How to Obtain a Consultancy License in Dubai


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Establishing a consultancy firm is one of the most profitable processes of business setup in Dubai considering the emirate’s dynamic business landscape. Countless foreign investors have been setting up their businesses in Dubai for years and the services of consultancy firms are inevitable to the entrepreneurs especially the novice entrepreneurs. For every business to operate in Dubai, a trade license must be obtained from the competent licensing authority.

How to Obtain a Consultancy License in Dubai

For initiating the consultancy company formation in Dubai, the entrepreneurs must obtain a license that comes under the professional license type. The Department of Economic Development (DED) is the competent authority that issues the professional license in Dubai mainland and there are certain specific steps to be followed to obtain the license. To easily sail through the steps of obtaining the license, the investors require the professional assistance of reputed business setup consultants in Dubai, UAE.

Main Features of Consultancy / Professional License in Dubai

The DED mainly issues three types of licenses for setting up a company in Dubai, which are

  1. Commercial
  2. Industrial
  3. Professional

The consultancy activities come under the professional license and the license comes with huge benefits compared to the other two licenses. Unlike commercial and industrial licenses, the professional license comes with the benefit of 100% ownership. However, the entrepreneurs need to appoint a Local Service Agent (LSA) to get the benefit of total ownership in the consultancy business.

There is no need to worry about whether the LSA would have control over the consultancy business setup in Dubai. The LSA would mainly offer administrative services to the company and charges a fixed annual charge for the same. Obtaining a consultancy or professional license in Dubai is a straightforward process but to avoid unnecessary delays it is better to execute the process through the best business setup consultants in Dubai.

How to Get a Consultancy Licence in Dubai in Simple Steps?

The first thing businesses need to consider is that obtaining a consultancy license or setting up a business in Dubai is governed by the state’s rules, regulations and laws. This means that you would need to deal with the insurance authority Dubai, file paperwork, get certificates, clearances and abide by taxation norms.

The process of obtaining a consultancy license in Dubai involves a series of requirements, which can be fulfilled without delay if you hire reputed business setup consultants in Dubai. The following are the mandatory steps to be followed in order to get the trade license issued from the DED.

A) Identifying a Business Activity

As a first step, every entrepreneur needs to choose the business activity that is associated with the legal structure of the company. The DED has listed around 2,000 activities that can be categorized into professional, commercial, and industrial. Determine the business activity properly as conducting the business on activities not allowed in the trade license in Dubai attracts heavy penalties.

B) Determining the Legal Structure of the Company

The legal structure of the company is the type of company you are planning to set up in Dubai. The decision on the legal structure needs to be taken after considering the business type, business activity, the number of owners, and ownership options. The common types of legal structures in Dubai are

  • Limited Liability Company
  • One Person Company
  • Private Shareholding Company
  • Public Shareholding Company
  • Simple Limited Partnership
  • Partnership Company
  • Civil Company

C) Choosing a Company Name

The entrepreneur should choose the right name for their businesses and should reserve it with the DED. While applying for reserving the company name with the DED, you should take care to ensure that the name doesn’t violate the guidelines. Business setup services in Dubai recommend that the name should have a connection with the business activity and the legal structure of the company.

D) Apply for Initial Approval

After reserving the company name with the DED, you should apply for the DED’s initial approval certificate. The certificate is mandatory for proving that the DED has no objection to the proposed company formation in Dubai. The professional assistance of the best business setup services in Dubai will come handy for you while drafting the documents that are necessary for getting DED approval.

E) Drafting of LSA Agreement

The companies need to draft MoA and LSA agreements depending on the legal structure of the company. Since your license comes under the professional category, you need to sign and LSA agreement. The best business setup services in Dubai, UAE will assist you in drafting the LSA agreements and the MoA.

F) Rent an Office Space

It is mandatory for every company in Dubai mainland to have a physical address and therefore you should rent or lease office space at a suitable location. As a foreign investor, you are not allowed to own real estate properties in Dubai and hence you must rent the space. For this, you need to sign a tenancy contract with the landlord and get it registered with the Ejari.

G) Obtain External Approvals If Applicable

This is one of the crucial steps in business setup in Dubai, where you are required to approach ministries and government departments for approval if your business activity falls in the special activity category. If you are offering consultancy services in the following activities, you need to obtain approval from the ministries that regulate such activities in the UAE,

  • Legal
  • Audit
  • Banking
  • Transportation
  • Insurance
  • Tourism
  • Engineering
  • Oil & Gas

H) Issuance of Consultancy License in Dubai

In the last stage of the process of consultancy company formation in Dubai, you are required to submit all the documents for verification. The required government fee also needs to be submitted along with the documents. If approved, the consultancy license will be issued by the DED.

How Business Setup Consultants can Help you Obtain a Consultancy License in Dubai?

Having a consultancy license in Dubai provides the investors with total ownership of the company while gaining access to the emirate’s plentiful opportunities. All you need to do for 100% ownership is appointing an LSA. However, you are required to exercise vigilance while executing the steps of business setup in Dubai as knowledge in local laws and regulations is required while drafting the documents. For a hassle-free license obtaining process, you need to hire the best business consultants in Dubai who will assist you with all the process of documentation and visa processing. Choose the best business setup services in Dubai and achieve your business goals in the peace of mind.


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