What Is The Cheapest Trade License Cost In Dubai? 2025 Cost Breakdown

Looking to establish your business in the UAE on a low budget? Information on the cheapest trade license in Dubai holds the secret to thoughtful planning. You require a trade license to do business legally, and through thoughtful strategic planning, you can derive optimum value at the lowest possible cost. Being a seasoned business setup consultant in Dubai, Awami helps entrepreneurs accomplish just that.

Table of Contents

• What Is a Trade License and Why Does It Matter
• Cheapest Options: Free Zone Trade Licenses
• What’s Included in These Packages?
• Mainland Licenses vs. Free Zone Licenses: A Cost Comparison
• Free Zone Price Summary
• What Additional Costs Can You Anticipate?
• How Awami Helps You Make Smart Choices
• CONCLUSION

What Is a Trade License and Why Does It Matter

A trade license is issued by the Department of Economic Development (DED) of Dubai or a free zone authority. It legally allows your company to conduct specific commercial, professional, or industrial activities. Obtaining a low-cost license is generally the best way to set up your business in Dubai without unnecessary cost.

Cheapest Options: Free Zone Trade Licenses

Based on research and analyses by experts, the cheapest trade license options in 2025 are as follows:

Sharjah Media City (SHAMS): Starting from AED 5,750 (no visa). Visa options bring the figure to around AED 11,500–13,000.

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Ajman Free Zone: Flexible licenses AED 6,000–11,900 depending on visa and office package.

RAKEZ (Ras Al Khaimah Economic Zone): From AED 6,500 for a standard license. Including visas, budget AED 12,500–16,000.

IFZA (Dubai Silicon Oasis): AED 12,900 for license-only packages, up to AED 16,000–18,000 with visas or office space.

These free zones are ideal for freelancers, start-ups, and SMEs who prefer affordability with legitimacy.

What’s Included in These Packages?

Each free zone package may have:

1. A general trade license for a pre-defined list of business activities
2. Optional visa quota (usually 1–3 visas)
3. Flexi-desk or virtual office arrangements
4. Government and administrative fees are covered in the cost.

Note: These low-cost options do generally not cover corporate taxes, which are still exempt, and offer full foreign ownership.

Mainland Licenses vs. Free Zone Licenses: A Cost Comparison

Mainland trade license (which is issued by DED) can range between AED 15,000 to AED 50,000+, based on business structure, office rent, and visa needs. Renewal fees usually range from AED 8,000 to AED 15,000 every year.

Free zone trade licenses have considerably lower entry points—some starting as low as AED 5,750. They also deliver simplified incorporation, inexpensive visa options, and faster processing.

Free Zone Price Summary

Mainland trade license (which is issued by DED) can range between AED 15,000 to AED 50,000+, based on business structure, office rent, and visa needs. Renewal fees usually range from AED 8,000 to AED 15,000 every year.

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Free zone trade licenses have considerably lower entry points—some starting as low as AED 5,750. They also deliver simplified incorporation, inexpensive visa options, and faster processing.

What Additional Costs Can You Anticipate?

A truly low-cost setup still requires you to spend on:

1. Trade name reservation and approval fees
2. External approvals (if your business activity is licensable)
3. Any office (even virtual) or flexi-desk rental
4. Visa application and processing fees per person

These can push the total cost over the basic license fee if they’re not packaged.

How Awami Helps You Make Smart Choices

As your preferred business setup consultant in Dubai, Awami handles everything to ensure your setup is stress-free and cost-effective:

1. Determination of license type and free zone
2. Preparation of application & documentation submission
3. Approval and government payment processing
4. Guidance on visa application and renewal
5. Compliance monitoring and annual renewals

We obtain the lowest-cost trade license, established as per your needs—no surprises, no hidden fees.

CONCLUSION

For entrepreneurs looking to minimize entry costs, free zone trade licenses are the clear winner. With packages starting from AED 5,750 to AED 12,900, these licenses allow legal operation without breaking the bank. Meanwhile, mainland setups and full-service packages range from AED 15,000 to AED 50,000+.

Still not sure which path is best? As your business setup consultant in Dubai, Awami can customize your options for the lowest cost, best fit, and legal compliance, getting your Dubai business setup off to a sound, budget-wise start.