Adding or removing Business activity

12+ Years Experience

Adding or removing Business activity from License ?

Establishing a business in UAE is a simple, yet detailed, process which needs accurate actions at the required time. Selecting the appropriate licensing, authority, legal entity, and activities for your business are often the first steps in adhering to local laws and regulations and operating within the bounds of the law.

Trade license activities, in particular, are frequently a broad range of specialized business endeavors that must be properly designed and selected to match your precise business plan. Depending on the type of license that applies to you, you will frequently have to select at least one  business activity. But as time passes and you gain more knowledge about your industry and UAE’s business climate, you might occasionally need to modify these actions. Fortunately, the system lets you modify, add, or remove the activities you had selected for your trade license.

To ensure legit transactions and The UAE sometimes has long procedures to ensure the authenticity and smooth functioning. Hence the procedures for license amendments and other license-related services could be a bit lengthy. Taking into account the experience in dealing with corporate services, Fimkin offers its assistance in meeting your needs for operating a business in the United Arab Emirates and helping investors obtain their Trade License in UAE in addition to other corporate services.

Confidently we encourage the business owners to get in touch with Fimkin with the experienced resources and connections to support your expanding company in the United Arab Emirates.

What are the General Conditions in the UAE for Modifying a Trade License

What are the General Conditions in the UAE for Modifying a Trade License

A license amendment application is required. It is the process of updating the options and inclusions you previously selected for your license package. During the license renewal process, you might go through a license amendment. In addition to modifying your business operations, the following changes are also subject to license amendment:

  • Modifying the trade name
  • Shifting the business location,
  • Altering the local sponsor (for mainland companies)
  • Updating or adding management information
  • Adding or deleting a partner or partners
  • Altering the authorized capital

You are unable to select a business venture that conflicts with your trade license. The types of activities are classified according to their characteristics. You must select an activity that is compatible with your current license in order to successfully modify the activities you had previously set with your authority. If not, you’ll have to submit a fresh license application.

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Every authority follows different rules when it comes to license amendments. Although all allow license changes, each permits investors to go through this process in a different way. While some are lax, others only permit small adjustments.

Some actions require permission from outside parties. Due to their unavoidable nature, business operations in the food service, chemical manufacturing, building and architecture, and health services, to name just a few, sectors, must be inspected and regulated by authorities. It’s possible that some of your new endeavors will need approval from another regulatory body in addition to your authority.

What is the additional requirements for adding/removing business in Dubai?

For example, in Dubai the process is as primarily getting the necessary paperwork ready for the process in question would be the first step. In accordance with DMCC guidelines, you must get ready for the following:

Completed renewal and amendment form

A corporate shareholder's board resolution, if any

Board Resolution (for branches) issued by Parent Company

Certificate of Incumbency (applicable to corporations or branches of corporations)

Resolution of Shareholders

Joint Resolution of Shareholders (in the case of Joint Venture Companies)

Special Power of Attorney (if required)

A memo, if necessary

The articles of association, if applicable

Dubai DED requires additional paperworks

Copies of the shareholders' passports and visas

Trade license

The commercial register

A partner's list, a sponsor's NOC

An addendum to the memorandum of association

The shareholders' Emirates ID, if they reside there

Dubai DED requires additional paperworks

Whereas in Abu Dhabi, it is so business-friendly. It is worth pointing out the fact that you would have to go through a process if you wish to add or change your existing trade license in Abu Dhabi, however noting a couple of legal points shall help.

What are the General Conditions for adding/removing a Trade License in Abudhabi ?

Similarly, each emirate has their own set of additional requirements to suit the regional regulations. Feel free to reach out to Fimkin for more details on how to modify business license for any emirate! Experienced business setup experts at Fimkin can handle your particular demands and specifications.

Contract annex notarized by a public notary

This is applicable when changing a company’s legal form, capital, stakeholder shares, selling or assigning a business, or the manager’s name on a license.

newspaper announcement in both Arabic and English

This is applicable when transferring a license from commercial to industrial or from industrial to commercial; when altering a company’s legal structure; when lowering capital; when changing ownership of a company; or when renaming a business.

Ministry of Finance Certificate of Registration

This is applicable when a foreign business branch’s manager name is changed under a trade license, when a foreign company’s name is changed, when service agents are changed for a foreign company’s branch, when a foreign investor’s nationality is changed in the license, and when a foreign company’s branch takes on a new legal structure.

Acceptance of specific Organizations

The concerned regulatory approvals are required at each stages, be it Economic, Finance, Occupational, Health & Safety etc.

Current trade license

The changes by adding or removing shall be done , however the existing trade license has to be submitted for checking the practicality of the desired activity with the current business nature.

Filled-out application

The duly filled out application to be submitted along with other documentations in order to proceed with the amendment.

Power of Attorney (PoA)

As a standard procedure for any Business related amendments PoA is required to be submitted to the regulatories for approval.