Latest news with #Ejari
The National
5 days ago
- Business
- The National
UAE Property: ‘What deductions can my landlord make from the security deposit?'
Question: What is the precise timeline for my landlord to refund my security deposit after I hand over the keys at the end of a tenancy and what exactly qualifies as 'reasonable deductions'? MB, Dubai Answer: Under Article 20 of Dubai Law 26/2007 (as amended by Law 33/2008), landlords must refund the security deposit 'upon expiry of the rent contract '. In reality, most landlords aim to return the balance within 30 calendar days of receiving the tenant's vacate notice and cancelled Ejari certificate, though some may take longer if there are unresolved utility bills or major repairs to assess. To balance this argument, I can also confirm that if all is OK, some landlords take much less time to return the deposit. The business relationship they had with the tenant would determine this timeframe, too. My advice to ensure a smooth refund would be to organise a joint handover inspection by having a walk-through with your landlord or their agent on the day you return the keys. During this meeting, you should document the condition of the walls, fixtures, fittings, flooring and appliances with time-stamped photos or video. Before receiving your deposit, secure the Ejari cancellation certificate. Without this, landlords can withhold refunds. One of the most abused circumstances from both sides is understanding reasonable deductions. What is allowed are repairs for damage beyond normal wear and tear (e.g., holes in walls, broken tiles, damaged cabinetry in kitchens, bathrooms, bedrooms or utility room), unpaid Dubai Electricity and Water Authority bills, A/C or municipality charges and any cleaning/repainting costs expressly outlined in your tenancy agreement. They are not allowed to charge for touch-up paint jobs, minor scuffs or fading finishes and cosmetic wear from normal occupancy. However, the term 'normal wear and tear' is always open to interpretation, so I would advise to never have this in a contract, rather stipulate what a tenant needs to do at the end of the agreement to get the deposit back. If deductions from a landlord seem excessive or undocumented, you may file a complaint with the Dubai Rental Dispute Settlement Centre within 30 days of vacating. The RDSC typically processes these cases in two to four weeks, mediating between tenant and landlord to arrive at a fair amount. By proactively documenting the property's condition and knowing your rights around Ejari and the Real Estate Regulatory Agency, you can minimise delays and avoid unfair write-offs. Q: Late last year, we purchased an off-plan two-bedroom apartment in One by Binghatti through a marketing agent. It's on level 46 looking towards the Burj Khalifa and has 1,572 square feet, including the extra-large balconies. There will also be a plunge pool on the balcony. We intended to keep the unit post-handover in December 2026 and rent it out, but our plans have changed. In a few days, we will have paid the 40 per cent that will allow us to sell the property, as per the developer's contract. What would be a fair sale price for the property today? The agent we purchased through advised that the best gains will be realised at handover, but paying 60 per cent of the purchase price before handover is too much of a stretch. Should we consider travelling to Dubai to obtain our golden visa and refinance with a local bank loan? We understand that in Dubai, the buyer pays the agent's commission, but our agent is proposing to charge 2 per cent to both the buyer and the seller (us). His explanation is that he would devote enough time to getting the best result. Should we accept his proposal or shop around? Jo, Sydney Watch: What is Dubai's first-time home ownership scheme? A: I checked online and there appears to be several available units at One by Binghatti starting at just over Dh3.5 million ($953,029), with others at Dh3.6 million, Dh3.8 million, a few at Dh4.5 million and even one at Dh4.8 million. Given the difference in price, I can only assume the view is making a difference. Based on these, I think the right price should be in the region between Dh3.6 million to Dh3.7 million. When the developer still has inventory, it makes it harder to sell an off-plan secondary property because buyers tend to prefer buying as the first sale, so this can be challenging. If you can hold the unit, you will see the most appreciation at the point of handover, so in terms of financing the remaining 60 per cent, this is possible even as a non-resident and you get to apply for the golden visa. Lastly, it isn't illegal for an agent to charge both the buyer and the seller, the norm being 2 per cent from each, as long as all parties are aware and have agreed to it. The agent will be more invested if the fee is 4 per cent rather than 2 per cent and would mean they can also work with other agents and still get the minimum commission of 2 per cent.
