Every thing you need to know about E Trader license in Dubai

Starting a business from home in Dubai through social media marketing channels? You need to acquire an e-trader licence in Dubai. There are differences between this licence and other trade licence types. What is an e-trader licence, how to obtain one, what are its benefits, and who can obtain one are just a few of the many questions you may have about this licence. In order to help you understand everything there is to know about getting an e-trader licence in Dubai, Prospr has compiled a detailed guide.

Let’s get started and find out the answers to all your questions.

What does a Dubai e-trader licence entail?

In 2017, an electronic trader licence was introduced by the Department of Economic Development (DED). For startups located in Dubai, this licence functions as a trade permit, enabling them to conduct business online and via social media channels.

Nowadays, home-based companies can take advantage of a plethora of online and social media business prospects. Everyone has the opportunity to make the most of this opportunity in Dubai.

In the eyes of online customers, every business that receives this licence is legitimate.

Since there are many online scams, having an e-trader licence in this image helps to reassure online shoppers that the company they are doing business with is legitimate. In other words, this licence gives buyers and customers who are involved in online business activities more confidence.

You can only purchase and sell goods and services online in Dubai with this licence. You need to obtain additional approval for this reason if you intend to continue conducting business in other emirates.

In Dubai, who needs an e-trader licence?

Only some people are eligible for an e-trader licence. In accordance with the DED, there is a need to understand who is qualified to acquire this licence. When can you apply for an e-trader licence in Dubai?

You run a home-based business that uses social media sites like Facebook to promote or sell goods online.
Using legitimate social media accounts, you are selling jewellery, clothing, handmade crafts, and other products online.
You work as a freelancer who provides various kinds of online services.
From your home, you run a successful online business.

Qualifications for eligibility:

You don’t need a UAE national as a partner to acquire an e-trade licence in Dubai when you run a home-based business.
To get your licence approved, you don’t need to have an actual office or workspace. There is no need for Ejari documentation. However, when completing an application for a Dubai e-trader licence, you must include your resident address and phone number.
If you are a citizen of the UAE or the GCC or a foreign expat of a specific nationality, you can apply for an e-trader licence.
The candidate must be at least 21 years old and a resident of Dubai.

The advantages of an e-trade licence

An e-trader licence in Dubai has the following benefits for foreigners.

From your residence, you can conduct business digitally. You can set up a digital store at home with the aid of this licence. Nevertheless, this licence is only valid for the issuance of one visa and is issued in the name of one individual.
To make digital transactions safe and secure is the primary goal of e-trader licences. It deters people from buying and selling phoney and counterfeit goods and services on social media.
You can offer goods or services on social media platforms after obtaining this online e-trader licence. Only in the case that there are any legal difficulties will the licence be held accountable. To avoid legal problems or liabilities, it is essential to do business using social media and secure internet channels.

How may one apply for a Dubai e-trader licence?

To complete your e trade licence application, you need to take the following actions:
Go to the DED Trader website. This is the URL: Trade Licence: https://ded.ae/page/en
Sign up for a session. You will need to submit your information as well as information on your social media profiles.
You need to pay an e-trader licence fee of AED 1070 if you want to trade electronically in Dubai. Within 24 hours of your application, you need to pay this fee. This licence needs to be renewed yearly. A licence renewal period of two months is in place; if you fail to pay the renewal fee within that timeframe, you will be fined 200 AED.

That is all.

Important information: The DED authorities will check your application after it is submitted, and if approved, you should receive your licence in 3–5 business days.

Dubai’s e-trader licence categories

E-trader licences come in two kinds.

Licence for business: You can acquire this licence if you intend to do commercial business online in Dubai. Only citizens of the GCC and Emirati nations are eligible for this licence. One cannot apply for a business e-trader licence as an expat. It’s illegal for foreigners to manufacture, trade, or conduct online product sales.
Licence for the profession: An e-trader licence is a viable option for foreign nationals who wish to conduct professional online trade in Dubai. This enables you to provide your expert services digitally, such as cosmetic artistry and photography.

Documents needed to obtain a Dubai e-trading licence.

It’s possible to start an online store in Dubai from home if you have an e-trader licence. The procedures and trade licence, however, would be different if you intend to establish a company in Dubai. During the application procedure, you will need to provide the following documentation:

Trade name approval paperwork with Emirates ID
Residence verification
Membership in the Dubai Chamber of Commerce (for a commercial licence)
Images of national ID cards and passports issued in the United Arab Emirates

Who will make the most of an e-trader licence?

These are some of the people who can benefit from Dubai’s e-trade licence prospects.

Before starting a company in Dubai, an entrepreneur who wants to assess the potential of his online business
Novice trying out several business launch concepts
Anyone who wants to make the most of his leisure time but requires a side gig
Professional who wants to avoid going through the complicated procedure of setting up a business or setting up a company in Dubai. They only need to acquire the licence before they can begin providing services.
Homemakers and mothers who wish to start a business from home.

Wrap Up:

You need to acquire an e-trader licence in Dubai if you want to run your online business efficiently there. Since you can run your business from your residence using social media platforms, there is no need for a formal office space.

Do you want to know if getting an e-trader licence to look into online trade prospects is the right decision for you or not? If so, you can connect with Prospr’s business consultants at no additional fee. We help and direction with this issue as well as with setting up a company in Dubai and other emirates. Make an appointment for a consultation to obtain the answers to all your questions.