What are the different types of e-commerce licences in the mainland?

If you are getting a mainland e-commerce licence, then you need to familiarise yourself with the options offered by different mainland jurisdictions.

Dubai

Issued by the Dubai Department of Economic Development (DED), the eTrader licence allows entrepreneurs to conduct business activities via social media channels. However, at the moment, the eTrader licence is only available to UAE and GCC nationals living in Dubai.

In addition, only a single owner can be registered and you cannot set up a physical shop or apply for visas.

Another option is to obtain a general trading licence in Dubai mainland, which allows you to conduct commercial activities online. The prices for this premium trading licence start from AED 30,000.

Abu Dhabi

The Abu Dhabi Department of Economic Development (ADDED) issues Tajer Abu Dhabi, its version of an online trading licence for UAE nationals and residents, as well as GCC nationals. It permits licence holders to add their online business activities to their existing trade licences, or get a new licence to perform business activities online (through websites or social media channels).

This e-commerce licence supports three kinds of legal structures:

•   Establishment for Emiratis and GCC nationals
•   Single shareholder company for Emiratis and GCC nationals
•   Limited Liability Company for UAE residents with Emirati partners

Sharjah

Home-based and online businesses that operate via social media channels can apply for an Eitimad licence, which is issued by Sharjah Economic Development Department (SEDD). The licence is available to UAE nationals living in Sharjah. They should also be at least 18 years old.

Ras Al Khaimah

Ras Al Khaimah has also launched its own online business licence: the Virtual Merchant Licence. This licence allows entrepreneurs to conduct business activities via social media platforms, websites or smartphone applications.

Available to UAE nationals living in Ras Al Khaimah, the virtual merchant licence covers the following business activities:

•   Online retail
•   Information technology
•   Real estate brokerage
•   Advisory/consultancy
•   Professional and information activities performed via technological channels