Time of India
12-07-2025
- Business
- Time of India
Subletting in Dubai: 5 ways to turn your flat into a side income without breaking the law
A Dubai apartment building where tenants must get landlord approval before subletting/ Image: File TL;DR You need written permission from your landlord before you sublet. You also need to register the sublease with Ejari, or it's not legal. Without these steps, you could lose your deposit or even be evicted. Sharing your apartment might seem like a smart way to earn some extra money. Rents in Dubai aren't cheap, and many tenants are looking for ways to split costs or make side income. But renting out part of your flat, even just a room, comes with legal risks. Dubai tenancy law is clear: you can't sublet unless your landlord agrees in writing. And even with permission, you need to go through the proper steps to make it official. Skip them, and you could end up in real trouble. Here's what you need to know before you start. 1. Check Your Lease First The starting point is your rental contract. Some leases clearly say that subletting is not allowed. Others don't mention it at all. Either way, you need to get the landlord's approval before subletting, even if it's just one room or a short stay. Allowing someone to live in your flat in exchange for rent, without written permission, is a breach of Dubai's tenancy rules. 2. Get Written Approval A casual text from your landlord isn't enough. You'll need a signed letter or agreement that shows they're okay with the sublease. This protects you in case anything goes wrong. What to include: The name of the person moving in How long they'll stay Whether they're renting a room or the whole unit If the landlord says no, that's the end of it. You can't sublet legally without their okay. 3. Register the Sublease with Ejari Once you have permission, your next step is Ejari. This is the official rental registration system in Dubai. You or your subtenant will need to register the sublease to make it legal. Why it matters: Without an Ejari, your subtenant won't be able to set up DEWA (utilities), internet, or even get a parking permit. More importantly, an unregistered sublease is considered illegal, no matter what your landlord says You can register at any typing center or through the Dubai REST app. 4. Avoid Problems with Bills and Services If you keep the DEWA account in your name but someone else is living there, make sure you have a clear deal about who pays what. Misunderstandings over bills are common. And if you register the sublease properly, your subtenant can open their own utility account. That way, things stay clean. 5. Know What You're Responsible For When you sublet, you don't stop being the tenant. You're still on the hook for rent, damages, and contract terms. If your subtenant breaks something or stops paying, it's your problem. Also, many buildings have rules against short-term stays or sharing. Check with your building management before you go ahead. Bottom Line Subletting can help cover your costs, but it's not as simple as handing someone a key. Without your landlord's written consent and a registered Ejari, you're putting your lease and your deposit at risk. Take the time to do it right. If the landlord says no, respect that. If they agree, make sure everything's on paper and registered. That's the only way to protect yourself. FAQs Q1. Can I list my apartment on Airbnb or Only if your building allows short-term rentals and you register with Dubai Tourism. Most tenants aren't allowed to do this under standard contracts. Q2. What if I just want a roommate? Same rules apply. If money is changing hands, it counts as subletting. You still need permission and a registered Ejari for that person. Q3. Will the landlord know if I sublet without telling them? Probably. DEWA records, building access logs, and Ejari mismatches make it easy to spot. If they find out, they can start eviction proceedings. Q4. Can I charge my subtenant more than I pay in rent? Only if your landlord agrees. Charging extra without permission could be seen as profiteering, which is not allowed.
