E-Trader License in Dubai

Have you ever thought of doing business online from the comfort of your home?

E-trading is an effective technique employed by business individuals and entrepreneurs to carry out business activity online by using various online and social media platforms, websites and marketplaces.

What is an E-trader license in Dubai?

So the E-trader licence Dubai is a business license mostly required by sit-at-home entrepreneurs in Dubai to carry out their business activities online. 

The Department of Economic Development in Dubai (DED) introduced the E-trader licence in Dubai primarily to regulate the sales of products and services online. This was done to ensure the genuineness of those businesses. It was launched in 2017.

E-trader license is good for individual entrepreneurs who do not need to rent a physical office place to carry out their business. This licence is open to UAE residents, expats and GCC citizens.

Requirements of Dubai E-Trader License

Just like every other licence out there, Dubai E-trader licence has certain conditions to be met. Below are the key requirements:

• Anyone applying for the E-trader license must be 21 years of age and above.
• The applicant has to be a UAE resident or GCC citizen. 
• The applicant must be successfully registered on the DED Dubai official website. 
• An applicant needs the Emirates ID to register and obtain the license. This is to ensure that they are residents or the GCC citizens. Alternatively, a passport copy can be used but only for the GCC citizens.

E-trader license Dubai for expats

Since E-trader license can be obtained only by UAE residence visa holders or GCC citizens, being an expat you need to obtain your UAE residence visa first.

UAE residence visa can be done either through employment, business ownership or investments. Another way is being a dependent and having a visa under the sponsorship of a spouse or a parent.

If you have one of those, you become eligible for the E-trader license.

It is important to note that the list of business activities allowed under the E-Trader licence differs for GCC citizens and expats. There are certain restrictions for expats:

• Foreigners can provide only services under the  E-Trader license. Selling products is not allowed under this type of license. To sell products online, expats need to apply for a E-Commerce license.
• Foreigners with a DED trader license are not permitted to run a fitness business. Importantly, this also includes personal training, yoga classes, or anything else that is sports-related.

Benefits of E-trader Professional License in Dubai

Below are the benefits you enjoy having an E-trader licence in Dubai:

• You have your trade name registered and protected.
• The primary advantage of the E-trader license is that it promotes flexibility in marketing for the traders. So they can easily upload, sample and promote their products and their various services. They do it using their verified online profiles. All these they can access just at the comfort of their homes. 
• On the other hand, it makes it convenient for the buyers and consumers. They simply have to look out for any product or service by logging into their social media platform or do the web search. 
• Additionally, online transactions with those licensed entrepreneurs give people the assurance that they wouldn't end up with fake products or frauds.
• Also the E-trader license serves as a massive relief to the startup businesses. This is mainly for those who haven't invested much to set up a physical shop or office to showcase their businesses. This also applies to those who feel their businesses are better off on the Internet platforms rather than in physical locations. 
• With the E-trader license, one's business name is considered legit and trustworthy. They can even attend training and activities hosted by DED. This also helps build trust between the business owners and both the existing and potential customers.
• The Dubai E-trading license is also another medium to strengthen the economy and widen their reach to people in various places. This is because some find it convenient to shop online.

How to Apply for E-trader License in Dubai

Below is a step-by-step guide on getting an E-trader license in Dubai: 

1. Visit the www.dedtrader.ae website. 
2. Choose your preferred language (you may see only words like “dealers license or merchants license”), but don't worry, you're still in the right place.
3. Click “register” if you are a new user, or “login” if you already have an account. Alternatively, you can sign in using your UAE pass, which will require fingerprint verification.
4. Provide your Emirates ID number, email address or mobile number.
5. Make the required payment. Currently, E-trader license Dubai cost is AED 1,070 to obtain the Dubai E-trade Licence. Usually, it has to be paid within 24 hours of receiving the payment form or voucher from DED. Failure to do this would make the system automatically cancel your payment approval. Also, there is a Dubai Chamber of Commerce membership fee of AED 300 which is paid along with the main fee. 
6. Make sure you give accurate information about your social media accounts to be used for trading.
7. Wait a few minutes for verification.

So when you are done presenting all the necessary documents, the verification and checks are performed. You will receive your E-trade license within 3 to 5 working days. 

Who should apply for the Dubai E-trade license?

Basically, everyone is considered a beneficiary of this licence privilege as long as your residence status is valid. However, below are the different categories of people who may find the E-trading more convenient:

• Stay-at-home mothers or housewives who have opted to stay at home and work remotely. This license becomes a massive privilege to showcase their skills, craftworks or services.
• Freelancers - they use this medium to connect to people who wish to hire them for a particular task.
• Startup businesses who are yet to generate enough funds to hire or build an office.
• Entrepreneurs who feel they generate more leads or sales by trading online.

It is important to note that more than one person cannot be registered under one licence.