Have you always thought of starting a small business from home on social media? Perhaps you’d like to sell handmade accessories or web design services. Or maybe you’re already selling products or services on your social media and wondering ‘is it legal to sell online in the UAE?’ Dubai has set its focus on becoming the leading e-commerce hub and has rolled out new schemes and initiative to foster economic activity. One such scheme has been the E-trader licence in Dubai, launched in 2017, that helps home entrepreneurs on social media! Read on to discover more about this home business licence in Dubai! Find out the cost of the E-trader licence, how to apply and what you can do with it!
What is the E-Trader Licence in Dubai?
The E-trader licence in Dubai was introduced by the Department of Economic Development (DED) and is aimed at home entrepreneurs doing business over social media. The E-Trader licence will make it easier for individuals or single-owner businesses to sell their services and products on social media. It will also bolster customers’ confidence when they’re shopping online. The announcement of the E-trade licence by DED followed in the wake of the efforts to crackdown on counterfeit and fake products being sold on social media platforms like Instagram. The licence aims to regulate the sale of products and services conducted through social media in Dubai.
Do you need the E-Trader Licence in Dubai?
If you are an individual who promotes or sells products and services through your social media accounts or a personal website, then you do need an E-trader licence in Dubai. For instance, this home business licence would apply to stay-at-home mothers promoting handmade products or photography services and selling on Instagram in Dubai.
Home entrepreneurs who don’t have or require a physical office space are eligible to apply for the E-trade licence in Dubai, as it does not require you to submit any Ejari documents. It’s ideal for single-owner home-based businesses that don’t require a local partner and freelancers. UAE and GCC Nationals and expats of certain other nationalities can apply for the E-trader licence in Dubai, with the condition that the individual is based in Dubai and is over the age of 21 years.
What can you do with the E-Trader Licence in Dubai?
With this licence, individuals can legally promote and sell products and services through their social media accounts including Instagram, Facebook and more, or on a personal website. You can also feature their products and services on online marketplaces such as Souq.com. With this home business licence in Dubai, individuals and single-owner businesses can legally participate in and reach out to customers at exhibitions and conferences. It will also protect your trade name and any other intellectual property. The DED also holds training and workshops for E-trader licence-owners that you can attend!
An E-trader licence is strictly for a single-owner home-based business in Dubai or freelancer. Individuals with this home business licence in Dubai cannot open a physical shop or issue visas.
With the E-trade licence in Dubai, you can sell your products and services within the emirate. Should you want to sell in other emirates, you must approach the respective Department of Economic Development for that emirate and ask for approval. You may have to obtain another E-trader licence to sell in that emirate.
It’s important to note there are conditions on what you can sell on social media with an E-trader licence in Dubai. UAE and GCC National entrepreneurs with the licence can conduct commercial activity (i.e. sell physical products and goods) and professional activity (i.e. sell professional services) on their social media accounts. For all other expats, the conditions for what individuals can sell and promote on social media depends on nationality. On a general note, non-GCC expats can sell professional services through their social media, but not physical products. This could include maintenance, repair, event management and photography services. You can find out more about which nationalities are eligible for the licence and what you can sell through social media when you register for the licence.
While food products are most often not allowed under this license, it would be best to double check with DED (+971-4-445-5555) for more information as the licences are issued on a case-by-case basis.
How do you obtain the E-Trader Licence in Dubai?
The process to obtain the E-trader licence in Dubai is simple and quick. You can easily apply for the E-trader licence in Dubai on the DED Trader website. You’ll be required to create a DED Trader account, register and then make the payment. You will also need to provide information about your social media accounts when registering for the licence. Typically, you’ll get the confirmation for the licence within five to ten minutes, which you can then print out as well!
The E-trader licence Dubai fees currently is AED 1,070 and the licence must be renewed every year.
DED Dubai contact number
For more information on the licence to sell on social media in Dubai, you can contact the Department of Economic Development. You can reach them via phone or email using the details below:
- Contact: 04 445 5555
- Email: email@example.com
That was Bayut’s guide to the E-trader licence for those who have a home-based business in Dubai. If you have any other questions about the E-trade licence, send an email to firstname.lastname@example.org and get the requisite details If you’re looking to step into the influencer world in Dubai, take a look at Bayut’s breakdown of the recent UAE influencer licence to stay informed. And follow MyBayut to stay updates on the rules and regulations in the UAE!