Time of India
17-06-2025
- General
- Time of India
Marina fire: ‘Everything's gone,' residents in tears as they return to charred homes
In the quiet hours after disaster, the first residents of the 67-storey Marina Pinnacle Tower, also known as Tiger Tower, have been allowed back into the building to retrieve what little may be left. Tired of too many ads? go ad free now The high-rise in Dubai Marina was partially gutted by a fire on Friday night. Days later, the reality of what was lost is beginning to sink in. For many, it's not just belongings, but entire lives turned to soot. Charred walls, soot-covered furniture, and gutted rooms greeted them, turning tearful reunions with their homes into moments of anguish. Salma Sherif Elhouseny, an Egyptian business consultant, had only been in Dubai for a year and a half. Her apartment on the 40th floor had been her safe space in a new country. She returned to it escorted by a Dubai Police officer, stepping carefully over blackened rubble. A video she later shared shows her sobbing uncontrollably as she is led through the ruins by a Dubai Police officer. 'My master bedroom… it's completely gone. I'm devastated, everything's lost. My jewellery, my laptop, my clothes, birth and education certificates, all the money I had, it was all here,' she told Khaleej Times , her voice still trembling. 'I know others have lost more, but I am alone in this city. This was everything I had.' She had waited several hours just to be allowed in, eventually escorted up through a cargo elevator shortly before midnight. 'I was just lucky they let me in,' she said. Tightly Controlled Access and an Exhausted Crowd Authorities have implemented strict controls to manage the entry of displaced tenants. Dubai Police and Civil Defence now require residents to register their names, present Emirates ID and tenancy (Ejari) documents, and wait for their turn. Tired of too many ads? go ad free now Entry is granted to small escorted groups, each allowed only around 10 minutes inside. Passports, medications, laptops, car keys, these are the urgent items people are prioritising as they step into their damaged homes. 'There's a system in place, and they are trying their best,' one tenant told Khaleej Times , acknowledging the structure amid the chaos. But the process hasn't been smooth for everyone. 'Some people are misusing the opportunity by carrying heavy suitcases and staying longer than allowed. It slows everything down and delays those still waiting,' said another resident. Some floors, particularly the lower ones, appear to have escaped major damage. An Indian homeowner who visited his third-floor apartment said he felt fortunate. 'Some smoke damage, but nothing serious. I consider myself lucky, given what others are going through.' For many others, especially those living on higher floors, access is still out of reach. Voices from the Upper Floors: Missed Chances and Near Escapes Yasemin Fuentes, a Turkish expat who lived on the 47th floor with her husband, daughter, and three pets, has made multiple attempts to retrieve essentials, all unsuccessful. 'More than 200 people were waiting, and it was too hot. I was told only those with medical needs or flights were being allowed in briefly,' she said. 'We're still wearing the clothes we fled in. I haven't been able to get my ID or second phone.' The night of the fire, Yasemin hadn't even been aware of the danger until a friend from a neighbouring tower called her around 10pm. 'There was no alarm. I grabbed my daughter, our two cats, and the dog. By the time we got to the stairwell, it was filled with smoke. That's when panic really kicked in.' Others, now allowed in, are documenting and sharing their losses through WhatsApp support groups. 'Got our passports and car keys. Room and kitchen were safe, but the living room was hit by smoke since the balcony door was open.' 'Went to the 43rd floor. Kitchen and hall were intact, just blackened by soot. But the master bedroom is gone.' 'Update from 34th floor: Room partially damaged, hall completely gone.' 'From the 19th floor: Living room fully destroyed, hall partially affected.' For residents living in shared accommodations, the experience has been even more constrained. 'You're only allowed into your own room. Police were very strict about that,' said one tenant. 'And if you're above the 40th floor, there's no electricity at all. We were given enough time to collect essentials, though.' Grief Meets Generosity: A Community Stands Up Even as residents cope with trauma and uncertainty, community solidarity has begun to fill the gaps left behind by the fire. A WhatsApp group named 'Support Group to Help' has grown to over 1,000 members. It now functions as a central hub for aid, offering everything from temporary accommodation and clothing to food supplies. Volunteers continue to show up, helping neighbours with what they can. Mental health professionals have stepped in too, offering free counselling to those impacted. Daily virtual sessions featuring laughter therapy and traditional yoga are being held every morning from 6:45am to 7:45am until Friday, providing some emotional relief for those still processing what happened. There are no easy recoveries from events like this, but in the ruins of Marina Pinnacle, the compassion of a city is beginning to rebuild what flames took away.
