One of the first decisions you need to make when starting a business in Dubai or elsewhere in the UAE is choosing the type of license that you will operate under.
The one that’s right for you will depend on your business activities. If you are carrying out professional services activities such as marketing, you will require a professional license, manufacturing companies would require an industrial license, and most trading businesses would need a commercial license.
There are also other, more specific, licenses that fall under these umbrella terms. The technical services License, for example, is a type of commercial license specifically aimed certain business activities. These activities include flooring and tiling, carpentry, installation and maintenance, and many more.
As with most trade licenses, obtaining a technical services license in Dubai, UAE, is incredibly straightforward. And when applied for with the assistance of a company formation specialist, it can be achieved in just a few simple steps.
The Technical services license in Dubai is 100 per cent tax free. So there is no corporate tax and there is no personal tax. You are allowed to provide your services to all kind of companies in UAE. If you get your Technical services license in Dubai then you can also apply for gov’t project as well.
Permitted Activities in Technical Services
Numerous commercial activities are permitted under the technical services license. These include:
- Air conditioning, ventilation and air filtration services
- Carpentry and flooring
- Concrete works
- Corporate cleaning services
- Electrical fitting and fixtures services
- False ceiling and light partition installation
- Floor and wall tiling works
- Installation and maintenance
- Insulation contracting
- Plaster and cladding works
- Plumbing and sanitary contracting
- Solar energy systems installation
- Technical services contracting
How to get a technical services license in Dubai, UAE ?
The first thing to do before making any key decisions is to engage with a company setup firm that can make and manage your application on your behalf. This gives you total peace of mind that your application is in safe hands and will be carried out as quickly as possible.
Once you have done this, you can get your technical services license in just three simple steps.
Step One: Decide about free zone or Mainland Business Area.
One of the most important considerations when establishing your UAE business is whether to set up in a free zone or on the mainland.
There are many advantages to both. Setting up on the mainland allows you to offer your services across the whole of the UAE as well as take on government contracts.
Free zones on the other hand offer affordable license packages as well as a range of other benefits, including a quick and easy incorporation process, ongoing business support and financial incentives such as tax exemptions and zero currency restrictions.
The setup that’s right for you will depend on the nature of your business. An expert in company formation can help you make this decision, advising on the best option for your specific requirements.
Step 2: Choosing your company name
next, you’ll have to choose your company name. There are a few things to keep in mind when making this decision. You must abide by a strict, yet easy to follow, set of naming conventions. Once again, a company setup expert can help you with this step.
In short, you should avoid any offensive or blasphemous language. Avoid names of well-known organizations and avoid abbreviations if naming your company after yourself.
Step 3: Making your technical services license application
The final step in the process is making your technical services license application. If you are setting up on the mainland, you can apply directly to the DED. If you have chosen a free zone setup then you can apply directly to the free zone. In both cases, a company formation specialist can manage this process for you.
When making your application, you will need to provide the following documentation:
- Completed application form
- Passport copy of the proposed owner or owners/shareholders
- Visa Copy for foreign expats
- Local Sponsor documents in case Mainland Company
- NOC from current employer in case employee visa (if applicable)
It is important to note that the MOA must be notarized in person at a Dubai public notary. This process usually takes around two hours.
Calculating the Technical Services License cost in Dubai and the UAE
There are many aspects to the cost of technical services license which must be taken into account. If you are setting up on the mainland, you’ll need to account for additional approval from the DED, as well as a license registration fee and potentially a local sponsor fee if one is required.
In all, the cost of applying for a technical services license on the UAE mainland is in the region of approx. AED 25,000 depend upon office, sponsor fee and number of shareholders.
On top of this, you will also need to consider the cost of visas, premises and other overheads.
Alternatively, you can set up in a free zone, which is often the most cost-effective way to start a technical services business in the UAE.
Free zones such as Fujairah Creative City offer many affordable license packages with no paid-up share capital requirement, no annual audit and an easy incorporation process. There is also no need to be present in the UAE to establish your new company.
Getting your Technical Services License in Dubai, UAE
If you’re armed with the right knowledge, getting a technical services license in Dubai and the UAE doesn’t have to be overly complex.
That being said, it does require a level of prior knowledge of the process. What’s more, it is important to note that the application process is only straightforward if your license application is complete at the time of submission and free from errors.
To help you to ensure that this is the case, it’s a good idea to work with a company formation specialist such as EMARAAT BUSINESS CONSULTANT (EBCG) when establishing a new company in the UAE.
We are a team of company registration professionals who are passionate about bringing the dreams of aspiring entrepreneurs and SMEs to life.
As well as handling your license application, EBCG can also assist with the opening of corporate bank accounts and advise on the most appropriate financial institution to suit your specific needs.
We also offer visa and immigration services and can handle all government formalities, permissions, work permits and visas applications that are required to trade in the UAE.
In short, our experts can establish your company on your behalf, make your license and visa applications, and take care of all the necessary admin – leaving you free to get on with running your business.
Merits of Dubai Mainland Technical Services License:
Main land technical services license is 100% tax free. Hence there is no personal tax or corporate tax.
You can freely offer your technical services to any company in UAE.
With Dubai technical services license you can apply for govt projects.
There is No capital required for a local Dubai mainland license
It allows you to carry out business in Dubai
There is no set limit on the number of visas so that makes it unlimited visas.
There is no restriction on the currency in Main land for technical license
You can setup your office anywhere in Dubai
It will give you the power of 100% repatriation of capital and profits
Hassle free legal procedures to get the license and simple setup process.
No audit required in Dubai Mainland
We, at EMARAAT BUSINESS CONSULTANT DUBAI offers you to established your complete business setup services including all government approvals/registration and visa services including VAT/TAX registration and more.
You can Contact with us any time at firstname.lastname@example.org 0r +971 56 952 9654
Author: Mr. Arslan Rashid | Mrs. Saman Arslan