At a Glance — UAE Free Zone General Trading Licence
| Feature | Detail |
|---|---|
| Typical First-Year Cost | AED 13,000 – AED 35,000+ (licence + establishment + visa) |
| Licence Type | General Trading (broad commodity range under one licence) |
| Company Structures | FZE (sole shareholder), FZC (2+ shareholders), Branch |
| Visa Eligibility | 1–6 visas depending on free zone and package |
| Key Advantage | Trade multiple product categories without separate licences |
| UAE Market Sales | Via mainland distributor or customs duty payment |
| Corporate Tax | 0% on qualifying income (QFZP rules apply) |
| Setup Time | 3–7 working days (licence); bank account +2–8 weeks |
| Popular Free Zones | DMCC, IFZA, RAKEZ, Ajman FZ, JAFZA, SAIFZ, Meydan |
What Can You Trade Under a General Trading Licence?
A general trading licence covers a broad spectrum of goods — consumer products, electronics, textiles, foodstuffs, building materials, machinery, household goods, and more — under a single licence. Key points:
- No need to list every product SKU; the licence covers the general trading activity category
- Import, export, re-export, and storage of diverse goods is permitted
- Regulated commodities (pharmaceuticals, controlled substances, hazardous chemicals, weapons) require additional sector-specific approvals
- Some free zones restrict certain commodities under general trading — confirm with the authority before applying
General Trading vs Specific Trading Licence
| Factor | General Trading Licence | Specific Trading Licence |
|---|---|---|
| Product scope | Broad — multiple categories | Named commodity list only |
| Flexibility | High — easy to pivot product range | Lower — need amendment for new products |
| Cost | Typically higher licence fee | Typically lower licence fee |
| Best for | Multi-category traders, new businesses | Single-commodity specialists |
Suitable Free Zones for General Trading
| Free Zone | Best Suited For | Indicative Cost (Yr 1) |
|---|---|---|
| DMCC (JLT, Dubai) | Premium address, commodities, large operations | AED 20,000–40,000 |
| IFZA (Dubai Silicon Oasis) | Cost-efficient, SMEs, multi-activity | AED 13,000–22,000 |
| RAKEZ | Warehouse+trading, industrial goods | AED 15,000–28,000 |
| Ajman Free Zone | Budget-conscious traders, GCC distribution | AED 12,000–20,000 |
| Meydan Free Zone | Dubai address, e-commerce, consumer goods | AED 13,500–25,000 |
| JAFZA (Jebel Ali) | Port-linked trading, bulk goods, large volume | AED 28,000–60,000+ |
All costs are indicative. Request a current written quote from your chosen free zone or a registered agent.
Step-by-Step Setup Process
- Choose your free zone — match to your commodity focus, budget, and visa requirements
- Confirm general trading is available — not all free zones offer it; some restrict by commodity
- Select company structure — FZE (individual) or FZC (partners/corporate shareholders)
- Reserve a trade name — must comply with UAE naming regulations
- Prepare and submit documents — passport, photos, business plan (some FZs)
- Pay fees and sign office agreement — flexi-desk or dedicated unit
- Receive trade licence — 3–7 working days typically
- Apply for investor and staff visas — requires Establishment Card first
- Open a corporate bank account — allow 2–8 weeks; business plan and evidence of trade required
- Register for VAT if applicable — mandatory above AED 375,000 annual turnover
Required Documents
- Passport copies of all shareholders/managers (with at least 6 months validity)
- Recent passport-sized photographs
- UAE residence visa copy (if resident in UAE)
- Business plan or description of trading activities
- NOC from current employer (if applicable)
- For corporate shareholders: certificate of incorporation, MOA, board resolution
Banking & Tax Notes
General trading companies are among the most common licence types applied for in UAE free zones. Banks are familiar with the structure but may ask for purchase orders, sales contracts, or proof of supplier relationships to complete account opening. Under UAE Corporate Tax (effective June 2023), free zone companies may qualify for 0% on qualifying income under the Qualifying Free Zone Person (QFZP) regime. Consult a UAE-registered tax agent for guidance specific to your situation.
Frequently Asked Questions
Can I trade any product under a UAE free zone general trading licence?
A general trading licence covers a wide range of goods, but regulated or restricted products (pharmaceuticals, narcotics, weapons, certain chemicals, tobacco, alcohol) require additional sector-specific licences or approvals from relevant UAE authorities, regardless of the general trading licence held.
Is a general trading licence more expensive than a specific trading licence?
Generally yes — a general trading licence typically carries a higher annual fee than a specific commodity licence at the same free zone. However, the flexibility to trade multiple product categories without amendments or additional licences can offer better value for businesses with diverse inventories.
Can a free zone general trading company sell goods on the UAE mainland?
Goods sold from a free zone to mainland UAE buyers are treated as imports and subject to applicable customs duty (typically 5% for most goods). Many general trading companies appoint a mainland distributor or agent to handle UAE domestic sales. Alternatively, goods can clear customs directly for mainland delivery.
How many visas can I get with a general trading licence?
Visa allocation depends on the free zone and office type. A flexi-desk typically allows 1–3 visas; a dedicated office unit can allow more. Some free zones offer packages with 2–6 visas bundled with the general trading licence. Confirm the exact visa quota with your chosen free zone before applying.
What is the minimum capital requirement for a free zone general trading company?
Minimum share capital requirements vary by free zone. Many modern free zones (IFZA, Meydan, SHAMS) have no mandatory minimum paid-up capital. Others (DMCC, JAFZA) may have nominal requirements. The capital is usually stated in the MOA/AOA but not always required to be deposited before licence issuance — verify with the specific authority.
Disclaimer: Information on this page is for general guidance only and is accurate to the best of our knowledge as of June 2026. UAE free zone regulations, fees, and procedures change periodically. Always verify current requirements directly with the relevant free zone authority or a registered business setup consultant before making decisions. Request a free consultation for personalised advice.