Hi Dubai
17-06-2025
- Business
- Hi Dubai
Best Co-working and Virtual Office Setups for Business Owners Looking to Grow
In the past few years, the way people work in the UAE has changed dramatically. With office rents rising and hybrid work becoming the norm, business owners are rethinking traditional office setups. In cities like Dubai and Abu Dhabi, co-working spaces and virtual offices are no longer used only by freelancers—they've become practical solutions for startups, small businesses, and international companies looking to enter the market without heavy setup costs. According to the Dubai Chamber of Commerce, over 70,000 new businesses were registered in Dubai in 2024—a clear sign of growing entrepreneurial activity. The city's commercial office occupancy rate also reached 92%, showing a strong demand for flexible business environments. But how do you compete and grow in such a fast-moving market if you don't have the capital for large office leases? This is where co-working spaces and virtual office setups come in. These flexible workspaces offer lower costs, faster setups, and easier license approvals—key benefits for entrepreneurs who want to focus on growing their business instead of managing real estate. What's Causing the Shift? Let's Break It Down Several key factors are driving this shift toward more flexible workspaces across the UAE: Rising Office Costs Office rents in Dubai and Abu Dhabi have increased significantly over the past year. Premium areas like Business Bay, Downtown Dubai, and Sheikh Zayed Road are seeing double-digit rent hikes, which have made it difficult for new or small businesses to afford long-term leases. Growth of Freelancers and SMEs The UAE's freelancer visa, startup incubators, and business-friendly zones have led to a surge in one-person and small-team companies. These businesses don't need large offices—they need affordable, flexible solutions that allow them to scale. Digital Business Setup Options The UAE has made it easier to open a business through platforms like Invest in Dubai, which offers digital license registration and approvals. Many co-working spaces are directly connected with these licensing services, making setup even easier. Ejari and Compliance Made Simple One of the biggest challenges for setting up a business is meeting Ejari (tenancy contract) requirements for your license. Most co-working and virtual office providers now offer Ejari-compliant addresses, so you don't need a full office to get your trade license. Co-working vs. Virtual Office: What's the Difference and Which One Should You Choose? Both co-working spaces and virtual offices offer smart alternatives to traditional office rentals in the UAE, but they serve different needs. If you're unsure which option suits your business, this section will help break it down. What Is a Co-working Space? A co-working space is a shared work environment where individuals and businesses rent desks or small offices. These spaces are designed for productivity and collaboration. You'll usually find hot desks, dedicated desks, private offices, meeting rooms, high-speed internet, and coffee stations—all included. Who is it for? Startups Small teams Freelancers Remote employees needing a regular workspace Why choose it? You want a real office without a long-term lease You need to meet clients in person You value community and daily networking opportunities What Is a Virtual Office? A virtual office gives you an official business address, mail handling, and licensing support—but without a physical desk or workspace. Some providers also offer meeting room access, reception services, and Ejari registration when needed. Who is it for? Solopreneurs or freelancers who work from home International companies expanding into the UAE Consultants who don't need a full-time office Why choose it? You want to reduce operational costs You only need the address for license purposes You rarely meet clients in person Easy Comparison: Co-working vs. Virtual Office Here's a quick side-by-side comparison to help you decide: Feature Co-working Space Virtual Office Workspace Access Yes (desk, shared office, private office) No physical workspace Ejari & License Support Available (most locations) Available (through premium providers) Meeting Rooms Usually included or can be booked Available as add-on in some packages Community & Networking High – meet people, attend events Low – mostly remote setup Best For Startups, SMEs, remote teams Freelancers, consultants, international firms Cost Range (per month) AED 750 to AED 2,000 AED 350 to AED 1,200 Setup Time 1 to 3 days 1 to 2 days If your business depends on collaboration, visibility, or walk-in clients, a co-working space is likely the better fit. But if you're keeping things lean and need the basics to register and run your business remotely, a virtual office offers a smart starting point. Top Co-working Spaces in the UAE That Are Worth Your Investment The UAE is home to dozens of high-quality co-working spaces that offer much more than just a desk. From creative hubs in Downtown Dubai to business-focused spaces in Abu Dhabi, here are some of the most popular choices for entrepreneurs, startups, and growing teams. 