What is the DED 1070 E-Trading license?
Have you ever considered starting your own online business in UAE? Hefty license fees and lengthy processes were some of the common problems individuals had to face if they wanted to start their own business in the UAE in the past. But the e-trading license introduced by the Department of Economic Development (DED) in 2017 will cost you only 1070 AED without any additional costs, and no sponsorship or office space would be required. This license is regarded as the e-trading license or the social media license because you can sell your products anywhere online, whether its websites or by using social media accounts. Starting your own business so easily has been just an idea in the past is now becoming a reality. DED is working keenly to help and aiding individuals in starting their own business without paying a hefty amount of price, lengthy processes, or administration.
DED 1070 e-trade license is categorized as one of the most affordable licenses issued in the UAE. It will cost you 1070 AED per annum, and at the end of the year, you will have to renew the license. Anyone can apply for this license, but it is most suitable for home entrepreneurs. People availing of this license can even sell on Amazon. This also covers professional services like photography or event management.
You can’t physically sell products through this license because it is an e-trading license- meaning it covers services and products that can be sold online- and if you want to sell something like food, you will need to get additional approval from the relevant authorities. After acquiring this license, you will become eligible to protect your trademark. Per license, you can select up to 10 activities that you want to open your business with. More than one activity on the license at the same time won’t cost you additional charges.
This license seems to regulate the sales of products and services conducted through websites or social media in Dubai and UAE.
License activities for Dubai Expats
GCC nationals and non-GCC expats in Dubai may obtain E Trader licenses for professional services such as make-up and hairstyling. Still, the license does not permit them to export and import products, as previously stated. Some activities are prohibited based on ethnicity, so double-check ahead of time.
Who needs this e-trader license?
Suppose you are an individual who promotes or sells products and services through your social media accounts or personal websites. In that case, you do need an e-license in Dubai. This would apply to:
- Stay at home individuals or mothers promoting handmade products
- Photography services or people who are used to selling products and services online
- People who want to show their talents but doesn’t want anything to do with forms or offices
- Individuals using free time to run a side hustle business
- People who are working on jobs but wants to pursue their passion
- Newbies who have fresh ideas and want to try out their luck
Advantages
The perks of having this license are that:
- Anyone of age 21 or above can avail of this offer
- You can get your license within 3 to 5 working days
- You don’t have to have a physical space or office, and Ejari is not necessary
- Suitable for home-based business not requiring local partners or freelancers
- You can be the sole owner of 100 percent of your shares
- Individual availing of this license can obtain up to 3 employment visas
Disadvantages
But every good thing has some drawbacks too, and drawbacks of this license are:
- It won’t provide expats with residential visas.
- There will be restrictions on activities based on nationality, so you should check in advance.
- It does not allow expats to lease places like offices, commercial kitchens, or workshops.
- Does not allow expats to employ someone, and they will be working on their own
- As said before, individual ownership means that no friends or family members can collaborate with you.
- Emirati nationals and GCC nationals will have the advantage of selling goods. Still, expats can’t sell well, whether it’s retail or wholesale.
If you are interested in this e-trading license and want to acquire it as soon as possible, contact our team of experts working around the clock to always be at your service. In case of additional information too, you can contact us with your queries, and we’ll get back to you as soon as we can.
