license, the licensing authority has reduced the license cost by almost 65%. Now you can do business legally by getting a license for just AED 5,500. Why take a risk when you can be licensed at such a low budget.

How can you do an E-commerce business in the UAE?

Get Licensed – First and the foremost thing is to get an E-commerce license from any registration authority in the UAE.

Sell anything online – An E-commerce license will allow you to legally sell anything online. The only restricted products are Automobiles, Pharmaceutical drugs, Precious metals like gold & Diamond, Tobacco products and Alcohol.

Sell on Existing platforms – You can register on the existing E-commerce platforms like Amazon, Noon, Souq etc. You can register your products and start selling.

Sell on Social Media Platforms – You can sell any product on any social media platforms.

Sell via Phone or Email – Customers can place orders through a phone call, email or by any communication platforms. It is not mandatory for someone to go online and place an order.

Sell via Phone or Email – Customers can place orders through a phone call, email or by any communication platforms. It is not mandatory for someone to go online and place an order.

Sell through your own Website – You can have your own website, portal or an application and start selling.

Sell anywhere in the UAE – Being licensed from any freezone in the UAE, you can sell anywhere in the UAE. People from any corner of the UAE can place an order and you can deliver it to them.

Sell anywhere outside the UAE – You can have your customers from any part of the world. You can ship your product and receive money in your UAE bank account.

Invoice under your company – All goods that you purchase can be invoiced under your license. Once you have your TRN you can claim the VAT that you paid while purchasing.

Customs Registration – Your company will be eligible to register at customs so that you can import goods from outside the UAE.

Buy goods from Local Market – You are free to buy any product from the local market and then sell it online. It is completely legal to do so.

Buy goods from outside the UAE – You can buy any product from anywhere in the world. The only thing you need to take care of is that you ship only so much goods, which logically seems to sell online.

Store at your residence – You are legally allowed to store your goods at your residence. Since the E-commerce business is going to be on a small scale, yes you can do it. In case you have a lot of products, where you might disturb your neighbors while moving the goods, you will need approval from your landlord.

Store anywhere in the UAE – You can store your goods anywhere in the UAE. It doesn’t matter from which Emirate the license is issued, you can still store it anywhere in the UAE.

Have a warehouse – There are a lot of licensed warehouses which will provide you the storage space. You can have a contract for any size and any time period. And this storage can be anywhere in the UAE.

Residence Visa – Your E-commerce company will be eligible to sponsor visas for the shareholders and the employees. You should choose the license package accordingly

Bank Account – Yes, you will be eligible to get a bank account in the UAE.

VAT Registration – Your company will be eligible to register to VAT only after you cross a turnover of AED 200,000 and the TRN will be issued for your business. It is mandatory to register before you cross a turnover of AED 360,000 annually.

How to register an E-commerce business in the UAE?

Freezone License – You can set-up your business in the Freezone jurisdiction. Sharjah Freezone is the lowest cost business set-up in the UAE. However you can get a license from DUbai Freezone too. Dubai Freezone license will be a bit costlier compared to SHarjah freezone.

No NOC required – Anyone can register an E-commerce business in the UAE. No matter what kind of residency you have. Employment visa, Family visa, Investor visa, a tourist visa or even when you are outside the UAE without any visa, you can still register an E-commerce business in the UAE.

Trade name reservation – Your proposed company name should be available to register for your business. Our experts can check the availability and confirm if the name meets all the requirements of the Trade name guidelines.

Process Time – – It can take upto 2 days to register your E-commerce business in the UAE..

Timeline for Ecommerce Business Set-up

Day 1

Application is submitted, after which trade license and company formation documents are issued

Day 3

Immigration Pre-Approval

Day 5

Immigration Card & E-Channel application are issued

Day 9

Entry Permit, Change Status, Medical & Emirates ID are issued

Day 12

Investor visa stamped

Documents required to set-up your new Ecommerce business

Documents for individuals

Shareholder(s) / Manager(s) / Directors(s)

● Passport Copy valid for at least 6 months

● Entry Stamp copy or Residence Visa copy (if applicable)

● 2 Passport size photos (for immigration card application)

Documents for a corporate Shareholder

Shareholder(s)

● Copy of Certificate of Formation

● Copy of Certificate of Incumbency / Good Standing (if applicable)

● Copy of Memorandum of Association

● Copy of Board Resolution

● Documents for the Authorized Person(s)

● Passport copies for all shareholders / managers

● Entry Stamp page

● copy or Residence Visa page copy (if applicable)

● 2 Passport size photos

Facilities Available

VIRTUAL OFFICE

A lease agreement for a virtual office from the freezone will be provided.

COWORKING

A shared business space that is ideal for entrepreneurs and professionals seeking collaboration opportunities.

SHELL & CORE

Select from a wide range of shell & core options to meet your business needs now, with the ability to grow in the future.

STORAGE

A facility for investors who are looking for either a small or large storage space with a state-of-the art fire, safety and security system.

AUDITORIUM

A large 200sqm space, ideal for product launches, screenings, ceremonies, shoots, conferences and presentations.

How can Rubik Assist you start your E-commerce business successfully in the UAE?

Rubik is a channel partner with all the Freezones in the UAE. It is the same as if you are directly dealing with the Freezone. The only difference is that we are here anytime for anything you need in the UAE.

Whether you’re just a beginner or an expert, Rubik has reliable and custom made plans for you to start your E-commerce business successfully.

Zero visa package - Without Residence Visa

BASIC

When you need
just a business
license.

AED 8,500

License renewal
every year at AED
7,000

Top Features

● E-commerce license
● Lease agreement for virtual office
● Share certificate and MOA

Rubik Plus

For those who need
complete set-up.

Save AED 4,000

AED 12,000

Normally AED 16,000

License renewal
every year at AED
7,000

Top Features

● E-commerce license
● Lease agreement for virtual office
● Share certificate and MOA

● Register in Amazon and Noon
● Build an E-commerce website

● Free Domain – 1 year
● Free Office 365 – 30 days

Rubik Premium

With added benefits

Save AED 4,000

AED 16,000

Normally AED 20,500

License renewal
every year at AED
7,000

Top Features

● E-commerce license
● Lease agreement for virtual office
● Share certificate and MOA

● Register in Amazon and Noon
● Build an E-commerce website

● Free Domain – 1 year
● Free Office 365 – 30 days

Rubik Pro

Everything at one
place,

Save AED 4,000

AED 19,500

Normally AED 23,500

License renewal
every year at AED
7,000

Top Features

● E-commerce license
● Lease agreement for virtual office
● Share certificate and MOA

● Register in Amazon and Noon
● Build an E-commerce website

● Free Domain – 1 year
● Free Office 365 – 30 days