1. AstroLabs (Dubai & Riyadh Street, DMCC) View this post on Instagram A post shared by AstroLabs (@astrolabsme) AstroLabs is one of the most well-known co-working communities in Dubai, especially for tech startups and digital entrepreneurs. What makes it stand out? Integrated with Dubai's DMCC licensing system Strong ecosystem for tech startups and e-commerce businesses Training and accelerator programs What you get: 24/7 access Fast licensing support Event space and meeting rooms Shared and private offices Ideal for: Founders building tech-driven startups who want access to mentorship, growth tools, and a professional setup in JLT. 2. Nook (One JLT, Dubai) View this post on Instagram A post shared by nook Coworking (@nookdxb) Nook is a business hub designed for professionals in wellness, fitness, and creative industries—but open to all. What makes it stand out? Approved by the General Authority of Sports Supports licensing for yoga teachers, personal trainers, and wellness entrepreneurs Friendly, casual work atmosphere What you get: Affordable desks and meeting rooms On-site license registration Showers, lockers, and fitness studio access Ideal for: Freelancers and wellness professionals who want a workspace tailored to their industry. 3. Letswork (Multiple Locations Across the UAE) Letswork is a flexible co-working network offering memberships across cafés, hotels, and shared offices. What makes it stand out? You can work from top hotels like Rove, Studio One, and Vida Mobile app for space booking and tracking hours Affordable and easy to use What you get: Unlimited tea and coffee Meeting room hours Access to multiple locations with a single membership Ideal for: Digital nomads and freelancers who enjoy working from different locations without being tied to one office. 4. The Co-Spaces (Dubai Design District & Sheikh Zayed Road) This design-forward co-working space offers sleek interiors and well-thought-out work zones. What makes it stand out? Located in the creative heart of Dubai (D3) Vibrant, youthful environment Focus on collaboration and creative networking What you get: Open-plan desks and private offices High-speed internet and printing Event access and member meetups Ideal for: Designers, marketers, and agencies who want to work in an artistic environment with other creatives. 5. Regus (Across UAE) View this post on Instagram A post shared by Regus Global (@regusglobal) A global name in flexible workspaces, Regus has centers across Dubai, Abu Dhabi, Sharjah, and Ras Al Khaimah. What makes it stand out? Professional setup with global reputation Offers both co-working and private offices Available in most business districts What you get: Reception services Business lounges Meeting rooms and phone booths Ideal for: SMEs and growing teams who need a professional, quiet workspace with full-service options. Best Virtual Office Providers in the UAE for a Smart, Hassle-Free Setup Not every business needs a physical office to grow. If you're working remotely, managing a team abroad, or simply looking to save costs, a virtual office gives you a legal presence in the UAE without the overhead. Here are some of the best virtual office providers offering reliable services, licensing support, and value. 1. Virtuzone (Dubai & Abu Dhabi) View this post on Instagram A post shared by Virtuzone (@virtuzone) Virtuzone is a top-rated business setup firm that offers complete virtual office solutions along with company formation. What makes it a top choice? Trusted by thousands of startups in the UAE Offers a trade license and a virtual office in one place Known for fast processing and support Services include: Dedicated business address Ejari registration (when required) Call answering and mail handling Optional meeting room access Ideal for: Entrepreneurs and solo founders who want a fast, professional setup support and licensing under one roof. 2. Regus Virtual Office (Across the UAE) View this post on Instagram A post shared by Regus Global (@regusglobal) Regus offers a global network of virtual offices, and their UAE options come with flexible packages. Why it works well in the UAE: Offices in prime locations like Business Bay, DIFC, and Abu Dhabi Corniche Highly professional services Ability to upgrade to a co-working or private office anytime Services include: Business address Mail and call handling Access to lounges and meeting rooms globally Optional Ejari certification for licensing Ideal for: International firms expanding into the UAE or local consultants who want credibility and global access. 3. Spider Business Center (Sheikh Zayed Road, Dubai) Spider Business Center is a well-known office provider offering serviced, virtual, and executive offices. Why it stands out: Convenient location with direct access to business hubs Fast document processing Affordable packages with license support Services include: Prestigious business address Dedicated receptionist License documentation assistance Office access if needed Ideal for: Small business owners and remote consultants who need a professional address with full support services. 