Common Mistakes That Cause a Delay in Getting a Business License in the UAE


The number one mistake that delays getting a UAE business license is choosing the wrong type of activity. The UAE has more than 2,000 activities, and each requires a specific license. Choosing the wrong type of license will result in a lengthy, costly, and unnecessary process. To avoid such a situation, it is necessary to choose the right type of business activity, which can be more complicated than it appears. If you want to invest in a business setup in Dubai south, avoid such mistakes.

Mistake# 1

The common mistake that can delay getting a business license in the UAE is choosing the wrong jurisdiction. Most businesses mistake choosing the wrong free economic zone for their business, which can make the implementation of the company difficult or impossible. Furthermore, the number of free economic zones in the UAE increases, leading to inconsistency and delays. There are several jurisdictions in the UAE, and picking the right one can be complex and time-consuming.

Mistake# 2

There are common mistakes that can cause a delay in getting a business license in the UAE. The most common mistake is selecting a free economic zone that is not related to the nature of the business. Choosing the wrong free economic zone can lead to confusion and a lengthy delay in the implementation process. Additionally, choosing a license that doesn’t relate to the type of business can result in heavy fines and personal liability.

Mistake# 3

The next mistake is not understanding the rules of the UAE. There are a variety of ways to incorporate a company in the UAE. However, registering a company in Dubai can take just a few days, while opening a bank account for the business can take up to ten days. In the UAE, you should not ignore the requirements for a business license. It is important to understand the rules and regulations regarding this matter.

Mistake# 4

The second most common mistake that delays getting a Dubai business license is choosing the wrong type of business activity. You must have a bank account to operate in the country. This is essential because you won’t be able to function without one. A successful registration process should take a few days, but opening a bank account may take up to ten days.