4. Servcorp (Level 41, Emirates Towers, Dubai) Servcorp is a premium virtual office provider for businesses looking for prestige and international standards. Why it's worth the higher price tag: Address in Emirates Towers English-speaking reception and IT support Global call routing and admin services Services include: Elite business address 24/7 voicemail-to-email High-level client handling Optional access to premium meeting rooms Ideal for: Consultants and global entrepreneurs who need a luxurious, high-trust image. Which Workspace Setup Is Right for You? If you're starting or growing a business in the UAE, the good news is—you have options. Whether you're a solopreneur launching a consulting firm or a small team building the next big tech product, both co-working spaces and virtual offices give you the flexibility and tools to grow without being locked into long-term leases. But how do you know which one to start with? A Sample Scenario: Scaling Smart in the UAE Let's say you're starting a marketing consultancy from home. You need a trade license and an official business address, but you don't need a physical office—yet. You begin with a virtual office from a trusted provider like Virtuzone or Regus. You get your Ejari, your trade license, and your calls are handled professionally. You work remotely, meet clients over Zoom, and keep your costs low. from a trusted provider like Virtuzone or Regus. You get your Ejari, your trade license, and your calls are handled professionally. You work remotely, meet clients over Zoom, and keep your costs low. After six months, the business has grown. You hire two freelancers and start attracting higher-value clients. Some prefer in-person meetings. That's when you upgrade to a co-working space at Nook or The Co-Spaces. You get meeting rooms, a collaborative vibe, and a more professional presence without taking on a full lease. at Nook or The Co-Spaces. You get meeting rooms, a collaborative vibe, and a more professional presence without taking on a full lease. Within a year, you're earning enough to consider a private office within the co-working hub or even a dedicated suite at Regus. Step by step, your workspace scales with your business, without pressure or wasteful spending. This model is becoming more common in Dubai's startup ecosystem. Flexible workspaces aren't just about saving money. They're about staying agile and growing at your own pace. Build the Business, Not the Burden With over 70,000 new business registrations in Dubai alone in 2024, competition is growing—but so are the opportunities. The real challenge isn't finding a place to work. It's choosing a setup that keeps your business lean, legal, and ready to grow. If your focus is cost-saving, remote operations, and quick setup, a virtual office is the ideal launchpad. If you're ready to build connections, meet clients, and be part of a working community, co-working gives you the edge. Now is one of the best times to invest in the UAE market. The infrastructure is here. The legal systems are in place. And the workspace flexibility means you can grow smarter, not harder. Also read: Identifying Prime Locations to Set Up Your Business in Dubai Explore how Dubai's business zones, licenses, and costs shape success and why choosing the right location can make all the difference. Can Foreigners Really Own 100% of a Business in the UAE? Here's the Truth Explore the evolution of foreign ownership restrictions in the UAE, from their historical roots to the groundbreaking 2020 reforms and the sectors that still require local ownership. Unlocking golden opportunities: Top Sectors to Invest in Dubai Want to get the best bet on your money? Here are the top sectors to invest in Dubai.
Hi Dubai
12-06-2025
- Business
- Hi Dubai
License Renewal: Avoiding Fines for Dubai Businesses
Dubai's dynamic business environment thrives on compliance and foresight. For every entrepreneur and business owner in Dubai, a valid trade license is the legal backbone of their operations, ensuring credibility, continuity, and adherence to the robust regulatory framework. Timely renewal is not merely a formality; it's a legal obligation that prevents operational disruptions, maintains your business's reputation, and, crucially, helps you avoid significant financial penalties. This comprehensive guide aims to simplify the often-perceived complexity of trade license renewal in Dubai. We'll walk you through the straightforward process, highlight common mistakes that can lead to unnecessary hurdles, and detail the penalties for late renewals, equipping you with the knowledge to keep your business on a compliant and successful path. The Straightforward Guide to Dubai Trade License Renewal Navigating the trade license renewal process can be straightforward, especially when you understand the specific requirements for your business jurisdiction. This section focuses on the process for Dubai Mainland businesses, regulated by the Department of Economy and Tourism (DET). Understand Your Jurisdiction : While the fundamental principle of renewal applies across Dubai, the specific process, required documents, and even associated fees can differ significantly depending on whether your business is established on the Dubai Mainland (regulated by the Department of Economy and Tourism - DET, formerly DED) or within one of the many Free Zones. Always refer to your specific Free Zone Authority's guidelines for their unique procedures. Source: Dubai Economy and Tourism (DET) Key Documents Required (Checklist) for Mainland Businesses : To ensure a smooth renewal, gather the following essential documents: A copy of your current/old trade license. A valid tenancy contract (Ejari registered), with at least one month's validity remaining from the date you submit your renewal application. This is a critical and non-negotiable prerequisite. The BR/1 form (License renewal application form), which is typically filled out and submitted online. Passport copies of all business partners/shareholders. Emirates ID copy of the business owner. Potentially required (depending on your business activity or any changes) : An updated copy of your Memorandum of Association (MOA), audited financial statements (often for industrial licenses or certain Free Zones), and specific approvals from relevant government authorities such as Dubai Municipality, Civil Defence, or the Knowledge and Human Development Authority (KHDA), if applicable to your business activity. Source: Shuraa Business Setup Step-by-Step Renewal Process : Proactive planning is key. It is highly advisable to begin the renewal process at least 30 days before the expiry date of your current trade license to allow ample time for any unforeseen issues and to avoid potential penalties. Check Tenancy Contract Validity: First and foremost, confirm that your Ejari-registered tenancy contract has at least one month of validity remaining. An expired or soon-to-expire Ejari will be the biggest hurdle to your license renewal. Gather Documents: Compile all necessary and up-to-date documents as per the checklist above. Application Submission: The most convenient way to apply for renewal is through the Dubai Economy (DET) e-Services Portal (part of or via the DubaiNow App. Alternatively, you can visit any DET-approved service centre in person if you prefer or if your specific case requires it. Receive Payment Voucher: Once your application is reviewed and approved by the DET, a payment voucher will be issued. Make Payment: Payment can typically be made online using a credit/debit card, or through designated payment channels at service centers. License Issuance: Upon successful payment, your renewed trade license is usually issued swiftly (often within 1-2 business days for mainland businesses) and can be downloaded digitally, allowing for immediate access. Source: Dubai Economy and Tourism (DET) , DubaiNow App Cost of Renewal : The cost of trade license renewal in Dubai is not fixed and varies significantly based on several factors, including your specific business activity, legal structure, and whether your company is in Mainland Dubai or a Free Zone. For Mainland businesses, the average renewal cost typically ranges from AED 8,000 to AED 15,000. However, this can be higher depending on the specific business activities, the size of your office space, and any additional government approvals required. Free Zone renewal fees vary widely. For instance, DMCC licenses may range from AED 10,000-15,000, while Jafza licenses typically fall within AED 12,000-16,000, and DIFC licenses can exceed AED 20,000 depending on the business type and scale. Additional associated costs include Ejari renewal fees (approximately AED 200-300) and any charges for external government approvals or professional services if you opt for third-party assistance. Source: Arnifi , Common Mistakes to Avoid Even with a clear guide, common pitfalls can lead to unnecessary fines and operational hurdles. Being aware of these will save you time and money. Missing Renewal Deadlines : This is, by far, the most critical and costly mistake. While Mainland businesses often have a 30-day grace period after the license expiry date, it's crucial to understand that penalties typically start accruing immediately upon expiry, even within this grace period. Waiting until the grace period is almost over is risky. Source: Worldwide Formations Invalid or Expired Tenancy Contract (Ejari) : As highlighted, a valid Ejari-registered tenancy contract with at least one month's validity remaining is mandatory for Mainland trade license renewal. Failure to have this in order is a primary reason for application rejection and significant delays. Source: Ejari Support Incomplete or Outdated Documents : Submitting incomplete, incorrect, or expired documents (such as an outdated Memorandum of Association, expired passport copies, or old application forms) will inevitably lead to processing delays or outright application rejection, wasting your valuable time. Waiting Until the Last Minute : Procrastination increases the risk of encountering unforeseen issues, such as technical glitches on portals, discovering missing documents, or requiring external approvals that take longer than anticipated. Any of these can push you past the deadline and incur fines. Operating with an Expired License : Continuing business operations with an expired trade license is illegal and carries severe consequences beyond just fines. It jeopardises your entire business's legal standing. Not Adhering to Business Activity Scope : Ensure that your current business activities precisely match those listed on your trade license. Operating outside your licensed scope is a violation of regulations and can lead to fines and legal complications. Penalties for Late Renewals Non-compliance with trade license renewal carries significant financial penalties and can lead to severe operational consequences for your business in Dubai. Financial Penalties/Fines (Mainland - DET) : Initial Fines for Late Renewal: Penalties for failing to renew a Mainland trade license typically start from AED 250. Escalating Monthly Fines: An additional fine of AED 200 per month can be imposed for continued delay in renewal, meaning costs accumulate quickly. Operating Without a Valid License: If a business is found actively operating without a valid trade license, a substantial fine of AED 5,000 can be levied. Source: (Kiltons,Farahat & Co) Free Zone Specific Examples: It's important to note that Free Zones have their own distinct penalty structures, which can differ from Mainland regulations. For instance, the DMCC (Dubai Multi Commodities Centre) has a specific penalty schedule for late renewals: AED 0 for 0-30 days expired, AED 2,500 for 31-60 days expired, and AED 5,000 for 61-90 days expired. Beyond 90 days, the license may face termination. (Source: DMCC Official Schedule of Charges) Operational Disruptions and Restrictions : Beyond monetary fines, the operational impact can be devastating: Suspension of Business Activities: The DET can issue orders to suspend or temporarily close your business, halting all operations. The DET can issue orders to suspend or temporarily close your business, halting all operations. Freezing of Bank Accounts: Corporate bank accounts linked to the expired license may be frozen, severely impacting your cash flow and ability to conduct any financial transactions. Corporate bank accounts linked to the expired license may be frozen, severely impacting your cash flow and ability to conduct any financial transactions. Inability to Issue Invoices or Sign Contracts: Without a valid license, your business will be unable to issue legal invoices or enter into new contracts, effectively paralysing your ability to operate legitimately. Source: Incorpyfy Visa Complications : An expired trade license has direct implications for your workforce and investor status: Impact on Employee and Investor Visas: All employee residence visas and investor visas tied to your business can be affected, leading to difficulties in renewal, potential overstay fines for employees, or even visa cancellation. Restrictions on New Visas: Your company will be unable to process or issue any new visas until the license is renewed and all penalties are settled. Source: Farahat & Co Legal Consequences : In severe or persistent cases of non-compliance, authorities can take more drastic legal measures: Blacklisting: Your company can be "blacklisted" by authorities, making it extremely difficult to conduct any future business in Dubai or re-establish operations under the same or different entities. Forced Closure/Liquidation: In extreme circumstances, the business may be forced to close down or undergo liquidation by government order. Deportation: In very severe and rare cases, business owners or managers could even face deportation from the UAE. Source: Worldwide Formations Reputational Damage : Being flagged for non-compliance or facing operational shutdowns can severely harm your company's reputation, deterring potential clients, partners, and investors, and impacting future business opportunities. Tips for a Smooth Renewal Process To ensure your trade license renewal is a seamless experience, adopt these proactive measures: Don't rely on memory. Utilize digital calendars, reminder apps, or even subscribe to professional business setup services that provide timely alerts before your license expiry. Maintain Organized Records: Keep all critical business documents—licenses, tenancy contracts, passports, MOA, etc.—meticulously organized and easily accessible, both physically and digitally. This will save you time and stress during the renewal process. Regularly Review Business Activities: Periodically check to ensure that your licensed activities accurately reflect your current operations. Any discrepancies can lead to issues during renewal or even fines. Consider Professional Assistance: Engaging a reputable business setup consultant or a Public Relations Officer (PRO) service can significantly streamline the renewal process. They can ensure compliance, manage all necessary paperwork, liaise with authorities on your behalf, saving you considerable time and preventing costly mistakes. Stay Updated on Regulations: Regulations and fees can change. Make it a practice to periodically check the official websites of the Department of Economy and Tourism (DET) and your specific Free Zone Authority (if applicable) for any updates or changes in requirements. Timely trade license renewal is a fundamental requirement for the uninterrupted operation and sustained success of your business in Dubai. The city's thriving economy rewards those who are prepared and compliant. Don't wait until the last minute. Be proactive, understand the straightforward process, and leverage available resources or professional help to ensure a smooth and penalty-free renewal. By adhering to these guidelines, you can navigate the renewal process efficiently, avoid unnecessary fines, and continue to thrive in Dubai's vibrant and competitive business landscape. Disclaimer: The information provided in this article is intended for general guidance only and is based on publicly available information from official Dubai government sources and authoritative business advisory firms as of June 2025. While every effort has been made to ensure accuracy and timeliness, regulations, fees, and procedures can change. Business owners are strongly advised to consult the official websites of the Dubai Department of Economy and Tourism (DET), the Dubai Land Department (DLD), and their specific Free Zone Authority (if applicable) for the most current and precise information, or to seek advice from a qualified business setup consultant for their unique circumstances. Also Read: Renew your business license in minutes with Invest in Dubai Your business license has expired and don't know what to do next? Renew your business license in minutes with Invest in Dubai, your reliable and guided shortcut to managing your business in the city. Small Business Licence Cost In Dubai We'll explore the cost of a small business licence in Dubai, and guide you through the steps required to launch your business successfully.
